LEAN MANAGEMENT PRACTICE AND OPERATIONAL EFFICIENCY IN FAST-MOVING CONSUMER GOODS COMPANIES IN RIVERS STATE

Danagogo, I. O.

Department of Business Administration, Faculty of dministration, Rivers State University, Nkpolu-Oroworukwo, Port Harcourt, Nigeria

Gabriel, J. M. O.

Department of Business Administration, Faculty of dministration, Rivers State University, Nkpolu-Oroworukwo, Port Harcourt, Nigeria

and

Lebura, S.

Department of Business Administration, Faculty of dministration, Rivers State University, Nkpolu-Oroworukwo, Port Harcourt, Nigeria

ABSTRACT

This study examined the relationship between lean management practice and operational efficiency of fast-moving consumer goods companies in Rivers State, Nigeria. The study focused on two proxies which are waste elimination and value stream mapping which are the proxies of the independent variable (Lean management practice). The study was measured by productivity and  cost efficiency which are measures of the dependent variables (operational efficiency) of fast-moving consumer goods companies. The population of the study consisted of 11 fast-moving consumer goods companies listed with the Nigeria directory in Rivers State, Nigeria with 605 respondents. The study sample size was 241 selected using Taro Yamene methods. The questionnaire was used to collect data from respondents and the data collected were tabulated and analyzed using inferential statistics. It was found that lean management practice has a very strong positive and significant influence on operational efficiency of fast-moving consumer goods companies. The study therefore recommends that Government should establish robust waste management protocols that align with lean practices. By focusing on the 5S methodology (Sort, Set in order, Shine, Standardize, Sustain), companies can effectively organize their workspace, eliminate waste, and enhance productivity. Also, they should encourage all employees to participate in continuous improvement initiatives by establishing a structured feedback mechanism.

Keywords: lean management practice, waste management, value stream mapping, operational efficiency, productivity, cost efficiency, fast-moving consumer goods companies.