Cost Reduction Techniques and the Productivity of Listed Manufacturing Firms in Nigeria

The study investigated the effects of cost reduction techniques on the productivity of listed manufacturing firms in Nigeria. The study specifically aimed to assess the effect of waste reduction on the productivity of listed firms in Nigeria and also assessed the effect of inventory management on the productivity of listed firms in Nigeria. The population for this study was hundred and seventy-nine (179) existing listed manufacturing firms on the Nigerian Exchange Group as at 30th May, 2023. This study used purposive sample technique to select twenty (20) listed manufacturing firms from the population of this study. Panel data which consists of cross-sectional and time series of the 20 sampled listed manufacturing firms and a ten (10) years’ time series (2014–2023) were sourced from the published annual financial statements of the selected firms. The study made use of descriptive and inferential analysis. Panel estimation regression technique was used to analyze the Data. Hausman test as well as other diagnostic test were also conducted in this study. The findings in this study showed that waste reduction exerted a positive and significant effect on the productivity of listed manufacturing firms in Nigeria with coefficient value of 120.362 (p=0.0421<0.05), the result also showed that inventory management exerted a positive and significant effect on the productivity of listed manufacturing firms in Nigeria with coefficient value of 154.965 (p=0.0390<0.05). The study concludes that waste reduction has a positive and significant effect on the productivity (PMG) of listed manufacturing firms in Nigeria, the study also conclude that inventory management has a positive and significant effect on the productivity (PMG) of listed manufacturing firms in Nigeria.