The Role and Contribution of Purchasing and Supply Management in the Profitability of an Organization A Case Study of Nigeria Bottling Company Plc Aba

The Role and Contribution of Purchasing and Supply Management in the Profitability of an Organization

Project / Seminar Material
Reference ID: PS-2569-TM

DEDICATION

This research material titled “The Role and Contribution of Purchasing and Supply Management in the Profitability of an Organization” is dedicated to God for his enabling grace, and to all computer enthusiasts who contributed to make life a pleasant experience during my research documentation.

ACKNOWLEDGEMENT

I extend my sincere gratitude to all those who contributed to the completion of this project. Special thanks to my Supervisor (Name of your Supervisor), the Head of Department (Name of your HOD), the Lecturers in the department of Purchasing and Supply (PS), Book Authors and Profound Scholars of existing or related project material on “The Role and Contribution of Purchasing and Supply Management in the Profitability of an Organization” for their invaluable guidance, support, and expertise throughout the journey.

I am also grateful to your study area (mention any funding organizations, if applicable) for their financial assistance. This research would not have been possible without the encouragement and assistance of some stakeholders (mention any mentors, teachers, or colleagues). Additionally, I would like to acknowledge the understanding and patience of my family and friends during this endeavor. Your unwavering support has been a constant source of motivation. Thank you all for being part of this meaningful endeavor.


The Role and Contribution of Purchasing and Supply Management in the Profitability of an Organization (A Case Study of Nigeria Bottling Company Plc Aba)

TABLE OF CONTENTS

PRELIMINARY PAGES


CHAPTER ONE

  • 1.0 Introduction
  • 1.1 Background of study
  • 1.2 Statement of problem
  • 1.3 Objective of the study
  • 1.4 Signification of the study
  • 1.5 Research Questions
  • 1.6 Scope of study
  • 1.7 Limitation of the study
  • 1.8 Definition of terms

CHAPTER TWO

  • Literature Review
  • 2.1 Roles of purchasing
  • 2.2 Purchasing function
  • 2.3 Importance of purchasing
  • 2.4 profitability contribution of purchasing
  • 2.5 The need for purchasing
  • 2.6 The effects of purchasing function
  • 2.7 The place of purchasing in an organization
  • 2.8 Duties and responsibilities of purchasing
  • 2.9 Ethics in purchasing
  • 2.10 Purchasing objective
  • 2.11 Management reason for the study
  • 2.12 summary of related literatures

CHAPTER THREE

  • 3.0 Discussions and major finding from conceptual literature

CHAPTER FOUR

  • Summary, Recommendation conclusion
  • 4.1 Summary
  • 4.2 Conclusion
  • 4.3 Recommendation

BIBLIOGRAPHY

  • QUESTIONNAIRE
  • ABSTRACT

    For my organization continuous existence and complete favourably with it's counter parts in the same industry its workers must be given sufficient training technically and otherwise to be able manipulates the machinery and policies at their disposal.

    One major reason for the tremendous emphasis place on, the role of contribution to the purchasing and supply management profitability of the organization from current realization that human resources available to any organization constitutates its life and therefore the need for development in order to attain efficient performance standards its is of primary important, to management of any kind of organization or industrial the management of human resources, of which training is the core is paraticalary important activities in companies.

    There are so far two major reasons, first, companies in Nigeria is a labour intensive industrial the use of advance technology like the computer has not even changed it characteristic of industrial in the development economy such us Britain and Japour were great strides have been taken in the employment of Advance. Technology to improve company management.

    for instance, the role of purchasing agencies and institutions such as centre for management development, Nigerian institute for management in industrial training for development of 70s in this country.


    The Role and Contribution of Purchasing and Supply Management in the Profitability of an Organization (A Case Study of Nigeria Bottling Company Plc Aba)

    CHAPTER ONE

    1.0 Introduction

    For the survival of any organization, be it public or private the efficient is the most vital factor.

    Is therefore means the coordination and maximum contribution from each basic function of the organization such as creation, finance, personnel, conversion and distribution, especially the purchasing, function towards the success of the entire organization.

    However, efficient performance of the purchasing function is important to the smooth operation of may organization and as a result the role of purchasing is latent and conspicuous.

    It is a basic responsibility of purchasing function to obtain material of services, to ensure that the flow of production is not interrupted. As has been described “purchasing and organization “and also, “competent purchasing is one of the basic requirements for a company to cult cost and thereby increase profits.

    When one contemplates that for every sale there must be a buyer and than other side of coin is buying, one begins to realize the significance and the function had been especially in the public sector stripped. The reason for this stems sometime aroma the wrong interpretation given to the art of purchasing plays an unquantifiable role in field of management activity and contributes highly to profitability.

    The words Geoff Lancaster, in the journals 1984 edition of purchasing should acknowledge it latent role as being much broader in its traditionally recognized role of merely being, requisitioning facility.

    1.1 Background of the Study

    Nigeria bottling company plc was originated as a soda function beverage in 1886 selling for five least. Early growth was impressive, but it was only when a strong bottling system that coca-cola become the world-famous brand it is today.

    1884 — A modest start for a bold idea. Since the emergence of this organization, it has snifter to the market and consumers different types of soda fountain beverages.

    The number of soda fountain beverages sent to our market by this bottling company plc, in doubt has made tremendous impact on the reduction of the micro economic variables problems in this country through generating to our economy, creation of job opportunities etc the management of Nigeria bottling company plc is a public liability company.


    1.2 Statement of Problem

    Business conditions during the recent past placed much strain and pressure on the purchasing management function and roles. Critical materials shortages, worldwide inflation and arbitrary action of government seriously interfered with the orderly operation of business.

    Materialism is the source of out present day Nigeria society and people who are responsible for purchasing function in Nigeria bottling company plc Aba, and other good (public) companies however, purchasing management and its allied subject are the newest course read full-time in some higher institution of higher learning, and more than seventy percent of firms in Nigeria are yet to embrace this in its most meaningful and realistic dimensions.

    Much corporate management has been made painfully aware of the shortcomings of the operation of their firms' materials management function. Indeed, it is among the best of the specialized business functions, to be centralized and given the responsibility and authority for making profit progress in this area of business management is thus just beginning. The development of purchasing role and function in the (public sector) Nigeria bottling company plc Aba has been badly affected by the “buying syndrome”.


    1.3 Objective of the Study

    This study is carried out with the following objective

    1. To examine the various, role of contribution of purchasing and supply management profitable of an organization available and evaluate their application.
    2. To make critical study of problem in the services offered by the firm and suggest solutions to these problem.
    3. To formulate the role of purchasing strategies that would be.

    1.4 Significance of the Study

    This research project in all its tendencies aim at correcting many professional lapses and undue encroachment by unqualified personals in both private and public sectors. It is intended that the research will keep both the government and industrialists, in setting up their industrial to realize that without efficient purchasing officier the envisaged profit will remain that no previous study was been carried out on purchasing activities in the public sector, but this will in particular reshape the financial profitability of Nigeria.


    1.5 Research Question

    Does purchasing department have adequate number of customers? From the research sampling carried out among customers numbering (250) on hundred and eighty customers agreed, (180) (50) disagreed and 20 undecided. Therefore the percentages of the responses are calculated below.

    Available in the Material

    Statement: From the above sample, 725 of the customers agreed that purchasing department have adequate number of customers, 20% of the customers disagreed with 8% them remained undecided.

    Research Question 2

    Do you fin out reason why customer waster much time in the company? From research sampling carried out among customers agreed that much time is wasted that not more than enough time is spent in the company, white 5 of refused to comment. Therefore the percentage of respondent are calculate below.

    Available in the Material

    In conclusion 88% of the customers are not satisfied with the service received from the bank, 10% are satisfied with the level of service rendered to them while 2% refused. Therefore the bank should strive harder to improved its service so as to retain its customers as well as gain move. Research Question 3

    How was introduction of modern technology such as computer welcome into the system by the staff-250 staff were interviewed on the affore mentioned question, 200 of them welcome it with optimism, 30 among them welcome it with mixed feelings for pear of loosing their jobs to computer while 20 among them rejected the introduction and refused to change.


    1.6 Scope of the Study

    The study of the role contribution of purchasing of supply management profitability of an organization of an organization cover a very complex areas. But in the case of our study it is narrowed to soda fountain beverages production.


    1.7 Limitation of the Study

    In carried this research, the research was cooperated with a number of limitations. Due to finance and time constraints, the research was unable to examine all the variable in purchasing in all the leading. Public and private companies, limitation his study to a few public enterprise themselves incomplete.


    1.8 Definition of Terms

    Purchasing:

    is the process involving planning, and strategy designed to obtain value for money spent.

    Vendor:

    This focuses on the knowledge of selling and buying the person that supplies goods to the buyer is the vendor.

    Negotiation:

    Negotiation is a conference between one party or person with another party or person with a view to arriving at a consensus.

    Material Handling:

    This is the process by which materials are being moved, handed and stored with in and around an establishment with the use of hand or mechanical equipment.

    Organization:

    An organization is a group of people who from a business with the aim of making profit or achieving an objective.

    Store House:

    A storehouse is a building designing to keep materials until when there are needed by the uses

    Storekeeper:

    Is a person who keep or operation the systematic procedure of recording transaction in the storehouse so that materials held in store will be safeguarded.

    Storekeeping:

    Storekeeping is a systematic procedure of recording transaction in the store, so that at any given time, the stock record we show the actual stock position of each material held within the store organization.

    CHAPTER TWO

    2.0 Literature Review

    2.1 Introduction

    This chapter focuses on the review of related literature. A literature review includes the current knowledge as well as theoretical and methodological contributions to a particular topic. It documents the state of the art with respect to the topic you are writing. It surveys the literature in the topic selected. In this research work the literature review includes the …

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