CYRIL-IBAMA Awoiyim1
NWOKAH Gladson N. 2
NWULU Chinyere Stella3
1, 2, 3Department of Marketing, Faculty of Administration and Management,
Rivers State University Nkpolu- Oroworukwo, Port Harcourt, Nigeria.
Abstract
This study investigated the relationship between materials movement and operational performance of upstream oil and gas companies in South-South Nigeria. The study was conceptualized using materials movement as predictor to operational performance with measures such as cost minimization, productivity and service speed. Survey research design with a correlational investigation type was employed in the study. The population of the study comprised 24 oil and gas companies in South-South Nigeria. The sample size of the study was the same as the population, since the population was not large. The researcher adopted census method to administer 3 copies of structured questionnaire to operations managers, logistics managers and procurement managers to each of the 24 oil and gas companies. This means that 72 respondents were used for the study. However, 63 respondents provided useable data for the study. Pearson’s Product Correlation Coefficients with a 95% confidence interval in mind was used in testing the hypotheses. Each test was conducted at a 0.01 level of analysis with the help of the Statistical Packages for Social Sciences (SPSS) version 23.0. The results revealed the existence of significant relationship between materials movement and operational performance of upstream oil and gas companies in South-South Nigeria. Based on the findings, the study concluded that materials movement significantly relates to operational performance of upstream oil and gas companies in South-South Nigeria; and recommends that managers of upstream oil and gas companies in South-South Nigeria should adopt modern material movement systems as a way to achieve cost minimization objective.
Keywords: Cost minimization, materials movement, operational performance, productivity, service speed