Project Materials

THE IMPACT OF PRODUCTION PLANNING ON SEVEN-UP BOTTLING COMPANY KADUNA PLANT

Chapter one

INTRODUCTION

1.1 Background of the Study

Production is one of the most crucial management functions in every organisation. The essence of production is the preparation or forecasting of future production in an organisation.

As such, Baryoko (2002) believes that production planning is primarily concerned with the direction and control of an organization’s production process in order to foster the optimum utilisation of human and material resources used in production, resulting in increased productivity and, as a result, profit maximisation.

Similarly, Nwachukwu (2007) believes that production planning entails developing the entire strategy and process design required to achieve effective production in an organisation. As a result, production planning is especially critical in emerging countries with limited resources.

In Nigeria, where many industrial enterprises lack technical expertise, production planning is critical to avoiding resource waste. This is because production planning serves as a blueprint for action.

As a result, all industrial organisations must plan their output in order to make the most use of their plants and raw supplies.

However, Ayo (2006) believes that inability to engage in production planning leads to inefficiency and a lack of direction. It causes organisations to constantly put out fires instead of preventing them.

This suggests that production planning comprises determining what a business intends to do in terms of growth, expansion, and survival, or continued existence.

Despite this, more than 48.6% of Nigerian indigenous organisations lack written plans and production budgets. Given this context, the researcher felt it was critical to investigate the subject of this research. Production planning’s impact on productivity at Kaduna’s seven-up bottling firm.

1.2 Statement of the Problem

Production planning, as previously said, is an essential component of any management process. As a result, efficient production planning is critical to the long-term viability of an effective production system that is both cost-effective and lucrative.

Despite the importance of production planning and its favourable impact on productivity, Ayo (2006) reports that around 48.6% of Nigerian indigenous organisations do not have a formal plan or production budgeting.

As a result, most Nigerian organisations express doubt about production planning. As a result, the necessity to evaluate the impact of production planning on productivity at seven-up bottling company Kaduna becomes critical, and the subject becomes an empirical problem worth investigating.

1.3 Objectives of the Study

The study’s main goal is to look into the impact of production planning on productivity at the seven-up bottling company Kaduna. The remaining sub-objectives are as follows:

i. Determine the production planning activities of Seven-Up Bottling Company’s Kaduna facility.

ii. How does the production system affect the manufacturing of seven or more products?

iii. To investigate the concept of production planning.

iii. Assess the relevance of the production planning concept.