By Dr. Olaniyi Opanuga, PhD, FNIPM, FCIAM, FIMC, COPOM(c)  

President & Chairman of Council

Nigerian Institute of Production Management (NIPM)

    

1.0 OVERVIEW

President Bola Ahmed Tinubu made a remark as the Executive Governor of Lagos State on the occasion of the 2000 National Conference of Nigerian Institute of Production Management (NIPM) to the effect that the Institute has a unique role to play in the nation’s quest for improved productivity.

According to President Tinubu ‘’It is unfortunate that Nigeria ranks among nations whose workforce is least productive. I therefore wish to challenge the Institute to address this issue (of productivity) either now or at any of its future conferences’’

(Production Management Review vol. 6 No.1 January – April, 2001 P. 6)

In 2001 President Tinubu remarked that ‘’I have always been a firm advocate of adequate attention given to effective management of our production resources if our nation is to develop and this is what NIPM has managed to upload as one of its core objectives over the years…………

the role of your Institute is most profoundly important and it should now more than ever before do what it knows how to do best that is proffering solutions to our production problems’’ (Production Management Review vol. 7 No.1, 2004 P.5)

Nigerian Institute of Production Management (NIPM) works to increase production and productivity, improve operational efficiency and effectiveness, maximize value delivery. We do these by engaging the shareholders and helping organizations and people build capacity and develop competencies through practice standards – based education, training, certification, membership, consulting and advocacy. NIPM directly impacts the nation’s gross domestic product (GDP) growth as the monetary value of goods and services produced in the country increases with growing number of professional production managers who are able to drive operational excellence, continuous improvement, efficiency, quality, safety, productivity, maintainability, profitability and sustainability.

NIPM offers a unique avenue for all practitioners of production, manufacturing and operations management and associated supply chain and logistics to share information and ideas, employment opportunities, share new knowledge and best global practices for improved job and corporate performance. Continuous learning, connections and relationship building facilitate career development. Members are able to meet and connect with themselves at value chain linkages, industry sectorial and national levels.

Nigerian Institute of Production Management (NIPM) plays a critical role of producing high-level manpower that oversee, control and manage production systems and processes and administer operations across the key sectors of the nation’s economy such as agricultural, mining, energy (electricity, oil and gas), manufacturing, construction and service. The activities of NIPM impacts directly on national productivity and gross domestic product (GDP) growth rate.

2.0 A Brief Historical Perspective of NIPM

Nigerian Institute of Production Management (NIPM) emerged in the world’s professional practice lexicon in 1987 at a time when the Institute came on stream in 1987 it was a period Nigeria needed o diversify is economic base away from oil, boost agriculture, transit from import dependent to net   exporter of manufactured goods, promote applied research and indigenous technology, raise GDP growth rate and increase national productivity. Industrial production and capacity utilization needed a boost. ‘’Made – in – Nigeria’’, import substitution, utilization of local raw materials and export promotion were some of the trendy words on the lips of public policy makers and producers at the time.

The Institute swung into action by mobilizing all the stakeholders including the public policy makers, organized private sector, academics, industrialists and production managers from various industrial sub – sectors nationwide.

The Institute started with the setting of standards to regulate the professional practice of production and operations management, registration of government – owned and private sector organizations and individual practitioners that meet the minimum standards, embarked on industrial visitations, organizing educational, training and certification programmes backed by a comprehensive curriculum, engaging in research and distribution of publications, organizing public lectures, workshops, seminars and conferences among other activities. Communiques issued by the Institute and the series of presentations and delegations made to the Government have informed policy improvements and enhanced programme implementation over the years.

The Institute provided consultancy, expert facilitation and learning resources to many Federal and State Government – owned organizations as well as the Manufacturers Association of Nigeria (MAN) for many years. The professional network provided by the Institute helped to bridge the gap between academia, industry and the public sector leading to greater manufacturing efficiency and higher national productivity.

presenting the goodwill message from the presidency, Chief Philip Asiodu, Chief Economic Adviser to the former President, Chief Olusegun Obasanjo through Mr Bayo Olaniyi, Director, National Planning Commission (NPC), Dr. J.N Akanya, Director General Standard Organization of Nigeria (SON), Mazi Sam.I.Ohuabunwa, Chairman/CEO, Neimeth International Pharmaceuticals Plc, Professor Fola Tayo, Dean of School of Pharmacy, College of Medicine of the University of Lagos, Mr A.F Spinnler, Chairman/Managing Director, Swiss Pharma Nigeria Limited, Chief (Dr) M.O Akinrele, President/Chairman of Council, Nigerian Institute of Management (NIM) Chartered are among the speakers at the NIPM National Conference in 2000 who extoled the efforts of the Institute’s founders and the critical importance of the professional body of production and operations managers in the Nigeria’s economic development.

(Production Management Review ISSN 1116 3224 No.1 January – April, 2001)

Scores of dignitaries in Federal and State Governments, Organized Private Sector (OPS), academia and industry chieftains had made impressive remarks about the role and importance of Nigerian Institute of Production Management (NIPM) in national production and economic development.

At the first National Conference of NIPM held in Lagos in 1989 he Honorable Minister of Industries, Air Vice – Marshall Mohammed Yahaya while highlighting the activities of the various agencies under his ministry especially the RMRDC and SON stated that ‘’ the development and management of inter – sectorial linkages as he key o domestic self – sufficiency will no doubt require the harnessing of the varied professional skills within the membership of the Nigerian Institute of Production Management and indeed other professional bodies’’.

(Production Management Review Vol.2. No.2 January – March 1991 p.7 & 30)

3.0 PRODUCTION IS THE BEDROCK OF PRODUCTIVITY AND GDP GROWTH

No organization or nation can improve productivity without efficient and effective management of production. Production is the bedrock of productivity and national economic development.

Productivity is the efficiency of production of goods and services. Production efficiency or productivity measurements may be expressed in terms of a partial single factor such as labour productivity, multi-factor or total factor. Productivity growth enhances standard of living, industrial competitiveness and national economic growth. The activities of NIPM in the last 35 years has enhanced productivity awareness and improvement nationwide.

4.0 PRODUCTION, INDUSTRY TRADE AND INVESTMENT

The impact of the nation’s industrial, trade and investment policies cannot be optimally felt when professionally incompetent managers run the manufacturing sector. NIPM’s programmes aimed at promoting “Made-in-Nigeria’’ include advocacy and quality assurance, production cost reduction and continuous improvement training programmes.

5.0 PRODUCTION, SCIENCE AND TECHNOLOGY

Scientists and technologists work as production specialists in research and development (R & D), process control, quality control (QC), quality assurance (QA), technical services and production departments in industry. They also work in research institutes to generate new knowledge, formulate new product ideas, drive innovation, improve methods, processes and systems, developing models and prototypes and other R & D outputs for commercialization through the uptake of production and operations management. Every research institute has a corresponding sectoral production linkage aimed at optimizing scientific and technological outputs.

6.0 LABOUR AND EMPLOYABILITY

NIPM’s productivity training and advocacy programmes have promoted the culture of production and operational efficiency in organizations with a remarkable success. Productivity impacts wages, prices, incomes, standard of living, government revenue, competitiveness, profitability and growth of organizations as well as national economic growth.

Nigerian Institute of production Management (NIPM) is focused on developing high-level manpower with marketable, industry – centric employability skills and competencies that are critical to organizational effectiveness and economic development.

NIPM’s professional training and development curriculum, certification examinations, experience and global best practice sharing, peer cross – learning and other capacity building programmes are aimed at developing a productive labour force for local, regional and international competitiveness of organizations and improved national productivity.

7.0 PRODUCTION IN WORKS, HOUSING AND PROJECTS

The formulation and successful implementation of public and private sector projects require professional knowledge of production and operations management. Developing project

PRODUCTION OF SOLID MINERALS, ENERGY – POWER, OIL AND GAS

Building technical and managerial capacity for effective and sustainable production of mineral products, electricity and petroleum products is critical to economic development.

Poor solid mineral resource development, failed refineries, abandoned or failed construction projects, high cost project completion (from initiation, development, design, planning to closing) high cost of petroleum products as well as the safety, quality, reliability, maintainability and productivity issues associated with solid minerals and energy sectors of the nation’s economy can be addressed by professionally qualified production and operations managers.

The mining, oil and gas and electricity sectors will benefit immensely from professional production management.

Epileptic power supply and high cost of power need to be addressed. Alternative sources of energy especially renewable energy (rather than focusing on oil field development and fossil fuels or coal that leave carbon footprint in their trail by producing greenhouse gas emissions and harm the environment) require the attention of professional production managers for optimal development.

8.0 PRODUCTION IN SUPPLY CHAIN, LOGISTICS AND TRANSPORTATION

Building aircraft, motor vehicles, ships, airfields, roads, bridges, factories, dockyards, airports and associated machinery, equipment, computer systems, software engineering, transportation and logistics infrastructures are all about production.

The management of organizations that produce and deliver goods and services goes beyond manufacturing and include such sectors as finance, insurance and banking, health care, transport, performing arts productions, electronic, print and social media etc.

9.0 AGRICULTURE AND FOOD PRODUCTION MANAGEMENT

Nigerian Institute of Production Management (NIPM) plays a prominent role in developing manpower for performance improvement in the agribusiness sector.

Increasing agricultural production efficiency remains vital for a nation that needs to ensure food security, maintain adequate feedstock for agro-allied industries and save foreign exchange on food import.

NIPM training in the agricultural sector focuses on research and development (R & D), improved production systems and processes, food quality, safety and environmental protection as well the advocacy for improved varieties, mechanization, storage, handling practices, quality and safety awareness (HACCP, cGMP, Hygiene and Sanitation practices etc.), regulatory enforcement, hazards control and risk management, food value chain (FVC) and associated supply chains and logistics.

Boosting agricultural productivity require getting more outputs from invested inputs. It means using the right KPIs to track performance and driving appropriate ratios for greater efficiency and competitive advantage.

10.0 NIPM: THE PUBLIC SERVICE AND SERVICE SECTOR

Public service production and operations management is central to the realization of SERVICOM mandates. The principles of service compact are reflected in the Institute’s ethical advocacy. Core values of integrity, transparency, accountability, efficiency, maintainability, reliability, productivity, sustainability, safety and service quality are sacrosanct to NIPM members.

Public sector organizations gain immensely from NIPM’s programmes aimed at driving operational excellence.

Service sector production and operations span such sub-sectors as the transportation and logistics, hospitality, banking, insurance and finance, export and import, technology and IT, healthcare, education, communication, government and public service, security services, distribution, trade and retail, entertainment, consultancy and professional services and so on.

NIPM works to develop manpower for effective and efficient service production, operational reliability and delivery of excellent customer service.

11.0 Manufacturing Industries and Productivity Optimization

NIPM’s productivity improvement training for factory personnel focuses on the need to build skills for achieving higher capacity utilization, production cost optimization, waste reduction and greater efficiency.

Manufacturing productivity can be calculated by dividing the value of units of output produced by a company by the cost of the inputs used in the production process.

Usually multi-factor productivity (MFP) is used whereby labour, capital, energy, machinery, materials, procured services and so on are considered as combined inputs.

12.0 CONCLUSION

Production of goods and services need to be efficient, effective, reliable and sustainable.

Government organizations and private sector businesses are all engaged in production.

The Gross Domestic Product (GDP) which is the total monetary value of all the finished goods and services produced within a specific period of time determines the economic health of a nation.

Productivity is a measure of efficiency of production. Production comes first: National productivity development and improvement will remain a mirage without professional production management.

Production management is the forerunner of productivity at personal, organizational, national and global levels.

Hence, Nigerian Institute of Production Management (NIPM) is a prime moving institution whose activities are pivotal to national productivity, economic growth and development.

Governments and private sector businesses need to tap into the great potential of Nigerian Institute of Production Management (NIPM) for improved service delivery and global competitive advantage.