MINIMIZING DEFECTIVE PRODUCT THROUGH EFFECTIVE PRODUCTION PLANNING AND CONTROL IN DEFENCE INDUSTRIES CORPORATION OF NIGERIA
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MINIMIZING
DEFECTIVE PRODUCT THROUGH EFFECTIVE PRODUCTION PLANNING AND CONTROL IN DEFENCE
INDUSTRIES CORPORATION OF NIGERIA
TABLE OF CONTENTS
Title page - - - - - - - - - -
Declaration - - - - - - - - -
Approval page - - - - - - - - -
Dedication - - - - - - - - - -
Acknowledgement - - - - - - - -
Abstract - - - - - - - - - -
Table of
Contents - - - - - - - -
CHAPTER ONE
1.1 Background of the Study - - - - - -
1.2 Statement of Research Problem - - - - -
1.3 Objective of the Study - - - - - - -
1.4 Significance of the Study - - - - - -
1.5 Statement of Hypothesis - - - - - -
1.6 Scope of the Study- - - - - - - -
1.7 Limitation of the Study - - - - - -
1.8 Historical Background of the Study - - - -
1.9 Definition of Terms - - - - - - -
CHAPTER TWO
LITERATURE REVIEW
2.1 Production - - - - - - - - -
2.2 Planning - - - - - - - - -
2.3 Control - - - - - - - - -
2.4 Production Planning - - - - - - -
2.5 Production Control - - - - - - -
2.6 Planning and Control - - - - - - -
2.7 Basic Alternatives/Process Selection - - - -
2.8 Summary of Review - - - - - - -
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Research Design - - - - - - -
3.2 Research Population - - - - - - -
3.3 Sample Size and Sampling Techniques - - -
3.4 Method of Data Analysis - - - - - -
3.5 Justification of Method Used - - - - -
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
4.1 Presentation and Analysis of Data - - - - 44
4.2 Test of Hypothesis - - - - - - - 50
CHAPTER FIVE
SUMMARY OF FINDINGS, CONCLUSION AND
RECOMMENDATION
5.1 Summary of Findings - - - - - - - 53
5.2 Conclusions - - - - - - - - 54
5.3 Recommendations - - - - - - - 55
References - - - - - - - - - 56
Appendices - - - - - - - - 57
ABSTRACT
This research
work examine production planning and control as a tool for minimizing defective
products through effective production planning and control in Defence
Industries Corporation of Nigeria (DICON), Kakuri Kaduna. Hence the scope of
the research cover every activity which has to do with production planning and
control. The work covers statement of the general problems, research
objectives, scope of the study, significance of the study and limitation of the
study. Also diverse view of authors on production planning and control and
other related areas in review. The research work employs the descriptive method
for the purpose of an in-depth investigation. A sample size of 70 respondents
was selected from the total population of 180 staff, questionnaire were
administered to them, oral and verbal interview as well as obtaining
information. Hypothesis H0 and H1 formulated on using
effective production planning and control to minimize defective product in
production performance. Date collected were presented and daily analyzed in
tabular format using percentages, other findings of the studying centered on
the required raw materials used by the organization but sourced outside the
country, government policies such as hinge tax payments, customers and excise
charges contributes to high production cost with locally sourced raw materials
not maintaining a stable price from time to time with future plans having
limitation due to some government regulations, economic downs turn,
environmental factors technological changes, competitors actions. The study
also brought to the fore the importance of production planning and control in
the role of forecasting in production and operation management. Finally based
on the findings a number of quality recommendation were offered to the organization
to embrace in raw materials sourcing using alternative means i.e. research and
development department, the complete computerization of the control system and
other key system should be pursued effectively.
CHAPTER ONE
1.1
BACKGROUND
OF THE STUDY
Production
Planning and Control provides the foundation for any effective production
management in every organization or manufacturing sector by minimizing
defective products is very vital issue to a production managers.
To
guarantee effective material flow Production Planning and Control represents
the beating heart of any manufacturing process. Production Planning and Control
purpose is to minimize production time and costs, efficiently organize the use
of resources and maximize efficiency in the work place.
Production
Planning as defined by Digreens (2009, pg. 21) “is a set of function concerned
with the effective utilization of limited resources (such as raw materials,
manpower, machinery etc.) and the management of materials flow through these
resources, so as to satisfy customer demands and create profit.
As
can be seen in other related field of management, Production Planning and
Control plays the primary functions of the production management and
operations.
This
has prompted this research work to look at Production Planning and Control as a
tool for minimizing defective product in manufacturing industries of Nigeria
economy as exemplified by Defence Industries Corporation of Nigeria Kakuri,
Kaduna. Production is the central focus of any manufacturing concern. It is the
platform where the real mix takes place i.e. the conversion of raw materials
(in-put, starters) into completed or finished products (output) after a well
planned logical form or process production planning incorporate a multiplicity
of production elements, ranging from the every day activities of staff to the
ability to realize accurate delivery times for the customers.
Modern
and improve production is complex hence technologically related operations and administrative
activities must be planned carefully to make account and benefits. With an
effective production planning cooperation at its nucleus, any form of
manufacturing process has the capability of exploit its full potential.
In
Production Planning, it not only involves the type of operation to be used but
also the order of these operations as well as time which the operation should
take and how it should be properly and effectively laid out.
There
are different function performed by Production Planning and Control Department
of an organization. Procedures may also vary; all the production planning and
control department are essentially expected to perform the following functions:
According
to Buffa, E.S, Modern Management, New
Delhi: Willy 1988 “Production Planning may be defined as the technique of foreseeing
every step in a long series of separate operations, each step to be taken at
the right time and in the right place and each operation to be performed in
maximum efficiency.” It helps entrepreneur to work out the quantity of
material, manpower, machine and money requires for producing predetermined
level of output in a given period of time.
Routing:
Under this, the operations their path and sequence are established. To perform
these operations, the proper class of machines and personnel required are also worked
out. The main aim of routing is to determine the best and cheapest sequence and
to ensure that this sequence is strictly followed.
Routine
procedure involves following different activities:
1.
An analysis of the article to
determine what to make and what to buy.
2.
To determine the quality and type of
material.
3.
Determining the manufacturing
operations and their sequence.
4.
A determination of lot sizes
5.
Determination of scrap factors
6.
An analysis of cost of the article
7.
Organization of production control
firm
Scheduling:
It
means working out of time that should be required to perform each operation and
also the time necessary to perform the entire series as routed, making
allowance for all factors concerned. It mainly concerns with time element and
priorities of a job. The pattern of scheduling differs from one another which
is listed below:
a)
Production Schedule: The
main aim is to schedule that amount of work which can easily be handled by
plant and equipment without inference. Its not independent decision as it takes
into account the following factors.
i)
Physical plant facilities of the type
required to process the material being scheduled.
ii)
Personnel who possess the desired
skills and experience to operate the equipment and perform the type of
involved.
iii)
Necessary material and purchased
parts.
b)
Master Schedule:
Scheduling usually start with preparation of master schedule which is weekly or
monthly break-down of the production requirement for each, product for a
definite time period; by having this as a running record of total production
requirement. This forms a base for all subsequent scheduling activities. A
master schedule is followed by operator schedule which fixes total time
required to do a piece of work with a given machine or which shows the time
required to do each detailed operation of a given job with a given machine or
process.
c)
Manufacturing Schedule:
It is prepared on the basis of type of manufacturing process involved. It is
very useful where single or a few product are manufactured repeatedly at
regular interval. Thus it would show the required quality of each product and
sequence in which the same to be operated.
d)
Scheduling of Job Order
Manufacturing: Scheduling acquires greater
importance in job ordering manufacturing. This will enable the speedy execution
of job at each center point. It enables the foreman to see at a glance;
i)
The total load on any section
ii)
The operational sequence
iii)
The stage, which any job has reached
Loading:
The
next step is the execution of the schedule plan as per the route chalked out,
it includes the assignment of the work to the operators at their machines or
work places. So loading determines who will do the work as routing determine
where and scheduling determines when it shall be done.
Production
Control:
Samuel
Elison (1994) in his book, Element of
Production Planning and Control, Bombay: Universal Book Co., 1985 says
“Production control is the process of planning production in advance of
operation, establishing the extract route of each individual item part or
assembly, setting, starting and finishing production and releasing the
necessary order as well initiating the necessary follow-up to have the smooth
function to the enterprise.
Dispatching:
Dispatching
involves issue of production order for starting the operation, necessary
authority and confirmation is given for:
i)
Movement of materials to different
work station
ii)
Movement of tools and fixtures
necessary for each operation
iii)
Beginning of work on each operation
iv)
Recording if time and cost involved
in each operation.
v)
Movement of work from one operation
to another in accordance with the route sheet.
vi)
Inspection or supervision of work.
Dispatching
is an important step as it translate production plan into production.
Follow
Up: Every production programme involve determination
of the progress of work, removing bottlenecks in the flow of work and ensuring
that the productive operation are taking place in accordance with the plans. It
spot delays or deviation from the production plans. It helps to reveal defects
in routing and scheduling, misunderstanding or orders and instruction, under
loading or over loading of work etc.
Inspection:
This
is mainly the quality of goods, it can be required as effective agency of
production control.
Corrective
Measure: Corrective action may involve any of
those activities of adjusting the route, rescheduling of work changing the work
loads, repairs and maintenance of machinery or equipment, control over
inventories of the cause of deviation in the poor performance of the employees.
Certainly personnel decisions like training, transfers, demotion etc. may have
to be taken alternative methods may be suggested to handle peak loads. The following
are required to be able to achieve the activities successfully:
i)
Sales or contract programmes
ii)
Approval of design for manufacturers
iii)
Jigs and fixture tools for
manufacturer
iv)
Rate fixing and time study – work
study
v)
Estimate of costs – labour, overhead
experience etc.
vi)
Routine and machine allocation
vii)
Amount of inspection required and
necessary
viii)
Labour/workforce required e.g.
skilled or unskilled
ix)
Report writing i.e. finding reported
for appropriate action
1.2
STATEMENT
OF RESEARCH PROBLEM
For
a manufacturing organization and indeed any other organization besides the general
planning and control planning, control of materials is particularly very
crucial for its survival hence effective producing planning and control is
necessary in every organization.
The
success of our present day industries depends on how to effectively utilize and
to enhance growth and development and sustain for better industrialization.
Therefore,
this research work is concerned with identifying the way in which defective
product can be minimized through effective production planning and control in
Defence Indus tries Corporation of Nigeria.
To
this end, the following questions occupy our mind before the research as
problem generally associated on what roel does the choice of production planning
and control plays in a Defence industries.
The
researcher wants to know why production planning and control is vital and
useful in minimizing defective products in Defence Industries.
While
there is not standard system in production planning and control which can be
universally recommended, even production planning and control system must be
designed to meet the particular needs and concern of the manufacturing
organization.
1.3
OBJECTIVE
OF THE STUDY
The
importance of production planning and control motivated me to undertake a study
of how the principle and techniques of production planning and control are
applied in defence industries corporation of Nigeria (DICON), Kakuri Kaduna.
However,
the primary concern of this research work is to investigate.
a)
The tool to minimize defective product
in Defence Industries that deals with the production of arms and ammunition.
b)
The study is also aimed at examining
the effectiveness of the application of production planning and control in
today’s manufacturing for the growth of the organization and at the same time
provide useful suggestion to the identified problems by advising the management
all cost associated and increase efficiency in the organization as a whole.
c)
The factors influencing the choice of
production.
d)
Various factors, which are crucial
for designing the production.
It
is hoped that, this objectives when attain will be tremendous benefit to the
Defence Industries Corporation of Nigeria (DICON) and Nigeria in general.
1.4
SIGNIFICANCE
OF THE STUDY
This
study will be of great significance in that it seeks to emphasize on:
a)
How the principle and technique of production planning and control
has been practiced as DICON ordnance factory complex, Kakuri Kaduna.
b)
The entire process involve that make
production of each arm and ammunition possible from the start of production,
steps it passes through and detail of the whole process.
c)
It will help in broadening the
academic horizon of the researcher.
Finally,
it is hoped that the work will serve as a reference guide to students and
scholars who ought to use it.
1.5
Statement
of Hypothesis
This
research work constitutes the following statement of hypothesis:
H0: Defective Product cannot be minimized through
effective Production Planning and Control.
H1: Defective Product can be minimized through effective Production
Planning and Control.
1.6
SCOPE
OF THE STUDY
The
scope of the study is to investigate the effective measure on Production
Planning and Control that exist at DICON and the individual production process
of each arm and ammunition from start to finish of the detail process in doing
so, the researcher will re strict attention to Defence Industries Corporation
of Nigeria ordnance factory complex Kakuri Kaduna, Production Planning and
Control Department.
1.7
LIMITATION
OF THE STUDY
The
part of any undertaking is not an easy one, constraints, limitation, hindrances,
unforeseen problems and stress are generally expected and bound to happen in
most research work, thus my research is same and is not exception.
The
first problem being in collecting, finding and required text books on the
subject matter of the research at the initial stage.
Next
problem was time constraint. Time is very important and to get accurate and up
to date data but the time allowed for the work is not adequate because being a
student, the researcher, at the same time battling with class works, assignments
as well as external classroom problems coupled with the global melt down
experiencing presently.
Finally,
other commitment such as work pressure which also have to be considered.
1.8
HISTORICAL
BACKGROUND OF THE STUDY
Defence
Industries Corporation of Nigeria (DICON) was established by an act of
parliament in 1964 to “operate maintain and control factories for the
manufacture, storage and disposal of ordnance and ancillary stores and materials;
to provide for alteration in any such manufacture, storage and disposal at any
time; and for related matters”. As an arm or department under the supervision
of the Ministry of Defence, DICON is governed by a Board of Directors, which provides the
overall policy direction for the corporation as desired by the Federal
Government. The DICON Board is presently constituted as follows:
a)
Permanent Secretary, Ministry of
Defence Chairman;
b)
Director General – DICON, Vice
Chairman;
c)
Representative of the Accountant
General of the Federation, Member;
d)
Representative of the Federal
Ministry of Industries, member;
e)
Representative of the Chief of Naval
Staff, Members;
f)
Representative of the Chief of
Airstaff, Member;
g)
Representative of the Inspector General
of Police, Member; and
h)
Representative of the Federal
Ministry of Finance, Member.
The
Director – General is the Chief Executive Officer (CEO) of the Corporation and
is responsible for the day to day running of DICON. The corporation is
structured on six (6) professional departments namely:
a)
The Directorate of Production;
b)
The Directorate of Research and
Development;
c)
The Directorate of Engineering
Services;
d)
The Directorate of Human Resources
Management
e)
The Directorate of Finance and
Account; and
f)
The Directorate of Planning and
Business Development.
The
Corporation vision is built on a sound commercial footing to continuously
produce and constantly improve on the quality of arms and ammunition needs of
the defence security and foreign policy of Nigeria in compliance with the best
international and standards.
Mission
is to operate ordnance factories for the manufacture and supply of arm and
ammunition as well as inspecting, testing and recommending ordnance material
and other security organization while using the excess capacity to support the
development of local industries.
1.9
DEFINITION
OF TERMS
-
Production: This refers to the conversion of a set of
inputs into a set of desired outputs.
-
Planning:
This refers to an outline drawing that plans or helps the organization to
define its purpose of activities.
-
Production Planning:
May be defined as the technique of foreseeing every step in a long series of
separate operation.
-
Production Control:
This is the function concerned with controlling manufacture in such a manner as
to enable plan to be achieved or to limit the deviation form those plan.
-
Production Scheme:
This master production schedule comes next in the sequence of event by demand
forecast and a quality of production plan.
-
Batch Production:
This refers to the batch production which is much like continuous manufacture
or preparation of foods, paper, glass, rubber and even steal.
-
Process Layout:
This refer to the situation in which similar machine and services are located
together.
-
Line Layout:
This refers to the way product move down a line pass successive workstation
where one operation after another is done.
-
Intermittent Production:
Is where physical facilities must be flexible enough to handle a wide variety
of product and size.
-
Inventory:
This refers to material or goods kept in the store.
-
Control:
Checking to ensure that accurate quantity and quality is maintained.
-
Inspection:
This refers to the process of checking to make sure that, the material supplied
is to specification and of right quantity.
-
Stock Record Card:
This is the card showing the quantity unit price and total value of balance at
hand.
-
Storage:
This means holding and protecting commodities or materials for later use and
the system which such material are handled, controlled for effective retrieval.
-
Leadtime:
Refers to the expected time of delivery.
-
Loading:
Refers to the load as the work assigned to a machine or an operator.
-
DICON:
Defence Industries Corporation of Nigeria.
-
QCD:
Quality Control Department.
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