Stock
is frozen cash and as such should be given the same if not more priority than
liquid cash. Firms need stock in one form or the other in order to carry out
its day-to-day activities and as such, the need to have the stock at the
required time, quantity, quality and under proper condition can never be over emphasized
more often than not, organization hold in order to have ready supply of
materials from the store house to guard against future increase in price, enjoy
quality discount, prevent shortage of supply from its various sources etc.
since the ultimate goals of any business set up is to make profit, then, such
profit can only be realized through incurring the least affordable cost while
expecting huge returns.

Inventory
is major area of asset deployment which should be required to produce, minimum
return on capital investment since it incurs cost so there is a great need to
minimize such cost and control stock with respect to its receipt, storage and
issue. When an organization is declining on what is to be held in stock, it is
of necessity to consider what item are to be used, and produced by the
organization in question and then decide which items is stocked. Stock have
been noted to be life blood of organization and all such efforts are always
made to see that efficient stock control system and equipments are invented to
cater for the various items held in stock.

In
order to minimize stock holding cost via efficient stock control measure,
experience and qualified staff should be employed to see to such matter. In public
sector of the economy today, stock control is nothing to write home about, you
find stock idle in the store house, and some are even deteriorated due to lack
of storage facilities and staff with the little or no knowledge with regard to
store management.

However,
in the private sectors where individual are the owner of the business, the
reverse is the case because stock, no matter its form is given attention by
well trained stoppers, under the appropriate conditions after all, huge sum of
money have been sunk in the acquisition of such stock items and to what much is
given much is or will be expected.

Organization
in recent times have been facing one problem or the other which in most cases
lead to early liquidation.  An
investigation have revealed that most often than not, the whole problem
normally arises from inefficient management of stocks at one stage or the other
both within and out side the organization, you will find improper or lack of
inspection facilities, poor and inadequate storing equipments, bad movement of
stock, just to mention a few with most of these thing present in organization,
there is a great possibilities of such an organization having problem thereby
leading to closure.

Shortage
arises due to lack of effective control stock among others, such as
deterioration, reducing obsolescence obsolete, pilferage receipt of the wrong
specification of stock stoppage in production arising from interior materials
into the production term cost thousand or millions of naira. But if stock are
been monitored with high accuracy such problem will be satisfactorily reduce or
totally controlled.

According
to the stores recently have been make to reduce this cost while still
maintaining a high degree of control large firm have introduced a system of
analyzing stock by various categories so as to ensure that adequate attention
can be paid to important item.

The
main theme of this project is to bring to lime light    the
performance of beverage industry in Nigeria toward analysis of stocked
control procedures with a particular reference to Nigeria Bottling Company
(NBC).

In
view of the above, we will have a glance on some specific areas further
understanding. Firstly the writer intends to discuss analysis of stock control
procedures in beverage industry.

Stock
comprises a major part of a companies current asset, and can be classified as
raw material, work in progress (or work in process) and finished goods. Its
function are centered on stock management. At time firms could not reach the
peak of its operation because of major lapse in the area of stock management,
it was examined that the management tend to ignore the aspect of stock control
in relation to inventory level mostly, some firm liquidate due to ineffective
stock management, which was made known in the introduction part, this problems
brings about frequent production interruptions and failure to meet delivery
commitment. When a firm experience these, it obviously result to tie-up of the
firms funds and loss of profit which could gradually lead to shut down of
plant, and it affect the society as a whole (massive retrenchment). In essence
stock for smooth production and to ensure the maintenance of holding stock that
forms part of the smooth running of the business.

1.2       
STATEMENT
OF THE PROBLEM