THE EFFECT OF PROCESS WASTE ON ORGANIZATIONAL PRODUCTIVITY: A SURVEY OF SOME SELECTED FOOD GRADE VEGETABLE OIL MANUFACTURING COMPANY IN RIVERS STATE.
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THE EFFECT OF PROCESS WASTE ON ORGANIZATIONAL
PRODUCTIVITY: A SURVEY OF SOME SELECTED FOOD GRADE VEGETABLE OIL MANUFACTURING
COMPANY IN RIVERS STATE.
TABLE
OF CONTENTS
PAGE
Title Page
Table of content i
CHAPTER
ONE
1.0 Introduction 1
1.1 concept
of the problem 1
1.2 statement
of the problem 2
1.3 Purpose
of the study 3
1.4 Research
question 4
1.5 research
hypothesis 5
1.6 scope
of the study 6
1.7 significance
of the study 6
1.8 limitation
of the study 7
1.9 operational
definition of terms 7
CHAPTER
TWO
2.0 review
of literature 10
2.1 factors
that influence productivity 10
2.2 waste
in an organization 13
2.3 strategies
for waste minimization in manufacturing
Service organization 20
CHAPTER
THREE
3.1 Introduction 32
3.2 research
design 32
3.3 population
of the study 33
3.4 sampling
procedure and sampling size 33
3.5 data
collection methods 34
3.6 questionnaire
design/administration 34
3.7 data
analysis techniques 34
3.8 decision
rule 35
CHAPTER
ONE
1.0 INTRODUCTION
1.1 CONCEPT OF THE PROBLEM
In
light of the increasing attention being paid to the concept of productivity as
a facilitator of competitiveness, the research thinks it is prudent to discuss
the phenomenon with respect to process waste.
Productivity
has been interpreted as a measure of how efficiently an organization
manipulates its resource s/factors of production (human, material, capital,
energy, knowledge, etc) within the production of goods and services (Gray and
Jurison, 1995). However, productivity is not only related to the fostering of
maximum efficiency by doing things right but also involves the attainment of
maximum effectiveness (i.e. reaching organizational goals) by doing the right
things. Organizational productivity can be evaluated in relation to a
particular decision criterion for example prior productivity level (workers,
management, company, etc), competitor productivity, industry productivity or
national productivity.
Productivity
within the manufacturing sector is predisposed to the planning, scheduling and
controlling of physical materials, whereas within the service sector it is
focused upon the flow of human customers-internal and external.
Process
waste is defined as any effort that adds no value to the product or service
from the customer viewpoint (Mayer, 2008).
1.2 STATEMENT
OF THE PROBLEM
This
study sets out to determine if there is a relationship between process waste
and organizational productivity. Huffman (2008) sees waste as anything that
adds cost to a production process and that does not add value to its products.
From
the above definition, it can be deduced that waste adds to the cost of
production but does not add to productivity in an organization.
There
is waste in every organization but the ability to manage these wastes to the
barest minimum leads to increase/improved organizational productivity.
The
problem therefore is the possible relationship between process wastes and
organizational productivity and this study is undertaken to establish that
relationship and how the relationship can be managed for greater organizational
productivity.
1.3 PURPOSE
OF THE STUDY
We
are in the era of hyper- competition. Ignoring waste (process) in an
organization’s production process may give a more astute competitor advantage
in today’s global market place.
Ignoring
waste therefore puts it at a competitive disadvantage.
This
research is aimed at x raying the effect of process waste on organizational
productivity.
The
purpose of this study is to determine the effect of the inverse relationship
between process wastes and organizational productivity. The survey aims at
examining the extent of the negative effect of process waste on organizational
productivity by;
Ø Determine
what constitutes process waste in manufacturing activities.
Ø Determine
the relationship between process waste and organizational productivity.
Ø Determine
the extent to which organizational productivity is affected by process waste.
Ø Identify
strategies for minimizing process waste and,
Ø Hence
determine the strategies for maximizing productivity through process waste
minimizing.
1.4 RESEARCH
QUESTION
v To
what extent would unnecessary work affect organizational productivity?
v To
what extent would backups between departments affect organizational
productivity?
v To
what extent would complex information management affect organizational
productivity?
v To
what extent would the technology in use by the organization affects its
productivity.
v To
what extent would extra waste handling and treatment affect organizational
productivity.
v To
what extent would the constituents of process waste in manufacturing activities
affect organization productivity?
v To
what extent would strategies for minimizing process waste improve
organizational productivity?
1.5 RESEARCH
HYPOTHESIS
ü There
will be a positive and significance relationship between the constituents of
process waste and manufacturing activities.
ü There
will be a positive and significance relationship between process waste and
organizational productivity.
ü There
will be a positive and significance relationship between process waste and the
extent to which the organizational productivity is affected.
ü There
will be a positive and significance relationship between strategies for
minimizing waste and organizational productivity.
ü There
will be a positive and significance relationship between the strategies for
maximizing productivity and process waste minimization.
1.4 SCOPE
OF THE STUDY
This
study is centered on two selected food grade vegetable oil manufacturing
companies in Rivers State.
The
study is also centered on the process waste encountered during the processing
of the raw materials (palm kernel nut) to the finished product (vegetable oil)
and how it affects the organizational productivity.
1.5 SIGNIFICANCE OF THE STUDY
1.5 SIGNIFICANCE OF THE STUDY
The
significance of this study is to investigate the effect of process waste on
organizational productivity.
Just
like water hides the dangers of iceberg below, waste due to processing hides
the underlying issues within a production environment. When process waste is
not reduced, these underlying factors become exposed. If these factors are not
addressed, then a shipwreck is inevitable. As (Huffman, 2008) astutely puts it:
“Ignoring
waste in any organization puts its business at a competitive disadvantage. But
there is waste in every organization. “companies that engage in waste
elimination on an ongoing basis reduce costs while increasing efficiencies.
1.8 LIMITATION
OF THE STUDY
The
turbulent nature of Rivers State makes it very difficult to get complete and
detailed information for the research, as most of the top management for the
organization of study as expatriates.
Another
limitation for this study is cost for carrying out the research, as it involves
proper data gathering of information on every department in the selected
organization.
1.9 OPERATIONAL
DEFINITION OF TERMS
Ø Learn Techniques:
Lean is a systematic approach to identifying and eliminating waste or non-value
added activities through continuous improvement by flowing the product at the
pull of the customer in pursuit of perfection.
Ø Waste: Waste
is defined as anything that adds cost to a production process that does not add
value to its product.
Ø Productivity:
Is a measure of how efficiency an organization manipulates its
resources/factors of production within the production of goods and services.
Ø Organizational Productivity: Can
be evaluated in relation to a particular decision criterion. The organizational
productivity as used in this research is determined by the organizational
outputs relative to its inputs.
Ø Process Waste: Any
effort that add no value to the product or service.
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