DEPARTMENT OF BUSINESS ADMINSRATION AND MANAGMENT,. PROJECT TOPIC: IMPACT OF EFFECTIVE PLANNING AND CONTROL ON ORGANIZATIONAL PRODUCTIVITY
PROPOSAL
The
main thrust of this study was to evaluate the significance of planning on the
organizational producing choosing Okin Biscuit Company limited Offa as the
study.
Towards
achieving this same of text on planning and productivity were consulted with
the aim knowing the perspectives of variable authors on the theoretical
framework of the study.
Also
primary and secondary method of data collection were used to gather
information. One hundred staff member were selected as the population size.
The
data collected from the sample were analysed by simple percentage (%) method.
In addition, result show that planning is determined of organizational
productivity improvement
It
was therefore suggested that greater attention should be given to planning so
as to achieve high productivity.
TABLE OF CONTENTS
TITLE PAGE i
CERTIFICATION ii
DEDICATION iii
ACKNOWLEDGEMENT iv
PROPOSAL v
TABLE OF CONTENTS vi -
viii
CHAPTER
ONE
1.0 Introduction
1.1 Background to the study 1 – 3
1.2 Statement of problem 3 – 4
1.3 Objectives of the study 4 – 5
1.4 Significance of the study 5 - 6
1.5 Scope and limitation of the study 6 - 7
CHAPTER
TWO
2.0 Literature Review 8
2.1 The concept of management 8 – 16
2.2 Management functions 16 – 73
2.3 Concept of planning 73 - 75
2.4 Concept of management control 75 - 82
2.5 Meaning of productivity 82 - 83
CHAPTER
THREE
3.0 Research methodology 84
3.1 Research Population and sample research
Population 84
- 85
3.2 Research Design 85
3.3 Data collection of Instrument 85 - 87
3.4 Administration of instrument 87 - 89
CHAPTER
FOUR
4.0 Data Presentation and Analysis 90 - 91
4.1
Brief history of 0kin Biscuit company limited offa 91 – 94
4.2 Business
objectives of Okin Biscuit Limited 94 –
96
4.3 Process of management planning and control in
the
company 96
- 98
4.4 Effect of management planning and control
on
the productivity of the organisation 98
– 102
4.5
Other factors affecting productivity
in the
organisation 102
- 104
CHAPTER
FIVE
5.0 Summary, Conclusion and Recommendation
5.1 Summary of findings 105 - 107
5.2 Conclusions 107
- 108
5.3 Recommendations 108
5.4 The Organization 108 - 110
References 111
– 112
CHAPTER
ONE
INTRODUCTION
1.1 BACKGROUND TO THE STUDY
Business
organizations need to improve to meet the challenges of world competitive.
Productivity and quality improvement are most effective when they are done in a
balanced manner to include managerial behavioural and technical initiatives
through an effective planning and control. Organisation need to introduce a
much more data – driven orinentation facilitating both grassroots continuous
improvement and top down strategic project to correct bench marked short falls.
Effective planning helps in identifying a
path for achieving organizational goals. However, planning nearly always top
when the manager are asked what they need to make more time for managers at
various levels in the organisation are involved in the planning process thus,
engendering an echoes of ownership and buy – in form those individuals targeted
with achieving the named objectives. The principle effect has a clear
understanding of the aims , or objectives of that organisation as well as
awareness of their own roles and responsibilities in achieving those aims. The
complete effective planning also get managers and empowered employees acting to
improvement and achieve their plans which automatically achieve those of the
organization.
The planning and control is effective if
it has strategic character and is aimed at achievement of concrete results and
is duly, flexible, simple and economic. As the business environment becomes
even more uncertain and turbulent, the requirement for professional leadership
and effective management control through out organization, is at a premium.
Strategic planning, management, control and effective, Budgeting is for those
who are dedicated to maximizing the performance of their organization as well
as their own individual value added contribution and that of the people who
work for them.
1.2 STATEMENT OF PROBLEM
Production
planning and control system consist of a group of similar and related
activities, coming one after another. In
which each activity predetermined and timed to co-ordinate manufacturing
plans. Its importance realized from the ability to integrate and co-ordinate
all production in –put (Men, machine and materials) to achieve effectiveness
and efficiency for production of goods to meet market demand.
Effective
planning control system as business activity is concerned with non- operating
functions such as inventory, control, scheduling and expediting; thereby
enabling factory men (supervisor and foreman) to contribute on actual
manufacturing function.
In
any organisation where there is ineffective or good planning and control
system, the following are the problem they would be encounter.
1) Sales
losses caused by late deliveries or by inadequate supply of finished goods
2) Erratic
production resulting form overtime work followed by or intermingled with
machine idleness due to material or tool shortage.
3) The
presence of an unnecessary long production cycle plant expedition activities.
4) Inaccurate
forecasting of there production activities in the organization
1.3 OBJECTIVES OF THE STUDY
Organization that planned and make use of good
of effective planning and control system would benefit form all the objectives
of this research as follows.
1. planning
helps in the co-ordination of efforts of organizations
2. planning
and control system helps in preparing future because planning involves
collection of data forecast the future.
3. planning
and control system helps in establishing performance standard in organization
4. planning
facilitates control since controlling involves analysis of actual performance
compared with set standard controlling will not be possible without plan.
5. planning
and control helps in managerial development.
1.4 SIGNIFICANCE OF THE STUDY
This
project focuses on the impact of effective planning and control in an
organisation. The research work will be significant to Okin Biscuits Limited
offa which is any case study and other manufacturing company on how to achieve
a strategic planning and control.
The research work will helps
a)
The research to know empirical in
planning and control
b) It
helps a company to actualize their goods and objectives
c)
It helps production manager and other
manager to access the performance of their department.
d) It
will serve as base for future research by other researchers.
e)
It shows the image of the company;
hence it helps the stakeholder to know how reputable the organization is.
1.5 SCOPES AND LIMITATION OF THE STUDY
The
study will cover the impact of planning and control in organization
productivity. However in the case study, various obstacles which was
encountered at various stages.
In gathering data analyzing the data and
recommending the finding to the reader
Lastly, the cost of printing materials,
transportation etc where some of the major constraints that hindered the
effects of the research in conclusion.
The fieldwork aspect of any research
work is prone error, most especially questionnaire studies.
CHAPTER TWO
2.0 LITERATURE REVIEW
2.1 CONCEPTS OF MANAGEMENT
The
efficiency and growth of any organisation can be traced to the organ which is
known as management. In a way; management is charged with the duty of making
available resources (both human and material) productive. As peter Drucker put
it, management is the organs specifically charged with the responsibility of
making resources productive. As such, it is the task of management to combine
resources in order to accomplish the objectives of an organisation. Management
is the heart around which all business activities revolve.
From
these observation, it can be seen that management is a process entailing
responsibility in effective formulation and regulation of the operation of an
organization management involves planning, organizing, directing, staffing,
coordinating and controlling the activities of an organisation in order to
achieve its set objectives. It is necessary, however to point out that management
decisions external beyond theses aforementioned value judgments and include
procedure which are statistical, quantifiable, analytical and brainstorming in
a way life, therefore, management is the power house or the blood that gives
life to an organization. As such management exist wherever and whenever the
need to achieve results arises. As already mentioned, the tools of management
involve the following.
Planning:
Planning
is the primary task of managers and is the beginning of the management process.
It involves setting objectives, determining strategies and selecting
alternatives course of action. Planning helps an organisation to define it
purpose and activities. It enables performance, standards to be set and result
can therefore be compared with standard to enable management to see how an organization
is proceeding towards the achievement of its set goals planning is essential
for long – term survival of any organisation as it helps to determined the most
profitable way to allocate limited resources among competing needs. It is the
most demanding part of management function, involving projections and
forecasting, planning if properly done reduce the risk of failure and
ascertaining in organisation, it bridges the gap between where the management
is and where management wishes to be, it answers questions such as what to do,
how to do it, when to do it and who is to do it.
ORGANIZING
If
any organization or institutions must achieve any successful planning, it
activity must be well organized. To organized is to form into a component the
activities of an enterprise, it also means to arrange in sequential from, in
other words, the process of organizing
an organization includes the following steps
1)
Determine what activities must be
performed to achieve the set objectives
2)
Divide the work to be done into
smaller activities
3)
Assign the work to people who can
carry them and provided necessary information and tools
4)
Departmentalization the work by
assigning a manager to each group of people who perform similar activities and
specify the level of authority.
5)
Coordinateness the work of all
individuals and departments so that ultimate goals is achieved.
DIRECTING
Directing
involves guiding, leading and supervising subordinates to ensure that they
understand the requirement of the job and what is expected of them. Directing
also involves effective communication of duties and responsibility, providing appropriate
motivation and leadership. Thus management should be able to influence people
to work willing and without force. This requires useful and effective
leadership capable of knowing individual aspiration, motivation, weakness and
capability. A leader should be able to create fellowship through leadership by
example and b y directing without coercion
STAFFING
This
is the employment of required staff into an organisation, it involves
activities such as defining labour requirement for each job, recruiting and
selecting candidates, induction training and development, compensations,
appraisal of employee, employee welfare and industrial relations. The staffing
process strive to maintain optimum work force since excess labour will increase
cost of production and inadequate work force can reduces the following steps.
i.
Advertising vacant positions in the
media to reach the right audience
ii.
Arrange for interview – written, oral
or both for those who quality vide their application.
iii.
Select by evaluating their education,
intelligence and experience
iv.
Send out letters of appointment
stating salary, allowances, training programmes and so on.
COORDINATING
Co-ordinating
involves ensuring that all groups and person work efficiently, economically and
within harmoniously within the organization, there are five basic principle for
effective coordination
i.
It should start at the early stage of
primary, the plans should be coordinated so that each section would operate
under the organisation’s plans
ii.
All functionaries should meet overall
organization goal at the required time schedule
iii.
The business goals should be clearly
defined and should be communicated to everyone concerned
iv.
Every staff should know what is
expected of him or her. This makes for easy coordination.
v.
There should be horizontal and
vertical communication in the organization
CONTROLLING
To
control is to measure and compare actual performance with the set standard and
correct deviation in line with the realistic performance standard. Performance
should be repeated and even improved upon and failure to meet up with standard
should be a major concern to management. Indeed, standard are criteria for
measuring performance. Control is essential in very organisation to ensure that
plans are accomplished to achieve expected results. This kind of control exist
in the following there ways.
1. SETTING OF STANDARD
A
standard is model performance level which should be attained. It could be
expressed either qualitatively or qualitative standard could be expressed as
high quality product of being responsible corporate citizen.
Quantitative
standard could be in terms of expected profit figures, sales volume, product
rejection rate or rate of assentism. The management of an organisation can even
influence the standard for product quality and labeling.
2. MEASURING PERFORMANCE AGAINST SET STANDARD
This
involves comparing what has been done with set standard or performance. This is
important in order to know when and where corrective action should be taken.
Measurement of performance standard should also be carried out promptly. It
should be accurate and the cost of doing so should be minimized
3. TAKING CORRECT GIVE ACTION
Corrective
action is necessary wherever there is shortfall in actual performance. This is
an attempt to bring actual performance in line with the set standard so that
they become more attainable. For efficiency in operation ; action should be
taken promptly.
Understanding
management principle is a first step toward effective and efficient management
of human and material resources. A good manager can build on principles through
appropriate experience, form day to day over a reasonable length of time.
2.2 FUNCTION OF MANAGEMENT
In
1937 L, Gulic and I Urwick in “papers on the science of Administration” listed
seven functions of management. They coined the acronym POSDCORB for the same. Thus stands for
planning, organizing, staffing, directing, coordinating Reporting and
Budgeting.
1. PLANNING:
Planning
is a systematic method for the effective and efficient management of change. A
plan is the route to an objectives, if an organisation is to achieve the
objectives it has set for itself then it must plan a course of action that will
enable it to attain these goals.
Planning
can be therefore be defined as
Planning
is deciding in advance what is to be done, it involves the selection for
objectives, polices, procedures and programme from among alternatives.
Planning
helps to determine in advance the expected result, such as standard cost of
production, standard favour and expected profit, the purpose of planning is to
help in performance evaluation.
Planning
is determining where the company is to go as well as how it is to met there, or
more formally, the setting of objectives and goals and the formulation and
selection of strategies and course of actions to reach them.
Planning
identified and analysis opportunities, strength, weakness, opportunities and
threats and sets priorities for capitalizing on or overcoming them so that
company resources will be put on the best uses.
Planning
is clearly distinct from forecasting while forecasting is one of the essential
elements of planning which is predication of what will happen on the basis of
certain assumption, planning on the other hand is an attempt to determining
what should happen and then to take steps that will make it likely happen.
CHARACTERISTIC OF PLANNING
i.
Planning is flexible and dynamic in
nature through consideration of environmental factor
ii.
Planning is closely associated with
the goals of an organization.
iii.
Planning involves selection of the
best alternative
iv.
Planning is comprehensive and includes
every course action in the organisation
v.
Planning is primary concerned with the
expected future event
OBJECTIVES AND IMPORTANCE OF
PLANNING
i.
To increase organization effectiveness
ii.
To help in co-ordination of various
units of the organization
iii.
To offset uncertainly and change
iv.
To help in better observation and
investigation opportunity and needs
v.
To focus more attention on objectives
vi.
To help controlling process
vii.
To obtain better understanding of the
business
viii.
To help in decision making
STEPS IN PLANNING
i.
Selecting the best course
ii.
Establishing planning premises factors
that will affects planning should be
taking to consideration before planning premises are the factors that affect
planning.
iii.
Perception of opportunities
iv.
Evaluate the alternatives
v.
Establishing objectives
vi.
Determining alternative course of
action
vii.
Formulating / deprivating plan i.e
deriving of various steps for department, units activities etc. in order to
support the basic overall company’s plan.
2. ORGANIZING
It
is when a group of individuals is directed towards the accomplishment of
certain common objectives organisation as a subject is used in a variety of
ways, but general, organization is usually expressed as a units.
DEFINITION: R.C
Davies defines an organisation as a group of individuals, large or small, that
is cooperating under the direction of executive leadership in the
accomplishment of certain common objectives.
It can also be defined as the frame work
of responsibilities, authorities and duties through which all the resources of
an enterprise are brought together and co-ordinated for, the achievement of
management objectives. An organisation has the following distinguishing
features;
i.
All the organizations have some
objectives or set of objectives that are mutually greed upon by the members of
the group;
ii.
It is identifiable aggregation of
human beings
iii.
The relationship between
organization and its members through contract and can be replaced also, that is
unsatisfactory person can be removed and others assigned their tasks
iv.
Every organization has some
specified norms standard of behaviour.
v.
There is a co-ordination of
closely relevant activities of the members in any organization
vi.
To co-ordination of human
activities is required to be structured where various individuals are fitted.
REASONS FOR ORGANIZATION
Organization
exist because they can achieve results which an individual cannot achieve
alone. By grouping together, individual overcome limitations. Chester Benard
(1956) assessed the situation of a man trying to move a stone which was too big
for him. That the stone was too big for man (environmental limitations); and
the man was too small for the stone (biological) limitations
By
forming an organisation with another man it was possible to move the stone with
the combined effort of the two men together.
THE EFFICIENCY AND EFFECTIVENESS
OF AN ORGANIZATION
The
efficiency and effectiveness of an organisation depends on a number of factor
such as
i.
Clarity of purpose – stating reason
for an organizations
ii.
Good Leadership –power centre to direct
all activities towards its set objectives
iii.
Method of specializing and structuring
a job putting related activities together i.e adequate departmentation
iv.
Planning – Deciding what is to be done
v.
Control – to ensure that actions
confirm to plans
vi.
Co-ordination – Bringing organization
resources together to achieve the set standard.
vii.
Effective communication – where every
unit of the organizations is well articulated with actions;
viii.
Staffing and motivation- Getting men
for the job and encouraging them to perform effectively
CLASSIFICATION OF
ORGANIZATION
A
formal organisation may be defined as a social unit deliberately constructed to
seek specific goals.
It
can be seen as;
1. The pattern of formal relationship and
duties
2.
Formal rules polices, work procedures
and similar devices adopted by management to guide employees behaviour
(including that of executives) in certain ways within the structure. It
facilitates the determination of objectives and polices
3.
Relatively stable and fixed
CHARACTERISTIC OF FORMAL ORGANIZATION
a)
Planned divisions of responsibility
b)
Power center which controls its
efforts
c)
Substitutions of personnel
d)
The ability to combine its personnel
in different ways
INFORMAL ORGANIZATION
The
informal organization is created because of the limitation of the formal
structure. The actual organization structure is the result of the formal and
informal relationships, that is given in the official chart is a formal
organisation but it is not a complete picture of organization. An informal
organization loosely and spontaneously produced from natural feelings
(unplanned).
The
informal organization of a company is so important that new comer has to learn
the ropes. Therefore he can settle effectively in his job and he must also
become accepted by his follow workers. When people work together they
established social relationship and customary ways of doing things i.e the developed informal ways of
getting things done.
ORGANIZATION CHART
An
organization chart gives a picture of the organization and shows the position
of each individual with respect to others. Therefore a chart.
a.
Shows in a confine manner, the
component parts or departmentation of the organization, their formal –
relationships, and the formal communication channels reporting channels
b. Shows
the structure of
1. authority
and power
2. Responsibility
and accountability
FORMS OF ORGANIZATION
There
are different forms of organisation structure, the major noticeable form are;
1. line
oilitary type of organization
2. Taylor’s
functional organization
3. line
and staff organization
4. committee
organization
5. matrix
organization
1. LINE OR MILITARY TYPE OF ORGANIZATION
Line
organisation it the simplest form of organization structure in which flow of
authority and responsibility takes place vertically in a single straight line
as in the figure above.
In
the line types or organization, an individual is responsible to a single
supervisor authority and divided responsibility does not arise.
2. LINE AND STAFF ORGANIZATION
The
line and staff organization maintains vertical flow of authority and
responsibility from organization level to level in a single line as in a line organization.
It also includes staff assistance for expert advice to the line executives. In
this form of organization there is no overlapping of authority and
responsibility. Although staff assistance is show against a particular level,
it is also available ale to the management at the manager Directors level, is
also available to the works manager or to a still lower level.
The
management consultant, whose advice is usually available at the work level of
the works manager is also available for advice to the factory superintended and
the foreman.
The
technical advice to the lower level is not however as frequent as it is the
level to which it is connect by horizontal relationship. In the same manner,
the standard committee which is attached to the factory superintendence level,
may advice the foreman, may also advice the workmen in matters relationships in
line and staff organization for immediate contact with specialization service
which without disturbing the line authority or scattering contact.
In
a line and staff organization, the staff specialist have no operating control over the line
executives who enforces their technical advise
Managing
Director - local counsel
Works
manager - managing consultants
Factory
superintended- standards committee
Foreman
- tool expert
Workman
ADVANTAGES OF LINE AND STAFF
ORGANIZATION
1) it
provides technical advice to line executives without distributing the line
arrangement of authority and responsibility
2) the
staff advisory service , may be ineffective on account of reluctance of the
line executives to enforce their recommendations
3) the
line supervisor may sometimes resent the presence of the specialists as being
derogatory to their own prestige and position
COMMITTEE ORGANIZATIONS
A
committee organization is an organization in which a network of committee are
set up as advisory bodies line or line with staff organization in which they
play supplementary rules. In large organization committees are set up in order
to facilitates the cooperation pf relationship and better co-ordination.
Committee may be permanent in nature and called standing committee. The board
of director is a committee, similarly, there may be
1. executive
committee
2. finance
committee
3. planning
committee, Budgeting etc
The
members of a committee should be representatives of the persons affected by its
decision. The organization of a committee should be cooperative and democratic
basis
A
committee may be defined as a group of persons in an organization that are
appointed or elected for the purpose of taking
CHARACTERISTIC OF COMMITTEE
1. A
committee is a group of persons (there should be at least two persons)
2. A
committee is charged with dealing with specific problems and it cannot function
in all sphere of activities. There are strictly defined jurisdictions within
which a committee is expected justify its existence
3. A
committee may have the authority either to take final decision or it may
deliberate on problems without authority
4. A
committee may constitute any level of organization
5. Members
of the committee have authority to go into details of the problems
TYPES OF COMMITTEE
The
most common forms are as follows;
1. STANDARD COMMITTEE: It is permanent in
nature and all standing or permanent committee exist continuously for
indefinite period, only its members upon their tenure in the committee.
2. AD – HE COMMITTEE: It
is constituted for a temporally tenure and constituted for a specific purpose
or to solve specific problem. In the purpose is received, the committee is
dissolved since its existed consisted
3.
DECISION MAKERS OR OTHER COMMITTEE: Authority
to make decisions, others may merely deliberated on problems some committees
have authority to make recommendation to a manner, who may.
4. LINE OR STAFF COMMITTEE: A committee may be either line or staff
depending upon its authority, if authority involves decision making affecting
and coordinating responsibility to it, it is a line committee, if committee
authority relationship to a superior in advisory, it is a staff committee,
usually in business organizations, most if the committee fall under these.
REASON FOR COMMITTEE
1.Pooling of knowledge and experience
2.Easy communication
3. motivating the production
4. fear
of delegation two much authority
5. representing
of interest group
ADVANTAGES OF COMMITTEES
1. Divided
responsibility
2. High
cost – it may need additional resources
3. Indecision
due to conflicting view points of members since every member has one vote
4. Misuse
of committee and
5. Slowing
in decision – since individual contribution has to be considered
AUTHORITY, RESPONSIBILITY AND
DELEGATION
Authority: In
any organization, others, this indicate that managers have some right through
which they get things done, this right is called authority which every manager
must have to perform his functions effectively
DEFINITION OF AUTHORITY
1. Authority
may be defined as the right to assign duties to subordinate and ensure that hey
are carried out, and involves the acceptance of accountability for the proper
experience of this authority
2. Authority
can also be defined as the scope and amount of discretion given to a person to
make decision by virtue of the position he or she holds in the organization.
Authority can be delegated and flows downwards through structure.
DISTINCTION BETWEEN POWER AND
AUTHORITY
Power is the ability or capacity to do
something or to get intended results. A person can have influence on others behaviour
without having any authority and this is done through power also know as force
which is not legal binding
Authority
is the right to command in hierarchical sense and it is therefore legal
binding. In some cases, right and capacity can be identified easily, where as,
the two are used to mean the same thing. However, the use of power always
create negative impact in the person on which it is used
RESPONSIBILITY
1. Responsibility
can be defined as the obligation of an individual to carryout assigned activities
to the best of one’s ability
2. Responsibility
can be defined as the ability of a person to be called to account for his/her
actions and result responsibility can be delegated. It is obligation which
makes sure that authority is properly used and that duties are properly carried
out. Responsibility flows from the bottom of the organizational structure to
the top. Where a superior delegates authority to his subordinate, the superior
remains responsible for ensuring that the work is properly performed.
Therefore, responsibility means
accountability and it arise from the superior subordinate relationship.
DELEGATION AUTHORITY
Delegation of authority is the process
by which a superior gives subordinate the authority to carryout an aspect of
the superior job without delegation, the existence of a formal organization is
not possible.
Delegation has the following features
1. When
a superior delegates authority to the subordinates the superior will still
retain the authority.
2. Delegation
is the authorization of decision to a subordinate from a superior to act in a
certain way independently;
3. A
superior cannot delegate authority which he himself does not process. Moreover,
he does not delegate the entire authority to his subordinates because if he
delegates all his authority he can not mark.
REASONS FOR DELEGATION OF
AUTHORITY
In a large and complex organization
delegation of authority is necessary because;
1. There
are physical and mental limitation to the work lead of any individual or group
of authority,
2. Due
to (1) routine or less important decision are passed downed the line to
subordinates , and the superior is free to concentrate on some important
aspects of the job (e.g planning)
3. The
increasing size and complexity of organization calls for delegation
STEPS IN DELEGATION
1. Assign
resources to subordinates so as to enable him carrying out his task at the
expected level of performance
2. Specify
clearly the performance levels (the expect results) of the subordinate
3. Obtain
the acceptance of the subordinate in agreeing to perform the task.
4. The superior should then know the resources
that remain with him
5. Assign
task that can be performed to the subordinate.
PRINCIPLES OF DELEGATION
The principles of delegation as
recommended by the classical theories, for which most are still valid in the
context of formal organization structure are.
1. There
must be no doubt about the boundaries of
authority. Specification of the limit of subordinate power.
2. Responsibility
can not be delegation
3. Once authority has been delegated, a superior
should not expected his subordinate to refer decision up the chains of command
to him to confirmation (or ratification) provided that the decision is within
the subordinates scope of delegation authority
4. Authority
(and power) and responsibility and adequatablity must be properly balanced
within an organization.
5. There
should be delegation of authority according to the results required i.e
subordinate should be given sufficient authority to do all what is expected of
him
6. There
should be clarity of;
I. The
ways in which department are meant to interact in and co-operate
II. The
function given to each department
III. The
activities and authority of each department
7. There
should be unity of demand;
(III)
STAFFING
Staffing is the formal process of
ensuring that the organization has qualified workers available at all level to
meet its short and long – term business objectives. Staffing is the selection
and hiring of manager and employee. Staffing is meaning the organisation
structure through defining manpower, appraising selection, compensating and
training.
Staffing involves meaning the
organization structure through proper and effective selection appraisal ,
development of personnel to fill the roles designed structure
Steps
in staffing
If
the staffing function were to be handle logically,
Following
plans for development.
i.
Formation plans for development
ii.
To inventory and appraise existing and
potential managerial manpower and to compare this with needs forecast for the
future.
iii.
Development of an organizational plans
for the future since less an enterprise expects to replace people constantly,
these selected and development now should be able to fill future roles
iv.
Plans for the acquisition available
talent which seem to have the ability to fill future positions
STAFFING PROCESS
The staffing process have certain steps
to be follow before it can be gainfully employed. The chain of event involves
an accurate use of other suggestions such as application from interviews,
tests, reference checks and physical examination.
STAFFING
PROCESS
IV) DIRECTING
Directing is the accomplishment of
organizational objectives by guiding and motivating subordinate. It include
designing works explain procedure, issuing orders and seeing that mistakes are
corrected
Directing is seeing that subordinates do
their work and to do it well as possible so as to achieve the set down
organizational objectives whether in profit or no profit making organization.
Directing and leading are interpersonal aspect of making by which subordinates
are led to understanding and contributed effectively and efficiently to the
attainment of entire crises objectives;
Directing deals with communication,
leadership and motivation to guide subordinate towards the attainment of
organizational objectives. Directing is one of the most difficult functions of
management because an employee is hired by management to assist in the
realization of predetermine organizational goals where he too comes to the
organization with his own personal goals, aspirations intellectual and physical
abilities, basis and preference. It is the function of management therefore to
marry employees goals with the organizational for harmoniously co-existence. In
accomplish this, the manager has to communicate with the employee in order to
encourage goals congruency. He has to lead so that the collected goals may be
achieve. The employee has to be motivated
in order to ensure that the organizational momentum remains unabated
PRINCIPLES OF DIRECTING
1) The
principle of directing objectives states that the more effective the directing
and leading process, the greater will be the contribution of subordinate to
organizational goals.
2) The
principle harmony of objectives states
that the more effective directing and leading are, the more individual will
perceive, that their personal goals are in harmony with enterprise objectives”
3) The
principle of unity command states “that the more completely an individual has a
reporting relationship to a single superior, the less the problem of conflict
in instructions and the greater the feeling of personal responsibility for
result”. Employees work better this way because of avoidance of loyalist,
instructions and priorities problems.
COORDINATING
Coordinating can be defined as the
process whereby the effort of a group is
harmonized so that goals is achieved.
The
need for a common purpose or goals is important because if there are more than
one purpose in people’s minds, coordination of effort become difficult if not
impossible. It should however be noted that co-ordination and leadership are
intimately bound because each effects the others
Factors that aid effective
co-ordination. These are
1. Co-ordination
must not be directed in an autocratic manner but rather encouraged in a
democratic manner everyone participating in a unified way.
2. They
should be direct contact between the persons immediately concerned
3. It
should be operated vertically and horizontally and should be effected at the
most appropriate time.
4. It
must commence at the eeriest stages of planning and policy making. It must be
continuously process.
REPORTING:
Reporting is the way to keep the
authorities and the concerned public informal about the performance,
achievements and shortfall of the organization. It is a means of keeping
informed to whom executive is responsible as to what is going on, which thus
include keeping himself and his
subordinate informed through records, research and inspection.
Reporting is the preparation of factual
data of the work done gemmated to prepare the full report of the working of the
institution for a given periods. The report is then transmitted to the top
administrative body. The report contains the work done in various units, any
progress made constraints felt and the suggestions to overcome these, any
backlog in the work and the reason therefore, actual work done with statistical
figure and the like.
VII) BUDGETING
A
widely used device for managerial control is the budget indeed it has sometimes
been assumed that budgeting is the device for accomplishing control. However
many non- budgeting device are also essential.
THE CONCEPT OF BUDGETING
Budgeting is the formation of plans for
a given future period numerical terms. As such, budgeting are statements of
anticipated results, either in financial terms – as in revenue and expense and
capital budget or in non financial term as in budgets of direct – labour –
hour, material, physical sale volumes, or units of production , it has
sometimes been said for example that financial budgets represent the
idolatrizing of plans.
THE
PURPOSE OF BUDGETING
By study plans in terms of numbers and
braking them into parts that parallel the parts of an organization, budgets
correlate planning and allow authority to be delegated without lose of control.
In other words, reducing plans to numbers form a kind of order ness that
permits the manager to see clearly what capital will be spent by whom and
where, and what expense revenue or units of physical input or output the plans
will involve. Having ascertained, thus, the manager can more freely delegate
authority to effective plans within the limits of the budget. Moreover, a
budget, to be useful to a manager at any level, must reflect the organizational
partner. Only when plans are complete, coordinated and developed enough to be
fitted into departmental operation can be a useful department budget be
prepared as an instrument of control the organisation pattern. Only when plans
are complete, coordinated and developed enough to be fitted into departmental
operations can be useful departmental budget be prepared as an instrument of
control
TYPES OF BUDGETS
Budgets
may be classified into several basis types within a budget summary portraying
the total planning picture of all the budge; (1) revenue and expense budgets,
2) time, space material and product budget, 3) capital expenditure budget and
4) cash budget
Revenue
and expense budgets: by far the most common budget spell out plans for revenue
operating expresses. The most basic of these is the sales budget, which is a
formal and detailed expressed of the sales forecast. Just as the sales forecast
just as forecast is the concern stone of planning, so is the sale budget the
foundation of budgetary control. Although
company may budget other revenue such as expected income from sales loyalties,
or miscellanies sources, the revenue from sales of products or service
furnishes the principle income to pay operating expense and yield profits
Operating
expense budget to the typical enterprise can be as numerous as the expense
classification in its chart of account and the units of organization in its
structure. These budgets may deal with individual items of expense, such as
travel data processing entitlement, advertising telephone and insurance sometimes a departmental head will budget
only major items and lump together items in one control summary.
2) TIME,
SPACE, MATERIAL AND PRODUCT BUDGET: Many budget are better expressed in
quantities rather than in monetary terms. Although such budgets are usually
translated into monetary terms, they are such more significant at a certain
stage in planning and control if they are expressed in terms, of quantitative, among the more
common of these are the budgets for direct – labour – house machine – hours,
units of material square feet allocated and most production department budget
their share of the output components of the final product. It is common to
budget labour, either labour – hours or labour – days or by types of labour
required, obviously, such budget cannot be well expressed in more terms, since
the dollar cost would not accurately measure the resources used or the result
intended
3. CAPITAL
EXPENDITURE BUDGETS:
Capital
expenditure budget outline specifically capital expenditure for plant machinery
equipment inventories, and other items whether for short term or long one,
these budgets required care because they give definite form to plans for
spending the funds of an enterprise, since a business takes a ling time to
recover its investment in plant and equipment, capital expenditure budge should
be tied in with fairly long range
planning.
4. CASH
BUDGET: The cash budget is simply a forecast of cash “ experience is
measured. Whenever called a budget or not. This is one of the most important
controls in an enterprise, the
availability of cash to meet obligation as they fall due is the first requirement of existence and
handsome business profit do little good
emented the budget have a part in their preparation.
Real Participation in budget making is
necessary to ensure success. Most budget directors and controllers recognize
this fact, but too often in practice participation amounts to managers being
simple pressured to “accept” budget.
Standards:
One of the keys to successful budgeting is to develop and make available
standards by which programmes
and
work can be translated into needs for labour operating expenses, capital,
expenditures space, and other resources. Many budgets fail for lack of such
standards, and some up-level managers hesitate to allow subordinates to submit
budget plans for fear that they may have logical basis for reviewing budget
requests. With conversation factors available, superior managers can review
such requests and justify their approval or disapproval of them.
Information:
Finally, if budgetary control is to work, managers need ready information about
actual and forecast performance as contained in the department budget. This
information must be designed to show
them how low well they are doing. Unfortunately, such information is usually
not available until it is too late for the managers to avoid budget deviations
VIII) CONTROLLING
Control is the process of ensuring that
action conform the plans. It can be defined as the process of analyzing whether
decision being taken as planned and taking corrective action to make sure these
confer to planning. Thus, control process try to find out deviation (i.e
variance) between planned and the actual performance and to work a corrective
actions.
Variance occurs when actual costs and
venue deviate from standard / planned cost and revenue.
Control approaches must be tailored to
the characteristic of the operations of the individual.
STEPS IN CONTROLLING
1. Analyzing
of the deviations
2. Comparing
the actual performance with the standard actions that are determined
3. Follow
up to appraise the effectiveness of the corrective actions and feedback of
information to these planning process to improve further planning and
controlling cycles
4. Establishing
the control standard
5. Correcting
of deviation from plans
ESSENTIAL OF GOOD CONTROL
1. Be
objectives, definite, and determinable in a clear and positive way
2. Reflect
organisation needs
3. Be
able to motivate in positive direction
4. Be
forward looking in nature
5. Reflect
the organizational pattern
6. Be
promoteness in reporting deviations
IX) MOTIVATION
Motivation is referred to as willingness
to put forth the effort in the pursuit organizational goals. It refers to the way,
urges, aspirations drives and need, human being direct to control or explain
their behaviour.
Motivation are factor that cause channel
and sustains an individual behaviour.
a)
One way of grouping the major theories
of motivation by distinguishing between control theories and process theories
b) We
are motivation by our goals, the expected outcome is curtains
c)
We are motivation and we decide to
behave in a way that they desire
Contents
theories of motivation assume that human beings have a package of motives which
they pursue, i,e they have a set of needs or desired outcomes. Maslow’s need hierarchy theory and
harzbary’s two factor theory are two of the most important approaches of this
types.
Process theories of motivation explore
the process through which outcomes become desirable and are pursued by
individuals. This approach assume that man is able to select his goals and
choose the paths towards them by a conscious or unconscious process
calculation, expectancy theory and handy’s motivation calculus are theories of
this type and they make a contingency’ approach by stressing the number of
variable that influence the individual’s decision in each case. There is no
best way to motivate people.
NEED THEORIES OF MOTIVATION
Need theories are content theories that
suggest that the desired outcome’ of behaviour in individual is the
satisfaction of needs.
MASLOW HIERARCHY OF NEEDS
In this motivation theory maslow put
forward certain preposition about the motivation power of needs.
a)
Man’s need can be arranged in a
hierarchy of relative prepotency.
b) Each
level of need in dominant until satisfied, may then does next level of need
become a motivating factor
There is
a certain instructive appeal to Maslow theory after all, you are unlikely to be
cornered with status or recognition while you are hungry or thirsty primary
survival need will take precedence. Likewise, one your hungry is assumed, the
need for food is unlikely to be motivating factor, unfortunately research does
not bear out the prepositions that need become less powerful as they are satisfied
expect the very primitive level is of primary hunger and thirst etc
MOTIVATION
PROCESS
1. Basis: The basis of
motivation is a process of recognizing needs and taking actions to satisfy them
by reaching a goal. American psychologist Abraham Maslow argued that man needs
are categorized as follows.
a)
Physiological needs - food,
drink, sleep
b) Safety
needs -freedom form threat but also security
c)
Social Needs Sense - for
relationship, affection, belonging
d)
Esteem Needs and - for
competence achievement independence confidence reflection in the perception i.e
recognition, appreciating, respect.
e)
Self Actualization Needs – for the
fulfillment of personal, the desire to become more and more what one is, to
become every thing one is capable of coming.
f)
Freedom of Enduring- for social
condition and permitting free expressions, speeches and encouraging justice,
fairness and honestly.
g)
Knowledge - To gain another knowledge of understanding Needs
environment to explore, learn experiment etc
According
to Maslow, the last two needs are the channel through we find ways of
satisfaction. The first two needs are essential to human survive. Satisfaction
of the next two is essential for a sense of adequacy and psychological health.
Maslow regarded self actualizations as the ultimate human goals, although few
people ever reach it, discus the hierarchy, into which Maslow put his need
below.
David Macleland, writing in the 1050s,
identified three type of the motivating needs.
2. Complexity motivation is a complex process
because people have different need and varied perceptive about them
3. Homo
status: Individuals are in essence open system constantly interacting with
their environment and at the same time striving of good and of perception about
the actions which are likely to them achieve these goals. Motivating is a very
much a matter perception which cause tensions in the individual move in a
certain direction in order to achieve the desire objectives which reduce the
tension. A satisfied need does not motivate, covers by unsatisfied need
motivates.
NEED
give rise to WANT which cause TENSIONS which give rise ACTION GOAL ORIENTED
BEHAVIOUR REDUCTION OF TENSION SATISFACTION OF NEEDS
To motivate an employee management must
create real or image need for employee to aspire to. A real need could be a
desire to achieve the through promotion, increase in wage or employment of
increased organization all favours, such as company car, with a driver.
Imagine needs for a staff could be
aspiration to have coffee at 9.00am while the entitlement of successful
executive may be have secretary official car, and massager to carry brief case
etc
MEANS OF MOTIVATION
JOB SATISFACTION
According to Harstarg, Job satisfaction
is offered by various factors at work which make employees feel about their
work and jobs, and is a source of motivation and higher productivity.
Don’t assume however, that happiness
automatically means product.
(a) There is little evidence that satisfied,
worker actually
i.
Labour turnover (the rate at which
people leave in an organization may therefore be an indication of
dissatisfaction to workforce although there is a certain amount of natural loss
) e.g. through retirement] in any case, as how to due to location redundancy
etc
ii.
Absentees may also been indication of dissatisfaction
or sally of genuine physical or emotional distress.
(b) There is also evidence that satisfaction
correlate with men health that symptoms of stress psychological failure etc may
be signal to management that all is well
PARTICIPATION
Participate in planning decision which
effect their work if the subordinate voluntary accent the irritation and result
about certain performance are fed back regularly to the subordinate that can
make their own control decisions then
the subordinate will be motivated
a)
To be more efficient
b) To
be more conscious of the organization’s goals
c)
To raise has or foe planning target to
reasonably
d) To
be ready to make appropriate control when necessary
CULTURE
Culture
is the share value system of an organization droken speak of “spirit of
performance” which to the operating of energy.
In organization, Peter and Waterman
argue that employee can be ‘switched on’ to extra – ordinary loyalty and effort
in some cases.
(b) If
a case need to be the same sense re – affirming the heroic dimension of the
work, commitment comes from believing that a task is inherently worthwhile
derotion to the stomer and his needs and wants is an important motivation on
his way. Owing to good luck, or may even good sense
(c)Owing
to good luck or may even sense these companies emphasis quality, reliability
and services, have chosen only area when this is really possible to generate
excitement in the average own employee. They give people pride in what they do.
They make it possible to love the product, some value and good news are
faithful of past success as are in play or operate a climatic. They are there
as winners. He will start naturally like one’s regressive control system and
negative reinforcement breakdown the employee’s self image.
Positive
attitude to work and to organization.
(d) They can satisfy their dual needs to
i.
The conforming, secure part of a
successful team and
ii.
The star’ in their own right
This means giving control through firm
centered direction and shared volumes and beliefs but also maximum individual
autonomy.
LEADING
Leading may be defined as the
relationship in which one person or the leader, influence other to work
together willingly on related task to attain that which the leader desires.
Leadership is a means of direction,
leadership is the ability to management when tied up in inventory, machinery,
other non cash assets budgeting also shows the availability of excess cash
thereby making it possible to plan for profit making investment of surpluses.
EFFECTIVE BUDGETARY CONTROL
If budgetary controls are to well
managers must remember that budget are designed only as tools and not as
replacements for managing, that have limitations and they must be tailored to
each job. Moreover, they are the tool of all managers and not only of the
budget director or the controller.
The only person who can administer
budget, since they are plans, are the managers responsible for budgeted
programs.
No successful budget program can be
truly “directed’ or “administered” by a budget director. This staff officer can
assist in the preparation and use of budget by the responsible managers, but
unless the entire company management is to be turned over to the budget
officer, this person should not be given the job of making budget commitment or
expenditure decisions.
TOP MANAGEMENT SUPPORT: To
be most effective, budget making and administration must receive the whole
hearted support of top management. Establishing an officer of budget director
by decree and then forgetting about it leads to haphazard budget making and to
saddling subordinate managers with another procedure or set of papers to
prepare.
Participation;
Related to the participation of top management. Another means of making budget
work is to make sure that all mangers expected to improve leaders
characteristically “induce or inspire others achieve leadership is the action
of motivation or causing other to perform activities designed to achieve
specific objectives.
A review of literature on leadership
indicates that leadership been viewed as;
1) An
effect of interaction
2) A
form of persuasion
3) The
act of inducing compliance
4) An
instrument of goal achievement
5) A
focus of group process
6) The
exercises of influence
7) A
set of personality
8) An
act or behaviour
9) A
differential role and
10)
The initiation of structure
a)
The need for achievement people who
need to achieve have a strong desire for success and strong fear of failure
b) The
need for power, people with a high need for power usually seek positions of
leadership in order to influence and control
c) The
need for affiliation people who need a sense of obeying and membership of
social group tend to be concerned with containing good personal relationship.
This is the employment of required staff
into an organisation it involves activities such as defining labour requirement
for each job recruiting and selecting candidates, induction training and
development, compensation, appraisal of employee, employee welfare and
industrial relations. The staffing process strives to maintain optimum work
force since excess labour will increase cost of production and inadequate work
force can reduce efficiency.
The
selection process in staffing includes the following steps.
1. Advertising
vacant positions in the media to reach the right audience.
2. Arrange
for interviews – written , oral or both for hose who qualify vide their
application
3. Select
by evaluating their education, intelligence and experience.
4. Sent
out letter of appointment stating salary, allowances, training programmes and
so on.
CO-ORDINATING
Coordinating involves ensuring that all
groups and person work efficient, economically and within harmoniously within
the organisation. There are difeerent five basis principles for effective
coordination.
1. It
should start at the early stage of planning the plan should be coordinated so
that each sections would operate under the organisation plans
2. Every
staff should know what is expected of him or her. This makes for easy
coordination.
3. The
business goals should be clearly defined and should be communicated to everyone
concerned
4. They
should be horizontal and vertical communication in the organization.
2.3 CONCEPT OF PLANNING
1. PLANNING:
Planning is a management of change. A
plan is the route to an objective. If an organisation is to achieve the
objectives it has set for itself then it must plan a course of action that will
enables it to attain these goal Planning can be therefore be defined as;
Planning is deciding in advance what is
to be done, it involves the selection for objectives, polices, procedures and
programmes form among alternatives.
Planning helps to determine in advance
the expected result, such as standard cost of production, standard favour and
expected profit. The purpose of planning is to help in performance evaluation.
Planning is determining, where the company
is to go as well as how it is to met there, or more formally, the setting of
objectives and goal and the formulation and selection of strategies and course
of actions to reach them.
Planning identifies and analyze
opportunities strengths, weakness, opportunities and threat and sets priorities
for capitalizing on or overcoming them so that company resources will be put on
the best uses.
Planning is clearly distinct from
forecasting while forecasting is one of the essential element of planning which
is prediction of what will happen on the basis of certain assumption, planning
on the other hand is an attempt to determining what should happen and then to
take steps that will make it likely happen.
CHARACTERISTIC OF PLANNING
1. Planning
is flexible and dynamic in nature through consideration of environmental
factors.
2. planning
is closely associated with the goals of an organization
3. planning
involves selection of the best alternative
4. planning
is primary concerned with the expected future event
5. planning
is comprehensive and includes every course action in the organisation
OBJECTIVES AND IMPORTANCE OF
PLANNING
i.
To help in better observation and
investigation opportunity and needs
ii.
To offsets uncertainly and change
iii.
To help in co-ordination of
various units of the organisation
iv.
To focus more attention on
objectives
v.
To help controlling process
vi.
To obtain better understanding of
the business
vii.
To help in decision making
viii.
To increase organisation
effectiveness
STEPS IN PLANNING
i.
Perception of opportunities
ii.
Evaluate alternative courses
iii.
Determining alternative course of
action
iv.
Selecting the best course
v.
Establishing objectives
vi.
Establishing planning premises factors
that will affects planning should be taking to consideration before planning
premises are the various factors that affect planning.
vii.
Formulating / Deprivating plans i.e
deriving of various steps for department, units, activities etc in order to
support the basic overall company’s plan
2.4 CONCEPT OF MANAGEMENT CONTROL
The efficiency and growth of any organisation can be traced
to the organ which is know as management. In a way management is charge with
the duty of making available resources (both human and material) productive. As
peter Ducker put it, management is the organ specifically charge with the
reasonability of making resources productive. As such, it is the task
management to combine resources in order to accomplish the objectives of an
organization. Management is the hearth around which all business activities
revolve.
From these observation, it can be seen
that management is a process entailing responsibility in effective formation
and regular of the operation of an organization for the achievement of given
objectives.
As a result, management involve
planning, organizing, directing, staffing coordinating and controlling the
activities of an organization in order to achieve its set objectives. It is
necessary, however to point out that management decision extend beyond these
aforementioned value judgment and include procedures which are statistical ,
quantifiable, analytical and brainstorming. In a way therefore, management is
the powerhouse or the blood that gives life to an organization. As such
management exist wherever and whenever the need to achieve result arises. As
already mentioned, the tools of management involves the following;
PLANNING:
Planning is the primary task of
management and it the beginning of the management process. It involves setting
objectives determining strategies and selecting alternative course of action,
planning helps an organisation to define its purpose and activities. It enable
performance. Standards to be set and result can therefore be compared with
standard to enable management to see how an organization is proceeding toward
the achievement of its set goals. Planning is essential for long – term
survival of any organization as it help to determined the most profitable way
to allocate limited resources among competing needs. It is the most demanding
part of management function, involving projections and forecasting, planning if
properly done reduce the risk of failure and uncertainty in organization it
bridges the gap between where the management is and where management wishes to
be. It answers the questions such as what to do, how to do it, when to do it
and who is to do it.
ORGANIZING
If any organization or institution must
achieve any successful planning. Its activity must be well organized. To
organized is to form into a component the activities of an enterprise. It also
means to arrange in sequential form. In other words, the process of organizing
an organization includes the following steps.
1. Divide
the work to be done into smaller activities
2. determine
what activities must be performed to achieve the set objectives
3. assign
the work to people who can carry them and provide necessary information and
tools
4. departmentalize
the work by assigning a manager to each group of people who perform similar
activities and specify the level of authority
5. coordinate
the work of all individuals and department so that ultimate goals is achieved
DIRECTING
Directing involves grinding, leading and
supervising subordinate t ensure that they understand the requirement of the
job and what is expected of them. Directing also involve effective
communication of duties and responsibility providing appropriate motivation and
leadership.
Thus, management should be able to
create fellowship leadership capable of knowing individuals aspiration,
weakness and capacity. A leader should be able to create fellowship through leadership
by example and by directing without correction.
STAFFING
All
functionaries should meet overall organization goal at the required time
schedule
CONTROLLING
To
control is to measure and compare actual performance with the set standard and
correct deviation in line with the realistic performance standard. Performance
should be repeated and improved upon and failure to meet up with standard
should be a major concerned to management. Indeed, standard are criteria for
measuring performance. Control is essential in every organization to ensure
that plans are accomplished to achieves expected results. This kind of control
exist in the following three ways.
1. SETTING OF STANDARD
A
researcher is a model performance level which should be attained. It could be
expressed either qualitatively and quantitative standard could be expressed as
high quality product of being a responsible corporate citizen. Quantitative
standard could be in terms of expected profit figures, sales volume, product
rejection rate or rate of absentism. The management of an organization can even
influence the standard administration to set standard product quality and
labeling.
1. MEASURING PERFORMANCE AGAINST SET STANDARD
This
involves comparing what has been done with set standard or performance, this is
important in order to know when and where corrective action should be taking
measurement of performance standard should also be carried out promptly. It
should be accurate and the cost of doing so should be minimized.
3. TAKING CORRECTIVE ACTION
Corrective action is necessary whenever
there is shortfall in actual performance. This is an attempt to bring actual
performance in line with the set standard so that they become more attainable
for efficiency in operation, actions should be taken promptly.
Understanding management principles is a
first step towards effective and efficient management of human and material
resources. A good manager can build on principles through appropriate
experience from day to day over a reasonable length of time.
2.5 MEANING OF PRODUCTIVITY
Productivity the quality of being
productive economics, the rate at which goods or service are produced.
Meaning of productivity (noun) form; no
plural a measurement of output per hours worked’ creativeness;
fruitfulness;. The meaning of
productivity has evolved over the years from simply producing quality products
at minimum cost to.
The amount of output per unit of input
(labour requirement and capital). There are many different ways of measuring
productivity, for example, in a factory productivity might, be measure based on
the number of hours it takes to produce a good while in the service sector
productivity might be measured based on the revenue generated by an employee
divided by his / her salary.
CHAPTER THREE:
RESEARCH METHODOLOGY.
3.1 RESEARCH POPULATION AND SAMPLE
RESEARCH POPULATION
Population is defined according to
Longman dictionary contemporary as the
number of people living in particular area, country’ etc. But this term is
further defined by encyclopedia as ‘the inhabitants of a designated territory.
But for the fact that it is not possible
to cover the whole population of the organization concerned of this project
work. Thus a sample size is used.
According to Earl R. Babbic, who
defined survey population as an aggregates of element from which the sample is
eventually selected.
The survey population used in this
project is made of members of stuff of OKIN BISCULTS Limited Offa.
Sample size
There are situation, which the analysis
of the population become difficult, in such a situation sample size is selected
for the purpose of making an estimate made of the selected population.
Therefore the sample size is considerably as much an art as questionnaire
designed development. The sample is 20 members.
3.2 RESEARCH DESIGN
The research design used for
this study in analytical as well as description since the project focuses on
plan and control in a private design that is used, so as to enable the research
obtain about the impact of productivity of OKIN BISCUIT company offa kwara
state.
Manufacturing company must consider
many factors as they develop channel of distribution.
3.2 DATA COLLECTION OF
INSTRUMENT
The
two basic research instrument for this project work includes.
-
primary data
-
secondary data
PRIMARY DATA
These
are data originated by a researcher, either through experiment of carrying out
of research.
They
type of primary data used in this research work is questionnaire. It was
designed to sample respondents view about the impact of planning and control on
organizational productivity with reference of Okin Biscuits Limited.
SECONDARY
DATA
This
is an already published data, which is primary to the owner and secondary
users.
They
are frequently collected for administrative purpose.
In this course of this research work,
secondary information were gotten from text books and journal (which formed the
bulk of the literature review aspects).
The research instrument and techniques to be
used in testing hypothesis depend on the nature of the data collected. But, for
the purpose of this work the researcher was able to use questionnaire. This was
adopted in order to minimize the problem associated with data collection and to
ensure that result. From this study were reliable as expected and intended.
3.3 ADMINISTRATION INSTRUMENT
According to oxford advanced
dictionary, define ‘administration’ as the activities that are done in order to
plan, organize or run for a business, school or other institution and
administrative job/assistant/error. It also define instrument as a tool or
device used for a particular task, especially for delicate or scientific work.
THE ADMINISTRATION INSTRUMENT THAT BASED
ON TEST OF RELIABILITY AND VALIBILITY OF RESEARCH INSRUMENT.
The term ‘reliability’ is used to
refer to the degree of variable error in a measurement i.e to which measurement
is free of variable errors. This is related when repeated measure of the same
state characteristics of contemporary English defined reliability as anything
that may be trusted and dependable. It also defined validity as fairly based on
what is true or reasonable, that can be defined also that can legally be used
for stated period or in a certain conclusion.
The test retest technique is the only
practical approach to the establishment of reliability of the questionnaire as
part of standardization can be asked to complete again and its choice can be
compared for constituency. This method is not fully proof since on retest
respondents will probably attempts to member and duplicate its earlier response
rather than answer the question as he sees them. For this reasons, evidence of
constituency can hardly testified to the validity of the instrument and is a
questionable measure of its reliability. The actual vitality of a questionnaire
utilize the same principle and procedure as the validation of any instrument of
test and measurement.
CHAPTER FOUR;
PRESENTATION AND ANALYSIS
DATA ANALYSIS OF THE RESPONSES
GIVEN BY THE STAFF OF OKIN BISCUIT COMPANY LIMITED.
This Chapter Represent S Result Analysis
Of Data collected for this study. The analysis of the primary data is based on
response rate of twenty percent (20%) in all one hundred (100) copies of
questionnaire were given to the staff of
Okin biscuit company limited to administer of this total questionnaire twenty
copies were retrieved and statistical analysis
would be based on the return questionnaire.
The questionnaire distributed were
divided into two section namely A and B. section A concerns with the personal
data of the respondent while B is based on the question relating to the topic
of the research projects.
DATA ANALYSIS
SECTION A: PERSONAL DATA
TABLE 1: SEX
ALTERATIVE
|
NO OF RESPONDENTS
|
PERCENTAGE
|
MALE
|
12
|
60
|
FEMALE
|
8
|
40
|
TOTAL
|
20
|
100
|
Source research survey (2011)
From
the above 12 representing 60 percent (60%) of the respondent. Were male and 8
representing 40 percent (40%) of the respondents were female. The larger
proportion of male to female work force in the organization is a replica of
what is happening in the manufacturing where greater percentage of their duties
is tedious and enemy consuming.
4.1 BRIEF OF OKIN BISCUITS LIMITED OFFA
Okin biscuit limited was incorporated in
may 1978 by the patriotic businessman. Chief E.O Adesoye. Who is an indigene of
offa is response to the call of the then state government of kwara state
calling on kwara state indigenes of means to establish industry in kwara state
industrials kwara state.
Within the period of five month. The
erection of plant and machinery were
conflated production scale actually started on 2nd of July 1980 now
thirty one years (31) have passed
The company started production in tree
variations namely cabin cream and coaster. In 1980 another varieties were
introduced later like short cake “ OLOMOKULUBU” e.t.c.
Before the end of 1980, machinery for
okin foam (a division of okin biscult limited) arrived and production form started
in the year 1989. The demand for okin biscuit outstripped supply on machinery
of the second line of production of okin was installed in 1982 to double the
capacity of biscuits 14,000 tons per annual and 3,000 funs of foam production
per annual.
The raw materials used in production of
biscuit are namely wheat, flour sugar margarine, glucose, salt, banking
chemical, flavors and water. Since major portion of raw materials and coking
availability of important license affected the production target since 1982 and
this continue for years to follow. The adverse situation of foreign exchange
during the following years forced some other factories to close down for long
period of time. Okin biscuit limited survived, though the capacity utilization
has to reduced to a level of 25%.
In 1989 when the federal government
banned importation of what floor which is the major ingredient for biscuit
production, okin biscuit limited believe in federal government policies of self
reliance waste to time for alternative sourcing of raw materials local
institution was tired and partially successful.
It was in light of this development that
okin biscult were to so for experimental farming of what’s in kwara state. In
October 1987 and ever since during the last three season namely
1987-1988-1988-1989, and 1989-1990 wheat farming trials were conducted at Oyun
local government area and Babanla Ifelodun local government area in kwara
state.
Okin biscuit limited also had wheat farm
in kano state
where irrigated lands were available in here and lease with production locally.
The supply position has now improved. However the ban on importation of wheat
was lifted in December 1992.
The company employed between five
hundred to five hundred and fifty (500-550) employee directly during the last
fourteen years and 90% of then ere skilled workers internally training course
were conducted in corporation with industries training fund (ITF) to developed
the skill and talent workers.
In 1989 Okin biscults limited acquired
seventy percent 70% share of kwara state breweries limited with a view of
reviewing the company which was in a very bad shape. The company is looking for
the rosy future in spite of the hardship.
4.2 BUSINESS OBJECTIVES OF OKIN BISCUIT LIMITED
Business
objective are goals or that a business set for itself. They differ according to
the type of business.
Business objective are a way for an
organization to define it goals and direction. A company uses a combined
strategy at every level of its operation to achieve its objective. It determine
how the company will allocate it resources and what strength. Weakness and
opportunities it may have.
A business objective is usually not
altered once unlamented unless change in circumstance arise
Bellows
are the basic objectives of okin biscuit limited
1.
Improving sales growth in all key
region
2.
Improving profit margins on it key
brands.
3.
To maximize sales
4.
Expanding the product portfolio
5.
To provide goods service that is chap
and affordable to consumer or to the public.
6.
Providing employment for the owners
and others who work in the business.
7.
Development and growth either
internally or externally
8.
Okin biscuit also ensure that growth
measure take place through market share.
9.
Customer satisfaction is another man
objective of okin biscuit limited thereby ensuring that satisfaction of
customers are guarantee.
10.
Survival usually short term, that is to sustain in the business or
in time of recession to break.
4.3 PROCESS OF MANAGEMENT PLANNING AND CONTROL ON THE PRODUCTIVITY OF
THE ORGANIZATION.
Management
planning and control prepares to have the right people at the right places at
the right time to fulfill organization and individual objectives.
Management
planning and control is the process by which an organization ensure that it has
the right number and kinds people at the place: at the right time, capable of
effectively and efficiently compiling those that will aid the organization in
achieving its overall objectives “without
manpower and plans are reduced to mere guess work. It starts by developing
a profile of the current status of human resources.
Management
planning and control is also define as the forecasting of human resources needs
for the organization and planning the steps necessary to meet these needs.
The
main purpose of management planning and control is to identify future
organizational demand and supplies of human resources and to initiate and
develop programmed to eliminate any discrepancies in the best interest of the
individual organization. The management planning and control is being described
as the heart of personnel management.
Management
planning and control serves the following purpose
1. It
helps to reduce personnel cost through anticipating shortages or surpluses of
human resources and to being them into
equilibrium before they become expensive and unmanageable
2. It
helps to improve business planning generally.
3. It
provides a tool for evaluating alternative human resources throughout the
organization.
4. It
allows personnel managers to provide the proper work force needed by the
employer
4.4 EFFECT OF THE MANAGEMENT PLANNING AND CONTROL ON THE PRODUCTIVITY
OF THE ORGANIZATION
Management control and planning include
a variety of tools used by both managers and employee to ensure work may
proceed as necessary. While management control are useful and often essential
part of doing business. It is important to ensure that these control do not
interfere with workers ability to get the work done.
Below are the effect of management
planning and control on the productivity of the organization
1.
Management control standards:-
management control should always comply with all applicable state, local and
federal law. They should also provide a reasonable amount of assurance that
assets are protected from waste. Fraud and abuse. Management controls should
not be implemented without proper fore thought and planning but should specific
goals which may be realistically met, finally standards for management controls
should require the encouragement of both
managers and employees to act in ethical manner which maintain a certain level
of competence for all workers
2.
Preventive control and planning;-
requiring employs to log into the company network is one example of a
management control designed to prevent fraud.
The
purpose of preventive control is to attempt to
prevent workers at all levels from making errors or defrauding the
organization. Preventive controls may include such items as requiring to enter
a password to sign onto a computer or a pass key to gain access to a particular
area of a workplace. These control are essential in a variety of work
situations.
However,
They may sometimes affect productivity if not implemented properly. For example
if a payroll clerk needs to print paychecks but the supervisor with access to
the locked room where check stock is kept unavailable productivity may be lost.
3.
Detecting control and planning:-
detective control and planning are designed to ‘detect’ errors and lor
fraudulent activity after they have already occurred. Example reports are one
example of a detective planning and control. These are reports which list item
such as incomplete transaction that equal on amount which is greater or less
than what is expected in day-to-day business. Detective controls are very
effective at discovering costly according errors.
However,
they can impact productivity when carried to the extreme. For example when an
entire department is forced to spend hours searching for a five percent errors.
Not only is productivities lost but the time spent looking those few pennies
will cost the organization more money than f if it were to simply write off the
difference.
4.
Using management control to increase the productivities while management
controls may have a negative impact on productivity when implemented
incorrectly. They may also be used to increase productivity. When management
controls in place to measure and analyze day-to-day productivity. Managers may
user the resulting data to investigate more diffident ways to do business.
These controls may also help managers determine more effective ways to delegate
authority within the organization.
5. Human factors: the human aspect of management,
planning and control should be considered when designing and implementing these
controls. Human behaviour should be considered to ensure workers are property
motivated to complete the desired task. For example employees should not be
made to feel as though planning and controls have been put in place because
managers believe workers cannot be trusted. In such a case workers will likely
be demodulated which will then decrease productivity.
4.5 OTHER FACTORS AFFECTING PRODUCTIVITY IN THE ORGANIZATION
Productions
stand tall on four important pillars of capital quality management and
technology. These pillars are also responsible for positively as well as
negatively affecting the productivity of the organization.
1. Capital:-
An existing machine or facility. If it is not functioning up to full capacity
or turning out products which are not acceptable can lower productivity. A new
machine repair of existing machine would require capital input.
2. Management:-
With better scheduling planning. Coordinating and controlling activities of
management. The machine operators can be carried to improve productivity.
3. Quality:-
Poor quality products would not meet customers requirement and would need
repairs and reworks on the product to meet the standards.
4. Technology:-
Technology improvement have increased productivities. A machine of today would
out perform machine of yesterday but may not withstand machine of tomorrow.
Without
careful planning technology can reduce productivity as it often leads to
increased cost, inflexibility or mismatched operations. All these lead to
reduction in value.
CHAPTER
FIVE
SUMMARY, CONCLUSION AND
RECOMMENDATION
5.1 SUMMARY
The
purpose of this study was to highlight the impact effective planning and
control on organization productivity. The information will help an organization
to give priority to its planning and control process since the success and
failure of my organization depend on planning and control. It has been observed
that many organizations spend million of naira on production, so as to increase
productivity without taking cognizance of the basis factors which are planning
and control.
In
this research work the research has been able to ensure the question that
effective planning and control should be taken with great priority. So that the
organization could achieve its goals the researcher was able to analysis
different types of planning and control, step to take in planning and control
system or process.
In
addition literature were relieved in which the researcher made a distinction
between planning and control, that planning takes place before, during and
after operation. Planning and involves visualizing goals to be accomplished,
examining ways to accomplish the goals and deciding as to the best way of
operating the plan.
The
purpose of control is to ascertain whether or not the work is done as planned
control makes the required correction to get back on target. For control to be
effective, it must possess the followings.
(a)
A predetermined goal must exist
(b)
The course and means for reading the
goal must have been plotted
(c) Means of measuring rearrange from the course
must been established the researcher also examines different areas of
activities planning like personnel training programme and material requirement
e.t.c
Conclusively
form the funding of the research the researcher found out that the company face
problem such: bureaucracy in decision making leading to show action taking by
the management of the company. There is higher number of old skill in the
production section which does not give room for new technology, there is lack
of variety product times thereby limiting the market strategies and skill e.g no
strong advertisement effort, no discovery of new market, discounts are not
allowed. Absent of this marketing strategies lend to reduction in their total
sales and there is problem of irregular payment of worker salaries. All these
factor affect their productivity.
5.2 CONCLUSIONS
From
the research finding, effective planning and control is management effort aimed
at achieving high productivity. This is based on the attitude of to managers to
planning and control the following findings were deduced.
Due
to the observation, it has been discovered that planning and control have great
important role to play in the success and survived of any organization so, far
any organization to increase its productivity the company must take
organization of planning and control process.
Though,
effective planning and control can increase productivity but there are others
factors that can also increase productivity such as good remuneration, good
medical facilities, and better incentives e.t.c
5.3 RECOMMENDATIONS
My
recommendations based on this research will be in these categories such as
organization, employee and government.
5.4
THE ORGANIZATION
For
planning to be successful the organization must integrate other in decision
making process those who must be conversant with the situation being faced by
the organization such as providing an interface of production department with
the making and financial functions.
There
should be recruitment of skilled labourers that will bring up new idea in
production which marketing department should be more involved in gathering
customer’s specification across to production section.
(A)
The account department should make funds
available for the procurement of needed and right raw material and new
technological equipments. Other wise there would always be contradiction
between the marketing and production function as regards meeting customers
orders adequately.
(B)
Organization should adopt a preventive
policy that will ensure careful handling and proper maintenance to avoid
emergency breakdown during production process. This policy is good and should
be sustained, but replacement approach should be considered when the machines
or plants become uneconomically serviceable.
(C) The organization should employ the services
of new skilled and semi skilled workers for permanent employment that will
bring about new ideas in the production and marketing section.
In
conclusion, government should also allow the companies to import raw materials
from abroad, reduce the tax levying on the companies through customers and
exercise duties.
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