CHAPTER ONE
1.0    BACKGROUND OF THE STUDY
1.1    INTRODUCTION
    Human being cannot live without the heart pumping blood all over the body. The same is to a producing firm it cannot perform without the existence of store. Therefore, the store is regarded as the pumping organ of a production firm as well as the bedrock of a producing organization and other department that exist under the organization.
    The word “STORE” connotes a place where materials that are not consumed immediately are kept for future consumption or used. While “STRATEGIES” means procedure in planning and directing of the whole operation in the campaign or policies, hence store with material management
1.2    STATEMENT OF THE PROBLEM
    The vitamalt plc, which specialize in the manufacturing of vitamalt drinks. Due to the increasing demand of quality soft drinks by individuals and co-operate bodies which leads to the expansion of the present lines were embarked upon to increase the output. Therefore, the increase in the purchase of raw material and modern machinery made provision for the extension of store system into sub-store to meet demand from different production lines. In most cases, the vitamalt plc run out of stock because of some raw materials for production.
    It’s noted that about 45% of the company raw materials are imported while 55% are produced locally. The sources of the locally raw materials are not reliable. Most of the items they produce are less quality and sub-standard materials.
    Meanwhile, the root of all these problems can be trace down to inability of the store and purchasing department to strategies effective store management. In vitamalt plc store is that the organization operate partial centralized store department, the consequences of this method are as follows: 
1.    It imposes high cost of acquisition of stock to the central store. And it brings up delay in the production department.
2.    Some of the staffs are not competent of the store work due to lack of training and development in store management.
3.    The problem of improper handling and inspection caused by the stock items.
4.    High rate of illiteracy among store workers. Most of the workers do not know about the work “STORE” connotes and the value of the organization.
5.    Pilferage caused by the store workers, most of the store worker steals those items, kept with them in the store because stock is done regularly in the organization.
6.    Office policies and struggle among the store staff.
7.    Poor communication and report writing skill among store staff to carry out the day to day running of the store.
8.    Ineffective decision making among the store manager.
1.3    OBJECTIVES OF THE STUDY
    Objectives of the research projects are:
-    To strategies the effective way of controlling store management department.
-    To ensure better relationship between the store and other departments.
-    To restructure the vitamalt plc store department.
-    To ensure the best and accurate way accountability of goods and service in the store department.
-    To initiate better budgeting control system.
-    To introduce and install better control system
-    To eliminate or reduce fraud in the store department.
1.4    SIGNIFICANCE OF THE STUDY
    The importance of strategies for effective store management in producing organization cannot be over emphasized. This research is also important to the researcher because it remains part of the requirement for the award of national diploma in business studies by the NBTE.
1.    The strategies for effective store management in a producing organization pave way for proper recording of the store items.
2.    The significance of the study also gives room for store accountability of the organization. Some store managers tried all their possible to account for the store resources committed to their hands.
3.    It also ensures efficiency of the store stall that are to carry out the daily store activities.
4.    To gives the organization confidence over the materials they have in store that is properly managed.
5.    It makes the staff to be competent in discharging their daily duties in store. It makes them to know the right qualities of materials to be issued out and the quantities to be received into the store.