THE IMPACT OF TECHNOLOGY IN PRODUCTION MANAGEMENT
CHAPTER ONE
INTRODUCTION
- Background
of the Study
Production
management means planning, organizing, directing and controlling of production
activities. Production management deals with converting raw materials into
finished goods or products. Production management also deals with
decision-making regarding the quality, quantity, cost, etc., of production. It
applies management principles to production. Production management is a part of
business management. It is also called “Production Function.”
Production management is slowly being replaced by operations management. The
main objective of production management is to produce goods and services of the
right quality, right quantity, at the right time and at minimum cost. It also
tries to improve the efficiency. An efficient organization can face competition
effectively. Production management ensures full or optimum utilization of
available production capacity. Production
management, also called operations management, planning and control of
industrial processes to ensure that they move smoothly at the required level.
Techniques of production management are employed in service as well as in
manufacturing industries. It is a responsibility similar in level and scope to
other specialties such as marketing or human resource and financial management.
In manufacturing operations, production management includes responsibility for
product and process design, planning and control issues involving capacity and
quality, and organization and supervision of the workforce (Daneshjo, 2013).
One
of the ways to improve the production management process is through the use of
appropriate tools. In today’s world, information is the most valuable asset of
any organization so that the importance of information technology and its
effects has grown tremendously and sense its growth and development.
Acquisition of key technological tools that helps manufacturing companies to
maximize the utilization of available resources for maximum production is very
important. With the maturing of manufacturing, companies large and small are
looking to other areas that offer opportunity for significant value addition
and growth. At the same time, advances in sciences and engineering are
producing significant new discoveries and technologies such as in genomics,
stem cells, renewable energy, and networked information technology. With
the ever-increasing demands by the clients and customers, raw materials
suppliers, as well as the pressure from the upper management of the
organization for increased efficiency and profit, collaborating and effective
management of priorities in the production constantly pose challenges and beset
the operations management of the company. As such, it is inevitable that the
organization implement programs and production systems that will best suit the
needs of the company and its clients. Utilizing technological systems in the
workplace provides more advantage in terms of receiving, recording, processing,
storing and transferring information (Rahmani, 2015).
Production
and operations management must also help develop a better understanding of the
information-intensive contexts in which technology commercialization occurs
today. Given the importance of technology in production management, this research
work is therefore focused on the impact of technology on production management.
1.2 Statement of the Problem
Several
manufacturing firms have suffered from inefficient and imprudent management of
resources and product scarcity, which has resulted in low level of
productivity, inability to meet up with meeting customers’ needs, delayed
production because of lack of modern technology to aid in the production
processes and consequently this brings about financial losses. Poor production
management leads to scarcity and this scarcity can be attributed to shut downs
and breakdown of manufacturing firms, due to absence of relevant technology to
facilitate smooth maintenance activities and production. This is brought about
by the unavailability of critical and useful technology, which should have been
provided by the production management department. The use of technology in
production management department is very important especially in view of the
high level of competition that exists in the global market. Frequently, the production
management department has been accused for the frequent breakdown and shut
downs as a result of its inability to provide the necessary equipments and tools
for production process as at when they are needed.
1.3 Objectives of the Study
The objectives of the study
are:
- To ascertain the impact of technology on
production management in manufacturing firm.
- To ascertain the need of utilizing technology
in production management in manufacturing firm.
- To identify
the importance of production management in manufacturing firm.
- To reveal the ways of fostering adoption of
technology for production management in a manufacturing firm.
1.4 Research Questions
The following research
questions are formulated based on the research objectives:
- What is the impact of technology on production
management in manufacturing firm?
- What is the need of utilizing technology in
production management in manufacturing firm?
- What is the
importance of production management in manufacturing firm?
- What are the ways of fostering adoption of technology
for production management in a manufacturing firm?
1.5 Statement of the Hypotheses
As a guide to achieve
the objectives of the study, the following hypotheses were formulated:
- Ho: Improved production standard, increased output
level, satisfaction of the demand of customers for manufactured products are
not the impact of technology on production management in manufacturing firm.
Ha:
Improved production standard, increased output level, satisfaction of the
demand of customers for manufactured products are the impact of technology on
production management in manufacturing firm.
- Ho: Maximizing utilization of production
resources, reducing time of production, increasing profitability are not the
need of utilizing technology in production management in manufacturing firm.
Ha:
Maximizing utilization of production resources, reducing time of production,
increasing profitability are the need of utilizing technology in production
management in manufacturing firm.
- Ho:
Accomplishment of firm’s
objectives, optimum utilization of resources, expansion of the firm are not the
importance of production management in
manufacturing firm.
Ha: Accomplishment of firm’s objectives, optimum utilization of
resources, expansion of the firm are the importance
of production management in manufacturing firm.
- Ho: Willingness of management to invest in the
acquisition of technological tools for production management, training of
workers on how to use technological equipments, support from government for
manufacturing enterprises to acquire needed tools for effective production
management are not the ways of fostering adoption of technology for production
management in a manufacturing firm.
Ha:
Willingness of management to invest in the acquisition of technological tools
for production management, training of workers on how to use technological
equipments, support from government for manufacturing enterprises to acquire
needed tools for effective production management are the ways of fostering
adoption of technology for production management in a manufacturing firm.
1.6 Significance of the Study
This study is significant in the following ways:
- It will help
the manufacturing firm know the impact of technology in contributing positively
to the production management process.
- It will
provide useful information to enable manufacturing firm know the need to
utilize technology for production management.
- It will help
manufacturing firms to meet the demand of their customers and also increase
their profitability through the use of technology tools.
- The research
work will reveal the importance of adopting technology in production management.
- It will
serve as a useful reference material to other researchers seeking for related
information.
1.7 Scope of the study
This study covers the impact of technology in
production management using Semek group of companies in Ikot Ekpene as a case
study.
1.8 Limitations of the
Study
The study was limited by the following factors:Financial Factor: Inadequate funds affected the way data were
THE IMPACT OF TECHNOLOGY IN PRODUCTION MANAGEMENT
