Total Productivity at Firm Level: A Case Study of a steel Manufacturing Company in Osun State, Nigeria

Research Area: Volume 4 Issue 1, Jan. 2015 Year: 2015
Type of Publication: Article Keywords: Labour Capital, Raw Material, Total Productivity, Total Input
Authors:
  • Rasak Adedapo Adedoyin
  • Benjamin Olusesan Adegoke
Journal: IJEIR Volume: 4
Number: 1 Pages: 192-196
Month: Jan.-Feb.
ISSN: 2277-5668
Abstract:
Productivity performance has always been an important aspect in manufacturing. This measurement is essential to benchmark and improve a company’s performance. The total output could be regarded as the measure of performance of manufacturing firm with labour productivity as main contributing factor. This has led to manufacturing firm neglecting other measures of productivity. The total productivity of a steel manufacturing firm was determined for a period of five years using Craig and Harris model. The analysis carried out showed that years 2005 and 2008 had the lowest and highest total productivity level respectively. The computed partial productivity for these years are Labour = 4.87; 4.98 Capital = 4.76; 5.60 Raw Material = 5.76; 6.38 while the productivity Pt = 1.69; 1.85. The results revealed that labour cost is not the only factors of production that determines total productivity of a manufacturing firm; other factors of production such as materials, capital, miscellaneous are as well major determinant of productivity of such manufacturing firm. Therefore, this research work could serve as guiding information for manufacturing firms in determining their productivity level without just focusing on labour cost.

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