Distribution management of statutory electrical materials in Ghana: a study of the ECG in Kumasi

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November, 2015
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The basic objective of every distribution system in any organization or institution is that right goods and services are delivered to customers at the right time and at the lowest possible overall cost. This leads to not merely satisfaction of customers but delighting them. This empirical study assessed the distribution management of statutory electrical materials in Ghana using the Electricity Company of Ghana in Kumasi as a case. Specifically it assessed how stock and inventories are managed, assessed how statutory electrical materials are distributed to consumers and lastly, identified the challenges faced in the distribution of electrical materials. The design of the study was a cross-sectional survey of 50 workers of the Ashanti West Project Office of the ECG in Kumasi who were sampled conveniently. Data for the study was collected through a questionnaire which was administered during the lunch break of workers. The data collected was coded, entered, cleaned and analysed descriptively using the SPSS (v20) software programme. The results of the analysis showed that the Ashanti West Project Office of the ECG in the Kumasi metropolis engaged in effective and efficient stocking and inventory management practices. Statutory electrical materials were well stocked and inventoried. Results of the study in relation to the distribution of electrical materials to consumers also revealed that stores through third party distribution and stores direct to homes/institutions were the channels of distribution adopted by the Office. Statutory electrical materials were mainly transported by road. The nature of the materials, size, as well as the size level required by customers/clients influenced the decision of the staff to resort to this mode of transportation. The most prominent challenge facing the Project Office was the shortage of statutory electrical materials which upon further investigations was due to lack of funds to procure these items. The study on the basis of this finding recommends that the government through the sector ministry for energy make funds available to assist the ECG in the procurement of its statutory electrical materials to meet the ever growing demand of consumers.
A thesis submitted to the Department of Building Technology, College of Art and Built Environment, Kwame Nkrumah University of Science and Technology in partial fulfillment of the requirement for the Degree of Master of Science in Procurement Management.