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Impact of It on the

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CHAPTER ONE
1.0 INTRODUCTION

A storehouse is a temporary reception of materials, components, spare parts and bought parts needed for operational purposes. It is basically an outfit designed for the purpose of holding materials. The storehouse is responsible for the receipt, storage and distribution of an appreciable amount of assets in the form of goods and the determination of appropriate quantities of materials to be held in order to serve operational need as and when required. The term stores could also be referred to as inventory.

According to Arnold (1449)”Inventories are materials and supplies that a business or institution carries either for sale or to provide inputs or supplies to the production process”. This implies that the stores function is the custodian of an organization’s assorted materials and as such is expected to keep track of stock, maintain economy and ensure uninterrupted flow of materials to meet all requirements, maintain a high customer service level and above all maintain the value of each stock during the period of storage.

The store plays a key role in an organizations logistical strategy. It is usually the point at which the organization succeeds or fails in fulfilling their sales and marketing promises. In most organizations, the manual system is used in performing all the stores function. The manual system often requires information being transferred from one document to the other. In this era of advanced technology, computers are widely used in stores administration. The contribution that the use of information technology can make to the success of an organization is universally recognized today.

Normally the act of recording, counting, receiving and issuing of stock or items in store should not be a hectic task to accomplish. However in the situation of large stock and the high risk of mistakes in stock taking, stock

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