EFFECT OF EFFECTIVE HUMAN RELATIONS ON ORGANIZATIONAL PERFORMANCE (A STUDY OF ABIA STATE ENVIRONMENTAL PROTECTION AGENCY)

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ABSTRACT

 

The study examined the   effective human relations on organizational performance. The study was conducted in Abia State Environmental Protection Agency. The specific objectives were to determine the effect of employee interpersonal relations on ASEPA effectiveness in Abia State; to examine the effect of human relations management on organizational efficiency; to analyze the factors affecting effective human relations in Abia State Environmental Protection Agency; to ascertain the relationship between human relation practices and organizational performance. The study adopted survey research design and simple random sampling technique were also adopted. A population of  377 staff  and management of Abia State Environmental Protection Agency were used for the study. Taro Yamme formula were used determine a sample of 194 from the population. However,180 questionnaire  were recouped form the respondents which form the sample size of the study. Primary data sourced from distribution of questionnaire to staff and management of Abia State Environmental Protection Agency. A test-re-test were conducted to ensure validity and reliability of the data. The data were presented using 5 point Likert scale and tested using correlation coefficient model (SPSS). The empirical result revealed that employee interpersonal relations has positive and significant effect on ASEPA effectiveness in Umuahia, Abia State, human relations management has positive and  significant effect on organizational efficiency, gender, mutual distrust, segregation  and injustice, nature of job, leadership style, work environment were the factors affecting effective human relations in Abia State environmental protection Agency and there is  a positive correlation relationship  between human relation practices and organizational performance.. The study recommended that management of the studied organizations should apply human relation  practices to achieve improved results in their employees’ effectiveness







TABLE OF CONTENTS

Title Page                                                                                                                    i

Certification                                                                                                                ii

Declaration                                                                                                                 iii

Dedication                                                                                                                   iv

Acknowledgement                                                                                                      v

Table of Content                                                                                                         vi

List of Table                                                                                                               ix

Abstract                                                                                                                      x

CHAPTER 1: INTRODUCTION

1.1       Background of the Study                                                                                1

1.2       Statement of the Problem                                                                               2

1.3       Objectives of the Study                                                                                  6

1.4       Research Questions                                                                                        6

1.5.      Hypotheses of the Study                                                                                 6

1.6       Significance of the Study                                                                               7

1.7       Scope of the Study                                                                                          8

1.8       Limitations of the Study                                                                                 8

1.9       Profile of Abia State Environmental Protection Agency                               9

1.10.    Operational Definition of Terms                                                                    10

CHAPTER 2: REVIEW OF RELATED LITERATURE

2.1       Conceptual Framework                                                                                  11

2.1.1    Human relations                                                                                             11

2.1.2    The importance of human relations in the workplace                                                12

2.1.3    Component of human relation management in an organization                        14

2.1.4    Human relations management process in an organization                             16

2.1.5    Goals of human relations management (ERM)                                              17

2.1.6    Effect of human relations on employees performance                                   18

2.1.7    Effect of human relations on organizational effectiveness                            20

2.1.8.   Some controlled factors that promote effective human relations                        21

2.1.9    Strategies for effective human relations management in an organization    22

2.1.10 Effect of human relations and knowledge sharing on employees’

performance                                                                                                    24

2.1.11 Relationship between unit manager relationship and employee

commitment                                                                                                   25

 

2.1.12  Relationship between human relation(trust in senior management)

and organizational performance                                                                     26

2.1.13  Assumptions of human relations                                                                    27

2.1.15 Challenges faced in effective human relations                                               29

2.2       Theoretical Framework                                                                                  31

2.2.1.   Elton Mayo's theory of human relations                                                        31

2.2.2    Equity theory                                                                                                  33

2.2.3    Empowerment theory                                                                                     33

2.2.4    Functional theory or efficiency theory                                                           34

2.2.5    Self recognition theory                                                                                   35

2.2.6    Work engagement flow theory                                                                       35

2.2.7    Human capital theory                                                                                     36

2.2.8    Natural system theory                                                                                     36

2.3       Empirical Review                                                                                           37

2.4       Summary of Reviewed of Related Literature                                                 41

2.5       Gap in the Literature                                                                                      42

CHAPTER 3: METHODOLOGY

3.1       Research Design                                                                                             43

3.2       Sources of Data                                                                                              43

3.3       Population of the Study                                                                                  43

3.4.      Sample Size Determination                                                                            43

3.5       Sampling Technique                                                                                       44

3.6       Description of Research Instrument                                                               44

3.7       Validity of Research Instrument                                                                    44

3.8       Reliability of Research Instrument                                                                 45

3.9       Method of Data Analysis                                                                                45

CHAPTER 4: DATA PRESENTATION/RESULTS AND DISCUSSION

4.1.      Rate of Return Questionnaires                                                                       47

4.1.1.   Socio-economic characteristics of the staff and management of Abia

State environmental protection agency Nigeria                                             48

4.2       Data Presentation                                                                                            50

4.3.      Test of hypotheses                                                                                          53

4.3.1    Test of hypothesis 1                                                                                        53

4.3.2.   Test of hypothesis 2                                                                                        54

4.3.3    Test of hypothesis 3                                                                                        54

4.3.4.   Test of hypothesis 4                                                                                        56

4.4       Discussion of Results                                                                                     56

CHAPTER 5: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

5.1       Summary of Findings                                                                                     58

5.2.      Conclusion                                                                                                      58

5.3.      Recommendations                                                                                          59

5.4.      Area of Further Studies                                                                                  59

            References

            Appendices


 





LIST OF TABLES


4.1:      Return of distributed questionnaires from  the staff and management of

Abia State Environmental Protection Agency Nigeria                                  47

4.2.      The socio-economic characteristics of the respondents are discussed in

this section as follows                                                                                     48

4.3:      Effect of employee interpersonal relations on ASEPA effectiveness in

Abia State                                                                                                       50

4.4:      Examine the effect of  human relation  management on

organizational efficiency                                                                                51

4.5:      Factor affecting effective human relations in Abia State

Environmental protection Agency?                                                                51

4.6:      Ascertain the relationship between human relation practices and

organizational performance                                                                            52

4.7:      For hypothesis 1, we specify simple regression, thus;                                   53

4.8:      Simple Regression of effect of human relations management on

organizational efficiency.                                                                               54

4.9:      Result of Chi-square computation of factors affecting effective human

relation in Abia State Environmental Protection Agency                              54

4.10:    Correlation coefficient analysis between human relation practices

and organizational performance.                                                                    56

 


  

 

 

 

 

 

 

CHAPTER 1

INTRODUCTION


1.1 BACKGROUND OF THE STUDY

Historically, human relations (HR) is normally thought of as having its roots in the Hawthorne Studies conducted in the 1920s and 1930s at the Hawthorne works of the Western Electric Company, near Chicago in the United States. These studies have now taken on an almost mythological status within the study of organization in order to understand the effect of inter-personal relations on organizational effectiveness (Nicholas, 2015).

With the dynamic and concurrent internationalization of economic development and the continuous progress of science and technology, the development of enterprise management start with management of equipment and technology followed by management of staff. Hence, human relation is now the main issued in enterprise management (Amin and Wan, 2014).

Employees is one the important asset of any organization. The performance of employee has direct impact on the performance of a particular firms in Nigeria.  So maintaining healthy employee relations in an organization is a pre-requisite for any organization in order to achieve growth and success (Richards and Jones, 2010).

The concept of Human relations(HR) is used to broaden the relationship between an employees, an employers and customers by way of maintaining long lasting relationship to both new and existing customers/client to enhance the service and performance of the public sector particularly those established, owned and manage by government of the country (Adekunle, 2014). HR assited organization on building confidence on employee, trust and loyalty will help the  managements to realize the potential of the skills and knowledge in the organization

Most of the organisation mostly at the early stage  normally pay close attention to human relations and help organisation to retain outstanding talent through human resource management, so that the employees can create a higher value for the enterprise (RaiandPareek, 2012).

In today’s dynamic business world organizations now employ the service of human relations personnel /management (HRM) because they not only interact with employees and employers but also stands as an agent connecting employees and employer with the ability to choose best talented and performing employee that will contribute positively to the growth of the firm (Bajaj et al., 2013).

Human Relations is not seen as a technology or software product, but a notion that focuses on new forms of communication within a company (Aedem, 2012). Like any other new management concept, HR is viewed  approach that offers mutual values for employees and employers major values promised to employees are the greatest possible satisfaction of their individual needs, while the increased attraction, retention, motivation and performance of employees are values promised to employers (Strohmeier, 2013).

In addition, human relations refers to the communication between a management and an enterprise as this kind of communication promote flexibility, commitment and facilitates employees achievement of organizational objectives, minimizes workplace conflict and increases trust (Bajaj et al., 2013). If the relationships is strong, then employees will be more likely to be satisfied with their jobs and in turn work towards the production of a greater productive (Daniel, 2013). Although, HR is a philosophy used within the managerial arena that involves creating long lasting relationship between employer, employee and customers in order to improve organizational profitability and making such organization relevant in the long run. HR is one of the leading modern business and management strategic concept employ by firms in business world of today to create understanding among the changing needs and expectations of customers to ensure retention of such customers, which stands as the primary concern of every business establishment.

Richards and Jones (2010) opined that employee relations is a set of business activities supported by the alignment of both technology and process directed by strategy and designed to enhance firm performance in an area of customer management. More so, the importance of employee relations management to organizational performance cannot be over emphasize as it enable staff better understand themselves, management and even their customers to better render endless service which will in turn affects positively productivity in the long run. Employee relationship is concerned with upholding the relationship established between the organization, its staff and the customer as such, organizations need to satisfy its customer, motivate its staff and which may leads to greater profitability (Oliver, 2015).

More so, HR is not only important at the customer service point but at every point in time. Management, however needs to take cognizance of employee relationships management in their organization particularly Abia State Environmental Protection Agency since its importance in rendering of service is highly over rated. Proper   HR   may  result  in  lower

 marketing costs, enhanced staff satisfaction, customer loyalty and possibly increases organizational productivity (Bergeron, 2014).

Employee relations is process of resolving problematic issues concerning individual that might influence the working condition of employees in organisation.  Strong employee relations depend upon healthy and safe work environment, involvement and commitment of all employees, incentives for employee motivation and effective communication system in the organization. The important of human relation cannot be over emphasis. Human relation help organisation in achieving career success. Any more organisation involve in pursue of  human relation the more the  output the orgnisation will be. Knowing how to get along with others, resolve workplace conflict, manage relationships, communicate well, and make good decisions.

A study of human problems arising from organizational and interpersonal relations, because it deals with relations with or between people, particularly in a workplace or professional setting (Richards and Jones, 2010). The human relation skills are vital for success in most of the jobs. These skills become all the more important in the cases of front end jobs like sales person, receptionist, etc. as the employee has to meet different people as part of his job. Also, for top executives, the HR skills are very important as they help them manage their teams, and lead them effectively. Since, organizations cannot  continuously  improve  interdependent  systems  and  processes  until they progressively  perfect  interdependent,  interpersonal  relationships”. 

 

It is the quality of the employee’s workplace relationship that most impacts on the level of employee’s motivation and subsequent performance, Richards and Jones (2010). How well they engage with the organization, especially with their immediate environment that are in most cases their colleagues, influences to a great extent their error rate, level of innovation and collaboration with other employees, absenteeism and, ultimately, how long they stay in the job(Amin and Wan, 2014).  

Thus, harmonious relations between each higher education employer and its employees are necessary to that endeavor. The determinant of good human Relations in Nigeria is economic conditions. Fluctuations in economic conditions may influence employee relations (Richards and Jones, 2010).

 

 

In era of  economic recessions, most of employers and the employees are  always faced with  one problem or other. The problem may be in the area of poor salary structure and lack of  incentive that the employee may be expected from the employers. However during boom the situation is different because the organization is in position to meet the demands of the employees as it fall due. In effect, the study examine the effect of effective human relations on organizational performance.

 

1.2 STATEMENT OF THE PROBLEM

One of the most important determinants of work place effectiveness and efficiency is employee relations but, in Abia State Environmental Protection Agency little interest has been channeled to employee relations which is harmful to organizational performance. The aspect of employee-employee relations and how it relates to performance has not been given the attention it deserves by management of ASEPA. This is based on the fact that, employees in ASEPA are not placed in the central point in the organization. Hence, ASEPA workplace environment impacts a lot on whether the organization achieves its goals, this is because happy employees are productive employees. An employee that is complacent and does not really enjoy their work, but is simply there for a paycheck usually does not produce at a high level, develops a bad attitude and generally drags a team down.

The dwindling performance in ASEPA today is less attributed to many factors, the employer of labour in Abia State are in state of dilemma as most newly employees have not or never acquired the necessary skill to be effective in their respective job due to non-functional human relation system. It is more worrisome that the great emphasis today is how to reduce staff cost, however, reducing overhead by cutting staff training cost may never guarantee maximum benefit to the organization and in the long run the organization may suffer. In effective human relations has a direct link to poor services render to customers and is a threat and can result to organizational ineffectiveness. ASEPA also battle with the problem of incompetent staff as this as has tendency to affect their goodwill negatively.

Despite the importance of human relation on organization productivity, human relations programs are not sufficiently supported by Abia State, Nigeria. They consider the money they will spend on effective human relations programs as waste rather than investment. They fail to foresee the desirability of continuous human relations of their employees in order to promote the efficiency and effectiveness of their organizations. However, as important as HR is, human relation officers believe that, their responsibility ends with maintaining good relationship with employer and employee, this makes them put in little or no effort towards understanding the commitment of employee which leads to ineffective human relations in ASEPA. Another prevailing problem is the issue of fund which still continues to be a major setback in ASEPA as money invested in human resource motivation, training, welfare and goodwill are embezzled by politicians and top level management; this invariably injected negative implications on employee commitment and promote absenteeism, segregation, injustice in resources allocation in Abia State Environmental Protection Agency.

In addition, it is assume that the general problem inherent in Abia State Environmental Protection Agency by workers are low salaries, inadequate reward packages, irregular promotional structure and lack of recognition of workers achievements and poor motivation of staff. All these have negative effect on workers morale and consequently affect their productivity. More so, managers are also faced with the problem of how best to get employees committed to their work and put in their best towards the accomplishment of organization’s goal as a result of poor human relations in the organization. Hence, in recent times, while most workers are on job, they do not produce effectively, simply because of the un-healthy relationship they have with their fellow colleagues and employers; and employees do not put up their best performances at workplaces when they are unhappy with management, government or even their fellow colleagues, as such effective human relation is a life wire to organizational performance. More so, dubious employee-employer relationship results in strike actions and lockouts. All these actions taken by employees display their grievances only do the organization harm than good as productivity will be reduced drastically.

Notwithstanding, it has been perceived that there is great level of dissatisfaction among staff of Abia State Environmental Protection Agency as they have varying experiences at the point of service delivery. The nature of the relationships among organized labour, employers and the government with respect to ASEPA are indicative of the overall status of industrial relations in a country or an industry and the obverse is equally the case. An underdeveloped labour relations system tends to be authoritarian, with rules dictated by an employer without direct or indirect employee involvement except at the point of accepting employment on the terms offered. Despite wide recognition of the importance of human relations for effective organizational performance, there is little understanding of the various elements of human relations in ASEPA, and even less understanding of the ways in which human relation practices can support employees conducive to knowledge transfer and sharing.

It is believed that, the usefulness or value of ASEPA system is best considered in terms of how well it keeps its people healthy and how swiftly clients are treated at least cost. These in turn, have affected employee motivation and organizational commitment. Adjusting successfully to relationship changes has had enormous implications in terms of efficiency and effectiveness based on the ability to access and retain a committed skilled workforce. Indeed best human relation management practices are not practiced by management of ASEPA. However, there is no documented evidence on how various human relation best practices adopted by ASEPA influences performance of the organization. This research endeavors to find out the factors affecting organization performance that are related to human relations. This study therefore examine the effect of effective human relations on organizational performance (A study of Abia State Environmental Protection Agency).

 

1.3 OBJECTIVES OF THE STUDY

The broad objective of the study is toexamine the effect of effective human relations on organizational performance (A study of Abia State Environmental Protection Agency). The specific objectives are to;

        i.         determine the effect of employee interpersonal relations on ASEPA effectiveness in Abia State;

       ii.         examine the effect of human relations management on organizational efficiency;

     iii.         analyze the factors affecting effective human relations in Abia State Environmental Protection Agency;

     iv.         ascertain the relationship between human relation practices and organizational performance;

 

 

 

1.4 RESEARCH QUESTIONS

1.              What are the effect of employee interpersonal relations on ASEPA effectiveness in Abia State?

2.              What are the effect of human relations management on organizational efficiency;

3.              What are the factors affecting effective human relations in Abia State Environmental Protection Agency?

4.              Is there any significant relationship between human relation practices and organizational performance?

 

1.5. HYPOTHESES OF THE STUDY

The hypotheses of the study are stated in a null form

H01:  Employee interpersonal relations has no significant effect on ASEPA effectiveness in Abia State.

H02:  Human relations management has no significant effect on organizational efficiency.

H03:  Gender, mutual distrust, segregation and injustice, nature of job, leadership style, work environment are not the factors affecting effective human relations in Abia State Environmental Protection Agency.

H04There is no significant relationship between human relation practices and organizational performance.

1.6 SIGNIFICANCE OF THE STUDY

The study focuses on effective human relations on organizational performance a study of Abia State Environmental Protection Agency. At the completion of this study finding and recommendations accrued will benefit the following set of people;

To the management of Abia State Environmental Protection Agency, it will help them to identify key constraints militating effective human relations which could be addressed to bring improvement in employee inputs and also increase organizational effectiveness. The study will also help management of the firms to examine effective human relations practices that exist in the company and how to remedy these ineffective practices. The study will offer management the opportunity to know whether effective human relations management practices affect quality performance. This will enable management to come out with strategies which will help improve effective human relations and eventually lead to meeting standards at both the domestic and foreign fronts thereby leading to employee job satisfaction and organizational performance.

More so, the study results will enable the management to establish the effective employee relations strategies on employee performance, hence identify the areas where improvements can be done. It will also help the management in planning for the development and implementation of effective and efficient effective human relations strategies that will lead to improved performance of the Abia State Environmental Protection Agency. This will in turn help in ensuring economic growth and stability of theAbia State and Nigeria at large.

The findings and recommendations of the study will throw more light on relationship management practices as a determining factor for quality performance and public organizational performance as a whole. The research will again, give impetus to the quest for growth and development by enabling management to chart a course for growth and development by eliminating the bottlenecks of human relations in Abia State Environmental Protection Agency endeavours.

To policy makers: Furthermore, the findings and recommendation will help policy maker in Abia State Environmental Protection Agency in the aspect of policy formulations and implementation as regard to human relation practices that will spiked the performance level of the organization and maintain total environmental cleanliness in Abia State.

To Academia’s/Researcher, the study will contribute to already existing knowledge on the human relations on organizational performance in Abia State Environmental Protection Agency, Nigeria. Finally, it will go a long way in helping future researches and student who have interest in studying human relations, relationship management and organizational performance, so as to increase performance level and to those in academics and business management researchers, the study will serve as a springboard for further investigations.

 

1.7 SCOPE OF THE STUDY

The research focused on the effective human relations on organizational performance (A study of Abia State Environmental Protection Agency). From the conceptual perspective, the study the effect of employee interpersonal relations on organizational effectiveness; the effect of human relations management on organizational efficiency; the factor affecting effective human relations in Abia State Environmental Protection Agency; various human relation practices and it effect on organizational performance and the various constraints militating against effective human relations in Abia State Environmental Protection Agency.

 

1.8 LIMITATIONS OF THE STUDY

During the research processes, some issues came up as limiting forces although did not have a significant effect on the result of the study;the limiting factors include the following;

Insufficient Materials:There were insufficient journals and textbooks on human which led to insufficient information that subsequently affected the literature review. However the researcher made use of the available ones.

Limited Time Duration: More so,time and duration of this project work was too short and this adversely affected the research work, since the researcher combine the research work course within the same period. However, in order to attain academic success the researcher rationalized the time effectively.

Finance: The challenge of finance was also one of the limitation forces by the researcher during the time of conducting this research work. Hence, the researcher obtained grant from friends and family members in order to acquire academic excellence.

Inadequate cooperation by the respondents:Lastly another major constraint was inadequate cooperation by the respondents which reduced the amount of data collected.


1.9 PROFILE OF ABIA STATE ENVIRONMENTAL PROTECTION AGENCY

Abia State Environmental Protection Agency (ASEPA) serves as the regulatory body to protect and manage the environmental issues in the state. The functions of the ASEPA include:

·       Enforcement of all environmental legislations in the states

·       Minimization of impacts of physical development on the ecosystem

·       Preservation, conservation and restoration to pre-impact status of all ecological process essential for the preservation of biological diversity.

·       Protection of air, water, land, forest and wildlife within the state.

·       Pollution control and environmental health in the state.

ASEPA, Aba & Environs under the able leadership of Hon Rowland Nwakanma has stated that henceforth all waste will have to be bagged in ASEPA biodegradable bags before they are deposited into the waste receptacles.The biodegradable bags are purchased at the rate of N50 at ASEPA administrative office, 29 Pound Round, Aba; Ministry of works premises along IkotEkpene Road, opposite PHCN office; Market Chairmen's offices and at the waste receptacles points. The ASEPA staff at the waste receptacles points have been directed to ensure strict compliance to this ASEPA DGM's directive. Defaulters shall be made to face the dictates of the extant environmental laws.

The act establishing the ASEPA places on it the responsibility of ensuring that all development and industry activity, operations and emissions are within the limits prescribed in the National Guidelines and Standards, and comply with relevant regulations for environmental pollution management in Nigeria as may be released by the Ministry. To fulfil this mandate a number of regulations/instruments are available (See section on National Legal Instruments on Environment), however for the main instruments in ensuring that environmental and social issues are mainstreamed into development projects is the Environmental Impact Assessment (EIA) Act No. 86 of 1992 See Annex 1. With this Act, the FMENV prohibits public and private sectors from embarking on major prospects or activities without due consideration, at early stages, of environmental and social impacts. The act makes an EIA mandatory for any development project, and prescribes the procedures for conducting and reporting EIA studies. As part of the effective utilization of the EIA tool, the Ministry has produced Sectoral guidelines detailing the necessary requirements of the EIA process from each Sector. One of these Sectoral Guidelines that apply to the proposed project is the ‘Sectoral Guidelines on Infrastructure Development.’ Procedurally, in Nigeria, it is worthy to note that before commencement of an EIA, the FMENV issues a letter of intent on notification by the proponent, approve the terms of reference, ensure public participation, review and mediate. The possible technical activities expected for a proposed project include screening, full or partial EIA Study, Review, Decision-making, Monitoring Auditing and Decommissioning/ Remediation post-closure.


1.10.OPERATIONAL DEFINITION OF TERMS

Human Relations

Human relations is defined as a relationship between employer or the representative manager and employee, aimed towards maintaining commitment morale and trust so as to create productive and secure workplace environment.

Human Relation Practices

Human relation practices can be defined as a crucial function of Human Resource Management which can bring change status of HR in the organization as this function could be quantified and resulted in statistical data to prove its importance in enhancing Human relations status in the organization.

Trust

Trust is a critical variable influencing the performance, effectiveness, and efficiency of the organization. it serve as a bond between the employer and the employee.

Leadership style

Leadership style, often called ‘management style’ is defined as the approach managers use to deal with people in their teams.

Shared values

Shared values is defined as the extent to which partners have beliefs in common about what behaviors, goals, and policies are important or unimportant, appropriate or inappropriate, and right or wrong.

Commitment

Commitment as a desire to maintain relationship a pledge of continuity between the parties.

Employment relationship

Employment relationship can be defined as an economic, social and political relationships in which employees provide manual and mental labour in exchange for rewards by employers

 

 

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