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ABSTRACT

It is very fundamental that man’s main aim of venturing into businesses of all kinds is to make profit. Though profit tends to grow with time, a better planning, analysis and implementation strategy can in a least expected manner bring efficiency, stability and the much needed profit.

The maritime sector of the Nigerian economy is one that has a lot of resources that are been utilized in the course of its day to day operations. The resources engaged in this sector ranges from human, to finance and technological know-how.

This research study is therefore determined to optimize the cost of port operations in Nigeria with a view to critically analyse it from the perspective of linear programming model.

The quantitative estimates used here were concerned with the activities associated with the operations of Nigerian ports, the costs and the benefits derived by users of these ports etc.

A Linear Programming Model as earlier indicated was formulated from the cost components associated with the vessel-port relationships. With the aid of M for Windows Software, an optimal solution was derived.

Then the result showed indicated the minimum cost of port operations as well as the optimal time frames for the decision variables of port operations under review.

This provides a basis for future projections so as to determine the range of values of the constraints and decision variables for which the Nigeria port operations could be at minimal cost.

TABLE OF CONTENTS

TITLE PAGE

DEDICATION

ACKNOWLEDGEMENT

ABSTRACT

TABLE OF CONTENTS

CHAPTER ONE

INTRODUCTION

1.2 OBJECTIVES OF THE STUDY

1.3 STATEMENT OF PURPOSE

1.4 RESEARCH QUESTION

1.5 SIGNIFICANCE OF THE STUDY

1.6 SCOPE OF THE STUDY

1.7 LIMITATIONS OF THE STUDY

1.8 DEFINITION OF TERMS

CHAPTER TWO

LITERATURE REVIEW

2.1 THE CONCEPT OF COST OPTIMIZATION

2.2 NEED FOR COST OPTIMIZATION STRATEGY

2.3 STEPS IN COST OPTIMIZATION

PHASE A: PREPARATION

PHASE B: PRACTICAL EXECUTION:

PHASE C: VERIFICATION OF PROGRESS

2.4 IMPLEMENTATION OF COST OPTIMIZATION STRATEGIES

2.5 COST OPTIMIZATION TECHNIQUES AS APPLIED TO THE

2.6 ELEMENT OF COST TRAINING AS A STRATEGY FOR LABOUR COST OPTIMIZATION

2.5 REDUCTIONS IN LABOUR TURNOVER RATE AS A STRATEGY

FOR LABOUR COST OPTIMIZATION

2.7 OVERHEAD COST OPTIMIZATION TECHNIQUES COST OPTIMIZATION REPORT

2.8 PROBLEM OF COST OPTIMIZATION STRATEGIES

REFERENCES

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 SOURCES OF DATA

3.2 METHOD OF DATA ANALYSIS

3.2.1 THE LINEAR PROGRAMMING MODEL

3.2.2 DEFINITION OF THE VARIABLES FOR OBJECTIVE FUNCTION

CHAPTER FOUR

RESULTS AND DISCUSSION

4.1 DATA PRESENTATION AND DESCRIPTION

Table 4.1 Port operations and expenses generated based on averages of different kinds of Cargo

Table 4.2 Linear Programming Model for Nigerian Ports operations

Table 4.3 RANGING Table

Variable definition Table – Table 4.4: Solution List

RESULT DISCUSSION

CHAPTER FIVE

SUMMARY OF FINDINGS, RECOMMENDATIONS AND

CONCLUSIONS

5.1 SUMMARY OF FINDINGS

5.2 RECOMMENDATIONS

5.3 CONCLUSION

BIBLIOGRAPHY

APPENDIX

ANALYSIS OF COST OPTIMIZATION OF PORT OPERATIONS (A LINEAR PROGRAMMING APPROACH)

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