The Effect Of Quality Control In The Manufacturing Companies

Project and Seminar Material for Business Administration and Management BAM

The Effect Of Quality Control In The Manufacturing Companies


Abstract


This study was carried out to examine the effect of quality control in the manufacturing companies using Nigeria bottling company Ikeja, Lagos State. The study was specifically set to ascertain whether quality control is practiced in manufacturing companies, ascertain the extent quality control practices are implemented in manufacturing companies, determine whether quality control have a significant impact on the financial performance of manufacturing companies, and find out the benefit of adopting quality control practices on firms operation efficiency. The survey design was adopted and the simple random sampling techniques were employed in this study. The population size comprise of staff of Nigeria bottling company Ikeja, Lagos State. In determining the sample size, the researcher conveniently selected 65 respondents and 50 were validated. Self-constructed and validated questionnaire was used for data collection. The collected and validated questionnaires were analyzed using frequency tables and mean scores. The result of the findings reveals that quality control have a significant impact on the financial performance of manufacturing companies. Furthermore, the study also revealed that he benefit of adopting quality control practices on firms operation efficiency includes: enhance product quality and reduce risks, gain production efficiencies, garner customer loyalty, essential to building a successful business that delivers products that meet or exceed customers’ expectations, and efficient business that minimizes waste and operates at high levels of productivity. Therefore, it is recommended that Nigerian manufacturing companies should place more emphasis on training and education in quality management and this should be provided to all employees, regardless of level. This will enable the effective leadership of teams that continuously aim to improve processes. Moreover, the following additional recommendations are raised. To mention but few.


Table of Content


  • Title Page
  • Certification
  • Dedication
  • Acknowledgement
  • Table of Content
  • List of Tables
  • Abstract

Chapter One:

Introduction

  • 1.1 Background of the Study
  • 1.2 Statement of the Problem
  • 1.3 Objective of the Study
  • 1.4 Research Questions
  • 1.5 Research Hypothesis
  • 1.6 Significance of the Study
  • 1.7 Scope of the Study
  • 1.8 Limitation of the Study
  • 1.9 Definition of Terms
  • 1.10 Organisations of the Study

Chapter Two:

Review of Literature

  • 2.1 Conceptual Framework
  • 2.2 Theoretical Framework
  • 2.3 Empirical Review

Chapter Three:

Research Methodology

  • 3.1 Research Design
  • 3.2 Population of the Study
  • 3.3 Sample Size Determination
  • 3.4 Sample Size Selection Technique and Procedure
  • 3.5 Research Instrument and Administration
  • 3.6 Method of Data Collection
  • 3.7 Method of Data Analysis
  • 3.8 Validity of the Study
  • 3.9 Reliability of the Study
  • 3.10 Ethical Consideration

Chapter Four:

Data Presentation and Analysis

  • 4.1 Data Presentation
  • 4.2 Analysis of Data
  • 4.3 Answering Research Questions
  • 4.4 Test of Hypotheses

Chapter Five:

Summary, Conclusion and Recommendation

  • 5.1 Summary
  • 5.2 Conclusion
  • 5.3 Recommendation
  • References
  • APPENDIX
  • QUESTIONNAIRE

Chapter One


Introduction

1.1 Background of Study

The information highway has turned the world into a global village. Organizations are facing the kind of competition that was not envisaged a few years ago. Organizations have to compete with goods and services from all over the world and satisfy a more educated and sophisticated customers. What is satisfactory to customers today may not be regarded as such tomorrow as their expectations are continuously changing. Also, there has been consistent breakthrough in science and technology over the last couple of decades. Moreover, the fall-out of a deregulated global competition has offered customers choices among various alternatives. Today, customers demand high quality and low priced products. Since no one organization can boast of holding franchise to the development and delivery of quality products/services, hence many organizations have embraced quality control concept as a way of survival.

Cummings and Worley (1993) states that “Total quality is achieved when organizational processes reliably produce products and services that meets or exceed customer expectations and when commitment to the continuous improvement of all processes becomes a part of the organizations culture”.

Most Nigerian firms have liquidated; the few survivors are either in the verge of collapse or just managing to exist. These problems emanate from poor management of these firms. Thus, one begins to wonder why considering the significant increase in recent years on the attention given to the management performance.

The shock is tenser on realizing that most of our cosmetic products are not regarded as qualitative in the face of foreign cosmetic products. Does it really mean that the practice of quality control in these firms is inconsistent or irrational? Does it lack planning or does quality control measure not have any significant impact on managerial performance?

While a lot of strides have focused attention on managerial performance, very few have focused attention on the effect of quality control as a strategy for improving managerial and organizational performance.

Therefore, there is an urgent need for an organization-wide approach and commitment to quality improvement, thus the development of the “total quality management concept”, every organization that is into manufacturing strives to achieve their primary objective which includes: survival, efficiency, large market share, profitability and etc. must consider their resource base. Hence, it follows that management must plan, organize and control the use of available resources to accomplish the specified long-term objectives. Great emphasis must be placed on quality control as an essential well and how long a product or service meets the customer requirements. The role of technological changes has intensified customer’s taste in this competitive market place. Therefore, organizations must structure its policies and procedures to adapt to quality control standards.

A trip into most of our Nigeria markets shows that a good number of products sold are of inferior quality compared to their foreign counterparts. The buyer has been deceived by different names given to the products, for example, some call it Aba- made, Taiwan- made, Igbo-made etc. The proliferation of these products can be checked through the introduction of a sound quality control in our production establishments. Therefore, the establishment of a sound quality control system in any organization would be ineffective without proper management and application of the necessary quality standards as established by the National Agency for Food and Drugs Administration Control (NAFDAC).


1.2 Statement of the Problem

One of the major problems faced by most manufacturing companies in Nigeria is how to adopt a strategy for high-quality products that will satisfy the needs of the customers at a reduced and effective price and still ensure that they remain in business without any incurrence of debt (Okuntade, 2015). These problems are multifaceted because the client wants to spend the least amount possible for the highest quality end product (Damci & Yalcin, 2011). Thus, the challenge now arises as to how manufacturing companies in the Nigerian will meet such customers demands, particularly in a time of extensive competition from numerous bidders. Okuntade (2015) stated that these, and many other factors, increase problems concerning quality and result in manufacturing companies cutting corners in an attempt to be more competitive. Sometimes, they also reduce bids by cutting profit margins in the hope of winning the few jobs available. This illustrates that manufacturing companies today are faced with multifaceted challenges. Unprecedented changes are occurring in the manufacturing industry, in terms of techniques, skills, methodologies; moreover, Okuntade (2015) states that the expectations and attitudes of customers toward the end product of their products such that requirements are not being met.

Most organizations in manufacturing sector only pay lip service to total quality management implementation. Hence, to what extent are executives in Nigerian manufacturing companies aware of the unending pressures on them to conform to quality standard? This study will be concerned with the analysis of the effect of quality control in the manufacturing companies in Nigeria and their effectiveness in meeting customer need and expectations.


1.3 Objective of the Study

The main objective of this study is focused on the effect of quality control in the manufacturing companies. Other specific objectives includes;

  1. To ascertain whether quality control is practiced in manufacturing companies
  2. Ascertain the extent quality control practices are implemented in manufacturing companies.
  3. Determine whether quality control have a significant impact on the financial performance of manufacturing companies.
  4. Find out the benefit of adopting quality control practices on firms operation efficiency.

1.4 Research Questions

In order to achieve the above listed objectives, the following question are constructed to guide the study:

  1. Is quality control practiced in manufacturing companies?
  2. What is the extent quality control practices are implemented in manufacturing companies?
  3. Does quality control have a significant impact on the financial performance of manufacturing companies?
  4. What are the benefit of adopting quality control practices on firms operation efficiency?

1.5 Significance of the Study

The findings of this research will be valuable to researchers and future scholars since the information will serve as a reference point for researchers and academicians who will show an interest in this area or other related topics. It will add to the bank of knowledge for students of operations management. Manufacturing companies will be able to make informed decisions regarding adoption of quality control strategies by understanding how such practices will enhance their competitiveness and improve organizational performance. First, it will aid organizations in Nigeria to develop effective quality control strategic plans to ensure their long-term survival and success and to meet stakeholder expectations. In addition, manufacturing companies will be able to assess whether there is value for money in investing in quality control practices.


1.6 Scope of the Study

The scope of this study borders on the effect of quality control in the manufacturing companies. However this study is delimited to Nigeria Bottling Company, Ikeja, Lagos State as a case study.


1.7 Limitation of the study

The researchers encountered slight constraints while carrying out the study. The significant constraint was the scanty literature on the subject owing that electoral violence discourse is vast thus the researcher incurred more financial expenses and much time was required in sourcing for the relevant materials, literature, or information and in the process of data collection, which is why the researcher resorted to a limited choice of sample size covering only residents of Lagos State. Thus findings of this study cannot be used for generalization for other states within Nigeria. Additionally, the researcher will simultaneously engage in this study with other academic work will impede maximum devotion to the research. Howbeit, despite the constraint encountered during the research, all factors were downplayed in other to give the best and make the research successful.


1.8 Definition of Terms

Quality:

Features and characteristics of a product or service that are relevant to its ability to satisfy a particular need.

Quality Control:

Quality control (QC) is a procedure or set of procedures intended to ensure that a manufactured product or performed service adheres to a defined set of quality criteria or meets the requirements of the client or customer.


Chapter Five


Summary, Conclusions and Recommendations:

5.1 Introduction

This chapter summarizes the findings on the effect of quality control in the manufacturing companies using Nigeria bottling company Ikeja, Lagos State. The chapter consists of summary of the study, conclusions, and recommendations.


5.2 Summary of the Study

In this study, our focus was to examine the effect of quality control in the manufacturing companies using Nigeria bottling company Ikeja, Lagos State. The study was specifically set to ascertain whether quality control is practiced in manufacturing companies, ascertain the extent quality control practices are implemented in manufacturing companies, determine whether quality control have a significant impact on the financial performance of manufacturing companies, and find out the benefit of adopting quality control practices on firms operation efficiency.

The study adopted the survey research design and randomly enrolled participants in the study. A total of 50 responses were validated from the enrolled participants where all respondent are management staff of Nigeria bottling company Ikeja, Lagos State.


5.3 Conclusions

In the light of the analysis carried out, the following conclusions were drawn.

  1. Quality control is practiced in manufacturing companies.
  2. The extent quality control practices are implemented in manufacturing companies is high.
  3. Quality control have a significant impact on the financial performance of manufacturing companies.
  4. The benefit of adopting quality control practices on firms operation efficiency includes: enhance product quality and reduce risks, gain production efficiencies, garner customer loyalty, essential to building a successful business that delivers products that meet or exceed customers’ expectations, and efficient business that minimizes waste and operates at high levels of productivity.

5.4 Recommendation

Based on the findings the researcher recommends;

  1. Managers at all levels and all staff must have a positive attitude towards quality improvement to ensure that there is an organisation-wide commitment to the TQM philosophy and the tools or techniques of quality improvement. This implies that responsibility is not assigned just to a specialised quality department or person, but rather that everyone in the organisation must integrate and take ownership of the TQM philosophy within their day-to-day activities and decision-making.
  2. Nigerian manufacturing companies should place more emphasis on training and education in quality management and this should be provided to all employees, regardless of level. This will enable the effective leadership of teams that continuously aim to improve processes. Moreover, the following additional recommendations are raised.
  3. Managers in Nigerian manufacturing companies should provide a suitable infrastructure for the effective implementation of TQM. Therefore, they should realise that implementing TQM takes time, effort and change throughout the entire organisation; thus, managers need to convince staff that real individual and organisational benefits can be obtained through the implementation of TQM as part of the business strategy.

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