Enhancing Medium-Scale Manufacturing Firm Performance in Nigeria: A Comprehensive Study on Value Chain Management and Operational Efficiency

Abstract

Medium-scale manufacturing firms in Nigeria face challenges related to Value Chain Management (VCM) and operational efficiency, impacting their performance. Neglecting primary and supporting VCM activities, such as inbound logistics and operations, leads to decreased productivity and quality service delivery. The study aims to investigate the influence of inbound logistics and operations on medium-scale manufacturing firm performance in Nigeria's South-South region. The research utilized a descriptive survey design in the South-South region states of Nigeria, drawing a sample from 18 medium-scale manufacturing firms. Data analysis involved ordered logit and probit regression models, examining the relationship between value chain management (inbound logistics and operations) and firm performance. The results revealed that both inbound logistics and operations have a significant positive effect on medium-scale manufacturing firm performance. Effective inbound logistics improves warehousing and inventory control, while efficient operations lead to higher product quality and overall firm performance. This study underscores the importance of inbound logistics and operations for enhancing the performance of medium-scale manufacturing firms in Nigeria. Management should focus on improving inbound logistics and operational efficiency to achieve better productivity, product quality, and service delivery. By addressing these aspects, medium-scale manufacturing firms can enhance their competitive position and overall performance in a challenging business environment.