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EFFECTIVENESS OF THE PURCHASING INFORMATION SYSTEM IN AN INDUSTRY

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND TO THE STUDY

It has been observed in the relent years that purchasing information system in any business is of great important. Textile industry is not left out in the categories of business that needs purchasing in formation system. Modern business management has proved to be of most difficult task in Modern and technological breast through and in formation explosion that is meant to break advancement; in communication research, he need for constant changes of company’s products or sources to keep pace with technological advancement an sophistication in customers its, has are some of the things which modern organization was to contend with. When it is understood than in addition to these problems, the modern manger runs a business organization which is intimidating by its share size in running the organisation h always aims at having an edge over competition. In this case efficiency become a watch word.

However, in order to cope with these strong demands of modern manger of an organisation has no alternative but to attempt his system approach to businesses management. This is become today’s business involutes huge amount of capital, that any mistake in decision making can be costly these risks are associated with compulsive decision, more especially in such a large organization. In Nigeria, the component tribes have different ways of clothing themselves. In the traditional Igbo society we have mould from “ Oji to Akwete the Yoruba’s have their fames “Ofi” now know as ASo OKe . The hausa and many other tribes have their own way of dressing respectively. Some of these materials are head woven especially Akwete cloth and Aso Oke they are very costly. Marketers are nil anger local but are international in scope.

The organisation in question has previously. Has a limited area of business to control it has now found itself on uncertain ground when competing with similar organisation around if .Moreso, he product life cycles of general cotton mill limited onitsha now required more sinful management in order to extract profit.Since one manger has the responsibility for integrating a far-ranging rarity of purchasing activities. The general cotton mill limited onitsha nee a good deal of information for efficient and effective mining of the organisation.

The company has to increase their method of purchasing information system in order to proceed and develop information for such rapid planning and decision marking.Again, the adherent of techniques which can provide information for effective business decision tools of the company, although the purchasing information system is not entirely dependent n the use of computer, the evolution of these machine to the role of a relatively common place article in the company (GCE) and the development of qualifies personnel to work with these computer means good deal of information which previously could not be handled by order methods, can now be handled efficiently in general Colton mill limited Onitsha. In order to stand the test and trials of time, the management of these organization unbars on a series of development activities to enhance their operation,. One of such development in the pursuit of company’s goals.

1.2 STATEMENT OF THE PROBLEM

For over twenty four years now, general cotton mill onitsha has been on existence this study was designed to calculate or measure how effective purchasing information particular reference to general cotton mil onitsha. The formulation of a successful purchasing strategy hinges upon the extent of knowledge on two key points, that is , the opportunities open to the enterprise and the resources available it responds therefore on the amount and quality of information emanating from both external and internal sources of the organization. It was found that as far as general cotton mil onitsha is concerned, that purchasing information system is not all that effective does to the following reasons. It was founds out that most of the information supplied to the organization are too current for use, it may also happen that some information provided are too absolute for use.

More so, the firm is not willing to finance a computer based information system, and this has resulted to romance effect on the system. This has rendered the organization absolute. However, the firm is relevant in paying for the system. As a result of the defective acts mentioned above, the company is not enjoying flutter exploitation of the purchasing concept. Further more, if the organization is competent in doing its ob very well, it will prevent important information from being suppressed, for instance, indication that a product should be withdrawn.

1.3 OBJECTIVE OF THE STUDY

From the problem defined the research has the following objectives;

1. To find out if the general cotton mill limited onitsha generated information that is relevant to heir business requirements.

2. To find out if the general cotton mill limited onitsha generated timely information.

3. To find out if the general cotton mill limited onitsha generated by general cotton mill limited ontisha is cost effective.

4. To find out how accurate the general by general cotton mill limited onitsha is in relation to their business

5. To recommend ways of improving effectively in the use of mis in the general cotton mill limited onitsha.

1.4  FORMULATION OF HYPOTHSES

Hoi: General cotton mill limited onitsha does not generate relevant information

Hi:  General cotton mill limited onitsha generate relevant information

Ho2: General cotton mill limited onitsha does not generate relevant information.

H2:  General cotton mill limited onitsha generates timely information

Ho3 the information generated by general cotton mill limited onitsha is not last effective.

H3:  The information generated by general cotton mill limited onitsha is not last effective.

H04:  The information generated by general cotton mill limited onitsha is not last effective.

H4: The information generated by general cotton mill limited onitsha is accurate.

1.5   SIGNIFICANCE OF THE STUDY

This study will help the general cotton mill limited onitsha to know the importance of purchasing information system on the purchasing of their products and how to manager it for cost reduction. It will serve as a source of document to other in the same industry , not only in onitsha, but also the country in general.  It will widen the knowledge of the writer on research writing as information technology.

1.6 SCOPE OF TE STUDY

This study is concentrated on the effectiveness of the purchasing information system in textile industry with emphasis on the general cotton mill operations within onitsha.

1.7 DEFINITION OF TERM

Some of the terms used in the study have other meaning outside they were used here therefore, for easy and quick comprehension of this report, the following terms are used.

1 INFORMATIION- this is term for date that help the user to achieve his desired objectives.

2. MANAGEMENT – this group of people whose duty is to co-ordinate the affairs of an organization.

3. SYSTEM – this is a computer terminology that can be used to represent the computer as a whole

4. MARKETIING – this is a managerial process that deals with the satisfaction of consumers through exchange process.

5. DUTY DRAW BOOK – a term used by federal government of Nigeria to reply manufactures of export product for duties they pay for raw materials.

6. EXPORT EXPASION GRANT – this is a grant aimed for expanding export base of Nigeria. It ground entire prenurs the find for research 

7. EXPORT DEELOMENT FUND – this is a fund seaside by the federal ministry of finance to help enter prenurs who specialise on export product.

8. BACK GROUND INTEGRATION –this is a situation which arises when a manufacturer source its new materials himself instead of buying if from another manufacturer or producer.

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