CHAPTER ONE

INTRODUCTION

1.1              BACKGROUND OF THE STUDY

Production is the creation of goods and services, the goods and services can be produced in factories, industries, firms or companies.  Production is not complete until the products / services get to end user or consumer.  This can be obtained through the distribution process and that complete the production cycle.  The distribution activity is equally referred to as physical distribution management (PDM), Marketing logistics and material management.  Physical distribution system includes; transportation, material handling, order processing, inventory control, warehousing and packing into a complete distribution strategy.