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IMPACT OF QUALITY CONTROL AS AN
EFFECTIVE TOOL IN PRODUCT STANDARDIZATION
CHAPTER ONE
INTRODUCTION
1.1
BACKGROUND
OF THE STUDY
Product quality and price constitute vital factors that consumers
consider in the choice of product. Unfortunately however, the qualities of
products continue to decline due to a number of factors. First and foremost,
the production cost and other considerations have placed a heavy burden on
product quality since as the economy weakens, the quality of a products is
being sacrificed for quality at a relatively lower price. Secondly, most
manufacturer have a realization that to survive in a recessionary economy such
as ours, there is the need to review prices downwards to induce patronage from
the low income groups all these are threats to quality.
In the seven-up Bottling company industry the nature of the existing
completion where by foreign manufactures dominates the markets in Nigeria
provides serious challenge to the indigenous manufacturers. Foreign products
are often preferred by most Nigerians on the basis of quality, durability,
price, colours, etc. this constitute an important competitive advantage to the
foreign manufacturers and a threats to the indigenous company.
This calls for effective quality control in our seven-up industry to
enhance product standardization and to favourably compete with other producers.
This study is an attempt to provide a realistic approach to quality
control in seven-up bottling company.
Quality control is the comparison of products and services with a set
standard. Total quality involves customer satisfaction by building in and
ensuring quality from product planning to production, purchasing sales and
services. In total Quality Management (TQM), everybody is involved and not just
the quality control staff alone.
1.2
STATEMENT
OF THE PROBLEM
The quality of product may be defined in terms of its kinds, type,
character, property, degree of goodness or excellence.
However, most present day, goods including seven-up company are
produced or manufactured by massive production method on machines which
repeatedly produce almost identical units owning to the uncontrollable
variation in the quality of the processing machines, variation of the
manufactured product are bound to occur.
If a company’s product is to satisfying the customer’s requirement,
then it is necessary for the company to establish standard for the functions
and appearance aspects of its products as well as for the durability
requirement, then this is the general requirement for setting up an quality
control department to ensure that standards is adhere to.
Quality of seven-up products some times fail to meet specification
because of some assignable causes, defective materials, improper setting of
equipments, operation errors, manpower and many others unassignable causes
because it cost the same amount to produce goods unit, emphasis should be on
prevention rather than error detection.
Thus, the attainment of suitable quality depends upon the appropriate
human performance or behavior when the product is being made. Consequently,
conflict arises between quality control personnel and production personnel,
when this happens, it is the managers responsibility to resolve the conflict.
In the economic depression in our society today, man becomes corrupt and can go
at any length to compromise standard for their personal benefits.
1.3
OBJECTIVES
OF THE STUDY
Against the background of the enumerated of the organization, the
following are the objective of the study.
1. To
examine the process of quality control technique in printing industries in
particular to Seven Up Bottling Company.
2. To
also highlight it importance in reducing the cost of correcting effective
product in printing industries in particular to 7Up Bottling Company.
3. To
also determine the impact of quality control techniques on profitability in
printing industries in particular 7Up Bottling Company.
4. To
preset impartial fulfillment of the requirements for the award of Higher
National Diploma in productions and operation management.
1.4
STATEMENT
OF HYPOTHESIS
Hypothesis is a statement of facts that has not being practically
tested. It is an opinion or suggestion put for ward as a starting point for
investigation leading to some findings.
To guide this study, the null hypothesis (Ho) and the working
hypothesis (Hi) are developed by the researcher to be tested and a decision in
either to accept or reject any of the hypothesis will be taken.
Ho - Null Hypothesis
H1 -Working Hypothesis
H0:
Quality control techniques does not
have significant impact on product standardization of an organization.
H1: Quality control techniques
have significant impact on product standardization of an organization.
1.5
SIGNIFICANCE
OF THE STUDY
The significance of the study is to enlighten corporate bodies,
individuals and numerous organization on the need for quality control and
product standardization of both money and capital markets and to facilitate
their understanding of how they can mobilize capital with minimum difficulty.
Therefore, the study will have a stimulating significance to students
and scholars intending to enhance their acknowledge in this filed.
1.6
SCOPE
OF THE STUDY
This study of quality control as an effective tool in product standardization
is the aim of research to beyond the elementary understand the subject at hand.
To enlighten the reader and given deep insight or illumination on quality
control in product standardization and their interaction, relationship, quality
connection, influences and enhancement that occur.
1.7
LIMITATION
OF THE STUDY
Actually, this piece of work ought to be voluminous than what it is not
but, due to the factors encountered by the researcher during the period which
are beyond my control.
The seven-up company plc-Kaduna, it is hoped that this write up will
bring about desired and improved change in their quality control process and
habit. Therefore, the project is aimed at examining the term quality control as
it affects the standard of a product.
Inadequate finance brought delay, time wasting and access to total
comprehensive information and data, hence, that is clearly understand or
financial crisis is part and Persil of student. The crash academic programme of
the researcher couple with lecturer combining service with supervising of
project pose problem or threat in its way.
Lack of prompt innovation and initiative ability by company staff and
new product failure. Financial deficiency by the company, all the process of
new quality product development involves money (huge amount). It is never done
over night, it takes time, labour.
Another factor that limiting the scope of this study was financial
constraint, since movement involved transportation. The researcher has to
reduce the number of times on contact with the company used as a case study.
There was also a problem of response from questionnaires distributed,
most of the customers and distributor of seven-up plc, products requested for
explanation before filling the questionnaire those who could not get
explanation return their questionnaire unfilled, while some did not complete
theirs, this provided inadequate information as to testing hypothesis.
More so, lack of adequate text book was another problem the researchers
work faced, since the researcher major work faced, since the researcher major
source information was from secondary source most of the text books required to
derive information, from were not available with all this problems, the
researcher has to rely on the few information gotten to carry out the research
work.
1.8
HISTORICAL
BACKGROUND OF THE CASE STUDY
Seven-up Bottling company Plc, one of Nigeria’s leading carbonated soft
drinks (CSD) manufacturers, was founded by Mr. Mohammed El-Khalil, a
Lebanese, in the year 1959. The company commenced operation on October
1st 1960, which conceded with Nigeria’s independence day, with just
one plant in Ijora-Lagos (now the administrative Head Office). Records showed
that, on that same day, a total of 14 cases of seven-up flavor were produced.
The company was quoted in the Nigerian stock exchange and went into
public offered in 1984. Through hard work and determination, the company has
been able to expand its plants and distributions network to all parts of the
country. Its greatest period of growth actually started in the early 80’s with
the opening of Ibadan plants (1980), Ikeja plant in 1981, Kano plant in 1985,
and Aba plant in 1989.
The acquisition of John Holt soft drinks brought Kaduna plant to lime
light in late 1989. The company later opened Benin plant in 1996, Ilorin plant
in year 2002, and Enugu plant in year 2002.
The company’s vision statement is to be most admired and innovative
company in Nigerian by year 2010”, the mission statement is to fresh and
inspire a youthful life style.
The company produces 7-up, pepsi,
mirinda orange, mirinda soda, mirinda lemon, mirinda apple, mirinda fruity,
mirinda tonic, mirinda tropical, teem lemon, and mountain dew.
1.9
DEFINITION
OF TERMS
Quality: Anything that confirms with ones
predetermined standard or specification.
Materials: These are components parts of raw materials
that are kept in the store house.
Specification: Is the statement of providing description
or list of characteristics or requirement laid down for materials component or
process of services.
Quality
Control: The process of setting standards
for acceptability for goods purchase and produced by the organization base on
the acceptance or rejection of materials upon the standard.
Standard: Level often used as a test or measure for
weight, length, qualities or for the require degrees of excellence.
Standardization: This is to make one size, shape, quality etc,
according to fixed standards.
Cost: This is the monetary value of goods purchase.
Reliability: Products
or services that can be relied upon as a result of its quality, performing up
to expected standard.
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