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AN EVALUATION OF PRODUCTION PROCESSES AND CAPACITY UTILIZATION

(A CASE STUDY OF NIGERIAN BREWERIES ENUGU)

 

CHAPTER ONE

INTRODUCTION

 

The result of the tendency of people to consume is to increase the capacity of production in the various aspects of human need. There arose the separation of management from ownership in this production function. A further development is the growth, organizational complexity and size, thus large organizations, management is divided into production, personnel management and finance as well as marketing. Other specifications are made as organizations need for them arises.

Production management is essential and basic to all organizations whether it is manufacturing or service. It should be pointed out that the survival of organization is dependent on how its production processes are managed. Barry Shord explains operations management in his book thus “any organization which transforms inputs into output is engaged in production”.

Percentage of capacity utilization measure relate output measures to inputs.

The brewing industry in Nigeria has passed through a stage of total importation of a foreign products to stage where some beer manufacturing companies now source their raw materials locally.

BARRY SHORE: Operations Management MC Graw Hill, International Company 1985 pg.30