TABLE OF CONTENT
Title
page i
Declaration ii
Certification iii
Dedication iv
Acknowledgement v
List
of Tables vi
Table
of Contents vii
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 2
1.4
Research Questions 3
1.5
Research Hypotheses 3
1.6
Significance of the Study 4
1.7
Scope of the Study 4
1.8
Limitations of the Study 5
1.9
Profile of the studied
Organization 5
1.10 Operational
definition of Terms 6
CHAPTER 2: REVIEW OF
RELATED LITERATURE
2.1 Conceptual framework 7
2.1.1 Business environment 7
2.1.2 Types of business environment 10
2.1.3 Organizational productivity 17
2.2 Theoretical framework 18
2.2.1 Systems theory 18
2.2.2 Contingency theory 19
2.3 Empirical Review 20
2.4 Summary of Reviewed Related Literature 24
2.5 Gap in Reviewed Literature 25
CHAPTER 3: METHODOLOGY
3.1 Research Design 27
3.2 Sources of Data 27
3.3 Population of the Study 27
3.4 Sample Size Determination 28
3.5 Sampling Technique 28
3.6 Description of the Research Instrument 28
3.7 Validity of Research Instrument 29
3.8 Reliability of Research Instrument 29
3.9 Method of Data Analysis 30
CHAPTER 4: DATA PRESENTATION
AND ANALYSIS
4.0 Introduction 31
4.1 Return rate of Questionnaires 31
4.1.1 Demographic Characteristics of the
Respondents 32
4.2 Data Presentation 33
4.3 Test of Hypotheses 36
CHAPTER 5: SUMMARY OF
FINDINGS, CONCLUSION AND RECOMMENDATION
5.1 Summary of Findings 41
5.2 Conclusion 41
5.3 Recommendations 42
5.4 Areas for Further Studies 42
References
Appendices
LIST OF TABLES
Table 4.1 Return rate of Questionnaires
Table 4.2 Demographic Characteristics of Respondents
Table 4.3 Benefits of Technological Advancement to
Organizational Productivity
Table 4.4 Relationship
between Business Environment and Organizational Productivity
Table 4.5 Relationship between Power Supply and
Organizational Productivity
Table 4.6 Effect of Government Policies on
Organizational Productivity
CHAPTER 1
INTRODUCTION
1.1 BACKGROUND OF THE
STUDY
To understand organizational performance,
one must know the elements inside and outside organizations known as
environmental factors, which in turn have a positive or negative effect on
organizational productivity. This refers to different forces or surroundings
that affect business operations. Such forces include customers, competitors,
suppliers, distributors, industry trends, substitutes, regulations and
government activities, the economic, demographic and social and cultural
factors. Others are innovations and technological development.
No business organization can operate
successfully in isolation without dependence on supportive institutions,
variables and factors (Oginni, 2010), which implies that business organization
exists and operates within an environment where there is complex interplay in
terms of activities as well as networks of relationship between and among human
resources, material resources and other systems. In the views of Aborade (2005)
all business decisions are found to be contingent upon a good analysis of the
environment which is often the bane of all the constraints as this environment
creates the opportunities, threats and problems for the business organization.
Evolving from this is the belief that business organization is an integral part
of its environment on the ground that they are mutually interdependent and
exclusive where the environment plays the role of providing the resources and
opportunities to organization for its existence, and the business organization
in turn, offers its goods and services to the people living in the environment
for survival and enlightenment (Ajala 2005). This is also in line with the
views of Adi (2006) that the most important sole influence on organizational
policy and strategy at any point in its development is the environment, both
within and outside the organization. Akanji (2003) was of the opinion that the
more complex, turbulent and dynamic an environment becomes, the greater the
impact on human attitudes, business, organizational structure, market and
process as well as facilities, therefore there is need for all organizations to
direct their attention to the environment when formulating their strategic management
policies in order to facilitate their survival, growth and profit motives.
1.2
STATEMENT OF THE PROBLEM
In
contemporary Nigerian business environment, productivity of Nigerian companies
is predicated on factors such as government policies, adaptation to
technological innovations, competitors, availability of power supply, among
others. These issues have led to lack of proper integration and coordination of
various corporate subsystems in Nigerian organizations, resulting in the
failure to achieve the stated goals and objectives.
The
Nigerian business environment in the last one decade has witnessed unsatisfactory
progress cumulating into retarded growth rate, high rate of unemployment, low
industrial output, coupled with poor demand in terms of services and tangible products.
Energy crisis continues unabated forcing majority of the organizations to
depend wholly on generator as a constant source of generating electricity,
supply of petroleum product is epileptic in addition to frequent changes in
pump price resulting into increase in the general price level of all products
without any exception. The relationship between industrial representatives and
government institutions and representatives keep nose-diving virtually on all
matters, with the government exercising excessive control through plethora of
rules and regulations with stringent conditions, tax adaptation policies
without adequate provision of infrastructural facilities to ameliorate business
operations, leading numerous organizations to fold up or relocate to other
states or countries where the government policies are favorable to their
operation. Upgrades in existing technology or the use of better technology in
organizations to aid their objectives comes at a high cost and is thereby
avoided by some organizations, thereby limiting the quality of their goods and
services and not meeting up with the production pace of their counterparts who
have adapted to or embraced technological innovations. Enterprises are subsumed
in the environment with which they interact by importing inputs and exporting
outputs. The business environment of an organization comprises of both internal
and external factors governing its operation. Failure to pay attention to this
factors usually has an adverse effect on the organization, and within a short
time, such organizations become obsolete or subject to the full control of its environment.
1.3
OBJECTIVES OF THE RESEARCH
The major objective of this work is to
evaluate the Impact of business environment on organizational productivity in
PZ Cussons Industry in Aba, Nigeria
The specific objectives include to:
i.
examine the benefits of
technological advancement to organizational productivity in PZ Cussons Industry
in Aba, Nigeria.
ii.
determine the
relationship between the business environment and organizational productivity
in PZ Cussons Industry in Aba, Nigeria.
iii.
determine the
relationship between power supply and organizational productivity in PZ Cussons
Industry in Aba, Nigeria.
iv.
determine the
relationship between the business environment and organizational productivity
in PZ Cussons Industry in Aba, Nigeria.
1.4
RESEARCH QUESTIONS
The
following questions were highlighted to be the framework providing the guidance
for the research work:
1. What
are the benefits of technological advancement to organizational productivity in
PZ Cussons Industry in Aba, Nigeria?
2. What
is the significance of relationship between business environment and organizational
productivity in PZ Cussons Industry in Aba, Nigeria?
3. Is
there any relationship between power supply and organizational productivity in
PZ Cussons Industry Aba Nigeria?
4. What
is the effect of government policies on organizational productivity in PZ
Cussons Industry Aba, Nigeria?
1.5 RESEARCH
HYPOTHESES
Ho1. Increase in production and reduction of production cost are not
significant benefits of technological advancement.
Ho2. There is no significant relationship between business
environment and organizational productivity.
Ho3. There is no significant relationship between power supply and
organizational productivity.
Ho
. Taxation and
import duties are not significant effects of government policies on
organizational productivity.
1.6 SIGNIFICANCE
OF THE STUDY
The research work provides insight into
the dynamism of business environment through which major and minor constraints
in the environment are identified, the role of business environment in ensuring
as well as heralding survival and growth of business organizations in relation
to danger posed by these environmental factors are also identified. The work
has equally placed environmental factors in the fore front of organizational
productivity, thus enlightening that the success of any business organization
is contingent on understanding the business environment.
The research is beneficial to
managements of existing organizations, those intending to open similar organizations,
the government, students of business administration and the general public at
large.
To managements of existing
organizations, the research gives information on how their environment could be
a constraint on their organizations productivity. For those intending to open
similar organizations, it equips them with the knowledge of how to choose a
business environment that would suit their organizational needs to maximize
productivity. To the government, it shows how government policies could limit
the operations of organizations, hence deferring economic growth. For students
of business administration, it opens them up to how to effectively manage and
profer solutions to organizations as dictated by the environment in which they
operate. Finally, to the public, it creates awareness of why certain
organizations thrive while others die in a given environment.
1.7 SCOPE OF THE STUDY
This
research work focuses on the impact of business environment on organizational
productivity, using PZ Cussons industry in Aba as its case study to draw
generalizations from. The research will be confined within the ambits of Abia
state in Nigeria, owing to the large nature of the nation.
1.8 LIMITITATION OF THE
STUDY
Academic
research has long been a problem in this country. This is the fear of
competition by managers, as they feel that information would be used to the
advantage of their rivals and critics.
Also,
employees fear being victimized by superiors in their work places. So getting
information is usually a time, energy and wits consuming task.
This
study was faced with all these problems. However, it did not affect this study
as the result will make sufficient impact in the future looking for information
on the impact of business environment on organizational productivity.
1.9
COMPANY PROFILE OF PZ INDUSTRY
Pz
Cussons is a well-diversified company that operates across a large scale of
industries including the manufacturing and sale of consumer products,
electronic appliances and the wholesale distribution of general merchandise.
Its consumer products lines include such items as soaps, detergents, cosmetics,
pharmaceuticals and confectionery items. The company’s electronic products
include refrigerators, freezers, air conditioners and plastic containers.
The
geographical segments of the company are Africa, Asia and Europe. It was
officially in production by 1948.
It
was listed in the Nigeria stock exchange in 1974.
Plc
Cussons industry is engaged in the manufacturing and distribution of soaps,
detergents, toiletries, pharmaceuticals, electrical goods, edible oils and
nutritional products.
The
segments of the company are toiletries and household; food and nutrition, and
electrical goods.
Its
head office is situated at 45/47 town planning way, Illupeju industrial estate,
Lagos, Nigeria.
It
owns a soap plant in Aba, situated at Margaret avenue, Aba, Abia state, that
engages solely in the production of Imperial leather and cussons brand of saps.
It
distributes the milk products of Nutricima Limited, Harefield industrial
limited, PZ Wilmar limited and PZ Wilmar food limited. The company manufactures
and distributes various brands in Nigeria, from imperial leather to Cussons
baby, Morning fresh to Thermocool and Robb.
It
operates in approximately 30 distribution depots across Nigeria and over 1000
distributors.
It
owns a soap plant in Aba, situated at Margaret avenue, Aba, Abia state, that
engages solely in the production of Imperial leather and cussons brand of saps.
It
distributes the milk products of Nutricima Limited, Harefield industrial
limited, PZ Wilmar limited and PZ Wilmar food limited. The company manufactures
and distributes various brands in Nigeria, from imperial leather to Cussons
baby, Morning fresh to Thermocool and Robb.
It
operates in approximately 30 distribution depots across Nigeria and over 1000
distributors.
1.10 DEFINITION OF
TERMS
1. Business environment: It
is the totality of the
factors that affect, influence, or determine the operations or performance of
an organization.
2. Government policies: It
is the interaction between the government of a state governing the operation of
organizations within its jurisdiction.
3. Organization: A
social unit of people which is structured and managed to meet a need or pursue
collective goals. An organized group of people with a particular purpose.
4. Productivity: It
is the measure of the efficiency of a person, machine, factory, system, etc.,
in converting inputs into useful outputs.
5. Technological advancement:
It refers to methods, systems, and devices
which are the result of scientific knowledge being used for practical purposes
and is usually upgraded from time to time
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