TABLE OF CONTENTS
Table of Content
- Background Of The Study
- Statement Of The Problem
- Aims And Objectives Of The Study
- Scope Of The Study
- Significance Of The Study
- Limitation Of The Study
- Literature Review
- Reason for the Establishing of Public Enterprises
- Rational for Privatization and Commercialization in Nigeria
- Privatization And Commercialization Program In Nigeria
- Technical Committee on Privatization And Commercialization Act of (1988) (TCPC)
- Historical Overview of P.H.C.N
- Research Methodology
- The Instrument Used in Data Collection
- Method of Data Analysis
- Research Methodology
- Statement of Hypothesis
- Presentation and Analysis of Data
- Presentation of Data
- Analysis of Data
- Problem Associated With The Privatization And Commercialization of P.H.C.N
- The Prospect Associated With Policy
- Testing of Hypothesis
- Summary, Conclusion and Recommendation
The term “purchasing” is widely used in industry, commerce, public corporation and management to denote the act, the function and responsibility for procuring materials, supplies and services.
The researcher is aware that most serious problem facing the world is the scarcity and the growing trend towards higher cost of materials and services. But it is amazing the purchasing, which can be so vital to an organization survival is still look upon it as little and not more than a clerical or routine activity.
Too many people assumed the function is just a simple exercise of processing requisition and placing order. Professional purchasing however is not a clerical task.
However, in narrow sense and considering the topic make-buy decision as an important tool for increased profitability, the term determine the need, selecting the supplies, arriving of proper price term and condition issuing the order, follow up to ensure proper delivery.
The basic element involved in the performance of this purchasing function of a coca-cola company plc, Ilorin are obtaining the proper equipment materials, supplier and services that are needed, where they are needed at the right time at the right price, in the right quantity and quality from the right source through minimum effort and cost taking into consideration make or by decision as an important tool for increased profitability at coca-cola company plc Ilorin.
BACKGROUND OF THE STUDY
In recent times, in their effort to manage their resources more efficiently for maximum growth and development. Most countries have started to question the wisdom of investing so much in their public sector from which not much returns in terms of efficient supply of goods and services or profit ability or both could be good. However, privatization and commercialization have for long been and still remains a highly controversial topic in Nigeria. To be or not to be? This project is aimed at examining the concept of privatization and commercialization of Nigeria public enterprises, the problems associated to its implementation and its prospect.
Privatization is a global phenomenon it is basically transfer of state owned investment to the private sectors through sales or others means while commercialization is the reorganization of enterprises wholly or partly owned by the government in which such commercialized enterprises shall operates as profit ventures and without subvention from government. Such enterprises would use private sector procedures in the management of their business.
Globally, the economic crisis of the 1980 created serious problems must especially in the developing countries. This lead to the emergence of a feeling among policy makers and economic planners that have intensified the strive towards efficient and competitive domestic economic structure so as to achieve sustainable growth and development and therefore improve economic standards. Among the measure adopted in the early 80’s economic reform includes:
- Expansion of market: oriented structure in production distribution and consumption
- Elimination of reducing of state control over prices personal and other management decision
- Adoption of a realistic and completive exchange rate.
- Freeing the interest rate market from unnecessary intervention from regularly authorities.
Following this global trend ever 70 countries have undertaken one from of economic reform or another with the dominant feature being privatization and commercialization of major economic enterprises. The privatization of public enterprises is informed b y the need to run public especially in government monopolies have some motivation that made privatization and commercialization process an acceptable solution to problem of essential public infrastructure. In PHCN dynamic in particular better management process, faster corporate response to emerging changes and challenges, dynamic business orientation are some of the key motivating, programmatic attitude to business training, customer relations, competitions flexible market-driven investment focus, acquisition of up to date tools and attraction of local and foreign investment are also some of the key motivation to privatization. While privatization and commercialization program me has its strengths, some times has exposed since the advent of privatization and commercialization in Nigeria and it is known that the policy faced up to some problem in its implementation such as :
- First and foremost, they delay problems. There are considerable delays between the data privatization and commercialization decision was taken and the take-off date for example privatization programme, drew up a timetable using public enterprise that are going to be privatized under three phase. Phase one and two were stated to be privatized between July 2000 and June 2002. Companies under phase three those in the power and petrochemical. The privatization of those sectors was schedule for January 2002 to December 2003. Yet all that should have been concluded by these years has been in the cold.
- Secondly, several labour unions perceive of the policy as anti-labour. This is because, the implementation of the programme necessitate some rationalization and restricting which may eventually result in massive retrenchment many people especially those in the labour movement believe that privatization and commercialization may reduce employments particularly in the affected enterprises.
- Thirdly, in accessibility to credit problem. A fast of equity share-holders are short of funds for processing their application forms many Nigerians do not have enough money to meet their immediate needs let alone have savings to invest. In such circumstances it not unlikely only the well to do people would have funds to invest in the affected enterprises.
- Fourthly, some officials of the former supervisory ministries see the programme as plan to reduce their power over public enterprises sectors.
- Last but not the least; it may counter undue advantages on some sectors of the Nigeria community. Nigeria is a country where economic wealth, political power industrial locations are not evenly spread, privatization and commercialization may give undue advantages to some sectors.
With these itemized problems of implementation of privatization and commercialization policy above the far are not altogether unfounded hence for reaching measure have been exercise. For instance, privatization of P.H.C.N rather a number of companies engage in the generation and distribution of will power emerge.