STOCK CONTROL.
Definition: This is the process of ensuring that the stock held by the organisation
is supplied to all parts or sections or departments that require them bearing(keeping
in mind factors of Time, Quantity and Quality ) i.e the basic concept of stock
control is in right quantity and quality, right time and place.
This stock control has to be achieved bearing in the limitation of the cost of the
stock being kept.
They are several basic costs incurred by the organization while keeping the stock.
These costs are:-
a) Costs for handling the materials:- This involves the storage facilities,
labour, time, equipment and other necessary materials that are required
which may be expensive.
b) Maintanance of the stock:- This involves preserving the stock i.e
protecting from damage by ensuring condusive environment environment
for storage e.g proper lightining, ventilation heating etc.
c) Administration of stock:- This involves all the processes done like receipt,
issueing of stock, recording keeping etc.
d) Th insurance of Stock:- This involves the insurance cover against some
disasters e.g fire, floods, accidents etc. The stock should be insured by
paying required premium.
e) Obsolences Stock:- These are the stock that is obselete and therefore it adds
to the total of storage cost.
f) Security of Stock:- The stock should be kept in the secure conditions or
place and this adds to the cost of storage.
OBJECTIVES/AIMS/IMPORTANCE OF STOCK CONTROL
i) Ensuring constant supply or flow of materials to various operations in
the organization. This involves items needed for various operations,
productions, maintanance etc.
ii) Ensure that the correct quality and quantity of materials required, its up
to stock control to ensure that right specifications, quality and quantity
of the stores are issued.
iii) Distribution of the stock –Ensures that all the required items for various
operations in the organization are availed at the point consumption.
iv) Timely in terms of supply or delivery (Time factor)- It ensures that the
available stock is availed at the right time i.e time when needed.
v) Supply or give information for control of production (advisory service)-
it advices the planning or production on what to order in terms of
specifications and how to keep the levels of stock etc.
vi) Control of the obsolence of the stock:- The item becomes obsolete
because of the changes in technology, design etc. Therefore its the work
of information centre adminstration to ensure that the stock that is
obsolete is kept to minimum or nil.
vii) Control stock rotation:- This is the process of ensuring that materials in
the stock are used in the correct order and in accordance with ashelflife.
STOCK CONTROL SYSTEM
1. Periodical Review:- This is based upon the system of stock being recorded
at the regular intervals of time.
2. Programmed ordering system:-This states different kinds of the
inventories or stock management approaches.
3. Two way system:- Its based upon reodering system that reacts to the pre-
determined level of stock and its called Re-order level
STOCK LEVELS
The stock control system is responsible for the correct establishment of stock
levels for every item held in the stock.
Stock level:- Refers to the different levels of stock which are rquired for an
efficient and effective control of materials and to avoid over and understocking
of materials.
FACTORS THAT AFFECTS THE STOCK LEVELS
a) Funds available:- if the funds are not sufficient then stock levels should be
minimized.
b) The supply or delivery period:- This is time needed by the supplier to
dispatch or transport the needed items to aspecific point.
c) Storage capacity:- This is the amount of stock that can be held in aspecific
stock in terms of space etc.
d) Shelflife of the stock:- If an item have arestricted shelflife then amont of
stock is controlled by shelflife which is actual.
e) Amount or operational needs of stock or items:- This relates for amount of
stock needed for acertain period of time e.g Monthly,Yearly etc.
f) Buffers stock:- This is extrastock kept to cover an foreseen circumstances
e.g late delivery, certain changes in demand, technological factors, low
supply or lack of items on market.
THREE KINDS OF STOCK LEVELS
1. Minimum stock level:- This is the amount of stock that is needed for each
item held baering in mind the operational needs of various departments or
areas in the organization.
2. Re-order level stock:- Because of the risks involved in relying on prompt
deliveries an extra stock is added to the minimum stock.
3. Maximum stock level:-This is the actual physical capacity of the stock that
is to run all the operations effectively and also to ensure that the stock level
is mantained. i.e its not low and at the sametime its not more than enough.
QUALITIES OF AGOOD STOCK CONTROL
a) Accurate.- minimal errors.
b) Quick i.e faster in terms of reaction to stock situation.
c) Good channels of communication with other major departments involved. i.e
the purchasing department and supplies.
d) Economy in its operation in terms of demand funds and human resources
etc.
e) Centralization of overall control of stock so as to ensure good control and
management of stock.
STOCK TAKING.
Definition: a process through which an information manager accounts that all
information materials acquired or specified to be in stock are present or can be
accounted for.
Involves physically checking up of documents in information centre.
No matter how careful/keen, vigillant those process has to be done to confirm
materials present.
Also helps fund materials, mutilated, misplaced or lost, or on high demand or
damaged.
NB: The % of loss enables you to take necessary action, stimulates for reaction of
course of action on negative and positive.
AIMS OF STOCK TAKING
i) Understocked/overstocked
ii) Identify loss and prevent
iii) Know total number of books
iv) Weeding purposes- outdated, damaged
v) Book collation of subject disciplines.
vi) Helps manager evaluate his stock (cost benefit analysis/ cost effective)
ADVANTAGES OF STOCK TAKING
i) Weeded are repaired
ii) Corrective measures are put of damaged
iii) Identify materials on high demand.
iv) Why some materials are on low demand.
v) Helps in decision making.
vi) Stock with proper quality.
vii) Guide to budgeting of an organisation.
viii) Enables one evaluate services and products.
ix) Helps you update the catalogue
x) Helps in soliciting.
xi) Help satisfy user need
xii) Helps in cleaning the library.
DISADVANTAGES OF STOCK TAKING
i) Time consuming
ii) Tire some
iii) Highlabour consuming
iv) Very expensive.
v) Inconvinience to users during material recall.
vi) Material damaging due to mishandling
vii) History of careless handling will fatique donors.
TOOLS/ MATERIALS USED IN STOCK TAKING
a) Accessionlist
b) Shelflist
c) Inventory
d) Computer print out showing bibliographic information
e) Due date labels, spine marks e.t.c
STOCK TAKING PROCEDURE
Place an order/ notice to remind users to return all borrowed materials.
Acquire stationery and other tools needed for stock taking
Close library for stock taking
Have proper stating of materials ( knowledge about the collection)
Actual stock taking begins i.e documents are checked against classlist or
shelflist.
Actual shelf reading is done
Count physically how many books per class/ self.
Librarian ascertain availability of material state.