ABSTRACT
This study was carried out to examine the imperative of corporate governance on the performance of medium and large scale enterprises in South Western Nigeria. This study employed both primary and secondary sources of data. A total of five hundred and forty-eight (548) employees constituted the sample size of this study and a simple random sampling method was used. The socio-economic characteristics results of the respondents showed that there were more male-owned/managed enterprises (63% and 58%) than female-owned/managed enterprises (37% and 42%) for both the medium and large-scale enterprises respectively. All of the owners/managers had some form of education, and more than half of the large and medium scale enterprises’ managers (56 and 53%) had a Degree, at least. The result showed that a very large proportion of the medium (76%) and large scale enterprises’ owners/managers (77%) were not more than 40 years of age. The effect of transparency on the innovative awareness, effect of accountability on profitability, effect of security on market shares, effect of direction on productivity of the medium and large scale enterprises in South-west Nigeria were all achieved using the 5-point Likert rating scale. From the study, all the indicators were found to be significant. Based on the results of the study, it is evident that there are positive and significant relationships between transparency, accountability, market shares, productivity and rate of return on investment as they relate to corporate governance. The formulated hypotheses all lend credence to this position. Medium and large scale enterprises need to continuously evaluate the environment that they operate in, understanding their competitors and their offerings/service as their competitiveness depends largely on the speed with which new products can be brought to the market place. Findings showed that medium and large scale enterprises differ in their use of innovative practices, this follows the fact that attention has been drawn to the potential risks associated with practicing innovative technologies and the notion that these risks may be more inhibiting for SMEs than for large enterprises; thus calling for a specific approach of these firms in innovation researches; Since large scale enterprises could receive more gains from innovations more than medium scale enterprises, researchers and practitioners need to explore the conditions under which medium scale enterprises can reap the full benefits from innovation practices while effectively managing the potential risks of becoming too dependent on external sources. To improve organizational performance and profitability, firms need to improve its accountability mechanisms in employment, promotion, motivation and compensation of staff where a compensation system ensuring employee accountability should include a significant level of autonomy.
TABLE
OF CONTENT
Title Page i
Declaration ii
Certification iii
Dedication iv
Acknowledgements v
Table of Contents viii
List of Tables xi
Abstract xii
CHAPTER
1: INTRODUCTION
1.1 Background
of the Study 1
1.2 Statement of the Problem 6
1.3 Objectives of the Study 8
1.4 Research Questions 8
1.5 Research Hypotheses 9
1.6 Significance of the Study 10
1.7 Scope of the Study 10
1.8 Limitations of the Study 12
1.9 Profile
of the Studied Enterprises 13
1.10 Operational Definition of Terms 17
CHAPTER
2: REVIEW OF RELATED LITERATURE
2.1 Conceptual framework 19
2.1.1 Corporate governance 19
2.1.2 Transparency 22
2.1.3 Accountability 26
2.1.4 Security 29
2.1.5 Direction 32
2.1.6 Stakeholder relations 34
2.1.7 Market shares 37
2.1.8 Productivity 40
2.1.9 Return on investment (ROI) 43
2.1.10 Profitability 46
2.1.11 Innovative awareness 49
2.1.12 Corporate governance and the internal
operations of the firm 53
2.1.13 Benefits of corporate governance to medium and
large scale enterprises 54
2.1.14 Organizational performance 57
2.1.15 The
contributions of medium and large scale enterprises
to
the Nigerian economy 59
2.1.16 Challenges of corporate governance in Nigeria 62
2.1.17 Corporate governance development in Nigeria 66
2.2 Theoretical framework 70
2.2.1 The stakeholder theory 70
2.2.2 Agency theory 73
2.2.3 Stewardship theory 74
2.2.4 Resource based theory (RBT) 75
2.2.5 The Endowment theory 76
2.3 Empirical review 78
2.4 Gap in literature 88
2.5 Summary of reviewed related literature 89
CHAPTER 3: METHODOLOGY
3.1 Research design 90
3.2 Area of the study 90
3.3 Sources of data 90
3.4 Population of the study 91
3.5 Sample size determination 92
3.6 Sampling techniques 93
3.7 Description of research instrument 94
3.8 Validity of the research instrument 94
3.9 Reliability of the research instrument 95
3.10 Method of data analysis 95
3.11 Model specification 95
CHAPTER 4:
DATA PRESENTATION AND ANALYSIS
4.1 Data presentation 98
4.2 Data analysis 103
4.3 Hypotheses testing 114
4.4 Discussion of results 123
CHAPTER 5:
SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1 Summary of findings 132
5.2 Conclusion 136
5.3 Recommendations 137
5.4 Areas for further studies 138
5.5 Contributions to knowledge 138
REFERENCES 140
APPENDICES
Questionnaire
administration 156
Test
of hypotheses 161
LIST OF TABLES
3.1 Tabulation
of the population: medium scale enterprises 91
4.1 Questionnaire
distribution and return for Medium
and Large Enterprises 98
4.2 Frequency
Distribution of respondents According to Gender 99
4.3 Frequency
Distribution of respondents According to Marital
Status 99
4.4 Frequency
distribution of respondents by level of education 101
4.5 Frequency
Distribution of respondents according to age 102
4.6 Frequency
distribution of the respondents by their
years of experience 103
4.7 Effect
of transparency on innovative awareness of medium
scale enterprises in South Western Nigeria 104
4.8 Effect
of transparency on innovative awareness of large
scale enterprises in the South Western Nigeria 105
4.9 Effect
of accountability on profitability of medium scale
enterprises in South Western Nigeria 106
4.10 Effect
of accountability on profitability of large scale
enterprises in South Western Nigeria 107
4.11 Effect
of security on market shares of medium scale
enterprises in South Western Nigeria 108
4.12 Effect
of security on market shares of large scale
enterprises in South Western Nigeria 109
4.13 Effect
of direction on productivity of medium scale
enterprises in South Western Nigeria 110
4.14 Effect
of direction on productivity of the large enterprises
in South Western Nigeria 111
4.15 Relationship
between stakeholder relations and ROI of
medium scale enterprises in South Western Nigeria
112
4.16 Relationship
between stakeholder relations and ROI of
large scale enterprises in South Western Nigeria 113
4.17 Simple
regression estimate of effect of transparency on
innovative awareness 114
4.18 Simple
regression estimate of effect of accountability
on profitability 116
4.19 Simple
regression estimate of effect of security on market
shares 117
4.20 Simple
regression estimate of effect of direction on
Productivity 120
4.21 Correlation
estimate of relationship between stakeholders’
relation and ROI 122
ABBREVIATION USED IN THE STUDY
i.
CBN: Central Bank of Nigeria, the apex
bank in Nigeria which supervises other banks.
ii.
LCCI: Lagos Chambers of Commerce and
Industry.
iii.
MLSE: Medium and Large Scale Enterprises.
CHAPTER 1
INTRODUCTION
1.1
BACKGROUND OF THE STUDY
All
over the world, the issue of corporate governance has pacified policy agenda,
especially in developed market economies for more than a decade and it is
gently blazing its path to the apex of the blueprint agenda on the African
continent (Abor and Adjasi, 2007). It is imperative to state that, Asian crises
and the relative poor performance of the corporate sector in sub-Sahara Africa
have made corporate governance very paramount in the global debate (Berglot and
Vonthadden, 2016). Therefore developing
countries of which Nigeria is among and where South-West region exist is no
different, are presently progressively encompassing the notion of satisfactory
corporate governance owing to the fact that it has the potential to
consequences definitely on strategic progression (Claessens, Djankor, Fan, and
Lang, 2012). It is assumed that the
essence of good governance creates shareholders benevolence through credence.
Firms both medium and large scale are now improving on their corporate
governance execution technique knowing full well that it encourages staff
appraisal and augment the centrepiece (Claessens et al., 2012).
However,
medium and large scale ventures play an essential role in the sustainable
development of countries (Ifekwem and Adedamola, 2016). They help in employment
creation, industrial production increase and export, social enrichment as well
as political stability of which south-western Nigeria is no exception.
Furthermore, it has been accepted worldwide, that good legal framework put in
place by successive government spelt out the procedures and operational
guidelines could give credence to medium and large scale enterprises to play
critical role as catalyst for
employment creation (Ifekwem and Adedamola, 2016; Mira, 2002; Lopez and Aybar,
2010). In addition, it is paramount to note that medium and large scale
ventures are seen as gadgets of profit making and advancement (Lopez and Aybar,
2010). Governments explicitly in the
underdeveloped nations have played outstanding roles in enacting policies with
respect to strengthening the competency and the feasibility within which medium
and large scale ventures in Nigeria of which the south west is not excluded
(Ajide, Hameed and Oyetade, 2014).
Nevertheless, notwithstanding executive consortium and approach support,
there is grave doubts and skepticism about whether the medium and large scale
business organizations in the south-western Nigeria have performed well in the
area of job creation considering their staff strength and other corporate
social responsibilities (Ifekwem and Adedamola, 2016). It becomes imperative to
state that medium and large scale business entities are faced with challenges
which affect their potential to embark on tasks and gainfully support the
growth of the nation’s economy. This
includes inconsistence government policies, poor infrastructure development, epileptic
power supply, insecurity etc (Ayopo, 2011). These challenges have caused some
of the medium and large sale enterprises in Nigeria (South western region) to
pull out of operation, and thus; has further deepened the problem of
unemployment and as well as reducing the revenue that would have been generated
from these enterprises (McGahan and Porter, 2005).
However,
it is expected that with proper identification and integration of key elements
or components of corporate governance, like transparency, accountability,
security, stakeholder relations, direction, corporate citizenship, oversight
etc performance of medium and large scale business entities in south western Nigeria
would be on the path of advancement (Roman, 2017).
From
the forth-going, corporate governance is perceived as the procedure and composition
useful in directing through overseeing transaction events of the corporation
regarding building up business affluence and collaborative responsibility with
the ideal aim of discerning lasting share owner usefulness as much as considering
the concern and regard of other shareowners (Abor and Adjasi, 2007). Claessens,
et al., (2012) opined that
outstanding collaborative body work
advancing organizations via incessant entrance to sponsoring lesser value
promotes efficiency and alternative appreciative approach of all stakeholders.
In addition, scholarly researches have established that transparency as a
component for corporate governance is useful in promoting awareness of
innovation, accountability which is normally adopted as supportive tool to
consummate profit, as security can help in keeping their enterprise data secure
from unauthorized access thereby increasing their market shares, as direction
can help the leaders and employees of the enterprises to increase their sales
volume. In the long run stakeholder relations is normally integrated into
corporate governance activities so as to facilitate high return on investment
for the enterprises (Neil, 2012; Roman, 2017; Siaka-Momoh, 2005).
Faleye
(2004) asserted that the tangible sector of the economy encompassing producing,
weighty deposits and agriculture regions where some of the medium and large
business organizations continues to witness tough times throughout the years.
Furthermore, he observed that, the condition surfaced from the constant
challenges of soaring power price, feeble customer request, policy instability,
heterogeneity of imposition and charges, corporate restrictions, increasing
cost of resources and devastated condition of infrastructure etc.
He
postulated that if something concrete is not done to address these constraints,
the substantial sector of the wealth especially the medium and large segment
would continue to experience a sluggish growth if not outright stagnation
(Faleye, 2004 as cited in Onugu, 2005). Corporate governance should be seen as
the pivot in which the wheel of good business performance rotates around
especially in medium and large scale business organizations (Ayopo, 2011). Furthermore, it is imperative to state that,
in developed countries of the world like United State of America, France,
Germany, Japan, China etc where the issue of corporate governance have been
fully inculcated into day-to-day business activities to large extent have
started yielding a positive result (Huse, 2016). This positive result is seen in the area of
accountability, transparency, stakeholders’ relations, security etc., thereby
making it possible for the continuous performance of medium and large scale
business organizations (Health and Wayne, 2014). It is equally observed that, proper
application of corporate governance into the business activities of medium and
large scale business entities by developed countries has helped to eradicate or
minimize corruption, favouritism, nepotism, no respect to the rule of law which
are characterized in developing countries of the world, including Nigeria where
South-Western region is domiciled (Harding and Marc, 2016). It is also good to say with eradication of
corruption from sub-sector of medium and large scale business organizations,
they can fully operate to the optimal level, thereby being able to deliver on
its core mandate of job creation, profit maximization etc. as it is seen in
developed countries of the world (Lahman and Weigand, 2014).
It
is equally vital to review that, the incessant fraud in developing countries of
the world including Nigeria (South-western region) have made it quite difficult
to have direct foreign investment in the sub-sector of medium and large scale
business organizations (Kuada and Hans, 2013).
This has further deepened the problem that the enterprises are facing.
Admittedly,
it could be stated that the notion of corporate governance in Nigeria with
respect to business is seen much on the paper or theory than in the
practice. This is because the business
practitioners or owners, and even the government who promulgated the law have
little or no respect to the rule of law, which is not negotiable in the notion
of corporate governance unlike what the concept stands for in the developed
world (Dare, 2016). It is relevant to
state that, good attributes of corporate governance is lacking in Nigerian
business environs (Doi, 2013). This is
because governance comprises consensus oriented, participatory, accountable,
responsive, transparent, equitable and inclusive, effective and efficient and
follows the rule of law (Fuerst and Sok-Hyon, 2015). It is vital to state that, good governance is
responsible for the contemporary and upcoming needs of the enterprises,
exercises prudence in decision making and policy-setting and take into record
the best interests of all the stakeholders (Cho, 2014). Furthermore, it is the rule of law that gives
credence to impartial legitimate structures that are imposed by an unbiased regulatory
body for the complete safeguarding of stakeholders (Bebchuk and Jesse, 2016).
For corporate governance to gain momentum in Nigerian business environment,
concepts of self-centeredness, nepotism, favourism, corruption and sectionalism
should be eradicated. Also various government institutions saddled with this
responsibility should be given the free hand to discharge their duties without
interference from the higher authority of government (Demirag, 2016). Corporate
governance is perceived as the structures and rules by which a firm operates. It is basically in connection with public
owned firms rather than personal ones.
Also corporate governance can be defined as the role that company
executive teams or boards play in oversight direction and leadership (Kane,
2015).
However,
performance is how well or poorly a firm does a particular job or activity.
Performance as we understand it measures in addition to productivity, many
other concepts such as the degree in which the firm meet customer expectations
and the quality of working life and product quality. Performance relates to effectiveness of how
well customers’ demands are being met including the customers of medium and
large scale business organizations in the South-Western, Nigeria.
1.2 STATEMENT OF THE PROBLEM
Corporate
governance in medium and large scale enterprises has special characteristics
and problems. Medium and large scale enterprises can be characterized by the
following traits: qualified personnel than small and medium (SMEs), good
strategic vision, long-range planning, new ways of doing things, instilling training
policies, ability to gather information on markets, technologies and good
innovative capacity. In spite of the imperativeness of corporate governance to
the development of a market economy and the advancement of growth, medium and
large scale business organizations are likely experiencing a disadvantageous
situation to secure the needed resources required for its development (Yacuzzi,
2005)
In
spite of inadequate capital build up, there is policy somersault which gives
credence to unethical practice in categorizing these enterprises. However, there is possibility of employing
unqualified manpower as a consequent of favouritism and practice of
“person-organization-fit” instead of the “person-the job-fit”. This results in
the manufacturing of products and services that cannot compete (sub-standard
products) favourably in the international market of 21stcentury or adapting
to International best practices. There
is also failure of value system syndrome and down success syndrome situations
that were masterminded by failure in transparency, accountability, poor
shareholders value and overturned security network that is porous and volatile. No empirical studies have been recorded in
this area. Some studies that could be relevant to this study are in the area of
small and medium scale enterprises (SMEs) (Omah, et al, 2012; Osotimehin, et
al, 2012; Esuh and Adebaya 2012; Bamidele, 2012; Yusuf and Dansu, 2013;
Adebisi, et al., 2015). Therefore, it
is on this premise that the study seeks to explore the imperativeness of
corporate governance on the performance of medium and large scale enterprises
in South Western, Nigeria.
1.3 OBJECTIVES OF THE STUDY
The
broad objective of the study is to examine the imperative of corporate
governance on the performance of medium and large scale enterprises in South
Western Nigeria. The specific objectives are to;
i.
determine the effect of transparency on innovative awareness
of medium and large scale enterprises in South Western, Nigeria.
ii.
examine the effect of accountability on profitability of
medium and large scale enterprises in the South-Western Nigeria.
iii.
ascertain the effect of security on market shares of the
medium and large scale enterprises in the South Western, Nigeria.
iv.
examine the effect of direction on productivity of the
medium and large scale enterprises in the South-Western, Nigeria.
v.
analyze the relationship between stakeholder relations and
return on investment (ROI) of the medium and large scale enterprises in the
South Western, Nigeria.
1.4
RESEARCH QUESTIONS
The following research questions guided
the study;
i.
What is the effect of transparency on innovative awareness
of medium and large scale enterprises in South-Western, Nigeria?
ii.
What is the effect of accountability on profitability of the
medium and large scale enterprises in South –Western, Nigeria?
iii.
What is the effect of security on market shares of medium
and large scale enterprises in South –Western, Nigeria?
iv.
What is the effect of direction on productivity of the
medium and large scale enterprises in the South –Western, Nigeria?
v.
Is there any relationship between stakeholder relations and
return on investment (ROI) of the medium and large scale enterprises in the
South –Western, Nigeria?
1.5
RESEARCH HYPOTHESES
The following hypotheses were stated in
null form to guide the study;
Ho1: Transparency has no significant effect on innovative awareness of
medium and large scale enterprises in the South –Western, Nigeria.
Ho2: Accountability has no significant effect on
profitability of the medium and large scale enterprises in the South –Western,
Nigeria.
Ho3: security has no significant effect on market shares of the
medium and large scale enterprises in the South –Western, Nigeria.
Ho4: Direction has no significant effect on productivity of the
medium and large scale enterprises in the South –Western, Nigeria.
Ho5: There is no significant relationship between stakeholder
relations and return on investment (ROI) of the medium and large scale
enterprises in the South –Western, Nigeria.
1.6
SIGNIFICANCE OF THE STUDY
The study is significant in many
respects:
i.
Managers – Managers will use the study the source of core
competence for designing and integrating corporate governance components that
will help to influence the process and procedure of strategic planning in their
enterprises. Again the study will assist the managers during the process of recruiting
and selection of employees for their enterprises.
ii.
Government – Government would see the research findings for
policy making especially in the area of promoting and regulating activities of
medium and large scale business organizations in the South –Western region and
, Nigeria as the whole, as the legal framework as suggested in the research
work.
iii.
Students and Lecturers – The research findings will
constitute a source of knowledge to students and researchers to augment their
classroom learning activities in the area of medium and large scale companies
in Nigeria.
iv.
General Public – The research findings will help the general
public to have an in-depth knowledge on the activities of medium and large
scale enterprises, especially in the area of recruiting and selection.
1.7
SCOPE OF THE STUDY
i. Content
Scope
This
research focussed mainly on the imperative of corporate governance on the
performance of medium and large scale enterprises in South –West, Nigeria. The
study was carried out in the South-West part of Nigeria precisely in Lagos,
Ogun, and Ibadan. This is imperative because of the strategic importance of the
states in operating medium and large scale business firms.
ii. Context Scope
The
study was limited to CEOs, management and employees of medium and large scale
business organizations in the above mentioned states. The selected medium and large scale
enterprises include the following: – Accion Bank Ltd, ARM Pension Ltd, C &
L Leasing and Central Securities Clearing System (CSCS) Access Bank Plc,
Newrest Airline Services, Logistics Plc (ASL), Dangote Cement Plc, Guinness
Nigeria Plc, Unilever Nigeria Plc and Vitafoam Nigeria.
iii. Unit Scope
The study focused specifically on the
following areas: effect of transparency on innovative awareness of medium and
large scale business firms, effect of accountability on profitability of the
medium and large scale enterprises, the relationship between security and
market shares of medium and large scale business organizations, the influence
of direction on productivity of the medium and large scale enterprises, the
relationship between stakeholders relation and return investment of medium and
large scale business organizations.
iv. Geographical Scope
The
study was carried out in the South-Western part of Nigeria, precisely in Lagos,
Ogun and Oyo States. Lagos State
occupied about 3,577km2 is bounded on the North and East by Ogun
State. In the West it shares boundaries
with the Republic of Benin to the South territorial land area of 351,861
hectares – Ogun State is bounded to the South by Lagos, Oyo and Osun States to
the North, Ondo State to the East and the Republic of Benin to the West. It has land mass of 16,762 square km, while
Oyo State covers appropriately an area of 28,454 square kilometres. It is
bounded to the South by Ogun, in the North by Kwara State, in the West by
Republic of Benin, while in the East by Osun State.
v. Methodology Scope
The
survey design adopted in this study is the used of structured
questionnaire. Total of four thousand
seven hundred and Eighty (4780) employees of ten medium and large enterprises
constitute the population of the study.
Simple regression model and correlation model were employed to test the
hypotheses of the study.
vi. Time Scope
The study covers the period between
2018-2021.
1.8 LIMITATIONS OF THE STUDY
The
researcher in the course of carrying out this study which was based on
imperative of corporate governance on the performance of medium and large scale
enterprises in South-West Nigeria encountered some challenges which affected
the efficiency and effectiveness in the realization of data for the achievement
of the research objectives. Some of them
are poor attitude from some of the respondents in giving out information, the
scope of the study, statistical models used for the analysis of data.
1.9 PROFILE OF THE STUDIED ENTERPRISES
i. Accion Bank Ltd
Accion Microfinance Bank Limited was
incorporated in May 2006 with Mr. Taiwo Adesina to carry on microfinance
banking business and was granted an operating license by the Central Bank of
Nigeria (CBN) in April, 2007. Accion
bank commenced business operation in May 2007.
The management team comprises seasoned and distinguished professionals
from different background, complemented by the expertise of their technical
partners, Accion international. The bank
was established in 2007 with the mission to economically empowerment micro-entrepreneurs
and low-income earners by providing financial services in ethical, sustainable
and profitable manner. It has employees
of about 64 and capital base of N3
billion.
ii. ARM Pension Managers
ARM Pension Managers (PFA) Ltd is one
of the first seven Pension Fund Administrators granted license by the national
pension commission in December 2005. It
vision is to be the fastest growing, most efficient and customer-friendly PFA
in Nigeria, consistently delivering value to their esteem customers. However, their mission is to provide a better
future for their esteem customer by offering superior service and value and
upholding high standards of professionalism.
Then core values are driven by the vision of tomorrow Mr. Emmanuel
Ikazoboh Wale is the C.E.O. of the company.
The company specializes in retirement plans such as contributory pension
scheme among others.
iii. C and L Leasing Company Plc
The C and L Leasing Company was
established in 1991 to provide both operating and finance leases to companies
as well as other financing products, and invoice discounting. Equipment leased by C and L Leasing includes
computers barges, houseboats, cranes, cars, tugboats, plant and machinery and
trucks. Mr. Andrew Ojike Odibi is the CEO.
The company has a capital base of N16.3
billion Naira. The mission of C and L Leasing
is to provide customers with quality leasing and ancillary service solutions to
meet their unique needs of world class systems and procedures. Through innovation the leasing and ancillary
service company of choice for any discerns Lessee in West Africa.
iv. Central Securities Clearing System
(CSCS)
The Central Securities Clearing System
(CSCS) is Nigeria’s central securities depository licensed to carry on the
depository clearing and settlement of all transactions in the Nigerian capital
market. For more than two decades, CSCS has continuously partnered with other
stakeholders in redefining the structure and operations of the Nigerian capital
market, leveraging new technologies in extracting efficiencies across the
transaction life cycle while providing assurance in post-trade execution. The mission of the company is to create value
by providing securities depository clearing, settlement and other services
driven by innovative technology and a highly skilled workforce. The CSCS was incorporated in July, 1992 as a
financial market infrastructure. It
commenced operation in April, 1997. Haruna Jalo-Waziri is the managing director
and chief Executive Officer.
v. Access Bank
Access Bank is presently one of the
five largest banks in Nigeria in terms of assets, loans, deposits and branch network. It has total assets of N7 trillion, and more than 600 branches. The bank has over 900,000 shareholders,
including many Nigerian and international institutional investors in December
19, 1988 Access bank was issued a banking license. Access bank was listed on the Nigerian stock
exchange in November, 18, 1989, Mr. Herbert Wigwe is CEO of Access bank.
vi. Vitafoam Nigeria Plc
Vitafoam Nigeria Plc engages in the
manufacture of foam products. It
operates through the foam products and furniture/other products segments of
flexible and rigid foam based products, and memory foams. The company was founded on August 4, 1962 and
its headquartered in Ikeja, Nigeria, Vitafoam Nigeria Plc, is a Nigeria–based
company, which is engaged in the manufacturing and sale of flexible and
reconstituted foam products. The foam products segment includes flexible and
rigid foam-based products as well as memory foams. Mr. Taiwo Adeniyi is the
group Managing Director. Vitafoam
Nigeria Plc has N15.4 billion as a
capital based. It was incorporated into
Nigerian stock exchange in 1978.
vii. Unilever Nigeria Plc
Unilever Nigeria Plc manufactures and
markets consumer product primarily in the home personal care and foods
categories. The company sells products
such as Omo washing, powder, key soap, Royco, toothpaste, baby care goods,
Vaseline petroleum, among others. Carl
Raymond Cruz is CEO/Managing Director.
It was established on 11 April, 1923.
It has the operational capital base of N12.95
billion. It was Robert Hesketh that
opened a trading post in Nigeria under the business name lever brother (West
Africa Ltd).
viii. Guinness Nigeria Plc
Guinness Nigeria Plc is a beverage
manufacturing company. The company
offers beverages under various categories, such as spirits, bears,
ready-to-drink and non-alcoholic. The first
bottle of Guinness foreign Extra Stout in Nigeria was brewed on the 30th
of November 1963, three years after Nigeria independence. Guinness Nigeria plc has a capital base of
over N354 billion. Mr. Baker Magunda is
the Managing Director of Guinness Nigeria Plc, while the former CEO, Peter
Ndegwa took over a new role of Guinness Parent Company Diageo Plc. This is
Guinness fourth CEO in five years. Guinness Nigeria a subsidiary of Diageo Plc
of the United Kingdom was incorporated in 1962 with the building of a brewery
in Ikeja, the heart of Lagos.
ix. Newrest ASL Nigeria Plc
Newrest ASL Nigeria Plc provides
catering and related services. The
company operates an in-flight catering facilities, lounges, and aviation
industry operating in Nigeria. Laurent
Moussard is the managing director/CEO of Newrest ASL Nigeria Plc. The company
was established in 1996 to provide catering and related services to airlines
operating in Nigeria. The meaning of
“ASL” is Airline Services and Logistics.
The company has a capital base of N1.03
billion.
x. Dangote Cement Plc
Dangote
Cement Plc is a producer of cement and operates plants for the preparation
manufacture and distribution of cement and related products. The company
through its subsidiaries, is engaged in exploration, coal production, cement
grinding, power production and limestone mining operation, among others. Dangote
Cement is a subsidiary of Dangote Industries, which was founded by Aliko
Dangote in 1981 as a trading business with an initial focus on importation of
bagged cement and other commodities such as rice, sugar, flour, salt and
fish. Over time, the group began to
import bulk cement into the Apapa and Port Harcourt terminals, which it then
bagged for distribution. Through the
1990s, the group made a strategic decision to transition from a trading based
business into a fully-fledged integrated manufacturing operation. It has a capital base of over N895 billion.
It was established in 1992, the CEO/Managing Director is Aliko Dangote.
1.10 OPERATIONAL DEFINITION OF TERMS
i.
Corporate Governance: Corporate governance
involves the correlation between the internal governance procedures of
companies and public’s formulation of the range of corporate responsibility.
ii.
Large Enterprises: Any venture whose
capital base including operating assets but excluding cost of land is above
three hundred million Naira (N300,000,000)
and/or a workforce of over two hundred (200) employees and have yearly gain of
higher than twenty million Naira (N20,000,000)
only.
iii.
Medium Enterprise: A firm with overall cost
including operating assets while eliminating cost of land of more than one
hundred million naira (N100,000,000)
but less than three hundred million naira (N300,000,000)
and have the staff strength of between seventy-one (71) and two hundred (200)
fulltime workers, with an annual turnover of not more than twenty million naira
(N20,000,000) only.
iv.
Transparency: In commonest terms,
transparency refers to having nothing to hide.
For a firm, it simply connotes open processes and transactions
observable to outsiders.
v.
Accountability: It means scheming
formation/describing association and evaluations of sole efficiency to
guarantee responsibility for transaction outcomes.
vi.
Security: Things that are done to
keep the firms safe from danger or crime enabling environment sustainability.
vii.
Direction: It means providing a
perception of motivation and illustrates central rationale for the
corporations’ activities.
viii.
Stakeholder Relations: It means balancing
investor interests with concern further stakeholders such as customers,
employees and business partners.
ix.
Strategic
vision: A strategic vision statement supports the
mission statement, but is more tangible. It describes an achievable future state of an organization—exact
timelines may vary, but typically range from three to 10 years. This statement
should help you and your employees visualize where the organization is headed.
x.
Productivity
is commonly defined as a ratio between
the output volume and the volume of inputs. One of the most widely used
measures of productivity is Gross Domestic Product (GDP) per hour worked. This
measure captures the use of labour inputs better than just output per employee
xi.
Return
on investment (ROI) is a performance measure used to evaluate the
efficiency or profitability of an investment or compare the efficiency of a
number of different investments. ROI tries to directly measure the
amount of return on a particular investment, relative to the investment's cost.
xii.
Innovative Awareness: A
brand is at the core of a company's success. A solid, trusted brand is
necessary in order for your company to prosper.
xiii.
Profitability
is a measurement of efficiency – and
ultimately its success or failure. A further definition of profitability
is a business's ability to produce a return on an investment based on its
resources in comparison with an alternative investment.
xiv.
Market
Share is the
percentage of total sales (by value) or total output that a business has in a
specified market. For example, for many years Coca Cola has enjoyed a
market share of around 40-45% of sales of carbonated drinks in the United
States.
Click “DOWNLOAD NOW” below to get the complete Projects
FOR QUICK HELP CHAT WITH US NOW!
+(234) 0814 780 1594
Login To Comment