Optimizing Road Logistics and Global Supply Chain Integration in the Nigerian Beverage Industry: A Case Study of Bournvita Production in Lagos

Abstract

This study investigates the influence of road infrastructure quality, freight transportation efficiency, global supply chain integration, and logistics technology on the operational performance of Cadbury Nigeria Plc. Chronic road logistics inefficiencies hinder Cadbury's global supply chain integration, limiting its ability to achieve consistent production and distribution performance. Beyond this analysis, it evaluates supply chain activities within the FMCG industry to provide broader and practical contributions. The research problem stems from persistent inefficiencies in Nigeria's FMCG sector, where poor transport infrastructure, rising logistics costs, and reliance on imported raw materials undermine efficiency. Anchored on the Theory of Constraints (TOC) and Lean Logistics Theory, the study emphasizes managing bottlenecks and minimizing waste while maximizing value creation. A population of 785 logistics and supply chain personnel was considered, with 265 respondents selected using stratified random sampling. A self-designed questionnaire was validated through expert review and pilot testing, and reliability was confirmed via Cronbach's Alpha (0.81–0.88). Multiple regression analysis revealed that freight transportation efficiency and road infrastructure quality significantly improved operational performance, while global supply chain integration and logistics technology showed no significant effect. The findings demonstrate that local infrastructural realities exert greater influence on FMCG operational performance than global integration efforts or costly digital systems, reinforcing the urgency of addressing Nigeria's infrastructural gaps. The study achieved its objective by empirically identifying the key drivers of logistics performance under constrained infrastructural conditions while also offering industry-relevant insights. Based on the findings, the study provides actionable recommendations, including targeted road infrastructure development through public–private partnerships, shared freight pooling among FMCG firms, adoption of scalable low-cost logistics visibility tools, and reducing dependence on imported raw materials through local sourcing. Overall, the study enriches academic discourse on logistics and supply chain management in constrained contexts while offering strategies for policymakers, industry stakeholders, and FMCG firms to enhance resilience and performance in Nigeria.