PURCHASING PROCEDURE IN A MANUFACTURING COMPANY
ABSTRACT
This study examined Purchasing Procedure in a Manufacturing Company. The case study for this work is Rokana Industries Plc Nekede, Owerri many firms today are having difficulties in the acquisition of quality's materials that would meet organizational requirement.
This work was intended to help this organization understand the importance of purchasing by using or adhering to the purchasing procedures outlined here.
The chapter one of this work discusses about the historical background of the firm, brief introduction of the purchasing function, problems envisaged and likely solutions proffered in terms of objectives.
Chapter two is a synthesis of related literature on purchasing procedures.
Chapter three is all about data presentation and analysis of data collection through questionnaires distributed, the analysis was based on the responses from summarized the entire work, made recommendation and concluded the work.
CHAPTER ONE
1.0 Introduction
1.1 General Overview of the Study
In some organization the Procedure to Purchase a particular item is based on the value and importance of the item. The purchasing department of any organization buys the flowing categories of organization materials capital equipment, raw materials, components indirect material (supplies) and industrial services.
The process involved in the procedure for the purchase of capital items is more complex than that of raw materials and operating supplies this is as result of huge sum of money tied to these equipment though much emphasis would be laid on the other chapters procurement of organizational material which is the responsibility of organization to which it exist under performs also the following function.
- Coordination with the user department to identify purchase needs.
- Discussion with sales representatives.
- Negotiation with potential suppliers.
- Issuance of purchase order.
- Conducting market survey to identify potential suppliers and products.
- Selection of purchase suppliers etc and others.
These among others include the functions performed by the purchasing department although many are ignorant of the course as a professional carrier which originates back to the early 1900s.
Brief History of Rokana Industries
Rokana Industries plc was incorporated in September 1978 as a private limited liability company with the objectives of manufacturing materials, house hold products and key personal hygiene products for the health care market.
The company with the objectives maintains its head office at 4 Ayayi street, off 52 Allen Avenue, next door to Lagos Hilton hotel, Ikeja, Lagos while its factory is located at the vast acre of land at Nuked at plot 5 mission road Umualum Nekede out skirt of Owerri, Imo State the industry has four separate existing manufacturing plants completed with quality control facilities the factory accommodates the company's raw materials and finished products warehouses utility service and plants humidified petroleum gas tank farm and factory administration offices.
The industry is responsible for the manufacturing of the following products Jordan tooth brush Rokana dry air-freshner number insecticide sparkle furniture and dry skin lotion Rokana Dental stick and plague remove sparkle took paste etc.
The company endeavors to maintain high competitive remuneration packages for its staff as evidence by the low incidence of industrial strike, low rate of staff turnover and high degree of loyalty and dedication within the organization. The company provides effective training scheme for its staff and there is a good relationship among workers and the company sponsors many social charitable and developmental programmers in all parts of the country.
1.2 Statement of Problems
In today's business environment, it is very amazing that everybody wants to be involved in the buying activities. It is also a thing of fact that any shout coming in the of inferior products, machine idle hour and other act that will of jeopardize the success of the firm and will be attributed to the purchasing ministering against the success of the purchasing procedure in the industry.
- No formal list specifying the appropriate procedures for the purchasing of materials in order to reduce the time spent during the process of procurement and to avoid writing requisition that would lead to irresponsible purchase request.
- Those who are responsible for the authorization procedure are not conscious of the quality rather they want to offer a supplier with the lowest price.
- Staffs that do not have knowledge about purchasing are involved in the approval stage of material purchase.
1.3 Objectives of the Study
General the purchasing department is known to be established for the procurement of goods and services of the right quality in the right time and at the right price. But for the purpose of this research the objectives which the researcher has in mind includes the following.
- The purchasing department being the head in the approval process so that effective buying is enhanced should carry out purchasing of material.
- Quality should be first criteria when it comes to approval of material to be purchased and appropriate procedure should be followed to avoid buying from the wrong source.
- Those responsible for handing the purchase procedures should be reduced to avoid more compactions and time.
1.3 Scope of the Study
The topic of this study is purchasing procedure in a manufacturing company, a case study of Rokana Industries Plc, Nekede Owerri. This study of Rokana Industries Plc, Nekede Owerri, and this study includes purchasing procedures for the purchase of material for organizations but for the sake of time, it is restricted to Rokana Industries Plc, Nekede Owerri. The result obtained will be used to generalize for other industries in the same industry.
1.4 Research Question
The researchers formulated the following questions to help guild the objective that will help in the execution of this work.
- Is there a laid down procedure for the acquisition of materials?
- Are there materials used in the organization that beyond the control of the purchasing department?
- Is there a quality control department in the organization that checks the quality of products supplied?
- Who approves the local purchase order for the organization?
- Who is responsible for purchase producers in the organization?
1.5 Significance of the Study
The significance of this study does not lie on the premise that on previous study has been carried out on the purchasing procedures as practiced by Rokana Industries Plc and other companies, but that the researcher to ensure that the research is of immense help to the researching student corporate bonier during the course of staff training and to the Nigeria economy as a whole.
1.6 Limitation of the Study
The successful completion of his work posed some limitation in the following areas.
Location and Access to the Firm:
Location the firm was not all that difficult because the firm was close to the area of research, but the access to the firm was a big challenge to the access on various occasions to go inside the firms premises for proper researching.
Finance and Time:
Finance was the major determinant of the success of this work because without it, it would not have been possible for visiting the firm during the period of the research work the economy of the nation was bad the time was another determinant as several postponement was made just to ensure that things are in their place.
1.7 Definition of the Terms
Procurement:
This is an interment purchasing activities where goods information and price are go them through the use of interment system.
Sourcing:
This is the process of identifying suitable sources of supply it is the method of searching the market place for potential suppliers who can meet the needs of the organization.
Negotiation:
This is process of planning reviewing and analyzing by a buyer and seller to reach an acceptable agreement.
Specification:
This is a process of planning and detailed description of what is wanted. It is the process of describing an item or object to enable its manufacture and further identical reproduction.
CHAPTER TWO
2.0 Literature Review
2.1 Introduction
The review of relevant literature is the main topic of this chapter. A literature review covers theoretical and methodological contributions to a certain issue in addition to the state of knowledge at the time of writing. It provides information about the state of the art in relation to the subject you are writing about. It examines the body of work on the chosen subject. The literature evaluation in this study comprises the …
Procedure for Downloading the PDF (Docx) Material
Purchasing Procedure in a Manufacturing Company (A Case Study of Rokana Industry Nekede, Owerri) can be downloaded by requesting the full set of materials at the project or seminar cost. The document will be sent via Microsoft Word (MS-Word) format via WhatsApp (e-mail) following payment confirmation.
| Seminar Material Cost ₦3,000 | Project Material Cost ₦5,000 |
Request Complete Material
 | Click here to request the Complete Material via WhatsApp including;
|
TABLE OF CONTENTSPRELIMINARY PAGES
- Title page
- Approval page
- Dedication
- Acknowledgement
- Table of Contents
- Abstract
- 1.0 Introduction
- 1.1 General Overview of the Study
- 1.2 Statement of Problems
- 1.3 Objectives of the Study
- 1.4 Scope of the Study
- 1.5 Research Question
- 1.6 Significance of the Study
- 1.7 Limitation of the Study
- 1.8 Definition of the Terms
- 2.0 Literature Review
- 2.1 Introduction
- 2.2 Review of Purchasing Activities
- 2.3 Organization of the Purchasing Function
- 2.4 Purchasing Policies
- 2.5 Documents used in the Purchasing department
- 2.6 Classes of Material Purchase in the Organization
- 2.7 Origin of Needs Transmission and Authority for Material Purchase within the Organization
- 2.8 Negotiation of Purchase Order Terms and Approval
- 2.9 Profit Potential of the Purchasing
- 3.0 Research methodology
- 3.1 Introduction
- 3.2 Presentation and Analysis of Data
- 3.3 Data Presentation
- 4.0 Summary Conclusion and Recommendation
- 4.1 Summary
- 4.2 Conclusion
- 4.3 Recommendations
BIBLIOGRAPHY
Disclaimer for Complete Material Utilization
The displayed research work titled "Purchasing Procedure in a Manufacturing Company" is stated as a research guideline towards accomplishing your assigned project / seminar research work. All the research materials on this website are ONLY for research purposes and should be used as a guideline in developing your research work. For no reason should you copy word for word as projectlist.com.ng will not be liable for any who copied the material. By ordering the complete research guideline, it signifies that you've accepted our terms of service.
PRELIMINARY PAGES
- Title page
- Approval page
- Dedication
- Acknowledgement
- Table of Contents
- Abstract
- 1.0 Introduction
- 1.1 General Overview of the Study
- 1.2 Statement of Problems
- 1.3 Objectives of the Study
- 1.4 Scope of the Study
- 1.5 Research Question
- 1.6 Significance of the Study
- 1.7 Limitation of the Study
- 1.8 Definition of the Terms
- 2.0 Literature Review
- 2.1 Introduction
- 2.2 Review of Purchasing Activities
- 2.3 Organization of the Purchasing Function
- 2.4 Purchasing Policies
- 2.5 Documents used in the Purchasing department
- 2.6 Classes of Material Purchase in the Organization
- 2.7 Origin of Needs Transmission and Authority for Material Purchase within the Organization
- 2.8 Negotiation of Purchase Order Terms and Approval
- 2.9 Profit Potential of the Purchasing
- 3.0 Research methodology
- 3.1 Introduction
- 3.2 Presentation and Analysis of Data
- 3.3 Data Presentation
- 4.0 Summary Conclusion and Recommendation
- 4.1 Summary
- 4.2 Conclusion
- 4.3 Recommendations
BIBLIOGRAPHY
Disclaimer for Complete Material Utilization
The displayed research work titled "Purchasing Procedure in a Manufacturing Company" is stated as a research guideline towards accomplishing your assigned project / seminar research work. All the research materials on this website are ONLY for research purposes and should be used as a guideline in developing your research work. For no reason should you copy word for word as projectlist.com.ng will not be liable for any who copied the material. By ordering the complete research guideline, it signifies that you've accepted our terms of service.
Frequently Asked Questions (FAQ)
Can this topic “Folklore and the Quest for Reinvention” be used for English Language Project?
Yes it can be utilized for research — Folklore as an aspect of the African oral tradition has been traced to traditional African society handed down by customs, beliefs and an aspect of culture handed down by our for forefathers through orature. Conflict that arises over death and the quest for re-invention in the plays of Wole Soyinka’s Death and the King’s Horseman (1975) and Hope Eghagha’s Death not a Redeemer, (1998) as well as themes, genres, song and other aspect of oral literature that form its aesthetics. Sociological theory, the study of the human relation in the society will be used for the critical analysis of the two plays under study. The analyses of the two plays have revealed the importance of folkloric tradition in the African …
Can the material for “Determination of Alkalinity of Sachet and Borehole Water” be used as a guide for Biochemistry Project?
Yes it can be used — The study was carried out to determine the Alkalinity of Sachet and Borehole Water using Ikole North local government area as a case study. In achieving this aim, the following specific objectives were laid out to determine the alkalinity levels in commercially available sachet and borehole water and determine the concentration of alkalinity in borehole and sachet water. Studies have shown that alkaline water helps neutralize acids in the body and allows for the free passage of substrate. The alkalinity of selected sachet and borehole water in Remo land were determined and the water samples were subsequently alkalised with the use of energy cup. The untreated SW4 sachet water has the highest pH meter value of (7.2) and a pH …
Can the material for “Effect of Deposit Money Banks on the Economic Growth of Nigeria” be used as a guide for Banking and Finance (BF) Project?
Yes it can be used — This study x-rayed the contribution of Deposit Money Banks (DMB) to the economic growth of Nigeria. To achieve this objective, the research work obtained data from the Central Bank of Nigeria (CBN) statistical bulletin from the period 1987 to 2014. The research work employs the multiple regression model in which real gross domestic product (RGDP) is identified as the dependent variable and proxy to economic development in Nigeria while exchange rate (EXR), interest rate (INTR) and money supply (M2) are identified as part of the activities of these DMBs in Nigeria was proxy to the impact of DMBs and represent the independent variables of the study. Ordinary least square (OLS) method − secondary data were used to specify the single …
Can the material for “The Role of Cost Accounting Techniques in Achieving Effective Cost Control in the Manufacturing Industry” be used as a guide for Accountancy / Accounting Project?
Yes it can be used — This research report was carried out to ascertain whether traditional costing techniques (standard, marginal and absorption costing) are still relevant for today’s demand and greater cost accuracy. Managers and Accounting are confused about which of these techniques will enhance effective cost control and effective management decision. Several literatures were reviewed and the problems were investigated through the use of quantitative research design where questionnaires were distributed to the production department of Coca-Cola Nigeria PLC which is the case study. The questionnaire was analyzed using the ordinary least square regression method and correlation co-efficient from which the hypothesis were tested and conclusions reached. The analysis reveals that traditional costing techniques are still relevant for today’s demand and greater cost accuracy and …
Can the material for “Effect of Divorce on Scholastic Attitude of Secondary School Students” be used as a guide for Guidance and Counselling Project?
Yes it can be used — The institution of marriage commands high social recognition and, importance in our society. Marriage is a social institution that is designed among other things by God to be enjoyed by humans and not to be endured. Since it involves two adults that comes together to live as one, conflicts will arise which will shake the union to its very foundation. Causes of the conflicts are numerous; some of them could be avoided with pre marital counselling, marriage counselling proper and post marital counselling to produce a stable family life. Divorce is a total brake down of the marriage union without remedy. Some causes are lack of communication, lack of love for one another, lack of tolerance between the couple, barrenness in …
Can the material for “An Assessment of the Choice of Performance” be used as a guide for Business Administration and Management (BAM) Project?
Yes it can be used — This study aims to present micro level perspective and analysis on gender related challenges on the performance of the female entrepreneurs in Lagos state. It examines structural and factor affecting women entrepreneurs and how specific women interviewed in selected cities, perceive and respond to these. This research helps to identify both human and social capital factor affecting the performance of the female entrepreneurs. Furthermore, it explores the main causes of performance variance among the business owned by female entrepreneurs. Data analysis shows that women entrepreneurs’ personal resource (human and social capital) has an important role in business progress …
Can the material for “The Practice of Collective Bargaining in the Public Sector as Against What Is Obtainable in the Private Sector” be used as a guide for Industrial Relations and Personnel Management (IRPM) Project?
Yes it can be used — This research work focuses on: The Practice of Collective Bargaining in the Public Sector as against what is Obtainable in the Private Sector. The population of the study composes of staff of Lagos State University, Ojo and staff of DAAR Communication PLC. However, seventy (70) academic staff and thirty (30) non-academic staff of Lagos State University, including fifty staff (50) of DAAR Communication will be randomly selected to serve as sample for the study. Three research hypotheses were proposed and tested using Pearson Product Moment Correlation Coefficient. Based on the result of findings from the study, there is a significant relationship in the practice of collective bargaining in both public and private sectors. Also, there is a significant relationship in the …
Can the material for “The Impact of International Trade on the Development of Commerce and Industry in Nigeria” be used as a guide for Public Administration (PA) Project?
Yes it can be used — The project set out to examine the impact of international trade on the development of commerce and industry in Nigeria, the variables used for this study are GDP, Volume of Import, Volume of Export, Net Export and Trade Openness. The methodology used is Ordinary Least Squares (OLS) and E-new software package. The main objective of this study is to examine the relationship between international trade and economic growth, and to examine the impact of international trade on the development of commerce and industry in Nigeria. The T-test is used to determine the significance of the individual parameter estimates. The F-test is used to determine the significance of the entire regression plan. The regression result shows that NEXP (Net Export) and …
Is the topic “Impact of Cooperative Development and Government Policies on Rural Industrialization” recommended for Cooperative and Rural Development Project?
Yes it is highly recommended — Rural Industrialization in rural communities appears to be beneficial in promoting rural development, when the individuals are able to recognize its significance in an appropriate manner. The study is to scrutinize the Impact of Cooperative Development and Government Policies on Rural Industrialization using any Selected Co-operative Societies in Awgu Local Government Area Enugu State as a case study. In achieving this aim, the following specific objectives were laid out to formulate policies that will help achieve industrialization on cooperative development in rural areas, and assess the services of rural industries improve industrialization through cooperative development. The research design used in this report is descriptive design, utilizing questionnaire method to obtain information from the respondents for this project. A total of …
Can the material for “Influence of Behavioral Counseling on Deviant Behavior Among Secondary School Student in FCT Abuja” be used as a guide for Guidance and Counselling Project?
Yes it can be used — This study investigated the influence of behavioral counseling on deviant behaviors among secondary school student in FCT Abuja. The study adopted the descriptive survey research design method. The target population for this study consisted of secondary school counsellors in FCT. Simple random sampling technique was used to select 133 respondents across secondary schools in Abuja. The questionnaire titled “behavioral counseling and deviant behavior among secondary school student Questionnaire” was administered to the school counsellors. Both descriptive and inferential statistics were used for the data analysis. The findings revealed that deviant behaviour is caused by a lack of effective parental upbringing. …