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THE ROLE OF COMMERCIAL BANKS IN FINANCING SMALL SCALE INDUSTRIES IN NIGERIA

THE ROLE OF COMMERCIAL BANKS IN FINANCING SMALL SCALE INDUSTRIES IN NIGERIA

(A CASE STUDY OF UNION BANK OF NIGERIA PLC).

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ABSTRACT 

 

The topic of dissertation is The Role Of Commercial Banks In Financial Small Scale Industry In Nigeria. A case study of union bank of Nigeria plc. The  major objective of the study is to ascertain the extent to which union bank of Nigeria plc has helped to financial small scale industries.Instrument of data collection is questionnaires and research questions which formed the source of primary data, while materials from various published articles, textbooks, journals and newspaper formed the secondary data.

The method of analysis is the use of  tables, percentages and chi-square .

The major finding of the research is that union bank of Nigeria plc has helped to financial small scale industries period under review.

The recommendation based on the finding is that in order to reduce the risk in small scale industry lending, the central bank of Nigeria and the government can do more than they are doing currently scheme.

The study concluded that if the desired objective of using small scale industries as catalysts of development is to be achieved than the role of commercial banks should be mutually supportive.

TABLE OF CONTENTS

 

CHAPTER ONE

INTRODUCTION ANALYSIS

1.1     Background to the problem

1.2     Problem statement

1.3     Objectives of the study

1.4     Research questions

1.5     Research hypothesis

1.6     Scope of study

1.7     Limitations of the study

1.8     Definition of study

Reference

 

CHAPTER TWO

LITERATURE REVIEW

2.1     Introduction

2.2     Meaning of small scale industry

2.3     Government policy

2.4     Support systems

2.5     Financing

2.6     Monetary policy development in favour of small scale industries

2.7     Benefits of small scale industry

2.8     Problems facing small scale industry

2.9.1  Financing the project

2.9.2  Technical knows how

2.9.3  Personnel, matters and general administration

2.10   Improving funding small scale industries

References

 

CHAPTER THREE:   

RESEARCH METHODOLOGY

3.0     Introduction of the study

3.1     Research design

3.2     Area of study

3.3     Population of study

3.4     Sample size determination

3.5     Instrument for data collection

3.6     Validation of the instrument

3.7     Reliability of the instrument

3.8     Method of data collection

3.9     Data analytical techniques

 

CHAPTER FOUR:     

PRESENTATION AND ANALYSIS OF DATA

4.1     Presentation of data

4.2     Hypothesis testing

 

CHAPTER FIVE FINDINGS:

CONCLUSIONS AND RECOMMENDATIONS

5.1     Findings

5.2     Conclusion

5.3     Recommendation

Bibliography

Appendices

 

 

 

CHAPTER ONE

 

INTRODUCTION

1.1     BACKGROUND TO PROBLEM

The successive development plans of Nigeria have laid emphasis on the attainment of self reliance.  The need for this national objective is because much is expected from individuals from the view point of providing employment opportunities self reliance in basic food and material production high per capital income, foreign exchange earnings and the production of industrial raw materials.

Okporobie (1989:10) observes that Nigeria small scale industries continued to decline despite the so called priority given to the sector

However, the discovery by the central bank  that this policy was not enough by it self led to the central bank request with effect from 1970/80 that all commercial bank must reserve a proportion of the minimum credit allocation to indigenous borrowers for small scale Nigeria enterprises.  The target prescribed in 1979 was ten percent (10%) which subsequently raised to sixteen percent (16%).

Even though available data showed that performance of commercial banks against this directive has been disappointing. The central bank intends to  spare no effort in ensuring that banks fully couple without compromising the smooth functioning of the nation banning system.

He observed also, that without the development of small scale industries in Nigeria, the nations quest for industrialization will certainly remain forever at stake. It is the opinion of the researcher that future development in our industrialization must address the basic issues of creating linkages without the economy to begin to produce real inputs to our manufacturing activities .

Priority attention must therefore be given to these industries for which domestic inputs could easily be produced.  This will bring about  agro-allied industries like food processing and other by-products.

The objective should be to maximize the value added in their processing and manufacturing as final goods immediately inputs.

Nzewi and Oze (1985:56) observed that empirical evidence indicates that strong producer incentives to small scale industrialists are necessary not also only to meet the food requirement but also to  provide growing input supplies and demand as a foundation for sustained industrial growth.

The present economic constraint may well turn out to be a blessing in disguise to our industrialization effect particularly for dynamic manufacturing sector.  For instance, the market determinate exchange rate through seeing with its result and high cost of imported inputs may serve as an impetus for industrialist to intensify their search for local substitutes.

Ekenyong and Nyong (1992) observed that small scale enterprises are regarded an organic part of a viable structure for the attainment meaningful economy development in developing economic like Nigeria.

They are significantly more cost effective in bringing about development than large enterprises because of the perceived linkage and multiplier effects which small scale enterprises have on the performance of the economy and economic growth in general.

 

Osayameh (1989) observes that the strength that make small scale enterprises more amendable for assistance areas as follows.

1.       Personal commitment of the proprietor whose life savings usually form the start up capital.

2.      Low initial capital out lay requirement

3.       Ease of entry and exit and prevalence of just minimal legal constraints

4.       Amenability to business advisory services because of their small size which makes than more responsive to improvement suggestions.

Olashore (1987) Observes that the four main sources of enterprises financing open to small scale industry in Nigeria are.

i.        Formal financial institutions such as commercial banks merchant banks, insurance companies and the development bank.

ii.       Informal financial landlords, credit and savings associations “esus” friends and relations personal savings and .

iii.      Other financial scheme, NERFUND NEXIM

in 2001, there was an introduction of small and medium industries equity investment scheme (SMIEIS) in which N359 million was set aside to date by banks under small medium industries equity investment scheme.

Through union bank small and medium scale enterprises (SMES) department, the bank has remain ed in fore front of SMES financing nations was extended to the SMES as at 31st March 2004.

Small scale industry is any industry not exceeding N750,000 including working capital  but excluding cost of land.

It is also defined by center for industrial research and development of Obafemi  Awolowo university Ile Ife as  those industries whose total assets in plant, equipment and working capital do not exceed N250,000 with not more than 50 employees.

 

1.2     STATEMENT OF THE PROBLEM

The problem of credit to small scale industries may not necessarily be as a result of financing insufficiency but rather for some other reasons among which are.

i.        Insufficient preparation on the part of small scale entrepreneurs in their request for credit assistance.

ii.       Information gaps as to range of funding institutions and scope of services available in these institution

iii.      Moreover, servicing of small business accounts is relatively experience, risky and difficult to monitor with low turn over of account.

However, the parishioners in the sector small scale industry do not display competence in preparing justification for their project.  It is are to see most of them coming up with cash flow projections, projected balance sheets, among others.  They are based on personal rudimentary in formation and speculation.  At times when they seek the advice of consultants, the outcome that are made figures project based on assumptions which are most of their time unrealistic.

As a result such proposals are out rightly rejected by banks.

There are suitable when credit demands in this sector are not in compliance in this government monetary policy and credit guidelines which must be adhered to by banks.

The researcher identifies these problem and considers it necessary to carry our study on them.

 

1.3     OBJECTIVES OF THE STUDY

The objectives of the study include:

a.       To ascertain the extent to which the union bank of Nigeria plc has helped to finance small scale industries.

b.       To identify the problems encountered by small scale industrialists in obtaining finance from union bank of Nigeria plc.

c.       To evaluate various measures introduced to boost industrial production and its financing and how this has affected realization of the set goals.

d.       To determine the causing changes in small scale industrial financing by union bank of Nigeria plc.

e.       To make suggestion and recommendations based on the data generated by the study.

 

1.4     RESEARCH QUESTIONS

The critical appraisal to give answers to the following questions.

a.       To what extent has  union bank of Nigeria plc helped to finance small scale industries?

b.       What are the problems encountered by the small scale industrialists in obtaining finance from union bank if Nigeria plc?

c.       What are the various measures introduced to boost industrial production and its  financing and how this has affected the realization of the set goals?

d.       What are the causes of changes in small scale industrial financing by union bank of Nigeria plc?

e.       Does any linear relationship exist between lending to small scale industries and economic recovery and self reliance on the economy?

1.5     RESEARCH HYPOTHESIS

a.       There is no linear relationship between lending to small scale industries and economic recovery and self-reliance of the economy.

b.       there is no relationship between union bank of Nigeria plc lending to small scale industries and the attitude of this customers

1.6     SCOPE OF STUDY

The scope of the study is the role of commercial banks in financing small scale industries in Nigeria. A case study of union bank of Nigeria plc.  It does not cover the role of commercial banks in financing medium and large scale industries.

 

 

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THE ROLE OF PERSONNEL MANAGEMENT IN ENHANCING INDUSTRIAL HARMONY.

THE ROLE OF PERSONNEL MANAGEMENT IN ENHANCING INDUSTRIAL HARMONY.

(A CASE STUDY OF COTTON MILLS ONITSHA)

 

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ACCOUNT NUMBER:  0115939447
 
 
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Account Name: 3059320631

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ABSTRACT

 

This project study exposes the reader to what personnel management is all about the various tools involve in the management of personnel management.

This work also expose the reader to what keeps personnel management satisfied and also enhances the industrial harmony in the cotton mills Onitsha.

Various method were employee in collecting data for the study which involved personnel interview and questionnaire

 

Different type of management tolls were also examined commuters were interviewed with the data collected presentation and analyzing were done and finally summary were give and conclusion was draw

 

 

 

TABLE OF CONTENTS

CHAPTER ONE

INTRODUCTION

1.0     General background of the study

1.1          Problem associated with the study

1.2          The importance of the study

1.3          Scope of the study

1.4     Definition of some important terms

1.4          Reference

 

 

 

CHAPTER TWO

2.0     LITERATURE REVIEW

2.1          Origin and factory of the study area

  • School of though with in the subject area
  • The different school of though relevant to the problem of study
  • Method of studying the problem associated with the study
  • Summary
  • Reference

 

CHAPTER THREE

3.0     CONCLUSION

  • Data collection
  • Analysis of data/ findings
  • Tabulation of data
  • Recommendation

 

 

 

CHAPTER ONE

 

 INTRODUCTION

1.0     GENERAL BACKGROUND OF THE STUDY

The purpose of undertaking this project is to look into how personnel management enhances industrial harmony with special reference to cotton mills limited Onitsha.  Also it is utmost important to and identity the problems militating against workers effective performance it is hoped however , that it mill from a useful handbook for the management of general cotton mills limited particularly the personnel management whose duty is to enhance the industrial harmony of the company.

Before analyzing the area to be covered in this project it is worth explaining some keywords like personnel management;

The dictionary meaning of personnel is body of persons engaged in some public service or in the offices.  Also a personnel manager is the one employed to dead with relationship between individual employee their relationship problems grievance etc.

Personnel management is therefore the management of human resources and the optimum utilization of  manpower  to achieve the desired objective and this is regarded as a life wire of any organization.

Personnel management in the sense of managing people can said to be part of the role every person who is responsible for the work of others.

 

Furthermore personnel management deals with recruiting selecting placing training developing motivating pay and benefits enforcement relation with trade unions staff association safety and heath employment legislation etc

The creation of goods and service in our society is accomplished through effective work force.

It is pertinent to mention have that many organizations has lose down or retrench their worker due to not only lack of raw material and spare parts but to some extents dues to industrial arrest that are bound in such organization it is therefore necessary to curb or strongly minimize such a menace or hazards.

To do this investigations should be carried out or condition hence this project is undertaken.

It should be noted or remembered that since that attainment of organizations objectives is through the work of people and it is established that if people think and act differently conflicts and disharmony must exists.

 

The investigations is therefore aimed at highlighting the factor that affects and that could brings about disharmony in a department and to try and recommend remedies for it

Personnel management which is that departments in an organization that has the prime responsibility for the following:

  1. Formulating proposing and gaining acceptance for the personnel polices and strategies of the organization.
  2. Advising and guiding the organization management on the implantation of personnel policies and strategies
  3. Proving personnel service for the organization to facilitate the recruitment motivation and developing of the sufficient and suitable employee at all levels.
  4. Advising the organization managers of human consequence of change.

 

Again personnel management amongst all departments in an organization is regarded as one of the important department of which if not fund affects the running of the organization.  There are some other important works which are performed by the personnel managers which helps the organization in enhancing their industrial harmony which will help for the effectiveness of the workers and could also lead to improvement of their output.

 

  • PROBLEMS ASSOCIATED WITH THE STUDY

There are many problems associated with this study and it could not be overemphasize.

In Nigeria today there are problems which face the personnel practitioners the first major problems is concerned with the delicate balance which a personnel manager must maintain between expatriate and their counterparts.  By virtue of culture difference between two group and the fact that expatriate  who belong to multinational organization have to be treated differently and apparently better with regards to conditions of service there is bound to be…

 

 

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THE IMPACT OF TOTAL QUALITY MANAGEMENT ON CORPORATE PRODUCTIVITY IN NIGERIAN BOTTLING COMPANY

THE IMPACT OF TOTAL QUALITY MANAGEMENT ON CORPORATE PRODUCTIVITY IN NIGERIAN BOTTLING COMPANY

 

 

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ABSTRACT

This research work topic is Impact of Total Quality Management on corporate productivity in Nigerian Bottling Company, Kaduna. This begin with a brief background of the study that introduce the subject matter, also statement of the problem is also highlighted which is the reason why the researcher undertook the study to exploit such problems and come up with solutions, the objective of the study is discuss to see how total quality is important in the organization, in chapter two which is aimed in discussing the main body of the study which is review of literature. It consists of quality, quality determinants, the benefit of total quality management to the organization, and the challenges of total quality management, the researcher also employs the use of research methodology to collect data fro m sample size of 80, in Nigerian Bottling Company, the research work adopt is survey method of research using questionnaire designed with likert rating scale to gather and analyzed the data. The data were presented, analyzed and tested in chapter four of the project in conclusion and recommended some ways to improve on quality in the organization.

 

 

 
TABLE OF CONTENTS
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study 1
1.2 Statement of the Problem 3
1.3 Objectives of the Study 5
1.4 Significance of the Study 5
1.5 Research Questions 6
1.6 Scope of the Study 7
1.7 Limitation of the Study 7
1.8 Definition of Terms 8

 
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction 10
2.2 Quality 10
2.3 Quality Determinants 12
2.4 Total Quality Management 14
2.5 Principles of Total Quality Management 18
2.6 Circumstances of Total Quality Management 20
2.7 Benefit of Total Quality Management 21
2.8 Application of Total Quality Management 22
2.9 Challenges of Implementing Total Quality Management 25
2.10 Quality Management System Audit/Review 27
2.11 Tools and Techniques for Quality Improvement 28
2.12 Chapter Summary 31

 
CHAPTER THREE: METHODOLOGY
3.1 Introduction 32
3.2 Research Design 33
3.3 Area of Study 33
3.4 Population of the Study 33
3.5 Sample Size and Sampling Technique 34
3.6 Instrument of Data Collection 34
3.7 Validation of the Instrument 35
3.8 Reliability of Instrument 35
3.9 Method of Data Collection 35
3.10 Method of Data Analysis 36

CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
4.1 Introduction 37
4.2 Characteristics of Respondents 38
4.3 Data Presentation and Analysis 39
4.4 Summary of Findings 48
4.5 Discussion of Findings 51
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1 Summary 53
5.2 Conclusion 54
5.3 Recommendations 55
Bibliography 58
Appendix I

 

 

 
CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
Total quality management can be defined as a strategy for improving business performance through the commitment of all employees to fully satisfying agreed customer requirements at the lowest cost through the continuous improvement of products and services, business processes and the people involved.

 

Deleforge (2000) also pointed out that total quality management is concerned with the management of all aspects of quality services provided to the customer. This includes quality of goods delivery price of services, quality of promotion and merchandising. The importance quality to an organization cannot be overemphasized because of it attribute to the fact that quality determines to a large extent, productivity, customer satisfaction, profit and other key performance element to an organization.

 

Total Quality Management (TQM) is one of the approaches used to enforce quality in the system and process of and organization as a concept, it sees the participation of all and sundry. Organization in the pursuit of quality so as to ensure customer satisfaction and organizational and societal benefit. The rationale behind the total quality management (TQM) concept is that, since a major objective of most corporate organizations (especially the profit concerns) is to gain and maintain competitive advantage every key elements that has a direct bearing on the achievements of that goal is to be accorded priority attention, among these elements is a quality as it is central to the organization’s competitiveness.

 

The concept of TQM view that, to achieve and sustain competitive advantage. A firm has to be at the best (optimum productivity) and on the other hand, the expectation of customers has to be met or satisfied. For the reasons quality which is true fundamental element in the productivity index assessment has therefore become and remain a business of all within the firm as it has direct linkages to both productivity and customers satisfaction problem surrounding the status of a company’s competitiveness cannot be in connected with it product performance that how well a product deliver to expectation, largely determines how competitive the company become.

 

 

1.2 Statement of the Problems
The continued effort of firm to grow and improve their performance, both internally and in the market place is constantly being challenged by a number of fundamental issues, for firm to perform credibly important key elements of its internally processes has to be looked into in relation to its market role and relevance, crucial among these basic is the subject of quality.

 

Quality represent a key component of the productivity index and even so the external performance or position of the firm in the market place.
The problems or challenges associated to quality for a firm…

 

 

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MOTIVATION A SUCCESS FACTOR IN ORGANIZATION

MOTIVATION A SUCCESS FACTOR IN ORGANIZATION

(A CASE STUDY OF ANAMMCO NIGERIA LIMITED)

 

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Account Name: 3059320631

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ABSTRACT

          This research study “Motivation a Success Factor in an Organization” (A Case Study of ANAMMCO Nigerian Limited, Nigerian Port Authority Plc) was conducted to further enlighten management that the attainment of success in an organization has a direct bearing to motivation. This research revealed that rewarding employees for their contributions to the success of their organizations serves as the motivation factors inducement in them, that helps bring out the best in them.

 

PREFACE

The study is arranged into five chapters, commencing with the introductory chapter which comprises of the background of the study, statement of the problem, objectives of the study through the significance of the study.

Chapter two took a sweep on literature review, being a summary of past research finding on Motivation success, various form of motivation carried out by notable authors.

Chapter three deals with methodology which entails the administration of questionnaires processing and analyzing procedure for the data collected.

Finally, the fifty chapter is all about the conclusion of the study with the summary of major findings, recommendations and areas of further research.

 

 

TABLE OF CONTENTS

CHAPTER ONE

1.0     Introduction                                                                                 1

1.1     Background of the Study                                                             2

1.2     Statement of the problem                                                             7

1.3     Objective of the Study                                                                 8

1.4     Research Question                                                                       9

1.5     Definition of Terms                                                                     10

References                                                                                   13

CHAPTER TWO:

Review of Related Literature                                                                  14

  • Introduction 14
  • Meaning of Motivation 14
  • Motivation and Organization Performance 18
  • Various Theories of Motivation 19
  • Sources of Motivation Factors in Organization 26
  • Brief History of ANAMMCO 30
  • Summary of Literature Review 32

References                                                                                   33

CHAPTER THREE

  • Methodology 34
  • Research Design 34
  • Sources of Data                                         35
  • Population Size 35
  • Sampling Plan 36
  • Sample Size 36
  • Instrument for Data Collection 37
  • Tools for Data Analysis 37
  • Scope of the Study 37
  • The Limitation of the Study 38

CHAPTER FOUR

4.0     Data Presentation and Analysis                                                    39

CHAPTER FIVE

Summary of Major Findings, Recommendation and Conclusions          57

  • Summary of Major Findings 57
  • Recommendations 59
  • Conclusion 60

Bibliography                                                                                62

 

 

 

CHAPTER ONE

 

1.0     INTRODUCTION

          Most organization ignore this drive that motivation is the success factor that we send employees thinking more of organization interest and less of individual interest. Countries like Japan, America, Russia, China, Europe are known for their technological advancement.  The secret behind the success of these developed countries is that they have developed a culture of motivating their labour force. It is worthy to mention that a motivated worker is the most productive workers.  The worker who sometimes equals or excel in any standard his boss sets or contemplates setting for him.  Herzberge defined motivation in a book jointly written by Williams F. Dawling and Leonard R. Sayle titled “How motivates” (1971) as: “An inner desire to make an effort.

 

This definition implies that there is a reagent that acts as a catalyst that gears or gingers up the effort that make an employee go the extra mile to achieve what he/she would ordinarily not achieve under normal circumstances, the term “motivation” derives from the Latin movere “to move” it is virtually impossible to determine a person’s motivation until that person behaves or literally move. Robert Kreitner in the fifth edition of his book titled “management” (1990) defined motivation as “the psychological process that gives behaviour purpose and direction.

 

By applying this process, managers attempt to get individuals to willingly pursue organizational objectives.  The individual workers behave in a certain manner or toward a certain direction informed by a drive within them and this give them the urge to aspire to satisfy that objective.

The resultant effect of motivation is the attainment of higher productivity by organization (both private and public)

 

In essence motivation is a function of performance, which eventually leads to sustain the success of organization.  A working definition (Cole 1995) of motivation is as follows: “Motivation is the term used to describe those process, both instructive and rations by which people seek to satisfy the basic drives, perceived needs and personal goals which trigger human behaviour”.

It becomes pertinent for all organization to know that motivation is a success factor in order to achieve higher performance.

 

 

1.1     BACKGROUND OF THE STUDY

          The aims and objectives of every organization is to be successful, and for an organization to be successful, its employees must b properly informed of what is expected of them, how to go about achieving the result; creating enabling environment for them to operate, availability of facilities and material guaranteed job security adequate compensation for hardworking workers, it is globally accepted that motivation plays a fundamental role in enhancing workers performance behaviours.  Motivation comes in different forms, since human beings are unpredictable and their needs insatiable, because what could serve as motivation to one worker may not necessary server as motivation to the other.  However, the following factors could serve as motivation factors, as theorized by Abraham Maslow.

  1. Job security
  2. Job satisfaction
  3. Self esteem
  4. Self actualization
  5. Spirit of belonging (needs)
  6. Rewards for exceptional performance

Below is a diagrammatic representation of these motivation factors.

High needs emerge as lower needs are fulfilled.

 

 

 

 

 

 

 

 

 

Data from diagram from A. H. Maslow.

Since motivation comes in divert forms, every organization (private or public) has its pattern of motivating its employees to stimulate their moral toward achieving a successful performance.

However, since motivation has been unverically accepted as an inducement to employee to strive to achieve extra ordinary or unique level of performance which they could not ordinarily achieve this worker will endeavour to unearth or unravel those motivational tools available for employers to labour in order to aid them in boosting their organizational performance.   In view of the security and exorbitant cost of accommodation in the cosmopolitan cities like Lagos, most employees would feel highly motivated if provided with accommodation at a reasonable cost.  A case in point is the centre for management development which has provided accommodation for its staff on essential services and affordable cost with the organization’s premises. There is no doubt that some of them may have gotten offers from somewhere else than what they are receiving from the centre, but for the conducive accommodation they enjoy from the centre, they would prefer the meager salary to receiving the fat one elsewhere and pay so much on rent inside the city, this is a pure case of lean liberty being better than fat salary.

 

Some organizations choose to motivate their employees by either providing them with housing loans, vehicle or official vehicles.  In the late 70s and early 80s some notable companies (mostly in the oil industries) adopted this mode of motivation, by providing most of their senior workers with car loans.  In the 60s and 70s all graduates from the universities had ready jobs, car loans and accommodation waiting for them.  This form of inducement does not only encourage workers to be dedicated to an organization, but also ensures employees punctuality to work, hence facilitating higher productivity in the organization.

 

Provision of free medical facilities has been discovered to have played a functional role in having some employees fee motivated when their employer consider their health their prime concern.  A healthy organization is a productive organization.  Monetary motivation of course play a greater role in motivating employees to give out their best.  This could come in the form of promotion, transfer, job enlargement; job enrichment, benefits and training involving outside station. With the advent of the present economic downturn, any form of monetary motivation will be very much appreciated by a large number of employees and this will enhance the success of the organization.  The reality of monetary motivation cannot be overemphasized as labour union have consistently being at logger-head with the Federal Government over civil servant poor conditions of service, hence the inevitable need for appropriate upward review of wages and salary labour union have always felt unhappy that civil servants in a country of abundance financial resources are not commensurately compensated.

 

This has informed the persistent demand for salary reviews in order not only to caution the economic effect, but to adequately compensate  them (employee), which in return will make them to improve their work performance, some organization like Centre for Management Development (CMD) for instance, has a culture of motivating its workers by way of distributing rice, chicken  and turkeys to staff at the end of every year in addition to organizing end of year party for the staff children where they are presented with some token souvenirs, the centre also gives long  service awards  for its workers, where some of them take home gift items such as television sets, sets of cooking utensils; depending on the  length of services.  These incentives serve as motivational tonic and the trigger employees, and serves as a success factor in the organization by improve performance.

 

 

1.2      STATEMENT OF PROBLEM

          In most organization, with particular reference to the public sector, you find out that  workers hardly report to their duty posts as and when due, inspite of Management’s threat; and when one inquires further why they exhibit such laxity  or lack a disical attitude to their…

 

 

 

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THE IMPACT OF INCENTIVE (WELFARE SCHEME) ON THE PERFORMANCE OF WORKERS

THE IMPACT OF INCENTIVE (WELFARE SCHEME) ON THE PERFORMANCE OF WORKERS: A CASE STUDY OF NEPA PLC ENUGU, ENUGU STATE

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ABSTRACT

          Since the day of Abraham Maslow’s hierarchy of needs and Douglass Mcgregor’s hygiene factors, a lot of management intellectual have been carrying out research, and writing on good management of staff welfare schemes and ways of motivating workers and increasing productivity. but the good ideas suggested by these searchers (authors) have not been fully realized by the employee of out time in general and the good workers of NEPA Plc, Enugu Zone in particular.

Although the colonial history of Nigeria there has been employer/employee unrest at different time due to financial s malfeasance, administrative malversation, neglect of and imposition of inhuman workers welfare scheme and consequent negative results on labour productivity.  The killing of many coal miners in Enugu in 1949  by the an autocratic white regime is a case to mention here, since then, many organized labour unions have sprung-up in many organizations and governments at different times at different parts of this country of fight for the right of workers, workers motivational incentives, and society. Responsibilities of employers of labour to the employees in particular, and society at large.

It is against this background that this research work was conducted to investigate the problems militating against the full realization of the benefits of a good workers welfare scheme by the employees of NEPA Plc, Enugu Zone in particular. The method of data collection employed in this study was primary and secondary sources. Simple percentage was used in the analysis of data to generated in the course of this research.

It is expected that this work would assist the corporate/business level strategic planners and mangers of NEPA Plc, Enugu zone in particular and those of other companies, industries, corporations and government in productivity as they are in constant search for practical approaches to the solution of the problems hindering improvement of NEPA performance (in supply of power) in the Enugu zone, and workers productivity in the economy.

It is also hope that all the other employer of labour whose business are so small to be classified under the entrepreneurial code such as all small/medium scale enterprises vis-visa, those other bigger business discussed above which classed under the adaptative and planning code shall as well benefit motivate workers, provide workers participation in decision making process, and lead to eventual increase in labour productivity.

TABLE OF CONTENTS

CHAPTER ONE

  • Introduction 1
    • Background of the Study 1
    • Statement of the Problem 4
    • Purpose of the Study 6
    • Scope of the Study 7
    • Limitation of the Study 7
    • Significance of the Study 8
    • Definition of Terms           9

References                                                                                   10

CHAPTER TWO

  • Literature Review 11
  • Nature of Scope of Staff Welfare 13
  • Growth of Staff Welfare 13
  • Purpose of Staff Welfare Scheme 20
  • Categories of Staff Welfare Services/Types of Fringe Benefits 22
  • Disadvantages of Staff Welfare Provision 38
  • Summary of Literature Review 43

References                                                                                   46

CHAPTER THREE                                    

  • Research Design and Methodology 48
  • Area of the Study 48
  • Population of the Study 49
  • Sample and Sampling Procedure/Technique 49
  • Instrument for Data Collection 50
  • Validation of the Instrument 52
  • Reliability of the Instrument 52

References                                                                                   55

CHAPTER FOUR

  • Data Presentation and Analysis 56
    • Introduction 56
    • Testing of Hypothesis 73
    • Summary of Result 78

CHAPTER FIVE

Discussions, Recommendation And Conclusions                                  80

  • Discussion of Result/Findings 80
  • Conclusion 82
  • Implication(s) of the Research Findings 84
  • Recommendations 85
  • Suggestions for Further Research 87

Bibliography

94

CHAPTER ONE

 

INTRODUCTION

1.1     BACKGROUND OF THE STUDY

          The administration of staff incentives scheme has now become a popular phenomenon of the total personnel policy of any organization. The scheme involves these extra benefits which may not necessarily be money, which emanate from the kind relationship of the employer to the employees, to supplement their usual wages, from time and which are at most times geared purposely towards the enhancement of workers performance in the organization.

This scheme, is very important to both the organization and the employees, from the employer’s point of view, it is anticipated that a good staff employee incentive scheme will induce the employees to work hard and improve their general attitude toward the organization.  But for the employee, these benefit represent some additional right such as extra income, additional security or more desirable working conditions that should not require any additional effort.

In business organizations, employers of labour have seen in staff welfare services the ability to invoke commitment and co-operation of the subordinates to contribute more to the achievement of the organizational goals and aspiration. This discovery has led many employers of labour to the introduction of well packaged welfare services, with the sincere belief that a good staff services will induce staff to work hard and improve the general staff morale.

The situation remains relatively the same but for the difference in methods of payment and apparent change in emphasis. The appraisal of the staff welfare scheme are defined as “something of value apart from the agreed regular monetary payment of salaries and wages given to staff”. This will be used as the working definition for this research work.

Staff welfare services exist in all culture and in all organization and had existed at all times. They take different shapes and forms and attracts different names.  In recognition of their worker need fulfillment functions, they are variously called “welfare services” “welfare benefits employees” “income” or simply “supplementary, compensation or “pay and non wage remuneration. As non taxable income and expenses, they are beginning to be called “indirect compensation and non tax benefit”.

In the past, they used to be tiny bits and pieces of goodies that occasionally full from the high tables of paternalistic employer i.e when the top management play a fatherly role of the staff.

It should be noted that for the company to achieve its objective her welfare service should be adequate, competitive and tailored towards the real need of the staff.  Staff are directly influenced by nature, quality and quality of welfare services offered because they compare themselves with their counterparts in other organizations.

In this research work, workers do prefer increase in welfare services to increases in salaries especially during the period of inflation and rising prices, workers normally get frustrated and dissatisfied when welfare services are inadequate. But if the opposite condition prevails workers have been observed to be satisfied and more committed to give off their best to the achievement of the company’s objectives.

Welfare scheme, is a kind of incentives given in cash or kind aimed at getting the best out of an employee or group of employees. Motivation aims at optimum performance of employees. Many factors have to do with characteristics of the individuals, different people are endorsed with different potentials, training, skills and receptions ability to change. Employees attitude and behaviour are also influenced by their remuneration and other incentive such as prestige, special allowance and retirement benefits. Conditions and environment of work also affect productivity.

Incentive (welfare scheme) can also be a compensation package, reward for performance, staff prefer cash items such as salary, allowances, Christians bonus, or in non cash items such which we call fringe benefits such as giving the product of the organization to the workers, protective clothing, cars with or without driver.

1.2     STATEMENT OF THE PROBLEMS

          Often workers or employees are attracted to certain organization not only because of the pay packets that are stated in the advert but also because of the benefits attached to them.  Those benefits usually include, housing, transport and medical allowances together with pension or retirement benefits to mention but a few.

 

Continue reading THE IMPACT OF INCENTIVE (WELFARE SCHEME) ON THE PERFORMANCE OF WORKERS