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Impact of physical fitness in enhancing students

academic performance [a case study of some


selected
BY
YAKUB LATEEF OLATUNJI
AOC/20/04/010/49102
MAT/ISC

A RESEARCH PROJECT SUBMITTED TO THE SCHOOL OF


SCIENCE, DEPARTMENT OF MATHEMATICS, ADENIRAN
OGUNSANYA COLLEGE OF EDUCATION, OTTO/IJANIKIN, LAGOS
STATE

IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE


AWARD OF THE NIGERIA CERTIFICATE OF EDUCATION (N.C.E)

OCTOBER, 2023
CERTIFICATION

I hereby certify that this project work was carried out by Yakub Lateef
Olatunji with MATRIC NO: AOC/20/04/010/49102 of the Department
of MAT/ISC Science, Adeniran Ogunsanya College Of Education,
Otto/Ijanikin, Lagos State.

_______________ _______________
Mr. Agboola A. O. Date
Project Supervisor

__________________ _______________
Dr. Mrs. Akinyemi A. Date
Head of Department

_______________ _______________
External Supervisor Date
CHAPTER ONE

Introduction

1.1 Background of the study

Logistics is an important factor to be considered in achieving a successful


supply chain operation in an organization. It creates value by establishing
customers’ dehremy requirement in a cost effective manner (Bowersox,
close and copper, 2002). It is also a significant source of competitive
advantage for organization as well as a cogent Factor to be considered in
improving the firm performance (Hoang and Nguyen, 2019).

Logistics is part of operation management function and play an important


role in transporting the flow of goods in and out of the company (Tracey,
2005). This logistics role improves the quality of finished products and the
accuracy of goods dehremy by the organization. In other words, the
logistics functions should optimize the flow of goods to maintain quality, on-
time delivery and customer satisfaction.

According to Lambent and burduroglo, (2000) the logistics function can be


divided into two categories which are: Inbond and Outbond logistics.
Inbound logistics are activities connected with procurement of materials,
handling, strange and transportation. With inbound logistics, the smooth
flow of incoming raw materials to support the company’s operation will be
facilitated. The proper inbound management will impact aspect such as
production schedules, effective distribution and customer satisfaction in n
organization, which, in turn, improves firms performance (Tracey, 2005).
Moreso, despite the role of logistics functions in facilitated. The proper
inbound management will impact aspect such as production schedules,
effective distribution, and customer satisfaction in an organization, which, in
turn, improves firms performance (Tracey, 2005). More so, despite the role
of logistics functions in facilitates the incoming flow; it also facilitates the
outcome delivery. Thus, outbound logistics are those activities concerned
with collecting, maintaining and distributing or delivery the product to the
final consumer (Ristovska, Kozuharov, and Petkovski, 2017). Furthermore,
outbound logistics involves storing and delivering finished goods to the final
consumer (Porter 1985). Thus, the capability of logistics to manage these
flows will enhance the value-added and impact maintaining the
organization’s performance. (Tracey, 2005).

According to Fabbe – Costes and Jahrer (2008) organization performance


can be measured operationally, financially is more relative to the
improvement of the organizational activities like logistics cost reduction,
inventory. The financial performance of the organization is measured based
on the relationship between tota revenue and cost that can be proxy by
profitability i.e Return-on-investment (ROI), and Return –on-sales (Morgan,
2012). Lastly, the strategic performance is the improvement of market
goals and this includes sales, market share in sales and market share.

The relationship between logistics and the organization performance has


been getting a lot of attention from scholars in both developed and
developing nations. Logistics can reduce cost, increase revenue and
efficiency and effectiveness of business. Also, functioning logistics can
assists the organization in maintaining its tile with customer through a
reduction in cycle time required (Lambent and Pohlen, 2001).
However, despite the overwhelming roles of logistics functions to
organization performance in Nigeria, many manufacturing companies are
still undermining the contribution of logistics especially ‘outbound’ in
achieving great performance. Physical distribution of finished products to
consumer across states in Nigeria is supposed to be major dominant
activities of transportation, due to the importance of logistics to every
organization but reversed is the case.

1.2 PURPOSE OF STUDY

The main purpose of this research topic is to carefully study the


impact logistics management has on the general performance of an
organization using Dangote Flour Mills as a case study. It is purposed to
come out with a result that will reveal whether logistics management of
Dangote Flour Mills has made a positive or negative impact on the general
performance indices of the organization.

1.3 SIGNIFICANCE OF STUDY

This study will give a clear insight into the importance of logistics
management to an organization using Dangote Flour Mills as a case study.
It will also allow a study of the logistics management system of Dangote
Flour Mill be put to test to actually come out to know whether the current
logistics management is strong and supportive enough to guarantee
customer satisfaction while the company’s products are delivered to end
users at the right time. It will be of significant important to test the level of
satisfaction derived by the customers and users of Dangote Flour
nationwide. It is of great significance to customers and retail outlet to deal
with stock out time which will help them address their functional
performances. It will be significant to Dangote Flour Mill to actually
strategically reposition the logistics management department for maximum
performance in order to realize the broad goals and objective of the
company and able to control a larger market share vis a vis its competitors.

1.4 STATEMENT OF PROBLEM

The major statement of problem in this project work have to do with


the mode of measurement of organizational performance taken into
account various elements that are flexible enough to affect performance
from time to time. Also, considering the major variables of organizational
performance in term of operational, financial and strategic and the various
external elements that may be outside the capability of the organization to
control form a statement of problem that shall be addressed in the course
of this project work. Also measuring how logistics management will solve
associated problem relating to availability of the right raw material at the
right time for production purposes, as well as making the finished products
available at the right time at the right place for middlemen and end users
(customers) will form a major statement in this project work.

1.5 AIM AND OBJECTIVES

The aim of this project work is to access the impact of logistics


management on the performance of Dangote Flour Mills entire activities
most especially in ensuring that the right raw materials are available for
production processes at the right time, while ensuring that middlemen
(Distribution) have their stocks replenished with the right products at the
right time to avoid stock out, and the end users (customers) having the
products at all times in the right product range for consumption for the
organization to remain competitive in the market. Other objectives of this
project work include:

 Evaluation of the significant relationship between logistics


management and organizational productivity and efficiency.
 Meet consumer demand for guaranteed delivery of products within
minimal lead time.
 To maximize the efficiency of distribution side.
 Reduce the transportation and warehouse cost.
 Maximize profit.

1.6 SCOPE OF STUDY

This study is central on the impact of logistics management on


organizational performance using Dangote Flour Mills as a case study. This
study shall cover the activities of Dangote flour Mill in Lagos and how the
logistics management impact on the performance of Dangote Flour Mill
most especially in meeting consumers demand for guaranteed delivery of
products within the minimum lead time at a lower cost, focusing on the
distribution of Dangote Flour Mill product within the South Western geo
political zone in Nigeria. Considering the location of Lagos to the South
Western geo political zone of Nigeria. The scope is targeted at the Lagos
factory of Dangote Flour Mill in distributing its product in the South West
geo political zone.

1.7 Research Methodology

The study adopted a survey research methodology. The studied


company is Dangote Flour Mills, Lagos. Structured questionnaire technique
was adopted, the responses from the respondents which include
employees of Dangote Flour Mill staff, distributors of Dangote Flour Mill in
the South West geo political zone of Nigeria, consumers of flour, backers,
private logistics organizations and other important stakeholders in logistics
management in Nigeria. The questionnaire was divided into two parts:
section A on demographic questions while section B bothers on questions
relating to the subject matter of the research. The respondents are to
response either Agree (A) or Disagree (D) with the statement of the
structured questions. It should be noted here that the respondents are free
to make unbiased choices.

1.8 Research Hypotheses

The responses to the questionnaire will be used for the testing of two
hypotheses for the purpose of this project using the CHI square (X2)
research statistical analysis method.

Hypothesis 1
H0 (NULL): An effective and efficient cost management logistic
strategy is an important element in assessing the performance of an
organization and in the achievement of its overall objectives.
H1 (ALTERNATE): An effective and efficient cost management
logistic strategy is not an important element in assessing the
performance of an organization and in the achievement of its overall
objectives.
HYPOTHESIS 2
H0 (NULL): Logistics Management has really helped Dangote Flour
Mill Plc in reaching out to its numerous customers in the South
Western geo political zone of Nigeria from its Lagos factory.
H1 (ALTERNATE): Logistics Management has really helped Dangote
Flour Mill Plc in reaching out to its numerous customers in the South
Western geo political zone of Nigeria from its Lagos factory.

1.9 Limitation Of Study

Looking critically at the important role their logistics management


played in achieving organizational objectives and performance, it is
expedient to note that this study will assess the impact of logistics
management to Dangote Flour Mills performance. Dangote Flour Mills is
located in four states in four geo political zones of North central, North East
and South West. This project shall be limited to the impact of logistics
management n the organizational performance of Dangote Flour Mills as
well as using logistics management in ensuring timely availability of
finished products to middlemen (Distributors) and consumers within the
minimum lead time in South west geo political zone from the Lagos factory
of Dangote Flour.
1.10 Definition Of Terms
CHAPTER TWO
Literature Review
2.1 Conceptual Framework

The globalization process enables the sale of products for the same
purpose from different manufacturers and with different prices. The
increased offer on sale on the market has led to intensive competition and
some of the companies are faced with the problem of survival. The
development of information technology has led to increased flow of
information around the world, which resulted in enhanced education of
producers and consumers (Deifmann and Gehring, 2003). The only way for
companies to survive on the market is constant lowering the price of
products and regular improvement of product characteristics. Hence, the
continuous intensive development of the company is crucial to its survival
on domestic and global markets. Globalization had a critical impact on
manufacturing, both locally and internationally. Through broadening the
marketplace and increasing competition, globalization led customers to
place greater demands on manufacturers to increase quality, service ability
and flexibility, while maintaining competitive cost (Laosirihongthong and
Dangayach, 2005). One of the ways of improving efficiency on
manufacturing firms was to improve logistics performance. That is why if
manufacturing firm needed to become efficient and flexible in their
manufacturing method, they need different strategies to manage the flow of
goods from the point of production to the end users, (Awino, 2011).

One important management practice that can be applied in


organisation today is management provides business organisation with the
total operations cast and increases the efficiency of the company’s
business activities. Collaboration among all the supply chain players couple
with a responsive approach can enhance organizational competitiveness
through reduced lead-time facilitated by smooth flow of material from
upstream towards the downstream end of supply chain. This approach will
ensure customers get value for their money and also reduce the level of
uncertainty in the industry (Waiganjo & Gatobu, 2014). Many factors such
as deregulation, competitive pressure, information technology,
globalization, profit leverage, contributed to the increase of logistics
management in the firm we know it today (Ittmenn & King, 2010). The goal
of Logistics Management was to optimize the number, size and
geographical arrangement of plants and warehouse facilities, select
transportation methods, and control distribution cost (Mentzer, Soonhong,
& Bobbitt, Toward a unified theory of logistics, 2004). Consequently,
logistics management has done an excellent job of managing and moving
inventory and the operational aspect of Logistics (Mentzer, Flint, & Kent,
1999).

Concept Of Supply Chain

Supply chains encompass the business activities needed to design,


deliver, and use a product or service. A supply chain consists of all stages
involved directly or indirectly, in fulfilling a customer request. The supply
chain not only includes the manufacturer and suppliers but also
transporters, warehouses, retailers and customers themselves. Supply
chain management covers everything from production, to product
development, to the information systems needed to direct these
undertakings. This consists of a network of suppliers, manufacturing,
perform the functions of procurement of materials, transformation of these
materials into intermediate products to customers. A supply chain is a
network between a company and its suppliers to produce And distribute a
specific product and the supply chain represent the steps it takes to get the
product or services to the customers.

A product is delivered to the ultimate customer through a complex


interaction of several companies on the way i.e through a supply chain. The
manufacturer’s ability to give customers what they want, when they want it,
at the price and quantity that they want, is not just determined by the
manufacturer’s skill or expertise in running his/ her own operation. The
distribution of goods into foreign market adds significantly to the cost of
most consumer goods or component. Inefficiencies anywhere in the chain
will reduce the chances of the manufacturer successfully competing against
suppliers. It is now recognized therefore, that supply chains compete with
other supply chains. Supply chains management is concerned with the total
management of the supply chain. Supply chain management is a crucial
process, because an optimized supply chain results in lower cost and a
faster production cycle. Supply chain management is the active
streamlining of business supply- side activities to maximize customer value
and gain a competitive advantage in the market place. The supply chain
represents an effort by suppliers to develop and implement supply chains
that are as efficient and economical as possible.
Concept Of Logistics

Logistics is derived from a Greek word “logistike” which means the


“science of computing and calculating”. Logistics is one of the important
activities of business today. Logistics is basically concerned with making
the products and services available to the users rightly. In past, logistics
concept was used by military organizations. It implied the movement of
men and other physical resources required during war by military troops to
achieve them. However after World War II concept of logistics was
associated with industries and that paved the way for business logistics.

Logistics Management is a business function that generates heaps of


benefits for the firm through proper management of logistical activities. It is
concerned with effective flow of materials purchased, flow of materials
through manufacturing process and outflow i.e flow of materials to
customers. The aim is to satisfy customer’s requirement. According to
Philip Kotler “Market logistics involve planning, implementing and
controlling physical flow of material and final (finished) goods from the point
of use to meet customer requirement, at a profit”. Logistics management
consists of the process of planning, implementing and controlling the
efficient flow of raw materials, work – in – progress (WIP) and finished
goods and related information from the point of origin to the point of
consumption, with a view to providing satisfaction to the customer.

2.2 Literature Review

The increasing awareness of strategic implication of logistics and the


growing awareness of the benefits of leveraging logistics to increase
customer value measuring the performance of logistics had become a high
priority (cheng & Grimm, 2006). Griffis, Goldsby, copper, & closs, 2007)
Logistics is the process of planning, implementing and controlling
procedures for the efficient and effective transportation and storage of
goods including services and related information from the point of origin to
the point of consumption for the purpose of conforming to customer
requirements and includes inbound, outbound, internal and external
movement (Lambert & stock, 2008). Logistics management is a supply
chain management component that is used to meet customer demand
through the planning, central and implementation of the effective movement
and storage of related information, goods and services from origin to
destination. Logistics management helps companies reduce expenses and
enhance customer services (fugate, et al, 2010). Logistics management is
the part of supply chain management that plans, implement, and controls
the efficient, effective forward, and reverses flow and storage of goods,
services and related information between the point of origin and point of
consumption in order to meet customer’s requirements. The complexity of
logistics can be modeled, analyzed, visualized, and optimized by dedicated
simulation software. The minimization of the use of resources is a common
motivation in all logistics field. A professional working in the field of logistics
management is called logistician (Christopher, 2011). According to the
council of Logistics Management (CLM) “Logistics is the process of
planning, implementing and controlling the efficient and effective flow of
goods, services and related information from point of origin to point of
consumption in order to meet customer requirements”. Logistics
management is the process of strategically managing the procurement,
movement and storage of materials, parts and finished inventory (and the
related information flows) through the organization and its marketing
channels in such a way that current and future profitability and maximized
through the cost-effective fulfillment of orders (Christopher, Logistics &
Supply Chain Management, 2011). Logistics encompasses all of the
information and material flows throughtout an organization. It includes
everything from the movement of a product or from a service that needs to
be rendered, through to the management of incoming raw materials,
production, the storing of finished goods, its delivery to the customer and
after- sales service (Ittmenn & King, 2010). The commonality of the recent
definitions in logistics is that, it is a process of moving and handling goods
and materials, from the beginning to the end of the production, sale
process and waste disposal, to satisfy customers and add business
competitiveness (Tseng, Yue, & Taylor, 2005). It is the anticipating
customer’s needs and wants, acquiring the capital, materials, people,
technologies, and information necessary to meet those roles and want,
optimizing the goods or services providing network to fulfill customer
requirement and utilizing the network to fulfill customer requests in a timely
way (Tseng, Yue & Taylor, 2005).

Classification Of Logistical Activities

Logistics or logistical activities may be classified into two categories.


This form the backbone of how an organization turn materials into products
and how these products are delivered to the customers, and this is
essential to the success of any organisation. In fact, the process of bringing
materials to an organization or company and then delivering finished
products to customers are distinct. These are known as “inbound and
outbound logistics”.
Inbound Logistics

This refers to the network that brings goods or materials to a


company or business. The inbound logistics network includes everything
that is needed to transport, store, and deliver goods to your business or
company from other supplier. The actual product that you bring into a
business depends on what you do. This covers things like raw materials if
you are a manufacturer, or finished products if you deal with assembly.
Essentially, inbound logistics includes everything your business operations
needs to create the finished product that you eventually sell. Inbound
logistics is both incredibly complex and important. There are some key
factors that help inbound logistics processes run smoothly. If a business
demands raw materials to produce certain goods there is need for a steady
supply of those materials to match your production output. At the same
time, you don’t want too much of a raw material delivered if you don’t have
the warehousing to accommodate it. In most cases, you want to receive
your raw material shortly before you actually use it. This means that there
is need to tailor the inbound logistics network to specific production cycle
and warehousing capacity to ensure that there isn’t a surplus of unneeded
material or goods. Optimizing the inbound logistics network streamline
business operations. To understand how to optimize your inbound logistics
network, you must have a full picture of every moving part in the network
and understand how the network functions. For the efficient operation of
the inbound logistics network, there is need for understanding and
optimizing everything from receiving products to your facilities and
distributing them. One of the ways businesses do this is by working with a
third-party logistics (3PL) provider. 3PLs are subject matter experts in
crafting and optimizing inbound logistics network to ensure that the flow of
goods and materials into the business meets the operational objectives.
Consider a situation where there is need to ramp up production. There is
need to hire more labour for manufacturing, receiving and distribution.
There might be need for more robust warehousing, which may require
additional facilities, off-site storage, or equipment that can handle greater
quantities of goods. To acquire the raw materials or goods needed to meet
the demand, there is need to work closely with suppliers to establish
regular deliveries. There may also be the need for a robust transportation
management system to track resources and goods through the needed
network and to view the real time of the inbound logistics network. Doing all
these in house is possible, but it can be extremely expensive. Devoting
internal resources to inbound logistics is also more appropriate if you need
to increase their production temporarily, such as companies that
experience higher sales volume during the holidays, such need a
temporary solution. One way be which businesses and companies scale up
their inbound logistics network in the short term is by working with a 3PL.
3PL are often capable of scaling a company’s inbound logistics network to
accommodate its current needs without costly investment in labor,
equipment and infrastructure.

OUTBOUND LOGISTICS

This refers to the transportation, storage and delivery systems that


bring products to the customers. Outbound logistics is the way finished
goods are brought to their destination. The inbound logistics network
generally works with different partners than the inbound logistics network.
While some entities in the transportation industry specialized in inbound
logistics, other specialized in product distribution and delivery. The process
for outbound logistics bring raw materials into the company or business,
outbound logistics moves the finished goods to their destination. Often,
routing products to the customers requires moving the goods to a
warehouse that stores goods for a short amount of time. Once goods arrive
at a distribution center, it’s not long before a retailer ship them to other
destinations, usually to replenish inventory levels.

Outbound logistics networks can be quite a bit different that inbound


logistics networks. This is because it is usually helpful to separate them
both. Considering fact that the inbound logistics network brings in a steady
supply of material that roughly match your operational needs. On the other
hand, you outbound logistics network is designed to bring your products
when they are ordered. If products are delivered directly to consumers, this
might mean moving the products through a distribution network and
eventually to a carrier that will handle final-mile delivery.

Optimizing the inbound logistics network can project unique challenges that
aren’t present in your inbound logistics network. Remember that an
inbound logistics network brings goods or materials into the company or
business; from there the materials are turned to finished goods and are
distributed. There are competing considerations to weigh when bringing the
products to the market. The finished products may be more fragile than the
components you originally brought in, which could require special
packaging to protect the products during transit. Additionally, the
distribution network will likely be much wider than your supplier network.
Instead of a network bringing in supplies from a limited number of
manufacturers, you will be delivering the products to a potentially wider
range of destinations. If the products are delivered to customers directly,
this means the outbound logistics network must be capable of delivering to
a potentially huge number of destinations. Optimizing the outbound
logistics network to ensure that it runs as efficiently as possible. This entails
having labour, equipment and resources required to efficiently transport the
goods to customers. Optimizing the outbound logistics network can result in
substantial cost saving, while allowing for accurate determination of
delivery windows. Unlike an inbound network where problems with delivery
can result to slowed production cycles, problem with delivery network can
directly impact the relationship with the customers. Because of this, many
companies are placing increased emphasis on optimizing their outbound
delivery networks. One way to do this is by working with an experienced
3PL. One major challenge that companies are facing in regards to their
outbound logistics network is keeping up with consumer expectation.
Consumer expectations are changing, particularly when it comes to how
they order their products and when they receive them. In the past, most
companies had similar outbound and inbound logistics processes. Most
shipments were large in size and were sent at regular intervals to retailers
who stored some freight in warehouse and some freight on shelves. Once
stock ran out, the retailer would order more. This is no longer the case. E-
commerce has resulted in many more online purchases. Fulfillment centers
carry out the purchases by storing enough of a product to rapidly fulfill
orders and replenishing goods at frequent intervals (Most fulfillment centers
generally don’t have the storage space to stash huge amounts of products
on shelves). As a result, delivery windows are tighter than they used to be.
Today’s consumers also have an expectation that they will receive their
products fast. If the customers expect two-day shipping, you have to get
the products door within that window or risk losing their business. Meeting
this expectation requires working with delivery networks that specialize in
rapid delivery and offer cost effective final-mile delivery services. At the
same time, to meet the expectation of rapid delivery, it is most likely to
have a stage the product at distribution centers that are located near key
unban markets.

Clearly, optimizing the outbound logistics network can be a daunting task.


Working with a 3PL is one of the ways that modern businesses accomplish
this. 3PLs have access to the resources you need to get your products
from the factory line to the customers as efficiently as possible. Many
businesses choose to work with a 3PL for outbound logistics because 3PLs
optimize their networks for efficiency and are ultimately more cost effective.
This is particularly true for small and medium sized businesses, which don’t
have the resources or desire to create their own distribution and fulfillment
internally. For most business, doing all of internally simply isn’t practical.
Rather, it makes sense both financially and operationally to outsource
some or all of the outbound logistics to providers that specialize in it.

When transporting finished products to distribution center (Distributors),


there is need to keep in mind that some distribution centers requires
specialized services that increase transit time and cost. The services
include:

 Sort and Segregate


This confirms the products arrived in full. With this service, the driver
and his workers account for the entire products on arrival, rather than
unloading it and discovering at a later time that part of the products
are missing. Note that some transporters/ logistics organisation
company’s don’t offer sorting and segregating. In addition, this
service takes time, especially for truckload (TL) shipment, which
could lead to detention fees.
 Notify the Consignee
This prompts the carrier to inform the distributor that the product
shipment is out for delivery. This service is helpful for delivery
appointments. While the distributor handles scheduling for less than
truckload (TL) loader shippers must take appointments with the
distributor for truckload freight. If the distributor has preferred carrier
or systems, be sure to work within those constraints.
 Lumping
This means a third party trans-load shipment. Lumpier services vary
by distributor location. Figuring out whether or not the distributor will
use a lumpier service to handle the freight can help to prepare for the
possibility of added costs. If the distributor plans to use a lumpier
service for your freight, there’s no way around it, the associated fees
must be pay, and otherwise the shipment won’t be unload.

Component Of Logistics/ Physical Distribution


This is the broad scope of efficient, effective and responsive management
of activities geared towards procurement of raw materials and processing
them into finished products eventually distribute to the final consumer.
Physical distribution management can also be define as “That part of
management which is responsible for the design, administration and
operation of system to control the movement of raw material and processed
goods. The following are key component of logistics and physical
distribution:

 Transport Management
Transport management is the planning, controlling and decision
making on operational area of logistics that geographically moved and
positioned inventory (Bowersox, Closs and Copper, 2010). Because of its
fundamental importance and visible cost, transportation and traditionally
received considerable managerial attention and almost all enterprises, big
and small, had managers responsible for transportation (Bowersox, et al,
2010). Transportation occupied one-third to two thirds of the amount in the
logistic cost hence transport management influence the performance of
logistics system immensely (Bowersox, et al, 2010). Transporting is
required in the whole production procedures, from manufacturing to
delivery to the final consumer and return. Only a good management and
coordination between each component would bring the benefit of logistics
to a maximum. A good transport management in logistics could provide
better logistics efficiency, reduce operation cost, and promote service
quality on firms (Bowersox, et al, 2010).
For m the logistical system point of view, three factors were
fundamental to transportation performance: cost, speed, and consistency
(Bowersox, et al, 2010). The cost of transport is the payment for shipment
between two geographical locations and the expenses related to
maintaining on transit inventory. Logistical systems utilized transportation
that minimized total cost system cost (Bowersox, et al, 2010). According to
Bowersox, (2010) speed of transportation was the time required to
complete a specific movement. Speed and cost of transportation were
related in two ways. First, transport firms capable of offering faster delivery
typically charged higher rates for their services. Second, the faster the
transportation was, the shorter time intervals during which inventory were
on transit and the higher the charges (bowersox, et al, 2010). Thus critical
aspect of selecting the most desirable method of transportation to a firm is
to balance speed and cost of service.
 Inventory Management

Besides the various activities associated with a lean supply chain,


many firms across the world are always finding different methods and
techniques to reduce their investment in inventory, because it is indirectly
taxing on the profitability of the firm. Inventory management is a strategic
area in logistics operation and has an impact of efficiency and effectiveness
of the overall supply chain system. Whilst inventories provide some security
against fluctuations in the level of customer demand, there is concern that
they may reduce the ability of supply chains to respond to changes in the
nature of demand. Inventories in the international supply chains may
reduce the ability of supply chains to respond to changes in the nature of
demand. Inventories in the international supply chains may therefore act as
a buffer against one risk whilst increasing another type of risk.

Etienne (2005) lists factors such as speed to the market for new
products, responsiveness to market riches, and feedback time for quality
issues. Harrison and Van (2008) have put forward inventory reduction
strategies such as: reduction of production lead time, product
postponement, total cycle time, compression, centralization of inventory
and the virtual warehousing concept. Managing all kinds of assets in an
organization can be viewed as an inventory problem.
 Warehousing Management

Warehousing is an important part of a firm’s logistics system that


stores products (raw materials, parts, goods-in process and finished goods)
at and between points of origin and points of consumption. Warehousing
can be provided by either warehouses or distribution centers (Murphy &
Wood, 2008). An important decision for many firms is criteria for locating
the warehouse facilities. Cost factors are prevalent in the decision making
models. Resources such as skilled labour are also emphasized in some of
the models. Another dominant factor is what might be named as
accessibility, meaning infrastructure and availability of transportation
modes (Melachrinoudis, et al, 2000). Alberto (2000) also emphasizes time
and rehabilitee related considerations. This includes the proximity of
customers manufacturing facilities and suppliers.

 Order Processing

This involves the collecting of order information from the customer


and communicating such information to the sales department so that order
can be fulfilled. When order processing is carried out efficiently, order cycle
(the time between receipt and fulfillment of order) can be reduced thereby
reducing costs, increasing customer satisfaction and boosting profit. In
these modern days most companies use dedicated electronic data
interchange (EDI) for order processing system with the inventory control
and production system and warehouse management system such that
minimum time is used up in order processing.

 Packaging
This involves ‘means use of materials, bags, boxes etc wrap or
protect goods that are sold. Packaging plays a very crucial role in physical
distribution. Attractive packaging help in shelf space management as it
makes the products to be more visible hence increasing their turnover as
customers patronizes them. W here the packaging have alternate uses to
the customer, it may also provide added impetus for increased turnover. In
addition to the forgoing, packaging of products as it relate to ease or
difficulty of handling.

 Sustainable Development

Sustainable development has been defined by many authors.


According to Wikipedia encyclopedia sustainable development can be
defined as the principle for meeting human development goals while at the
same time sustaining the natural resource and ecosystem services upon
which the economy and society depend, it ca n be deduced from this
definition that it is a development that meets the present need without their
own needs. It is a blue print to achieve better and guarantee more
sustainable future for all.

The growth and development of any nation depends largely on the


manufacturing sector which contributed significantly to economic
development of all nations. The development of information technology has
led to increased flow of information around the world, which resulted in
enhanced education of producers and consumers (Delfmann & Gehring,
2003). The only way for companies to survive on the market is constant
lowering the price of products and regular improvement of product
characteristics. Hence, the continuous intensive development of the
company is crucial to its survival on domestic and global markets with
adequate logistics so as to maintain sustainable development in a
developing economy such as Nigeria.

 Material Handling And Storage System

The speed of the inventory movement across the supply chain


depends on the material handling methods. An improper method of
material handling will add to the product damages and delays in deliveries
and incidental overheads mechanization and automation in material
handling enhance the logistics system productivity other considerations for
selection of a material system and the volume to be handled, the speed
required for material movement and the level of services to be offered to
the customer. The storage is important for maximum space utilization (floor
and cubic) in the given size of a warehouse. The material handling system
should support the storage system for speedy movement (storage and
retrieval) of goods in and out of the warehouse.

 Information

This information explosion had enabled logistic to become an


important weapon in the firm arsenal to add value to the bottom line (closs,
et al, 2005). Information sharing was a key to success of logistics
performance (Whipple, Lambent, and Vermeersch, 2002). In their study,
Wardaya and Baskara (2013) confirmed that information flow had become
an important element that reflected collaboration with the logistics
management and firm performance. Sharing of information on transfer,
exchange of information indicating the level and position of inventory, sales
data and information on the forecasting, information about the status of
orders, production schedules and delivery capacity, and firm performance
measure had become essential to all firms (Wardaya, et al, 2013). As a
result, Bowersox et al, (2010) named four reasons why timely and accurate
information flow had become more critical for effective logistics systems’
design and operations: Customers perceived information about order
status, product availability, delivery schedule, shipment tracking, and
invoices as necessary elements of total customer service. With the goal of
reducing requirements, information flow increased the resources may be
utilized to gain strategic advantage. Enhanced information transfer and
exchange between buyers and sellers and redefining the channel
relationships (Somuyiwa & Adewoye, 2010).

However, this information flow can only be successful when firms


impress on information technology use. Information technology provides
the capacity to see data that is private in a system of cooperation and
monitor the development of products, where information is passing in every
process in the supply chain (Simatupang & Sridharau, 2002)

THE OBJECTIVES OF LOGISTICS MANAGEMENT

The primary objective of logistics management is to move the inventory in a


supply chain effectively and efficiently to extend the desired level of
customer service at the least cost as done parallel with waste
management. To achieve this, the following subsets of the above broader
objectives need to be achieved in supply chain management.

 Inventory Reduction
Inventory reduction is the biggest culprit in adversely affecting the
objectives of logistics management at the bottom line of the
enterprise.
Through a financial accounting perspective, inventory is an assets
and does not cause any appreciable disadvantage even when it is
stocked in an excess quantity. Traditionally, firms have carried an
excess of inventory for the purpose of extending excellent customer
service. However, inventory as an asset requires investment to
possess it. The funds invested are blocked and cannot be used for
any other productive purpose. Moreover, there is a capital cost
associated with it. The carrying cost will be equivalent to the interest
on the fund at the bank borrowing rate currently applicable to be strict
to the objectives of logistics management. The carrying cost will be
drained on the enterprise profit. Hence, the price objective goal can
be managed through small, but frequent supplies. A higher
transportation cost will be much lower than the inventory carrying cost
resulting in better margins.
 Reliable And Consistent Delivery Performance
On-time delivery is crucial to the customer to maintain his production
schedule. The customer is not interested in a faster delivery of the
material ahead of production schedule. This area of operation is
subject to variance. However, proper planning or transportation
modes and inventory availability along with a variation factor will
reduce the variance. The other objectives of logistics management
should be consistence in delivery performance; this will help build
customer confidence for keeping a long term relationship.
 Freight Economy
Freight is a major cost element in logistics cost. This can be reduced
by adopting measures such as freight consolidation, transport mode
selection, route planning, lead unitizing and long distance shipments.
 Minimum Product Damage
Product damages add to the logistic cost. The reason for product
damages is improper logistical packaging, frequent consignment
handling, the absence of load unitizing, and so on. Use of
mechanized material handling equipment, load unitization and proper
logistical packaging will reduce the product damage and fulfill the
objectives of logistics management.
 Quick Response
This is related to the capability of a firm to extend the service to the
customer in the shortest time frame. Use of the latest technologies in
information processing and communication will enhance the decision
making capability interm of accuracy and time enabling the enterprise
to be flexible enough to fulfill the customer’s requirements in volume
and varieties in the shortest time frame, hence fulfill the objectives of
logistics management also. For example, smaller shipments could be
delivered rapidly at the point of consumption. This will also maintain
time management.
Activities Of Logistics Management
The following are the brief activities involved in logistics management:
 Network Design: Network is one of the primary responsibilities
of logistics management. This network is required to determine
the number and location of manufacturing plants, warehouses,
material handling equipment etc. on which logistical efficiency
depends.
 Order Processing: Customer’s orders are very important in
logistics management. Order processing includes activities for
receiving, handling, filling, recording of orders. Herein,
management has to ensure that order processing is accurate,
reliable and fast. Further, management has to minimize the time
between receipt orders and date of dispatch of the consignment
to ensure speedy processing of the order. Delays in execution
of orders can become serious grounds for customer
dissatisfaction which must be avoided at all costs.
 Procurement: It is related to obtaining materials from outside
suppliers. It includes supply sourcing, negotiation, order
placement, inbound transportation, receiving and inspection,
storage and handling, etc. it’s main objective is to support
manufacturing by providing timely supplies of qualitative
materials, at the lowest possible cost.
 Material Handling: it involves the activities of handling raw
materials, parts, semi finished and finished goods into and out
of plants, warehouses and transportation terminals.
Management has to ensure that the raw materials, parts, semi
finished and finished goods are handled properly to minimize
losses due to breakage, spoilage etc. Further, the management
has to minimize the handling costs and the time involved in
material handling.
 Inventory Management: The basic objective of inventory
management is to minimize the amount of working capital
blocked in inventories and at the same time to provide a
continuous flow of materials to match production requirements,
and to provide timely supplies of goods to meet customer’s
demands. Inventories must be managed of raw materials and
parts, semi finished and finished goods. Management has to
balance the benefits of holding inventories against costs
associated with holding inventories like storage, space costs,
insurance costs, risk of damage and spoilage in keeping stock.
 Packaging and labeling: Packaging and labeling are an
important aspect of logistics management. Packaging implies
enclosing or encasing a product into suitable packets or
container, for easy and convenient handling of the product by
both, the seller and specially the buyer. Packaging facilitates
the sale of a product. It acts as a silent salesman. For example,
a fancy and decorative packaging of sweets, biscuits etc. On
the eve of Dewali makes for a good sale of such items.
Labeling means putting identification marks on the package of
the product. A label provides information about date of packing
and expiry, weight or size of product, ingredients used in the
manufacture of the product, instruction for sales handling of the
product, price payable by the buyer etc. Labeling is a strong
sales promotion tool. The consumer who is persuaded to read
the label may, in fact, try to buy the product, even though
he/she had no such premeditation (advance idea).
 Warehousing: Storage or warehousing is that logistical activity
which creates time utility by storing goods from time of
production till the time theses are needed by the ultimate
consumers. The management has to decide about: the number
and type of warehouses needed the location of warehouses.
The above two decisions depends on the desired level of
customer service and the distance between the supply source
and final destination i.e markets.
 Transportation: Transportation is that logistic activity which
creates place for utility. Transportation is needed for: Movement
of raw materials from suppliers to manufacturing unit,
movement of work-in-progress within the factory or plant,
movement of finished goods from plant to the final consumers.
The major transportation system include: railways, roadways,
airways, waterways and pipeline. The choice of a particular
mode of transportation is dependent on a balancing of the
following considerations: speed of transportation system, cost
involved in transportation, safety in transportation, reliability of
transportation time schedules and numbers of locations served
etc.
 Information: Logistic is basically an information based activity
of inventory movement across a supply chain. Hence an
information system plays a vital role in delivering a superior
service to the customers. Use of Information Technology (IT)
tools for information identification, access, storage, analysis,
retrieval and decision support which is support which is vital
among the functions of logistics is helping business firms to
enhance their competitiveness.
THE 7Rs OF LOGISTICS
For further expectation concerning the function of logistics management a
critical look at the 7rs of logistics as a defined by the chartered institute of
Logistics and Transport UK (2001) a Getting the Right Condition, at the
Right place, at the Right time, to the Right customer at the Right police”.

This definition is useful because it explains the functions of logistics, getting


things moved about in a synchronized fashion to meet a specific criterion
such as timeliness, condition and correct place.

Another definition that also reflects the 7Rs of logistics is “The process of
planning, implementing and controlling the efficient and effective forward
and reverse flow and storage of goods, services and related information
from point of origin to point of consumption for the purpose of meeting
customer requirement. Many of the Rs of logistics are about planning,
implementing and controlling movement to meet some form of customer
requirement in effect highlighting the customer service aspect of logistics.

Logistics Management Challenges

In present day global economics, logistics management plays a crucial role


in facilitating trade and ensuring the success of business operations. The
most prominent daily logistics management challenges include:

 Customer Service
Logistics management is about providing the right product in the right
quantity to the right place at the right time. One of the significant
challenges in the logistics industry is that customers want fill
transparency into where their delivery is at every point in transit. A
customer’s shipment location is currently as interconnected as your
social network. As customer’s expectations have increased, their
willingness to pay for fast shipping has decreased, with about 64% of
customers unwilling to pay anything extra for less than two days
shipping.
 Transport Cost Control
Another significant logistics challenge for logistics manager is
controlling cost in transportation budget. Fuel price are among the
highest contributing factors to transportation budget concerns. This
year, the fuel price increase will increase transportation cost for
Nigeria shippers by pushing fuel surcharges.
 Planning and Risk Management
To say as efficient as possible, periodic assessment and
optimizations of each business sector are necessary. The
adjustments are put in place in response to changes in the market,
such as new product launches, global searching, credit availability,
and the protection of intellectual property. Logistics managers must
identify and quantify these risks to control and moderate them.
 Supplier/ Partner Relationship
It is vital for suppliers and partners to create, understand, and follow
mutually agreed-upon standards to understand current performance
and opportunities for improvement better. When a supplier and
partner have different communication measures, it leads to an
insufficient supply chain and wasted time.
 Government and Environmental Regulations
Carrier face significant compliance regulations imposed as federal,
state and local authorities. As well as federal laws, environmental
issues such as the anti idling and other emission reduction
regulations created by state and local government have created
concern that the compliance cost called exceeds their benefits.
With the landscape of business operations continuously changing,
there is a shift in the challenges. Therefore, staying up to date with
these changes and taking preemptive measures to ward off
challenges is a sign of successfully logistics management.
CHAPTER THREE
RESEARCH METHODOLOGY

3.1 RESEARCH DESIGN

This project adopt the survey method for the research design, this is
carried out using designed and structured questions geared towards
collecting data from the stakeholders in reference to the topic. The
responses to the questionnaire form a robust source of data for this project
work. The adoption of the survey method through the questionnaire gives a
more accurate consensus, less expensive in term of cost and also more
efficient and effective result.

3.2 DATA COLLECTING INSTRUMENTS

Research itself is a means by which knotty problems are solved, in


our attempt to push back the frontier of human ignorance. It is a systematic
quest for undiscovered truth. In pursuit of this undiscovered truth, a
research needs facts, published document from primary and secondary
sources. The secondary sources used for this project work ranges from
information from textbook, journals, periodicals, articles, seminar papers,
newspapers, magazines and internet. The main primary source of data for
this project work includes:

 QUESTIONNAIRE

This serve as the major source of data collecting instrument for this
project work. It is expectant to embark on the use of questionnaire taking
into consideration the large sample size and the wide area coverage of the
topic (the entire south western region of Nigeria). The questionnaire are
structured to allow responses of Agree (A) or Disagree (D) from the
respondent without fear to generate a biase free result. A total of fourteen
questions form the questionnaire toward generating or drawing a circible
and unbase conclusion about eh project topic.

 Observation
This involves the physical presence and witnessing of the logistic
management operation of dangote flour mills (Apapa plant) to
enhance the evaluation of the performance of the logistics
management strategic, tactical and operational plans toward
customers’ satisfaction through timely shipment and transportation of
their orders to them within the agreed timeframe.
 Interview
Personal interview were concluded with the staff of Dangote floor
mills. Logistics and distribution department third party logistics,
customers of Dangote Flour Mills and distributors also serve as a
booster to the data and information used in the course of this project
work. Much emphasis were laid concerning the inbound logistic and
outbound logistics at this stage of this project work. Also the activities
of few suppliers of raw materials to Dangote Flour Mills came under
scrutiny through interview.

3.3 Research Population and Sample Size

Considerable the importance of flour in the food supply chain of


Nigeria and the wide range coverage of this project work (South Western
region of Nigeria), the research population and sample size covers the six
states that form the region i.e Lagos, Ogun, Oyo, Ondo, Osun and Ekiti
State. Each of these states have equal representatives of fifteen population
with additional ten from Dangote Flour Mills logistic and distribution
department as well as the third party logistics. Therefore the population
stood at one hundred. The total number of completed and returned
questionnaire stood at sixty six. Six of these completed and returned
questionnaires were faultily completed and cannot be use for further
statistical analysis. Therefore the simple size for the purpose of this project
work is sixty. It is worthy to note that questionnaires to the logistics and
distribution department of Dangote Flour Mills were honestly and
transparently completed and return as well as those allotted to the Third
Party logistics. At the state level within the South Western region, Lagos
State 15, Ogun State 8, Oyo State 9, Osun State 5, Ondo State 8, and Ekiti
State 5, making a total of 50 respondents added to the 10 respondents of
Dangote Flour Mills logistic and distribution department ans third party
logistics, all together making sixty which form the sample size.

3.4 Limitation and Constraints

The process and procedure of data collection is a very important


stage in any project work and therefore serves as “bedrock” on which a
project work laid. This important stage cannot go without encountering
problems, constraints and limitations. Among the limitations and constraint
are:

 Accessibility to strategic management staff of logistics and distribution


department of Dangote Flour Mills as well as top management staff of
thirty party logistics for interview was a major constraints, as most of
these top management staff of thirty party logistic for interview was a
major constraints, as most of these top management staff are always
busy with other official responsibilities and where time were created, the
created time were so short for an in-depth interview on the subject
matter.
 Other staff of Dangote floor mills did not want to contribute anything, as
most of them see logistics as a sensitive issue which cannot be
commented on by lower grade staff
 The vast area coverage of their project work posed a great constraint,
considering the process of distribution of questionnaire in the six state
that makes up the south western region of Nigeria, and collection of the
questionnaire on completion from these important stakeholder that form
the simple size. This is emphatically talking of the time which seems too
short to carrying out an all encompassing and inchissine project work
on an important project topic of this magnitude.
 The peculiar problem of traffic congestion in Lagos missed it ugly head
in the course of this project work most especially in reaching Apapa
which housed Dangote Floor Mills Plant as well as reaching the
important stakeholders and distributors of Dangote floor in the city. A
considerable number of man hours were wasted in the ever busy Lagos
roads.
 Some of the customers of Dangote Floor sand number of distributors
displayed high level of ignorance in reference to the Logistic activities of
Dangote Floor mill as well as the use of third party logistics (3PL) to
ensure timely arrival of products for consumption and further distribution
by distributors. As a result certain as stock out time this was noticeabke
mostly on stakeholders outside Lagos.
 Bad road network created a limitation in this project work as a number
of consumer location are not easily accessible due to poor road
network.
 The few number of distributors of Dangote Floor Mills in states outside
Lagos created a limitation as some consumer complaints of their
inaccessibility to the products of Dangote Floor Mill, mostly in towns
outside the states capitals.
 The national economic situation prevailing presently became an issue
in the course of date collection for this project work, as many
respondents requested for financial gratification as a condition for the
completion of the questionnaire.
 The huge financial base required for data collection in a project of this
broad based magnitude is not readily available. Finance for
questionnaire distribution, logistics, printing as well as data for internet
research is not available to cover to a wider extend as intended by the
researcher.
CHAPTER FOUR

DATA PRESENTATION, ANALYSIS AND INTERPRETATION

This chapter will examine the data presentation, analysis and


interpretation of the study by using simple statistical formular of percentage
for responses from the respondents to the questionnaire. Also, simple
percentage method will be applied to the socio-demographic features of the
respondents which includes sex, marital status, age, educational
qualification and religion.

4.1 DATA PRESENTATION, ANALYSIS AND INTERPRETATION

SECTION A: SOCIO DEMOGRAPHIC FEATURES OF RESPONDENTS

Table 1: Sex distribution of Respondents

Variables No of Respondents Percentage (%)


Male 45 75
Female 15 25
Total 60 100
Source: Field survey, 2023

Table 1 shows that majority of the respondent i.e forty five (45)
representing 75% are male, the remaining fifteen respondents (15)
representing 25% are female this indicate that the respondents for this
project is male dominated

Table 2: Marital Status Distribution of Respondents

Variables No of Respondents Percentage (%)


Single 5 8.33
Married 47 78.34
Divorced 5 8.33
Widow & Widower 3 5
Total 60 100
Source: Field Survey, 2023

Table 2 shows clearly that forty seven respondents (47) representing


78.34% are married, five respondents (5) representing 8.33% are single
and the same respondents of five (5) is applicable to the divorced, the
remaining three respondents (3) represented by 5% are widows and
widowers.

Table 3: age Distribution of Respondents

Variables No of Respondents Percentage (%)


20 – 30yrs 6 10
31 – 40yrs 12 20
41 – 50yrs 30 50
51 – 60yrs 9 15
61 and above 3 5
Total 60 100
The above table reveals that majority of the respondents thirty (30)
represented by fifty percent (50%) are within the age bracket of 41 and
50years, twelve respondents (12) represented by twenty percent (20%) are
between the age bracket of 31 and 40years, nine respondents (9) standing
for fifteen percent (15%) are between the age of 51 and 60years, age
bracket 20 and 30years is represented by six respondents (6) represented
by ten percent (10%), the remaining three respondents (3) representing five
percent (5%) are age 61 and above.
Table 4: Profession Distribution of Respondents

Variables No of Respondents Percentage (%)


Logistics Managers 6 10
Third Party Logistics Managers 4 6.66
Bakers and eateries 25 41.67
Distributors 10 16.67
Other customers and 15 25
consumers
Total 60 100
Source: Field Survey, 2023

Table 4 shows that majority of the respondents twenty five (25)


representing 41.67% are bakers and eateries, fifteen respondents (15)
represented by twenty five percent (25%) are other customers and
consumers, ten respondents (10) represented by 16.67% are distributors,
six respondents (6) representing ten percent (10%) are professional
logistics managers, the remaining four respondents representing 6.66% are
third party logistics operators.

Table 5: Educational Qualification of Respondents

Variables No of Respondents Percentage (%)


SSCE and WASC 6 10
NCE and OND 15 25
HND and BSC 30 50
MSC 6 10
Others 3 5
Total 60 100
Source: Field Survey, 2023
It is clear from table 5 above that thirty respondents representing fifty
percent (50%) are holders of Higher National Diploma (HND) and Bachelor
of Science (BSC) by educational, fifteen respondents (15) represented by
twenty five percent (25%) are National Certificate of education and
Ordinary National Diploma (OND) holder by educational qualification,
twelve respondents (12) representing twenty percent (20%) is share
equally of six respondents (6) and ten percent (10%) between senior
school certificate examination and West Africa School Certificate and
Masters of Science (MSC), the remaining three respondents (3) standing
for five percent (5%) are holders of other educational qualifications that are
not mentioned above.

Table 6: Religious Distribution of Respondents

Variables No of Respondents Percentage (%)


Christianity 27 45
Islam 27 45
Others 6 10
Total 60 100
Source: Field Survey, 2023

Table 6 shows that Christianity and Islam have the same representation of
twenty seven respondents each (27) representing forty five percent (45%)
while the remaining six respondents representing 10% belongs to other
religious.

SECTION B

The responses to the structured questions will be presented, analyzed and


interpreted using simple percentage statistical approach.

Question 1: Logistics is an important requirement for every endeavour of


mankind in business either small or big.

Table 7

Variables No of Respondents Percentage (%)


Agree 49 81.67
Disagree 11 18.33
Total 60 100
Source: Field Survey, 2023

Table 7 above shows that forty nine respondents (49) representing 81.67%
agree that logistics is an important requirement for every business
endeavour of mankind in business either small or big, the minority
respondents of eleven (11) represented by 18.33% disagree that logistics is
an important requirement for every business endeavour of mankind in
business either small or big.

Question 2: Logistics management covers wider range of activities


compared to transportation.

Table 8

Variables No of Respondents Percentage (%)


Agree 45 75
Disagree 15 25
Total 60 100
Source: Field Survey, 2023

From the above table forty five respondents (45) representing seven five
percent (75%) agree that logistics management covers a wider range of
activities compared to transportation, the remaining fifteen respondents
(15) representing twenty five percent (25%) disagree that logistics
management covers a wider range of activities compared to transportation.

Question 3: Logistics Management has really helped Dangote Flour Mills in


reaching out to its numerous customers in the South Western geo political
zone of Nigeria from its Lagos factory.

Table 9:

Variables No of Respondents Percentage (%)


Agree 33 55
Disagree 27 45
Total 60 100
Source: Field Survey, 2023

Table 9 shows that thirty three respondents representing fifty five percent
(55%) agree that logistics management has really helped Dangote Flour
Mills in reaching out to its numerous customers in the South Western geo
political zone of Nigeria from its Lagos factory, while twenty seven
respondents (27) represented by forty five percent (45%) disagree that
logistics management has really helped Dangote Flour Mills in reaching out
to its numerous customers in the South Western geo political zone of
Nigeria from its Lagos factory.

Question 4: Dangote Flour Mills products are major competitors in the


market most especially in the South Western geo political zone of Nigeria.

Table 10

Variables No of Respondents Percentage (%)


Agree 25 41.67
Disagree 35 58.33
Total 60 100
Source: Field Survey, 2023

Table 10 above shows that twenty five respondents (25) represented by


41.67% agree that Dangote Flour Mills products are major competitors in
the market most especially in the South Western geo political zone of
Nigeria, the majority of thirty five respondents (35) representing 58.33%
disagree that Dangote Flour Mills products are major competitors in the
market most especially in the South Western geo political zone of Nigeria.

Question 5: Inbound logistics management strategy of Dangote Flour Mills


plc is formidable enough to making raw materials available for production
all the production year round.

Table 11:

Variables No of Respondents Percentage (%)


Agree 50 83.33
Disagree 10 16.67
Total 60 100
Source: Field Survey, 2023

Table 11 shows that fifty respondent (50) representing 83.33% agree that
inbound logistics management strategy of Dangote Flour Mills plc is
formidable enough to making raw materials available for production all the
productive year round, the remaining ten respondents (10) representing
16.67% disagree that inbound logistics management strategy of Dangote
Flour mills plc is formidable enough to making raw materials available for
production all the production year round.

Question 6: Proper and logistics management is an important element to


remain competitive in the market.

Table 12:

Variables No of Respondents Percentage (%)


Agree 47 78.33
Disagree 13 21.67
Total 60 100
Source: Field Survey, 2023

Table 12 shows vividly that forty seven respondents (47) representing


78.33% agree that proper and adequate logistics management is an
important element to remain competitive in the market, which thirteen
respondents (13) disagree that proper and adequate logistics management
is an important element to remain competitive in the market.

Question 7: An effective and efficient cost management logistics strategy is


an important element in assessing the performance of an organisation and
in the achievement of its overall objectives.
Table 13

Variables No of Respondents Percentage (%)


Agree 38 63.33
Disagree 22 36.67
Total 60 100
Source: Field Survey, 2023

The above table vividly show that thirty eight respondents (38) representing
63.33% agree that an effective and efficient cost management logistics
strategy is an important element in assessing the performance of an
organization and in the achievement of it all objectives, while the remaining
twenty two respondents (22) representing 36.67 disagree that an effective
and efficient cost management logistics strategy is an important element in
assessing the performance of an organisation and in the achievement of its
overall objectives.

Question 8: Middlemen and end users are happy with the logistics
management arrangement of Dangote Flour Mills plc as compared to their
competitors.

Table 14

Variables No of Respondents Percentage (%)


Agree 35 58.33
Disagree 25 41.67
Total 60 100
Source: Field Survey, 2023

Table 14 shows that thirty five respondents (35) representing 58.33% agree
that middlemen and end users are happy with the logistics management
arrangement of Dangote Flour mills plc as compared to their competitors,
while the remaining twenty five respondents representing 41.67% disagree
that middlemen and end users are happy with the logistics management
arrangement of Dangote Flour Mills plc as compared to their competitors.

Question 9: Logistics management provides an instruments or system to


step up customer’s satisfaction.

Table 15

Variables No of Respondents Percentage (%)


Agree 32 53.33
Disagree 28 46.67
Total 60 100
Source: Field Survey, 2023

Table 15 shows that thirty two respondents representing (53.33%) agree


that logistic management provides an instrument or system to step up
customer satisfaction, twenty eight respondent eight respondent
representing 46.67% disagree tgha5t logistic management provides an
instrument or system step up customer satisfaction.

Question 10: The logistics and distribution team of dangote Flour Mills plc
is strong enough to face logistic competition from other flour mill
companies.

Variable No of respondent Percentage (%)


Agree 47 78.33
Disagree 13 21.67
Total 60 100
Source: Field survey 2023

Table 16 show clearly the majority respondent of forty seven (47)


represented by 78.33 agree that the logistic and distribution team of
dangote flour mills plc is strong enough to face logistic competition from
other floor mill companies, the remaining thirteen respondent (13)
representing 21.67% disagree that the logistic and distribution team of
Dangote flour mills plc is strong enough to face lo9gistic competition from
other flour mill companies.

Question 11: The overall objectives of an organization may be difficult to


achieve without a strong and reliable logistic management department.

Table 17

Variables No of Respondents Percentage (%)


Agree 40 66.67
Disagree 20 33.33
Total 60 100

Source: Field survey 2023

The above table show that majority of firstly respondent (40)


represent 66.67% agree that the overall objectives of an organization may
be difficult to achieve without a strong and reliable logistic management
department, the remaining twenty respondent representing 33.33%
disagree that the overall objective of an organization may be difficult to
achieve without a strong and reliable logistic management department.
Question 12: The outbound logistic management strategy of Dangote Flour
mill plc is strong enough to making finished product available to middlemen
(Distribution) as well as end users (customer) before reaching stock out of
time.

Table 18

Variables No of Respondents Percentage (%)


Agree 43 71.67
Disagree 17 28.33
Total 60 100

Source: Field survey 2023

Table 18 reveals that forty three respondent representing (71.67%)


agree that the outbound logistic management strategy of dangote flour mill
is strong enough to making finished products available to middlemen
(Distribution) as well as end users (customers) before reaching stock out
time, the remaining seventeen respondent (17) disagree that the outbound
logistic management strategy of dangote flour mills plc is strong enough to
make finished product available to middlemen (Distribution) as well as end
users (customer) before reaching the stock out of time

Question 13: The success of Dangote flour mill plc in the competitive south
western geo political zone is a function of an effective and efficient logistics
and distribution management system.

Table 19

Variables No of Respondents Percentage (%)


Agree 35 58.33
Disagree 25 41.67
Total 60 100
Source: Field Survey, 2023

From the above table it is vividly shown that thirty five respondents (35)
representing 58.33% agree that the success of Dangote Flour Mills plc in
the competitive South Western geo political zone is a function of an
effective and efficient logistics and distribution management system, while
the remaining twenty five respondents (25) disagree that the success of
Dangote Flour Mills plc in the competitive South Western geo political
zones is a function of an effective and efficient logistics and distribution
management system.

4.2 TEST OF HYPOTHESES

The chi square (X2) statistical analysis tool is adopted for the testing
of two hypotheses in this project work.

HYPOTHESIS 1

H0 (NULL): An effective and efficient cost management logistics strategy is


an important element in assessing the performance of an organisation and
in the achievement of its overall objectives.

H1 (ALTERNATE): An effective and efficient cost management logistics


strategy is an important element in assessing the performance of an
organisation and in the achievement of its overall objectives.

Responses from the respondents to questions 4, 7, 9, 11 and 13 shall be


used to test this hypothesis.
Responses Q4 Q7 Q9 Q11 Q13 Total
Agree 25 38 32 40 35 170
Disagree 35 22 28 20 25 130
Total 60 60 60 60 60 300
Expected frequency

Agree ε = Row x Column = 60 x 170 = 10200 =34


Grand Total 300 300

Disagree ε = Row x Column = 60 x 130 = 7800 = 26


Grand Total 300 300

Degree of freedom V

V = (nr – 1) (nc – 1)

V = (2 – 1) (5 – 1)

V = (1) (4)

V=4

Level of significant = 0.05

X2 table of value = 9.488

Expected frequency table

O O–Ɛ o−¿ √ n2

Ɛ
Ɛ Ɛ n2
o−¿
ε
25 34 -9 81 2.382
35 26 9 81 3.115
32 34 4 16 0.470
22 26 -4 16 0.615
32 34 -2 4 0.117
28 26 2 4 0.153
40 34 6 36 0.058
20 26 -6 36 0.384
35 34 1 1 0.029
25 26 -1 1 0.038
9.361
Criterion for Decision

If the calculated value from the expected frequency table is less than (<)
the chi square table of value do not reject H0. But if the calculated value
from the expected frequency table is greater (>) the chi square table of
value rejects H0. From the expected frequency table, the calculated value
is 9.361 which is less than the chi square table of value of 9.488.

Therefore the H0 (NULL) hypothesis which state that “An effective and
efficient cost management logistic strategy is an important element in
assessing the performance of an organisation and in the achievement of its
overall objectives” is hereby accepted, while the H1 (ALTERNATE)
hypothesis which states that “An effective and efficient cost management
logistic strategy is an important element in assessing the performance of an
organisation and in the achievement of its overall objectives” is hereby
rejected.

HYPOTHESES 2

H0 (NULL): Logistics management has really helped Dangote Flour Mills


plc in reaching out to its numerous customers in the South Western geo
political zone of Nigeria from its Lagos factory.
H1 (ALTERNATE): Logistics management has really not helped Dangote
Flour Mills plc in reaching out to its numerous customers in the South
Western geo political zone of Nigeria from its Lagos factory.

Responses to questions 3, 5, 8, 10 and 12 from the respondents shall be


used for the testing of this hypothesis

Responses Q3 Q5 Q8 Q10 Q12 Total


Agree 33 50 35 47 43 208
Disagree 27 10 25 13 17 92
Total 60 60 60 60 60 300
Expected frequency

Agree ε = Row x Column = 60 x 208 = 12480 = 41.6


Grand Total 300 300

Disagree ε = Row x Column = 60 x 92 = 5520 = 18.4


Grand Total 300 300

Degree of Freedom V

V = (nr – 1) (nc – 1)

V = (2 – 1) (5 – 1)

V = (1) (4)

V=4

Level of Significant = 0.05

Chi square table of value = 9.488

EXPECTED FREQUENCY TABLE


O O–Ɛ o−¿ √ n2

Ɛ
Ɛ Ɛ n2
o−¿
ε
33 41.6 - 8.6 73. 96 1. 777
27 18.4 8.6 73. 96 4. 019
50 41.6 8.4 70.56 1. 696
10 18.4 - 8. 4 70.56 3. 834
35 41.6 - 6.6 43.56 1. 047
25 18.4 6.6 43.56 2. 367
47 41.6 5.4 29.16 0.700
13 18.4 - 5.4 29.16 1. 584
43 41.6 1.4 1.96 0.047
17 18.4 - 1.4 1.96 0.106
17. 777
CRITERION FOR DECISION

If the calculated value from the expected frequency table is less than (<)
the chi square table of value do not reject H0 (NULL) hypothesis. But if the
calculated value from the expected frequency table is greater (>) the chi
square table of value rejects the H0 (NULL) hypothesis.

The calculated value from the expected frequency table is 17.777 which is
greater than (>) the chi square table of value of 9.488.

Therefore the H0 (NULL) hypothesis which state that “Logistics


management has really helped Dangote Flour Mills plc in reaching out to its
numerous customers in the South Western geo political zone of Nigeria
from its Lagos factory” is hereby rejected, while the H1 (ALTERNATE)
hypothesis which state that “Logistics management has really not helped
Dangote Flour Mills plc in reaching out to its numerous customers in the
South Western geo political zone of Nigeria from its Lagos factory” is
hereby accepted.
CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATION

5.1 SUMMARY

Organizational managers are being asked to focus on supply chain


function such as logistics to bolster the competitiveness of the supply
chains in which their organizations are integral partners. Does such a
supply chain focus ultimately result in improved performance? This study
provides evidence that a supply chain focus will enhance logistics
performance, which will ultimately result in improved organizational
performance. As manufacturers work to improve the logistics processes,
they supply their organisation’s supply chain strategy resulting in improve
performance for the overall supply chain and ultimately their manufacturing
organizations.

5.2 CONCLUSION

This study considers the impact of logistics management on


organizational performance. Based on the responses respondents of the
Dangote Flour Mills, Lagos. We found that transport management and
logistics has not really helped Dangote Flour Mills plc in reaching out to its
numerous customers in the South Western political region of Nigeria from
the Lagos factory. The need for material movement along the supply chain
put transport management at the core of logistics which is why
organizations must pay proper attention to transport management if they
want to record success in logistics management. It has also been proven
that inventory management control contributes largely to productivity within
an organisation. Inventories are vital to the successful functioning of
manufacturing and retailing organizations. They may consist of raw
materials, work in progress (WIP), spare parts/ consumables, and finished
goods. It is not necessary that an organisation has all these inventory
classes. But, whatever may be the inventory items, they need efficient
management as, generally a substantial share of its funds is invested in
them. This therefore reiterates the conclusion that An effective and efficient
cost management in assessing the performance of an organisation and in
the achievement of its overall objectives.

In the same vein, employees in organisation will perform efficiently if there


is a proper flow of information within the organisation. Information flow
management ensures seamless flow of information from the top level to the
lower core of management. Therefore, organisation must realize that
communication is an important component of organisation activity as it will
help employees to understand what is expected of them during the logistics
management process.

5.3 RECOMMENDATION

After a detailed assessment of the impacts of logistics management


on organizational performance using Dangote Flour Mills as a case study,
the following recommendations are suggested

 Organizations include Dangote Flour Mills plc should incorporate


transport management in their operational processes such as proper
fleet management, vehicle scheduling, route planning, proper
maintenance of vehicles in other to ensure procurement of raw
materials and distribution of products in order to increase overall
cost efficiency, enhanced market hare, reduced lead time thereby
impacting positively on their performance.
 Inventory management should be enhanced as it will help to
improve productivity within the organisation. High level of inventory
management will tie down capital of the organisation, so one of the
major focuses in formulating strategic plan of a manufacturing
organisation should be inventory management. Also, various
inventory management strategies such as just-in-time (JIT) should
be used to manage the stocks that are kept in storage, increase
efficiency; decrease waste by receiving goods only as they need
them for the production process which reduces inventory costs and
economic order quantity (EOQ) should be used to minimize the total
holding and ordering costs.
 There should be

BIBLIOGRAPHY

 India free notes (meaning, basic concept of logistics management)


https://indiafreenotes.com/meaning-basic-concepts-of-logistics-
management
 Siddharth Sai (Logistics management: Concept, significance and key
activities)
www.yourarticlelibrary.com/business/logistics-management/
logsticsmanagement-concept-significance-andkeyactivities/69534
 Concept of supply chain, supply chain management and its drivers
www.linkedin.com/pulse/concept-supply-chain-management-its-
drivers-manish-jha
 Manoj Sharma
www.yourarticlelibrary.com/goods/4-basic-reasons-for-the-rise-of-
logistics/49195
 Flock Freight (Inbound and outbound logistics)
www.flockfreight.com/blog/inboumd-and-outbound-logistics/
 PLs Logistics Services (5 key Logistics Management Challenges
www.plslogistics.com/blog/5-challenges-that-logistics-managers-face-
every-day/
QUESTIONNAIRE

Institute of Transport and Management

Technology.

Klm 43, Lagos Badagry Expressway

Agbo Malu Bus stop, MTN, Badagry,

Lagos.

Dear respondent,

REQUEST TO COMPLETE QUESTIONNAIRE

I am an Associate Degree final year student of the above named institution


and currently carrying out a research work on the project topic “THE
IMPACTS OF LOGISTICS MANAGEMENT ON ORGANISATIONAL
PERFORMANCE (A CASE STUDY OF DANGOTE FLOUR MILL PLC)

Therefore, your first answer to these questions will be highly appreciated as


they will help a great deal.

Be assured that all information given will be specifically used for academic
purpose and will be treated with ultimate confidence.

Thanks in anticipation of a timely completion of the questionnaire.

Yours Faithfully,

Omotosho Ayomide Joel


INSTRUCTION: Please kindly complete the information required in the
questions below and tick (√ ) appropriately in the box that suit your option.

SECTION A (PERSONAL INFORMATION OF RESPONDENTS)

1. Sex: Male Female


2. Age: 20 – 30yrs 31 – 40yrs 41 – 50yrs 51 – 60yrs
61 and above
3. Marital status: Single Married Divorced Widow and
widower
4. Educational Qualification: FSLC WASC and SSCE NCE &
OND HND & BSC MSC
5. Religion: Christianity Islam Others

SECTION B
A D
INSTRUCTION: Please indicate whether you Agree or Disagree
with the structured questions by ticking (√ ) the appropriate box that entails
the options of your best choice.

1. Logistics is an important requirement for every endeavour of mankind


in business either small or big.
2. Logistics management covers wider range of activities compared to
transportation.
3. Logistics Management has really helped Dangote Flour Mills in
reaching out to its numerous customers in the South Western geo
political zone of Nigeria from its Lagos factory.
4. Dangote Flour Mills products are major competitors in the market
most especially in the South Western geo political zone of Nigeria.
5. Inbound logistics management strategy of Dangote Flour Mills plc is
formidable enough to making raw materials available for production
all the production year round.
6. Proper and logistics management is an important element to remain
competitive in the market.
7. An effective and efficient cost management logistics strategy is an
important element in assessing the performance of an organisation
and in the achievement of its overall objectives.
8. Middlemen and end users are happy with the logistics management
arrangement of Dangote Flour Mills plc as compared to their
competitors.
9. Logistics management provides an instruments or system to step up
customer’s satisfaction.
10. The logistics and distribution team of Dangote Flour Mills plc is
strong enough to face logistic competition from other flour mill
companies.
11. The overall objectives of an organization may be difficult to achieve
without a strong and reliable logistic management department.
12. The outbound logistic management strategy of dangote flour mill plc
is strong enough to making finished product available to middlemen
(Distribution) as well as end users (customer) before reaching stock
out of time.
13. For Dangote Flour Mills to succeed and remain in a competitive
market, the need for an efficient logistics management cannot be
overemphasized.

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