IMPACT OF PRODUCTION PLANNING AND CONTROL ON THE PERFORMANCE OF STEEL MANUFACTURING INDUSTRY IN LAGOS STATE, NIGERIA

Abstract

This study examined the impact of production planning and control on the performance of steel manufacturing industries in Ikorodu, Lagos state, Nigeria. The objectives of this study were to identify the organs of the industry in charge of production planning and control, identify how production planning and control are being carried out in the study area, access production planning and control challenges in the study area and evaluate the effect of production planning and control on output of the firms. For the purpose of the study, a sample of 120 respondents was selected from six manufacturing industries in Ikorodu, Lagos state. Questionnaires were used to collect data from respondents. Both descriptive and inferential statistics were used for data analysis. Descriptive statistical techniques were frequencies, means and percentage, inferential statistical techniques as analysis of variance (ANOVA), Duncan multiple range test simple regression. As shown in the result, majority of the respondents strongly agreed that (holders of first degree certificate, operation officers, permanent staff and middle level management) are involved in production planning and control with (60%, 53%, 69.9%, 55.5%) respectively. The study showed that production planning and control provides different kinds of information to different departments, it provides information about available manufacturing resources to marketing departments. The correlation results indicated that there was a strong positive relationship (r=0.688) between production planning and control on steel manufacturing output. In addition, the relationship was statistically significant at 1% level (p=0.001, <0.01), hence the rejection of the null hypothesis and the acceptance of the alternate hypothesis. It was concluded that adequate forecasting system, planning and control has impact on the performance of steel manufacturing industry in Ikorodu, Lagos State.