CHAPTER ONE1.0 INTERDICTION The function of warehouse management is to provide cost effective storage in a suitable condition for the organization materials to enhance effective rendering of customer services. The existence of a warehouse is justified by the extent to which it contribution to the efficiency and effectiveness of physical distribution functions.The Geographical locations of a warehouse operation should be determined by sites and the physical position of target markets. However, in some developing countries and Nigeria, political conditions have some hires override economics arguments and facilities such as warehouse go down. Warehouse managers have a number of important challenges which include determination of most appropriate units loads optimizing space utilization, reducing the movement of labour equipment safe, secure warehousing environment and keeping cost to a minimum.

1.1 GENERAL OVERVIEWAn earlier resource pack described the decision that must be taken when a company organizes a channel.According to Plasack (1978:25) initially a system to control movement and storage of warehouse management system (WMs) is expending to including light manufacturing, transportation management, other management and complete accounting system. What is clear is that the expansion of the over lapin functionality between warehouse management system and other functional areas in physical distribution of materials. Even though warehouse management contributes to gain added functionality, the initial core functionality of a warehouse management system has not changed. The primary purpose of warehouse management is to control the movement and storage of materials within and operation. The detailed set up and processing within a warehouse management system in my area of case study power holding company of Nigeria Owerri varies significantly from one materials renders to another.

1.2 STATEMENT OF THE PROBLEMThis research is intended to find out answers to the problems inhered in organization.Some of the specific problems of these organizations are listed below but not limited to.I Companies and the consumers faces the problem of getting their materials in the market. ii. Some rural areas where distributing warehouse could be located have no access roads.iii. There are ineffective handling and storage of materials in the various warehouse, poor control of the movement of materials. Iv The inability of managing the materials in the warehouse in order to identify the expired goods V, There are sometimes delay of supply of goods to the various warehouse to meet customer demand due to poor scheduling of vehicles

1.3 OBJECTIVE OF THE STUDYThe objective of study is now apparent having clearly stated the problems Therefore the primary objective is to nightlight the aims of warehouse management in achievement of physical distribution objectives which focuses on the control of the movement, storage and distribution of material the objective but is not is not only to see the increase of customer service but flow and distribution of goods are achieved in the organization. When there is a breakdown in the improvement of warehouse management, there is also break on profitability.In view of this the prime objective is to ascertain the reasons goods are not available in some warehouse located outside.To determine the degree of effectiveness and efficiency to which warehouse management approach has been adopted in this organization. To examine the type of staff involved in the various warehouse management activities.To identify the contribution of warehouse management to profitability of this organization as a whole.To identify the need fore effective physical distribution in a service organization.

1.4 SIGNIFICATION OF THE STUDY This study will help the researcher and the selected business with in Owerri to know the need for effective warehousing management on physical distribution.This study helps on organization to know its materials inputs and output in order to improve physical distribution. Iv. This research helps in increasing globalization of our business as well as that of distributors. v. This study provides good knowledge and intelligent about the physical distribution which enables the organization to acquire its material effectively.

1.5 RESEARCH QUESTIONSThe research question is formulated in order to give precise direction to the readers and other researchers and planners who may wish to research more on this topics Some of the questions to be answered as the study progress are;i. What training schemes are available for warehouse management personnel’s ii. What kind of control measures are employed in the management of the organization?iii. What are the reasons for non availability of goods in the outreach ware house?iv. How does each warehouse function contribute to cost reduction and increase service in the organization? v. What are the possible methods to apply developing reliable storage and distribution of goods to customer?vi. How transportation does affects the functions of warehouse management?

1.6 HYPOTHESISThere are two forms of hypothesis the Null hypothesis the (H0:) and the alternative hypothesis (H1:) Null is the assumption of the result of research project while the alliterative denotes the positive assumption of the result.H0: Warehouse management do not contribute to the profitability of the organization H1: Warehouse management contribution to the profitability of the organizationH0: The existing physical distribution system does not permit warehousing management approach H1: The existing physical distribution system permit warehousing management approach H0: Warehousing management department does not ensure maintenance of goods in the warehouse.H1: Warehouse management department ensure maintenance of goods in the warehouse.

1.7 SCOPE OF STUDY Warehouse management occupies a significant place in the industrial/ economics sector of the country.It plays a vital role in these organizations, owing to this vast nature scattered all over Nigeria and for the purpose of the project. The studies limited to Owerri and its environs and power Holding company is selected as a case study.

1.8 LIMITATIONS OF THE STUDYWhile carrying out this research, the researcher was confronted with a number of limitations which includes 1. FINANCIAL CONSTRAINTS; This played a great part in limiting the researcher’s strength. With the present state of the economy militated to a large extend to the limitation of this project work because a lot of money is required for project exercise. 2. INADEQUATE INFORMATION: This project was also affected by inadequate materials for research in Librans, this researcher could not go beyond this scoop because of lack of adequate secondary data relevant to the area of study.3. TIME CONSTRAINT: This also created much limitation to the progress of this work. This time allocated for the work was not enough and the researcher combined course work with this research. Time sharing therefore becomes difficult

1.9 OPERATIONAL DEFINITION OF TERMSIndividuals, Association, Communities, professional group attach meaning to their works according to their culture of professional background. It is for this reasons that the researcher make on attempt to clearly define meaning of some terms used in the study. 1. WAREHOUSE: This is a large building strongly built and designed with proper serenity, maintenance and material handling facilities, whose primary function is to store, distribute, display and handling of goods in a safe condition. 2. MANAGEMENT: This id the act of running and controlling a business or organization 3. INVENTORY CONTROL This is the process of controlling and maintaining the level of stocks parts at a safe level.4. VEHICLE SCHEDULING AND ROUTING: This is the process of scheduling vehicle to match as best routes and load for vehicles ensure quick and safe delivery of good, materials to the consumers. 5. RECEIPTED AND ISSUE: This is the process of reacting to the demand of users for goods and services held within the stores.6. DISTRIBUTION: This is proper delivery of goods to various warehouse locations to enable the materials set to the large market of final consumer.7. HANDLING EQUIPMENT: These are equipment used in carrying goods and maintain tem in a safe manner 8. TRANSPORTATION: It involves the mode of modes of sipping the goods to customers or middlemen 9. FIELD WAREHOUSE: This is the physical location of warehouse in the filed to best meet the demand of the customers. 10. FIELD INVENTORY: This is a process whereby inventory is maintained property in the filed warehouse in order to meet the needs of the customers. 11. PROTECTIVE PACKAGING; This is the protective packaging function of physical distribution which is shipments and warehousing activities.12. CAPTIVE DISTRIBUTION: This is where there is contractual agreement between the producer and the industrial distributor.13. BILL OF MATERIAL: This is an itemized list of all materials, components and part that are required to produce a single, product.14. DETERIORATION: This is a situation where material has lost its useful value naturally or due to poor handling and storage. 15. CAPITAL ISSUES: The issuance of capital equipment or items to user department which normally monitored by top management due to the financial involvement.16. Discrepancy: This is a non- agreement between the calculated stock or book balance (as indicated in the stock round card) and the quality physically, found and counted during stocking. 17. DISPATCH OF STOCK: This involves selection and assembling of goods for onwards delivery to their destination.18. END- USE CODING: The coding of materials according to the ultimate use which the materials are meant for e.g. a; electrical materials being given a similar code.19. GAUGES: Devices used in measuring the dimension of shapes of materials and components.20. HASTENING STOCK LEVEL: a level between the recorder level and the minimum stock level. When this level is reached, it signals the need to hasten delivery so that it could be made on the agreed data.21. QUARANTINE STORES : A storage place for materials that are awarding inspection 22. SAFETY STOCK: The quality of stock that is held in reserved as a butter to cushion the effects of variation in the demand and supply.23. SPECIFICATION: A detailed description of materials including all failures or attributes which guarantee fitness for purpose of the materials when put to use.24. CONSIGNMENT: A bull of goods materials meant for shipments or that which have been shipped.25. ECONOMIC ORDER QUALITY: The order quantity that minimize total inventory service costs. This quantity is obtained at a point where the inventory carrying cost equals the ordering cost.