Description
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Quality represents the degree or grade of excellence, which is appropriate for a particular purpose. In relating to product, it is a set of specification governing its functional performance, composition, strength, shape, dimensions, workmanship, colour and finish.
Quality is therefore meaningful only in relation to the purpose and end use of the product. That is, it attained when a product or service purchased fully satisfied the purpose for which it is designed.
In Chartered Institute of Purchasing and Supply, the determination of the right quality for a given application, a number of factors are considered and would include the following
Price consideration
Specification of customers or those stipulated by statutory regulation and similar institutions.
The expected life of product in which purchase items will be put.
The required reliability of the items purchased.
From the foregoing, quality in the buyers view is determined by balancing technical consideration against economic factors as price and reliability. That is to say, that the right quality must incorporate three basic considerations. The product must be manufactured to a realistic standard so that it will give adequate satisfaction in performing its purpose at an acceptable cost to the company.
Moreover, a reduction in the cost materials clearly offers an unusual opportunity for profit improvement. Therefore, it is essential to control the quality of material supplied since this help to a great extent in increasing the profitability of firm. This is because if materials supplied do not measure up to the specific wanted and if the faults are not detected before feeding them into the production plant. This will affect the quality of materials manufactured by the company.
This quality control is a system regulating a supplying process in order to maintain defect detection or correction. It also involves the application of inspection technique to the products purchased and during the course of manufacture assembling or conversion.
Furthermore, the Standard Organization of Nigeria (SON) being the sole body trusted with the job of supervising and controlling the quality of product seen in Nigeria. It is functionally divided into different department with performed duties:
Standardization
Quality Control
Factory Inspection
Certification
Stands from the above definition, it could be understood that quality starts right from raw materials.
Mission Statement
To be a world class selling organization and the best bottler in Africa by providing quality products through committed people delivering excellent consumer quality satisfaction providing our people with a heaving culture which will exploit their full potential for growth.
Maximizing the shareholders value while maintaining he status of a good corporate citizen in achieving these, we will grown our company profitability.
1.2. STATEMENT OF THE PROBLEM
It has been identified that lack of quality control has been the problem encountered by the most manufacturing industry like Nigeria Bottling Company (NBC) and this significantly and negatively has affected the quality of the product that has affected the quality of the product that has be manufactured by Nigeria Bottling Company (NBC). This is assured to be as a result of the fact that in most organization or company there is no place for quality control in the organization structures rather the function is neglected to the background and is placed under the control of a certain head or subhead who in turn influences the activities and function of the section.
Also here is the non availability of high caliber of personnel who have the skills, techniques and experience required on controlling the quality of materials bought and produced.
It is understood that most quality control related function or sections of the organization lack the cooperative effort and coordination to facilitate the achievement of the objective.
Most of the organization usually encounter the problem of cost of poor quality in terms of roasted manpower, production, transportation, handling and the inconvenience to customers is very heading.
There is also the problem of drawning up the signification in selecting supplier in controlling quality of supplier and the inspection produced to be adopted. We would then ascertain the extent to which quality control is been carried out in Nigeria Bottling Company (NBC) to better the product of the organization.
1.3 OBJECTIVES OF THE STUDY
Overall the general purpose of this study is to ensure that contributions are made to the enhancement of knowledge and profitability based on the need for quality control of purchased items in Nigeria Bottling Company (NBC) however, the specific objectives are as follow:
To ascertain if there is the existence of state of confusion or the conflict of interest between the purchase of the organization and supplier in determining what is actually required in terms of quality.
To explore the relationship between the purchasing and the quality control section as well as other section of the organization.
To investigate if proper understanding and cooperation amongst department will result to the improvement of relationship with suppliers quality specification at the barest minimum cost.
To find out to what extent has Nigeria Bottling Company control and inspection programes and methods fared towards quality assurance of the materials requirement and the finished products of the organization.
1.4 RESEARCH QUESTION
Here, the researcher tries to find out the problem and objectives of the study. The researcher does this by asking these questions that will help him in making necessary recommendation e.g.
What are the techniques required in controlling the quality of material bought and produced?
What are the effect of quality control in an organization?
What extent does your organization handle some quality problem?
1.5. SIGNFICANCE OF THE STUDY
The significance of this study cannot be over looked as it is of great benefit to:
The Production Firm: The study is significant to production firms, as it tends t o cast a means on how to control the material purchased in the firm. It is also relevant in establishing and maintaining of quality standard of purchased items in the firm.
The Government: The study will be of great benefit to the government as it gives confidence of higher quality service e. It will also increase the government reliability of t he product.
The Researchers: In the cause of findings, the researcher will be opportune to acquire more knowledge about quality control.
1.6 SCOPE OF THE STUDY
This research work is concentrated mainly on quality control, which is the procedure for meeting the quality of goods in the organization. It is vast areas of study; as a result, this research work will cover only the effective quality control on the end of beverage companies in Nigeria as related to the Nigerian bottling company owere plant.
Moreover, the scope of this research work is to determine the extent of application of quality in an organization and services of the industry. In the process of carrying out these services of the important academic assignment, many problems were encountered.
1.7 LIMITATION OF THE STUDY
As a result of the vastness of the area of quality control, the writer tends to cover the needs for quality in Nigeria Bottling Company (NBC). This research would have gone beyond this if not for:
Time Factor: The researcher considers time factors as the most limitations factor as regards the success of the study as he has other academic work to carryout.
Data Collection: Also data collection could be considered as the most important aspect of this research work since conclusion and recommendations are drawn from their relevant areas of study from the different division and department of the organization.
Finance: This is another major problem the researcher face in the course of this research.
1.8 DEFINITION OF TERMS
Quality: This can be seen as the fitness, merit, excellent or which relate to the suitability and cost rather than to intrinsic excellent in purchasing.
Control: This is the process of taking the necessary preventive or correcting action, mission and obligation that are accomplishment as effective and efficient as possible.
Purchasing: This is the process of managerial functions that is responsible for obtaining materials required by the organization or individual through the right quality, right sources and right time and right place.
Materials: This is the set of items or goods issued to produce or purchase either for organization or individual.
Profitability: This can be seen as the gain or advantage of any item or material purchased by organization or individual.
Specification: This is a detailed description of how something is or should be designed or made.
Techniques: This can be seen as a group of people whoch form a business, club together in other to achieve a particular aim to work for a business.
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