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A REPORT OF SIWES CARRIED OUT AT PPMC GOMBE

AREA OFFICE, FROM 6TH FEBRUARY TO 31ST JULY 2017

BY

MANASSEH ADAMU
PROGRAM:STATISTICS EDUCATION
I.D NUMBER:ET/11/2038
SUBMITTED TO
THE DEPARTMENT OF SCIENCE EDUCATION
MODIBBO ADAMA UNIVERSITY OF TECHNOLOGY, YOLA
P.M.B 2076 YOLA ADAMAWA STATE, NIGERIA.

In Partial Fulfillment of the Completion of Industrial Training

2017

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TABLE OF CONTENTS
Declaratoin ...................................................................................................................................
Certification/Approval .................................................................................................................
Acknowledgement .......................................................................................................................

CHAPTER ONE .......................................................................................................... 1.1


1.0 Introduction .......................................................................................................................
1.1 Evolution of SIWES .........................................................................................................
1.2 Objectives of SIWES ..................................................... Error! Bookmark not defined.
1.3 Historical background of NNPC/PPMC ....................... Error! Bookmark not defined.
1.4 The basic defination of PPMC Gombe Area Office .........................................................
1.5 Structure For Operation ....................................................................................................
CHAPTER TWO ......................................................................................................... 2.2
2.0 Working Experiance ...........................................................................................................

CHAPTER THREE .................................................................................................... 3.3


3.0 Application of knowledged acquired ...................................................................................

CHAPTER FOUR ....................................................................................................... 4.4


4.0 Summary problems Encountered ........................................................................................
4.1 Conclusion and..................................................................................................................
4.2 Recomendation .................................................................................................................
References ....................................................................................................................................

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DECLARATION

I hereby declare that this report is the product of my Industrial Training which was
carried out under the supervision of Mr Ogbuigba F.O, which is yet to be presented and
will not under any circumstances be presented elsewhere, to fulfil the requirement of
my Industrial Training.

.
MANASSEH ADAMU

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CERTIFICATION/APPROVAL

This is to certify that this report was carried out under my supervision and directives.

..
OGBUIGBA F.O.

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ACKNOWLEDGEMENT

I want to acknowledge the understanding, prayers and guidance of my beloved father,


mother and my parents, Mr and Mrs Adamu .A. Wakawa, all through the period of my
Industrial training. I also acknowledge the patience, guidance and support of my
industry based supervisor, Mr Ogbuigba F.O, together with the direct and indirect help
given to me by my brothers and sisters and the encouragement I received from my uncle
Mr Michael .A. Diwa, friends, and all others who contributed in one aspect or the other
to the success of my Industrial Training. Thank you all for your support, May God
Almighty Bless you abundantly.

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DEDICATION

I whole heartedly dedicate this candid work to my parents

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CHAPTER ONE

INTRODUCTION TO SIWES
In the earlier stages of Science and Technology Education in Nigeria, students were
graduating from their respective institutions without any technical knowledge or
working experience. It was in this view that students undergoing science and
technology related courses were mandated for the Students Industrial Work Experience
Scheme (SIWES) so as to enable them have a technical knowledge or work experience
before graduating from their various institutions.

The Students Work Experience Scheme (SIWES) was established by the


Industrial Training Fund (ITF) in the year 1973 to enable students of tertiary institutions
to have basic technical knowledge of industrial works based on their courses of study
before the completion of their program in their respective institutions.

The scheme was designed to expose students to industrial environment and


enable them develop occupational competencies so that they can readily contribute their
quota to National, Economic and Technological Development after graduation.

The major benefits accruing to students who participate conscientiously in the


Students Work Experience Scheme (SIWES) are the skills and competencies they
acquire. The relevant production skills remain a part of the recipients of the Industrial
Training as life-long assets which cannot be taken away from them.

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OBJECTIVES OF SIWES

The Industrial Training Funds policy document No. 1 of 1973 which established
SIWES outlined the objectives of the scheme. The objectives are to:

1. Provide an avenue for students in higher institutions of higher learning to acquire


industrial skills and experiences during their courses of study.

2. Prepare students for industrial work situations that they are likely to meet after
graduation.
3. Expose students to work methods and techniques in handling equipments and
machineries that may not be available in their institutions.
4. Make the transition from school to the world of work easier, and enhance
students contact for later job placements.
5. Provide students with the opportunities to apply their educational knowledge in
real life situations, thereby, bridging the gap between theory and practical.
6. Enlist and strengthen employers involvement in the entire educational process
through SIWES.

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ROLES OF INDUSTRIAL TRAINING FUND (ITF)

The provision of decree 47 of 8th October, 1971 empowers the Industrial Training
Fund (ITF) to;

1. Promote and encourage the acquisition of skills in industry and commerce with a
view to generating a pool of indigenous trained manpower sufficient to meet the
needs of the Nigerian economy.
2. Stimulate human performance.
3. Improve productivity.
4. Induce value-added production in industry and commerce.
5. Provide the logistic materials needed to administer the scheme.
6. Ensure the payment of students allowances on completion furthermore; ITF has
made it point of duty to raise relevant issues for discussion, geared towards the
emergency of a self-reliant economy. It therefore organize an annual national
training conference where specialist are invited and papers presented and
thoroughly discussed with the aim of making the economy buoyant.

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CHAPTER TWO

HISTOTRICAL BACKGROUND OF NNPC/PPMC


The Nigerian National Petroleum Corporation came into existence by an Act
namely NNPC Act of 1 April 1977. The Corporation was given powers and operational
interests in refining, petrochemicals and products transportation as well as marketing.
Between 1978 and 1989, NNPC constructed refineries in Warri, Kaduna and Port
Harcourt and took over the 35,000-barrel shell Refinery established in Port Harcourt in
1965.

In 1988, NNPC was commercialized into 12 strategic business units, covering


the entire spectrum of oil industry operations: exploration and production, gas
development, refining, distribution, petrochemicals, engineering and investment.
Currently, NNPC subsidiary companies include:

- National Petroleum Investment Management Service (NAPIMS)


- Nigerian Petroleum Development Company (NPDC)
- Nigerian Gas Company (NGC)
- Pipelines and Products Marketing Company (PPMC)
- Integrated Data Services Limited (IDSL)
- Nigerian LNG Limited (NLNG)
- National Engineering and Technical Company Limited (NETCO)
- Hydrocarbon Services Nigeria Limited (HYSON)
- Warri Refinery and Petrochemical Company Limited (WRPC)
- Kaduna Refinery and Petrochemical Company Limited (KRPC)
- Port Harcourt Refining Company Limited (PHRC)

In addition to these subsidiaries, the industry is also regulated by the Department


of Petroleum Resources (DPR), a department within the Ministry of Petroleum
Resources. The DPR ensures compliance with industry regulations; process applications
for licenses, leases and permits, establishes and enforces the industry.

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THE BASIC DEFINITION OF PIPELINES AND PRODUCTS MARKETING
COMPANY (PPMC) GOMBE AREA OFFICE

PPMC Gombe was set up as a subsidiary and strategic business unit of the Nigerian
National Petroleum Corporation (NNPC). It is run in conformity with the management
culture of total quality in pursuant to the directive of the parent corporation the Nigerian
National Petroleum Corporation (NNPC).

MISSION
Its mission is;
- To ensure security of supply of petroleum products to the domestic market at low
operating costs within Nigeria and sub-region of Africa.
- To market special products competitively in the domestic and international
markets.
- To provide excellent customer service by effectively and efficiently transporting
crude oil to the refineries and moving petroleum products to the market.

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ABBREVIATIONS AND DEFINITIONS

NNPC.Nigerian National Petroleum Corporation


PPMC.Pipeline And Product Marketing Company
AM..Area Manager
AGO...Automobile Gas Oil
DPRDepartment of Petroleum Resources
DM..Deputy Manager
FAD.Finance and Accounts Department
G.A.O.Gombe Area Office
HR..Human Resources
ITD.Information Technology Department
ITE.Instruments, Technical and Electrical
MTCEMaintenance
OPS...Operations
PROW..Pipelines Right of Way
R & I.Research and Intelligence
Supt...Superintendent
Supv..Supervisor
Sample A part of an entire whole or subset of a population drawn or
selected for the purpose of investigation.
Population The entire part or complete list of units in a given universe with
which the -researcher has interest.
Data These are numbers or scores collected from the units of
experiment.

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STRUCTURE FOR OPERATION
PPMC Gombe is structured to operate under a Board Deputy Managers (DMs)
headed by the Area Manager (AM). The company is daily managed by a chief
Executive Officer, the managing Director, who is assisted by five Deputy
Managers namely; DM Human Resources (HR), DM Maintenance (MTCE), DM
Operations (OPS), DM Finance and Accounts (FAD) and DM Pipelines Right Of
Way (PROW).

The Company has about (95) staff strength,(50) of which are professionals,
whiles the rest are mainly a supportive.

Its support staff offices which include all departments headed by


Superintendents.

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CHAPTER TWO

2.0 HISTORICAL BACKGROUND OF PPMC GOMBE AREA OFFICE

The organization Pipelines and Products Marketing Corporation (PPMC) was

set up as a subsidiary and strategic business unit of the Nigeria National Petroleum

Corporation (NNPC) which is run in conformity with the management culture of total

quality in pursuant to the directive of the parent corporation the Nigeria National

Petroleum Corporation (NNPC).

PPMC mission is to ensure security of supply of petroleum products to the

domestic market at low operating cost, market special products competitively in the

domestic and international markets, provide excellent customer service by effectively

and efficiently transporting crude oil to the refineries and moving petroleum products to

the market.

In order to achieved its set mission of supplying petroleum products across the

nation, PPMC set up five Area Office situated in various geopolitical zones of the

nation namely: Port-Harcourt, Mosimi, Warri, Kaduna, and Gombe, all controlling

various depot and pump stations as summarised below:

Table 1: Showing the five Area Offices

Area Office In charge of Headquarters

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PORT-HARCOURT Port-Harcourt Okirika Jetty
PH Depot

Aba Depot

Enugu Depot

Markudi Depot

Calabar Depot

Bonny Export Terminal

WARRI Warri Depot Warri

Warri Jetty

Benin Depot

Abudu Pump Station

Auchi Pump Station

Lokoja Pump Station

Escravos Terminal (PPMC)

MOSIMI Mosimi Depot MOSIMI

Atlas Cove Jetty & Depot

Satellite (Ejigbo Lagos)


Depot

Ibadan Depot

Ore Depot

Ilorin Depot

KADUNA Kaduna Depot Kaduna

Abaji Pump Station

Izom Pump Station

Minna Depot

Suleja Depot

SarkiPawa Pump Station

Zaria Pump Station

Kano Depot

Gusau Depot

GOMBE Jos Depot GOMBE

Gombe Depot

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Yola Depot

Biu Pump Station

Maiduguri Depot

2.1 PPMC GOMBE AREA OFFICE

The Gombe Area Office was established in 1993 from the Kaduna Area Office.

In order to the ensured effective coverage of the North East zone.

Gombe Area controls four (4) depot and two (2) pump stations namely

Jos, Yola, Maiduguri, and Gombe Depots and pump stations in Biu and Jos.

2.2 MODE OF OPERATION

PPMC receives crude oil from the NNPC Corporate services unit called

National Petroleum Investments Management Services (NAPIMS). PPMC then

supplies the crude oil to the NNPC local refineries. However, petroleum products are

sometimes imported to supplement local production when the local refineries are

unable to process enough for the country`s needs.

Petroleum Products which are either imported or refined locally are received by

PPMC through import jetties or refinery depots and distributed through pipelines to

depots strategically located all over the country from where petroleum tankers lift the

products to designated retail outlets (Filling Station).

2.3 MARINE MOVEMENT

PPMC operates a fleet of marine vessels used for moving products along

Nigeria`s Coastal Water from Port-Harcourt and Warri to Lagos and from Port-

Harcourt to Calabar.

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These are vessels of varying capacities. There are also LPG vessels in the fleet.
Products moved into Lagos through the coastal vessels are discharged primarily at the
Atlas Cove Terminal where they are received into storage tanks for

onward pumping to Mosimi depot near Sagamu in Ogun state from where the

products are pumped to other depots in that axis such as Ibadan, Ilorin and Ore. Also

there is throughput agreement with some private depot owners for use of their storage

tanks and load out facilities for product reception and distribution.

Other vessels are dedicated to the evacuation of fuel oils from port-Harcourt

and Warri refineries for export.

Calabar depot can only supplied products by marine vessels as it is not linked

by the pipelines network.

Liquidified Petroleum Gas (LPG) vessels discharge directly into the markets

and PPMC storage facilities at Apapa.

Participants in the Transportation and Distribution Chair

- PPMC-REFINERIES

- MAJOR MARKETERS

- INDEPENDENT MARKETERS

- PRIVATE DEPOT OWNERS

- TRANSPORTERS-DPR

- CUSTOMS AND EXCISE-NP

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THE ORGANIZATIONAL CHART OF PPMC GOMBE AREA OFFICE

AREA MANAGER

SUPPORT STAFF
MANAGERS SECRETARY
MMD

HSE

R&I
DM PROW DM OPS DM MTCE DM FAD DM HR
ITD
GOMBE PUMPSTATION BILLING AUDIT
YOLA SALES
PAYROLL
AREA CHEMIST
JOS

MAIDUGURI ACCOUNTS
RADIO ROOM Supv. HR

ADMINISTRATION
STOCK
GENERAL OPS CAREER DEV.
TRANSPORT

PIPELINES SECURITY

ALL SECRETARIES
PROW OFFICER

Supt. PLANNING

Supt. MECHANICAL

Supt. CIVIL

ITE

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ORGANIZATIONAL STRUCTURE OF R & I DEPARTMENT

SUPERINTENDENT SALES

SALES OFFICER

SECRETARY
SALES

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KNOWLEDGE ACQUIRED IN THE SALES/R&I DEPARTMENT
As a student undergoing Industrial Work Experience in PPMC Gombe, were so
many opportunities and privileges that were given to me to participate in the
various activities, Assignments were always given to me by my Industrial
training based supervisor for more understanding.

I acquired much vital and essential practical ideas and knowledge.

I was introduced to Microsoft word and Microsoft Excel, I was also impacted a
bit tutorial/introduction about SPSS, for which I was taught about some
analysis like the descriptive statistics, regression and correlation.

I learnt how to represent statistical data using charts, graphs and tables.

I learnt how to collect data from other depots and for report preparation.

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APPLICATION OF KNOWLEDGE ACQUIRED WITHIN R & I

Applying STAT 311(SAMPLING TECHNIQUES), I was able to use simple


random sampling technique of research to find out the dominant marketers of
the various pipelines products we have i.e. PMS, DPK and AGO in Gombe,
Yobe and Bauchi, whether it is the major marketers, independent marketers or
the NNPC affiliates by performing a little experiment to help me out from the
results of the annual filling stations verification exercise conducted this year.

I used the simple random sampling method because it is easier and save time,
also because the results obtained in the method are reliable, valid and very
close to that obtained by using the entire population.

I drew data samples from the result of our findings during the annual filling
station verification exercise by drawing ten samples each from the
representative sides at a random order and these are the results I obtained and
used to perform my experiment

Name of marketers
Round GOMBE YOBE BAUCHI
Major Indepen. Affiliate Major Indepen. Affiliate Major Indepen. Affiliate
1st / / /
2nd / / / /
3rd / / / / /
4th / / /
5th / / / /
6th / / / /
7th / / / / / / /
8th / / / /
9th / / /
10th / / / /

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AFTER THE PERFORMANCE OF THE EXPERIMENT, THE
SUMMARIZED RESULT IS AS SHOWN IN TALLY FORM AND
TABULAR FORM.

Gombe Yobe Bauchi

Major Indep. Affiliate Major Indep. Affiliate Major Indep. Affiliate

//// //// //// /// // //// //// / //// //// ////

Major Independent
Affiliates
Gombe 9 4 3
Yobe 2 4 6
Bauchi 4 5 4

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After the compilation of my data, I used the compound bar chart method of data
description to graphically show the outcome of my findings.

From the illustration below, one can easily look and interpret the marketing situation of
the Gombe, Yobe and Bauchi areas without panic and planning concerning the areas
can be done in advance with respect to the supply of petroleum products in the areas.

Gombe Yobe Bauchi


The inference/conclusion is as follows.

Gombe is having the highest number of Major marketers, where Bauchi carries the
highest number of Independent marketers and Yobe takes the highest number of NNPC
Affiliates as researched during the annual filling stations verification exercise for the
year 2013.

From this little experiment, any statistician can use the result to make predictions/plan
for some period of time.

Also, from the result, the management of the Depots can plan on how the supply of
these products can be carried out.

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SALES DEPARTMENT

The Sales Department of Gombe Area Office is saddled with responsibility of ensuring
the availability of petroleum products by raising bridging meter tickets for independent
marketers to lift products. At corporate level, Sales Department is under the commercial
division of PPMC headed by the Executive Director, Commercial. Other departments
under Commercial include Crude Oil Marketing Department and Domestic Sales
Department.

The Area Sales Superintendent heads the Area Sales Department and he reports to the
Area Manager. He has Sales Officers and Sales Assistants (SIWES Students) at the
Area Office working under him, while there are four Sales Supervisors at the four
Depots under the Area reporting to him.

The responsibilities in the Sales Department primarily include receiving and ensure
availability of petroleum product in the Depots, it does this through bridging product
from source Depots, other functions include crosschecking them and forwarding them
for loading. Preparation of daily, weekly, monthly, quarterly, bi-annual and annual
reports on bridging As well as products sales activities in the Area; In addition to
keeping a good database record of independent and major petroleum marketers
information.

3.1.1 AIM AND OBJECTIVES OF SALES DEPARTMENT

Below are the aim and objectives of sales department:

1. To create a suitable relationship environment between the company and


marketers of petroleum products that operates with PPMC.
2. To ensure sales of petroleum products to marketers at company approved price.
3. To keep, maintain and update as when necessary, the database of marketers
operating under the Transport District Zone (TDZ) of the Area.
4. To generate and to keep record of accurate figures regarding petroleum products
lifting and sales under the Areas TDZ.
5. To forecast/plan the petroleum products consumption pattern for the Area for the
future by monitoring the bridging performance of the Area

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6. It coordinates the sales of petroleum products within the North East.
7. To ensure the availability of petroleum products.
8. To maintain a good customer relationship.
9. To ensure the daily national demands of petroleum products are met.
3.1.2 ACTIVITIES OF SALES DEPARTMENT

BRIDGING: This is the process employed in petroleum products transfer from


refineries and storage tanks (from coastal depots); which was initially designed to be
carried out via pipelines. This process developed as a result of pipeline vandalism, it
involves transferring products by trucks from refineries and loading depots to receiving
depots and to existing markets in order to ensure the availability of petroleum products
in every part of the country.

DAILY BRIDGING REPORT: Daily bridging report is a summary of petroleum


products that are been distributed daily for each depot and to the various filling station
for distribution. These reports are sent from various locations such as Gombe depot,
Yola depot, Maiduguri depot and Jos depot, for the Sales Officer to present the report to
the Area Sales Superintendent for management use.

DAILY DISPATCH REPORT: Daily bridging report is a summary of petroleum


products that are been distributed daily for each depots and to the various filling station,
with marketer/station, filling station address, depot, states, zone, product and quantity,
truck number, remarks.

DAILY SUMMARY OF STATE BY STATE REPORT: Daily state report is a


summary of petroleum products that are been distributed daily for each state by state
and to the various filling station, of the North East, zone.

MONTHLY REPORT: This is a report on the entire activities carried out in the sales
department for a period of one month.

BRIDGING APPROVAL/PROGRAM: Bridging approval is a license given to


marketers to lift or to carry petroleum products from the source depots to their
destination. The essence of bridging approval is to enable the petroleum products to be

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available in the area that the products are not available or they are scarce. The amount
to be paid to bridge or transport) each product is determined by the Petroleum
Equalization Fund (PEF) for the cost of bridging petroleum products from the source
depots.

SIX DAYS MEETING REPORT: This is a report on the entire activities carried out
in the sales department for a period of six days; it is used for the organizations six days
operational meeting.

ACCOUNT RECONCILLIATION: This is the reconciliation of sales department


with account department to determine the accuracy of sales accounts.

VERIFICATION OF MARKETERS OUTLETS: Verification of markets outlets


newly built stations in order to issue them with bulk purchase agreement which entitles
them to pay and to lift petroleum products from NNPC facilities as marketers.

KNOWLEDGE ACQUIRED IN THE SALES DEPARTMENT


As a student undergoing Industrial Work Experience in PPMC Gombe, there
were so many opportunities and privileges that were given to me to participate in the
various activities. Assignments were always given to me by my Industrial training
based supervisor for more understanding.

There are so many knowledge I acquired in the course of my Industrial training


with Pipelines and Products Marketing Company Gombe, which has enhanced my
learning and understanding towards my field of study. Below are some of the
knowledge I acquired or gained during the period of my Industrial training in the sales
department precisely, which include:-

1. I learnt about the various filing system in the office, which include Incoming memo
file, Outgoing memo file, Staff matter file, Incoming radio message file, Outgoing
radio message file, bridging program approval file for various depots under Gombe
Area Office etc.

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2. I learnt how to prepare daily bridging report using Microsoft excel- Daily bridging
report is a reporting system which reflects the reception and distribution of
petroleum products within a given frame time. It usually indicates the specific
quantities of products lifted and that were distributed or dispatched to towns.
3. I learnt how to crosscheck meter tickets and form DO5 document- This two
documents (meter ticket, form DO 5) form the element captured on a typical
bridging advice. Such a program is then forwarded alongside the tickets, Form DO5
and receipts to the loading depot after being crosschecked and approved for loading.
4. I learnt how to check the office mail on the internet and how to send mails online.
5. I learnt about the verification of marketers outlets.
6. I learnt how to prepare the three days meeting report -This is the report of sales
within three days, and the report is sent to headquarter every weekend and to all
mail recipients about the performance of sales in Gombe Area.
7. I learnt how to prepared monthly report- This is a consolidated sales report done
every month from Gombe Area Office. Superintendent Sales is the person who
gathers the inputs/reports from various department and the four other locations in
Gombe Area. This report is sent to headquarter and other mailing address, which
explain the sales activities done in the month.
8. I learnt how to collate data from other depots and for report preparation.
9. I learnt about the monthly drill- This is the process of teaching or orienting the entire
staff of the organization about safety in the depot. This drilling exercise is been
conducted every month with different topics. The aim of this drill is to provide the
staff of the depot with some information and knowledge in terms of providing safety
in the depot and in our homes.
10. I learnt how to prepared annual report- This report comprises of daily, weekly,
monthly and quarterly report of sales activities in the whole of Gombe Area and it is
sent to the headquarter and other mailing recipient.

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SUMMARY
In summary, I had an exceptional and standard experience of work outside school and I
know to some extent, what Im expecting in the labour market after graduating from
school.

I have had a taste of how to relate with coworkers in an organization and how to put
hands together and work as a team towards achieving the goals of that organization. The
Industrial training has really helped me to understand and put so many theories taught
in school into reality and I personally saw the real life practical statistics in my
department of primary assignment which is an additional credit to my scope of
knowledge, even though It was a great and challenging time.

ENCOUNTERED PROBLEMS

Actually, during my attachment at PPMC G.A.O, the major problem at first was the
time of going to work and time of closing, it was really challenging as I had to readjust
myself to suit the pattern of going to work by 7:30am and closing by 4:30pm, it was not
easy at first, because I have not use to it.

CONCLUSION AND RECOMMENDATION

In conclusion, the idea of industrial training is really a good one and helpful if only the
students involved will fully partake in the exercise. I have involved myself fully in the
exercise and I know no knowledge I obtained will be a waste. Thanks to ITF.

I want to recommend that the duration time for the exercise be increased from six
months to one full year so that students will not be in a haste to learn but take their time
to really learn from their respective places of assignment and be fully engaged in their
various organizations of attachment.

Thank you.

REFERENCES
Nicholas P. Dibal (2006). Basics of Research Methods; Apani Publications and
Loud Books Publishers.

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Nicholas P. Dibal (2006). Elementary Statistics; Apani Publications and Loud
Books Publishers

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THANK YOU FOR
LISTENING

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