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THE IMPACT OF PRODUCTION PLANNING ON PRODUCTIVITY IN THE SEVEN
UP BOTTLING COMPANY
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF STUDY
Production is one
of the most important function of management in every organization. The essence
of production is to prepare or forecast
into the future in terms of production in an organization. As such Baryoko
(2002) opined that production planning is mainly concerned with the directing
and controlling of production process of an organization in order foster
optimum utilization of human and material resources use in production, which brings about increase
productivity and consequently profit maximization.
Similarly
Nwachukwu (2007) opined that production planning involves the establishment of
the overall strategy and process design required for the realization of
effective production in an organization.
As such,
production planning’s particularly very important in a developing country where
resources are relatively scarce. In Nigeria , where many of the
manufacturing firms are inexperienced interms of technical know-how, production
planning become very imperative in other to avoid waste of resources. This is
so because production planning is a blue print for action. As such all
manufacturing organization who are into production need to plan their
production in order to gain an optimum utilization of their plant and raw
materials use in production.
However, Ayo
(2006) opined that failure to engage in production planning give rise to
inefficiency and lack of direction. It make the organizations to constantly put
off fire instead of preventing its occurrence. This implies that production
planning entails the identification of what at business plans to do in terms of
growth, development and survival or continuous existence. But inspite of this,
over 48.6% of Nigeria
indigenous organizations do not undertake a formal plan and do not have
production budgets.
It is against
this background that the researcher deemed it very imperative to investigate
the subject matter of this research. The impact of production planning on
productivity in seven-up bottling company Kaduna .
1.2 STATEMENT
OF THE PROBLEM
Production
planning as earlier indicated is a very crucial aspect of any management
process. Hence, efficient production planning becomes very imperative for the
sustainability of an effective production system that would be cost effective
and profitable.
But inspite of
the importance of production planning and its positive impact on productivity,
it is observed by Ayo (2006) that about 48.6% of Nigerian indigenous
organizations do not undertake a formal plan and do not have production
budgets. As such doubt is expressed about production planning in most
organization in Nigeria .
Hence the need to investigate the impact of production planning on the
productivity of seven-up bottling company Kaduna become very imperatives and
the subject matter becomes an empirical problem worthy of investigation.
1.3 OBJECTIVES
OF THE STUDY
The central
objective of the study is to investigate the impact of production planning on
productivity in seven-up bottling company Kaduna .
Other sub-objectives are as follows:
i.
To determine production planning activities of seven-up
bottling company Kaduna
plant.
ii.
To evaluate the effect of production system in manufacturing
of seven up products?
iii.
To explore the meaning of production planning
iv.
To evaluate the relevance of production planning concept.
1.4 SIGNIFICANCE
OF THE STUDY
This study
examines the impact of production planning on seven-up bottling company Kaduna plant. The
significance of the study of this magnitude cannot be overemphasized. The
government corporation, corporate organization, small and medium enterprise
involved in manufacturing will really find this study useful, especially as
they utilize the findings of this study. The study will also add to the
existing knowledge on production planning
and would also be useful to student and researchers.
The government
corporation and corporate organizations involved in manufacturing can use the
finding of this research in policy formulation regarding production planning.
Small and medium
enterprise may also find the findings of this study really significant as they
utilize the finding as a guideline in
formulating their production planning.
The study will
also contribute to knowledge by being a good reference material to students, scholars,
resources and individuals who may wish to undertake similar research. This
research can be used as a spring board to undertake their own work.
1.5 RESEARCH
QUESTIONS
i. What are the production planed activities
in seven-up bottling company kaduna
ii. What is the effect of production system in
the manufacturing of seven up products?
iii. What
is the meaning of production planning
iv. Is Production planning relevant to
productivity.
1.6 SCOPE
OF THE STUDY
The study covers
the effect of production planning in seven-up bottling company Kaduna plant a
1.7 LIMITATION
OF THE STUDY
Every research
activity has its constraints this particular one is however not an exception,
certain factors limit the process of writing this research work, which include:
i.
Inadequate
research materials the research: Materials on this subject matter were
very few. The much relied library is filled up with outdated books, which are
of little relevance to current research. Moreover, the cost of new and updated
materials are exorbitant which make them
not readily affordable.
ii.
Lack of
cooperation of subjects: Sourcing for information from source of respondents was
not an easy task, particularly with
regards to some information that are regarded as classified or highly
confidential to the company, the degree of cooperation of staff of seven-up
bottling company was minimal
iii.
Low return of
questionnaires in the process of gathering data, it was discovered that not all
questionnaires issued out were returned. Some of them were also wrongly filled
which means a great deal of relevant
information was held back, and which could have enhanced the quality of this
study.
iv.
Inaccessibility
to subjects:
Another constraint encountered during the research is the inaccessibility to
the inventory management, manager who was not always available to provide
desired data.
1.8 DEFINITION OF TERM
Production: this refers to an outline process
that is aimed at satisfying human needs and wants. That is the only process
that deals with the transformation of raw materials into finished good.
Planning: is a set of managerial function which prepares forecast
into the future and ensure that decision regarding the use of human and
material resources involved in production is effectively managed
Production planning: This is a managerial function concern
with planning directing and controlling the method to be used in manufacturing
a product.
Schedule: This is prescribing of when and where each operation
necessary for the manufacturing of a product is to be performed or the
establishment of time at which to begin or complete each event or activity.
Raw materials: this are the basic inputs required
for productions.
Work-in-progress: There are semi-manufactured product.
Product that is uncompleted and skill in the process of production.
Finished good: product that has been completed and
ready for consumption.
Lead time: This refers to the expected time of
delivery.
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