Home / Business Administration / INTRODUCTION 1.1 BACKGROUND OF THE STUDY: Multinational Corporation is used by people both in the business and non business sectors, to some people it means a Fairly big firm that has about five or six branches in a state, while others see it as a big firm that has branches in all the states or divisions of a country. According to Prasad & Shetty, (1976) “Multinational corporations are firms that operate effectively under different national sovereignties”. They further stress that multinational corporations are such firms that must cope with wide variations in economic conditions, different values and cultural systems and wide geographical separation. This definition, multinational corporations are large firms that operate in different parts of the world, but most of the times have one acclaimed headquarters, situated in a place it was first established. There are various multinational corporations both in Nigeria and abroad. However, For the purpose of this research works, the researcher is using Exxonmobil oil producing Nigeria at Eket, Akwa-Ibom State. it is of note to mention that multinational corporations operating in foreign hands must respect the tunes and dictates of the host government or face expropriation. By the nature of their operation, multinational corporations must cope not only with more complex organizational structure but with far more elaborate and sensitive array of environment variables than domestic operations have these corporations are seen as giants amongst economic entities and primarily because of their size, economic power, efficiency, stability, dynamism, flexibility and quite often a technological oligopoly. Elwood (1979), said that the size and scope of multinational corporations within many developing nations often bring about significant social changes that disrupt or counteract social programmes and goals of host government. Multinational corporations are known for their exploitative tendencies in developing countries. There has been lots of accusation by concerned African countries that these corporations are only out to suck dry the natural and human resources of poor African countries without correspondingly compensating them or showing appreciation in return. Despite the fact that these corporations exploit these African countries and realize huge profits from their business operations, it is difficult for saying they satisfy the yearnings and aspiration of the communities where they operate in terms of business social responsibility. Offlang (1980) asserts that, going by the concept of imperialism and dependency as characterized by the exploitation of the developing countries by the west and as manifested by the infiltration of western capital into poor African countries, one can categorically say that the contribution of these multinational corporations to the community development is not encouraging. This is evidenced by public out-cry for compensation by Communities where these corporation arc operating due to the 1ct that these communities provide the needed raw materials for that operation. At times these communities after waiting patiently for these. corporations to meet their social demands without any response, take the law into their hands to show Their resentments. It is note to stress that the oil producing communities are the ones which are supposed to benefit more From Multinational Corporation involve in oil exploration in such areas. Intact these oil exploration corporations should provide lots of social amenities like pipe bore water, electricity, good roads, recreational facilities and host of others to these communities. The corporation social activities to these communities should extend to the areas of employment, scholarship and other incentives. In further expressing my view on the fact that the oil producing communities should benefit more from oil exploration multinational corporations that are operating in such of the pollution and other hazards caused these communities due to oil drilling. These are cases, which due to oil spillage a lot of aquatic animals die and the seawater becomes bad and poisonous thereby causing untold hardship on such communities. 1.2. STATEMENTOFTHE PROBLEM As a result of the hazards and exploitation of multinational corporations on the communities in which they are operating, it is important for them to show a serious concern in terms of being socially responsible to these communities. However, it is difficult for one to. Say that a particular corporation has contributed adequately to the development of a particular Community because development encompasses many things ranging from the provision of infrastructural facilities, employment, scholarships and .a lot more. Communities cry out of neglect, lack of appreciation and insufficient compensation by corporations that are operating in their areas. The corporations on their pa refute- this claim by saying that they have responded adequately to their social needs. The researcher also notice a problem of disparity between the corporation and the community as to who have fulfill his promise of providing social infrastructures and economic benefit (or) whether the community is satisfied with what the corporation has so far done to the community. 1.3. OBJECTIVE OF THE STUDY; The main objective of the research work is to appraise the contributions of Multinational Corporation towards community development. 11 The specific objectives of the study are: a. To analyse the difference in opinion between the corporations and host Community. b. To evaluate the level of social responsibility Carried out by Exxonmobil Oil Producing Nigeria.Plc in Eket. c. To determine to what extend Exxonmobil have Contributed towards the development of Eket. D To investigate what the corporation has actually done in the community in terms of infrastructural growth. e. To examine the benefit of Exxonmobil to the people of Eket. f. To highlight the problems caused to Eket community and environment due to the existence of Exxonmobil. g. A suggestion that Exxonmobil should principally develop Eket as her host community. 1.4 SIGNIFICANCE OF THE STUDY The study focuses on the contribution of Multinational Corporation to host community when properly articulated, it will be of tremendous benefit to many interest groups Exxonmobil and the people of Eket are at variance over the issue of the firms satisfying them infrastructural and otherwise. The people feel the corporation has not adequately compensated them and as such their yearnings and aspirations are yet to be satisfied. The study would be useful to engender efficient and effective human relation among stall ci the corporation and host community, the study will help to discover the corporation and the people because of the difference in their claims. This study will be useful to erase the disparity, call for a compromise, and also counter the possibility of frequent contribution between both parties. However, the researcher is convinced that not only the people of Eket, the government of the Federal Republic of Nigeria and staff of Exxonmdbil but also the general leader would find this study valuable. The research work will be beneficial to researchers and prospective researchers in the area of the study. It will serve as a guide for future researches. 1.5 SCOPE OF THE STUDY This research study is to assess the contribution of multinational corporations to community development by Exxonmobil to the people of Eket. It focuses attention on the provision of social amenities and other forms of assistance the firm assisted the people with, the study is limited to Eket Local Government Area of Akwa-Ibom State, and covers the firms social responsibilities to the people. 1.6 RESEARCH QUESTIONS To enable the study to achieve the stated objectives, the Underlisted research questions were formulated. 1. Has Exxonmobil provided social amenities to the people of Eket? 2. What Economic benefit Exxonmobil has to the Eket community? 3. Does the multinational consult the people of Eket base on their 4. How can Multinational Corporation contribute toadward Us community development? 1.7 RESEARCH HYPOTHESIS To enable the researcher to achieve the stated objective, four hypotheses were formulated arid they are as follows; (HO) That Exxonmobil has not provided social amenities for the people of Eket. – (HL) That Exxonmobil has provided social amenities for the people of Eket. 2. (HO) That Exxonmobil has not benefited the Eket community economically. (HI) That Exxonmobil has benefited the Eket community economically. 3. (HO) That the multinational corporation does not consult the people of Eket based on their needs. (HI) That the multinational corporations consult the people of Eket based on their needs. 4. (HO) That multinational corporation has not contributed towards the development of their host community. (HI) That multinational corporation has contributed towards the development o their host community. 1.8 LIMITATION OF THE STUDY In the course of conducting the researcher came face to face with some practical problems. One of the constraints was uncooperative attitude of respondent as some respondent felt the question were made to expose the community‟s backwardness in terms of social/economic development. Certain information which ought to have appeared in this study were denied the researcher by the personnel of department of the corporation. Another constraint was the task of moving from one community to another in order to administer the questionnaire, which was very strenuous due to distance and transportation difficulties. It was also difficult to elicit information from illiterate villages whom in most case resisted interview. The researcher did not find it easy to continue with the researcher work due to the large work in class. A research work of this magnitude requires quite a time for a meaningful work to be done. DEFINITION TERMS SPDC: Shell pipeline Development company EIA: Environmental investigation Agency MOSOP: Movement of the Survival of Ogoni people MNE: Multi-National Enterprises EPZ: Export Processing Zones FDI: Foreign Direct Investment R & D: Research and Development CENDAL: Centre of the Development of Africa through law PAT: Profit After tax EKET: A local Government in Akwa-ibom state one of the resourcefully endowed regions of the state. HETEROMORPHIC: It has to do with different in shapes, size, appearance or structures. HOMEOMORPHIC: This is the mathematical relationship between geometric shapes. MNC: Multinational corporations POLYCENTRIC: it has to do wish purchasing multi domestic strategies that treat each country as a separation competitor . GEOCENTRIC: it has to do wish making decision from a global perspective NDA: Niger Delta Areas MILITANTS: They are Ex-military men who come together to disturb the operations of the country through their terrorist Activities

INTRODUCTION 1.1 BACKGROUND OF THE STUDY: Multinational Corporation is used by people both in the business and non business sectors, to some people it means a Fairly big firm that has about five or six branches in a state, while others see it as a big firm that has branches in all the states or divisions of a country. According to Prasad & Shetty, (1976) “Multinational corporations are firms that operate effectively under different national sovereignties”. They further stress that multinational corporations are such firms that must cope with wide variations in economic conditions, different values and cultural systems and wide geographical separation. This definition, multinational corporations are large firms that operate in different parts of the world, but most of the times have one acclaimed headquarters, situated in a place it was first established. There are various multinational corporations both in Nigeria and abroad. However, For the purpose of this research works, the researcher is using Exxonmobil oil producing Nigeria at Eket, Akwa-Ibom State. it is of note to mention that multinational corporations operating in foreign hands must respect the tunes and dictates of the host government or face expropriation. By the nature of their operation, multinational corporations must cope not only with more complex organizational structure but with far more elaborate and sensitive array of environment variables than domestic operations have these corporations are seen as giants amongst economic entities and primarily because of their size, economic power, efficiency, stability, dynamism, flexibility and quite often a technological oligopoly. Elwood (1979), said that the size and scope of multinational corporations within many developing nations often bring about significant social changes that disrupt or counteract social programmes and goals of host government. Multinational corporations are known for their exploitative tendencies in developing countries. There has been lots of accusation by concerned African countries that these corporations are only out to suck dry the natural and human resources of poor African countries without correspondingly compensating them or showing appreciation in return. Despite the fact that these corporations exploit these African countries and realize huge profits from their business operations, it is difficult for saying they satisfy the yearnings and aspiration of the communities where they operate in terms of business social responsibility. Offlang (1980) asserts that, going by the concept of imperialism and dependency as characterized by the exploitation of the developing countries by the west and as manifested by the infiltration of western capital into poor African countries, one can categorically say that the contribution of these multinational corporations to the community development is not encouraging. This is evidenced by public out-cry for compensation by Communities where these corporation arc operating due to the 1ct that these communities provide the needed raw materials for that operation. At times these communities after waiting patiently for these. corporations to meet their social demands without any response, take the law into their hands to show Their resentments. It is note to stress that the oil producing communities are the ones which are supposed to benefit more From Multinational Corporation involve in oil exploration in such areas. Intact these oil exploration corporations should provide lots of social amenities like pipe bore water, electricity, good roads, recreational facilities and host of others to these communities. The corporation social activities to these communities should extend to the areas of employment, scholarship and other incentives. In further expressing my view on the fact that the oil producing communities should benefit more from oil exploration multinational corporations that are operating in such of the pollution and other hazards caused these communities due to oil drilling. These are cases, which due to oil spillage a lot of aquatic animals die and the seawater becomes bad and poisonous thereby causing untold hardship on such communities. 1.2. STATEMENTOFTHE PROBLEM As a result of the hazards and exploitation of multinational corporations on the communities in which they are operating, it is important for them to show a serious concern in terms of being socially responsible to these communities. However, it is difficult for one to. Say that a particular corporation has contributed adequately to the development of a particular Community because development encompasses many things ranging from the provision of infrastructural facilities, employment, scholarships and .a lot more. Communities cry out of neglect, lack of appreciation and insufficient compensation by corporations that are operating in their areas. The corporations on their pa refute- this claim by saying that they have responded adequately to their social needs. The researcher also notice a problem of disparity between the corporation and the community as to who have fulfill his promise of providing social infrastructures and economic benefit (or) whether the community is satisfied with what the corporation has so far done to the community. 1.3. OBJECTIVE OF THE STUDY; The main objective of the research work is to appraise the contributions of Multinational Corporation towards community development. 11 The specific objectives of the study are: a. To analyse the difference in opinion between the corporations and host Community. b. To evaluate the level of social responsibility Carried out by Exxonmobil Oil Producing Nigeria.Plc in Eket. c. To determine to what extend Exxonmobil have Contributed towards the development of Eket. D To investigate what the corporation has actually done in the community in terms of infrastructural growth. e. To examine the benefit of Exxonmobil to the people of Eket. f. To highlight the problems caused to Eket community and environment due to the existence of Exxonmobil. g. A suggestion that Exxonmobil should principally develop Eket as her host community. 1.4 SIGNIFICANCE OF THE STUDY The study focuses on the contribution of Multinational Corporation to host community when properly articulated, it will be of tremendous benefit to many interest groups Exxonmobil and the people of Eket are at variance over the issue of the firms satisfying them infrastructural and otherwise. The people feel the corporation has not adequately compensated them and as such their yearnings and aspirations are yet to be satisfied. The study would be useful to engender efficient and effective human relation among stall ci the corporation and host community, the study will help to discover the corporation and the people because of the difference in their claims. This study will be useful to erase the disparity, call for a compromise, and also counter the possibility of frequent contribution between both parties. However, the researcher is convinced that not only the people of Eket, the government of the Federal Republic of Nigeria and staff of Exxonmdbil but also the general leader would find this study valuable. The research work will be beneficial to researchers and prospective researchers in the area of the study. It will serve as a guide for future researches. 1.5 SCOPE OF THE STUDY This research study is to assess the contribution of multinational corporations to community development by Exxonmobil to the people of Eket. It focuses attention on the provision of social amenities and other forms of assistance the firm assisted the people with, the study is limited to Eket Local Government Area of Akwa-Ibom State, and covers the firms social responsibilities to the people. 1.6 RESEARCH QUESTIONS To enable the study to achieve the stated objectives, the Underlisted research questions were formulated. 1. Has Exxonmobil provided social amenities to the people of Eket? 2. What Economic benefit Exxonmobil has to the Eket community? 3. Does the multinational consult the people of Eket base on their 4. How can Multinational Corporation contribute toadward Us community development? 1.7 RESEARCH HYPOTHESIS To enable the researcher to achieve the stated objective, four hypotheses were formulated arid they are as follows; (HO) That Exxonmobil has not provided social amenities for the people of Eket. – (HL) That Exxonmobil has provided social amenities for the people of Eket. 2. (HO) That Exxonmobil has not benefited the Eket community economically. (HI) That Exxonmobil has benefited the Eket community economically. 3. (HO) That the multinational corporation does not consult the people of Eket based on their needs. (HI) That the multinational corporations consult the people of Eket based on their needs. 4. (HO) That multinational corporation has not contributed towards the development of their host community. (HI) That multinational corporation has contributed towards the development o their host community. 1.8 LIMITATION OF THE STUDY In the course of conducting the researcher came face to face with some practical problems. One of the constraints was uncooperative attitude of respondent as some respondent felt the question were made to expose the community‟s backwardness in terms of social/economic development. Certain information which ought to have appeared in this study were denied the researcher by the personnel of department of the corporation. Another constraint was the task of moving from one community to another in order to administer the questionnaire, which was very strenuous due to distance and transportation difficulties. It was also difficult to elicit information from illiterate villages whom in most case resisted interview. The researcher did not find it easy to continue with the researcher work due to the large work in class. A research work of this magnitude requires quite a time for a meaningful work to be done. DEFINITION TERMS SPDC: Shell pipeline Development company EIA: Environmental investigation Agency MOSOP: Movement of the Survival of Ogoni people MNE: Multi-National Enterprises EPZ: Export Processing Zones FDI: Foreign Direct Investment R & D: Research and Development CENDAL: Centre of the Development of Africa through law PAT: Profit After tax EKET: A local Government in Akwa-ibom state one of the resourcefully endowed regions of the state. HETEROMORPHIC: It has to do with different in shapes, size, appearance or structures. HOMEOMORPHIC: This is the mathematical relationship between geometric shapes. MNC: Multinational corporations POLYCENTRIC: it has to do wish purchasing multi domestic strategies that treat each country as a separation competitor . GEOCENTRIC: it has to do wish making decision from a global perspective NDA: Niger Delta Areas MILITANTS: They are Ex-military men who come together to disturb the operations of the country through their terrorist Activities

 

Table Of Contents


Chapter ONE

1.1 Introduction
1.2 Background of Study
1.3 Problem Statement
1.4 Objective of Study
1.5 Limitation of Study
1.6 Scope of Study
1.7 Significance of Study
1.8 Structure of the Research
1.9 Definition of Terms

Chapter TWO

2.1 Introduction to Literature Review
2.2 Concept of Multinational Corporations
2.3 Historical Development of Multinational Corporations
2.4 Social Responsibility of Multinational Corporations
2.5 Impact of Multinational Corporations on Host Communities
2.6 Challenges Faced by Multinational Corporations
2.7 Corporate Social Responsibility Practices
2.8 Criticisms of Multinational Corporations
2.9 Benefits of Multinational Corporations to Host Communities
2.10 Summary of Literature Review

Chapter THREE

3.1 Introduction to Research Methodology
3.2 Research Design
3.3 Sampling Techniques
3.4 Data Collection Methods
3.5 Data Analysis Techniques
3.6 Ethical Considerations
3.7 Limitations of the Methodology
3.8 Validity and Reliability of Data

Chapter FOUR

4.1 Introduction to Discussion of Findings
4.2 Analysis of Data Collected
4.3 Comparison of Corporation and Community Views
4.4 Evaluation of Corporate Social Responsibility
4.5 Infrastructural Development by Exxonmobil
4.6 Economic Impact on Eket Community
4.7 Environmental Concerns and Hazards
4.8 Recommendations for Improvement

Chapter FIVE

5.1 Conclusion and Summary of Research
5.2 Summary of Findings
5.3 Implications for Future Research
5.4 Recommendations for Policy and Practice
5.5 Conclusion and Final Remarks

Project Abstract

Multinational corporations are firms that operate effectively under different national sovereignties, coping with wide variations in economic conditions, values, cultural systems, and geographical separation. This study focuses on Exxonmobil oil production in Nigeria, specifically in Eket, Akwa-Ibom State, to assess the corporation's contributions to community development. The research investigates the disparity between the corporation and the community in fulfilling social promises and providing infrastructure, employment, scholarships, and other benefits. It addresses the accusations of exploitation and insufficient compensation by multinational corporations in developing countries, particularly in African oil-producing communities. The study aims to analyze the difference in opinion between Exxonmobil and the Eket community, evaluate the level of social responsibility carried out by the corporation, and determine the extent of Exxonmobil's contribution to Eket's development. It also aims to highlight problems caused by the corporation to the community and environment and suggest ways for Exxonmobil to prioritize Eket's development. The significance of the study lies in fostering efficient human relations between the corporation and the community, resolving claims of neglect and disparity, and guiding future research in this area. The research questions focus on Exxonmobil's provision of social amenities, economic benefits to Eket, consultation with the community, and contributions to community development. Hypotheses are formulated to test Exxonmobil's social amenity provision, economic benefits to Eket, consultation practices, and overall contribution to community development. The study is limited to Eket Local Government Area in Akwa-Ibom State and covers Exxonmobil's social responsibilities. Constraints faced during the research include uncooperative respondents, information denial by corporation personnel, transportation difficulties, resistance from illiterate villagers, and time constraints. The abstract provides an overview of the study's objectives, methodology, and significance in analyzing the role of multinational corporations in community development, with a focus on Exxonmobil's operations in Eket, Nigeria.

Project Overview

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Increasing competition is continually pushing businesses towards more efficient processes, and slimmer margins. Highly capitalized industries have to ensure that their resources are used most effectively. Yet at the same time, businesses must adjust to rapidly changing customer requirements and supply chain conditions. The key to achieving operational excellence, therefore, is in the effective and flexible management of resources, and this means optimizing and scheduling people, processes, vehicles, equipment, and materials so that utilization is maximized while business goals are met.

Rowden (1995) define resources management as the process of using a company’s resources in the most efficient way possible. These resources can include tangible resources such as goods and equipment, financial resources and labour resources such as employees. Resource management can include ideas such as making sure one has enough physical resources for one’s business but not an overabundance so that products won’t get used, or making sure that people are assigned to tasks that will keep them busy and not have too much downtime.

The wealth of any organization is to a very great extent determined by its human resources. The place and value of human effort as a resource for any organizational productivity, efficiency and effectiveness in operation cannot be over emphasized. This capacity building developing and maintaining well trained, skilled experienced and quality human resources that will carry out the various task of the organization becomes an issue of importance.

One of the major constraints to organizational development is lack of adequate and effective managed human resources. It was not surprising therefore when the third national Development Plan of the Osuji 1975 – 1981 as aptly documented by Zahradeen (1980) echoed that successful implementation of a development plan either at organizational level, or national Level depends not only on the availability of financial and other capital input, but more importantly on the adequacy of well trained, and managed human resource in various occupation.

Ugbana (1986), most of the organizations both public and private are beginning to realize the significance of material management. In most organizational balance sheet, it would be seen that the materials carries the lion share of the total expenditure representing about seventy percent (70%) of the organizational resources while cash represent twenty percent (20%) and other forms of the organizational expenses carried ten (10%). But amazingly it is found that most organizations takes good care of cash by providing it with high security than materials irrespective of its highest share of organizational resources.

This should not be so; materials which have the lion share of the organizational resources should be provided with adequate security and should be managed properly by competent and efficient personnel (Ammer 1996). At the wake of 20th century many organizations had recognized the role of materials and most material activities were carried out by autonomous department such as purchasing, warehousing, stock control, and distribution which at the same time was creating problems.

In Nigeria there has been series of changes in the managerial capabilities and operations towards financial management with the recent years, the noticeable changes are complex. Eminent Nigerians of various caliber have dealt with the failure trend to financial management of enterprises in Nigeria from deferent perspectives, for example, the banking industry has experienced problem of various types such as fraud, mismanagement of funds which leads to poor overall performance. There and other problems formed the basis for inadequacies in financial management.

Some analyst has classified these causes in a member of ways as factors militating against proper financial management and progress in privately owned enterprises in Nigeria.

As development proceeds and the structure and organization of the economy become increasingly complex, the failure of financial management assures increased complexity. As many factors have been identified it will enable the researcher to ask how and why these causes have surfaced. What are the conditions for proper financial management

It is against this background that the researcher investigates the role of resources management on organizational development.

 Brief Historical Background of Power Holding Company of Nigeria   (PHCN) Plc.

Electric Power Development in Nigeria started towards the closing year of the last century when the first generation plant was installed in the city of Lagos in 1898 from this date onwards and until 1950 the pattern of electricity development was set up at various towns, some of them by the Federal Government the Jurisdiction of the public works department and some by the Native Authority and one or two large Municipal Authorities.

Electricity Corporation of Nigeria 1950 in order to integrate power development and make it effective the Government passed the Electricity Corporations of Nigeria ordinance No. 15 of 1950. This ordinance brought under one control, all the electricity undertakings which were under the public departments and all those undertakings which were under Native Authority or municipal ownership and control. The Electricity Corporation of Nigeria, usually referred to as ECN, then became the statutory body responsible for generation, transmission, and distribution and sales of electricity to all consumers and customers in Nigeria.

          Niger Dams Authority

The Niger Dams Authority was established by an Act of parliament in 1962. The Authority was responsible for the construction and maintenance of Dams and other works on the River Niger and elsewhere generating electricity by means of water power improving navigation and promoting fisheries and irrigations construction of the Kainji Dam which began in march 1964 was completed on schedule in Dec 1968.

          Nigeria Electric Power Authority   

In September 1969 the Federal military Government decide to merge the Electricity corporation of Nigeria and the Niger Dams Authority into a Single body. A year later a Canadian firm of consultants “Shawment Lurruted” was appointed to look into the technical details of the merger. The report was submitted on November, 1971 by Decree No. 24 of 27th June 1972 (which become effective from 1 April, 12972).

The Electricity Corporation of Nigeria (ECN) and Niger Dam Authority (NDA) were merged to become the National Electric Power Authority (NEPA).

The actual merger did not take place until 6th January 1973 when a General manager was appointed. The decree stipulates that the authority is to develop an d maintain an efficient, coordinated and economical system of electricity supply for all parts of the federation.

Prior to privatization programmes that was introduced during the regime of former President Chief Olusegun Obsanjo the company was privatized and subsequently, the named was changed to Power Holding Company of Nigeria Plc.

1.2   STATEMENT OF THE PROBLEM

The challenge in most organizations has posed a threat on the realization of its development and the achievement of it’s set objectives. This is as a result of fundamental issues of inadequate and improper acquisition, utilization and maintenance of its human resource.

The under utilization of human Resource in the PHCN has seriously led the organization into a mess because human factor is not properly managed. Mismanagement is another serious problem facing our organization today and has reduced it to nothing as people are no longer kin with their work nor ready to own up to vital Resources in the organization.

Both public and private organizations are usually faced with problems of managing their material resources effectively starting from the point of procurement to stores, issuance to user departments and finally the finished goods. These material resources are scarce and should be utilized properly for proper assimilation.

The factors that contributed or that are responsible for the failure of different companies have different problems. Financial resource management is neglected and has made most organizations to loose a substantial part of their fund through these enterprises because of Fraudulent act, Indiscriminate financing, Poor management, Lack of zealousness and experienced personnel and Inability to utilized its financial potentials etc

The poor quality and low quantity of product have revealed that the quality of Human and material resource put in place in organizations are not up to expectations and has thereby reduced the company productivity.

1.3    OBJECTIVE OF THE STUDY

The objective of this study is to assess the role of Resources management on organizational development. The specific objectives are:

1.                 To identify the need of developing employee programme in an organization.

2.                 To identify the impact of material resource management on organizational development.

3.                 To identify Identifying the causes of inadequacies in financial resource management

4.                 To identify and ascertain some of the problems poised by materials management in an organziation

5.                 To examine the problem of developing employee productivity for efficiency.

1.4     SIGNIFICANCE OF THE STUDY       

The significance of the study brings out the need for an organization to constantly develop means of managing resources for organizational development.

The importance aspect of the study includes the following:

a.                 It will assist managers to know the need for human resource training and development and ensure that the right numbers of skilled/trained manpower are available for employment at the right time for all levels in the organization.

b.                 The study, will contribution positively at the rate at which, how resource can be effectively utilized and how it can bring about high productivity in the organization.

c.                 Students aspiring to be a material executive in the future see this study as an opportunity to fully investigate into the field of human, material and financial resource management to see the challenges therein.

d.                 It also hopes that the study will assist future researchers of resources management and how it can leads to organizational development.

1.5     STATEMENT OF THE HYPOTHESIS

For the purpose of this study, the following hypothesis is formulated:-

Ho:   Resource management does not play a significant role in organizational development.

Hi:     Resource management plays a significant role in organizational development.

1.6   SCOPE AND LIMITATIONS OF THE STUDY

The study is to assess the role of resource management on organizational development. The study will be restricted to Power Holding Company of Nigeria plc.  Man, material, money and machines constitute the resources of an organization. This study will not cover all the resources of PHCN and as such it will be limited to Human, Material and financial resources.

Data were collected and used based on records gotten from the organization and it only covered records on past years as relevant information which were suppose to be gotten based on recent and current events were not given due to problems arising in the organization in form of break down in machineries, mismanagement, fraud etc.

Other materials are from text books, journals, periodicals, internet browsing etc will serve as the secondary source of data for the research study.

The scope of the study has limited the research work and in any research undertake it is usually associated with some constraints. Some of the constraints of this research work include the following:

a.                 Financial constraint: this is considered to be the first constraint faced by the researcher. This hindered students from getting all the needed data for this research work. This really did not help matters looking at the very fact that as a student, there is always limited fund at ones disposal which formed part of those factors that discouraged the researcher to go further than this. This extent in getting all this needed data from this research work. A typical example is the fund for going to different places to get information buying of related literature text books that are not available in the school library.

b.                 Available data: in no small measure, incomplete and inaccurate data also provide a lot of difficulty in carrying out this research work. As a matter of fact it is because most of the senior staff were either too busy running their official responsibility that made them hardly available to give the researcher the needed time to gather information or they were not just willing to do that, though some did cooperate just like most senior staff.

c.                 Time constraint: this was the biggest constraint faced by the researcher because combing rigorous drilling of the institution i.e. lectures, assignments (both individual and group), tests etc. and carrying out the research work made it virtually impossible to dedicate all the time needed to carry out this research work.

1.7     DEFINITION OF TERMS

In order to avoid any form of ambiguity as regards to the terms used in this research work, the following are given optional definition:

-Human Resource Planning (HRP): This is the process of getting the right number of qualified people into the right job at the right time.

Productivity: productivity is the measure of how well resources are brought together in organizations and utilized for accomplishing a set of results. Productivity is reaching the highest level of performance with the least expenditure of resources.

Organization: this is the process of dividing work into convenient tasks or duties or grouping such duties in the formal posts delegation of authority to each post and approving qualified staff to be responsible that the work is carried out as planned.

Motivation: motivation is the term used to describe those processes both instructive and rational by which people seek to satisfy the basic desires, perceived needs and personal goals which trigger human behaviour.

Forecasting: is the process of estimating the future number of people required and the skills and competences they will need.

Material Management: This is defined as the grouping under one head all or some of the activities involved in the organization and use of materials employed from the need stage up to the storage of finished goods.

Purchasing: Purchasing is defined as the activity directed to securing by legal means, the materials suppliers and equipment required in the operation of an enterprise.

Sourcing:  This is referred to the investigation and evaluation of sources of supply and suppliers.

Negotiation: Is a process of planning, receiving and analyzing used by both buyer and seller to arrive at an acceptable agreement through common understanding.

Expediting: It is a process of ensuring that goods are promptly delivered to the right place and at the right time.

Purchasing Requisition: It is a form usually prepared when a department or stores need materials to be purchased.

Issue: Issue is the withdrawal of goods and handover of some of user backed with authorized documents.

Quality Control: Is a process whereby goods and services are examined to ensure that they conform to predetermined standards.

·        Obsolescence: These are materials for which there is no demand either because of the presence of a better substitute or they are out of use or fashion.

Stocktaking: This is the complete process of verifying the quality balance of the entire stock hold in the store


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