Economic subjects | Management » Ugwu Kingsley - Corporate Planning and Attainment of Organizational Objectives

Source: http://www.doksinet CORPORATE PLANNING AND ATTAINMENT OF ORGANIZATIONAL OBJECTIVES BY UGWU KINGSLEY N. PG/MBA/10/55045 A PROJECT SUBMITTED TO THE DEPARTMENT OF MANAGEMENT, FACULTY OF BUSINESS ADIMINISTRATION, IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE AWARD OF MASTER OF BUSINESS ADIMINISTRATION (MBA) DEGREE IN MANAGEMENT DEPARTMENT OF MANAGEMENT, FACULTY OF BUSINESS ADIMINISTRATION, UNIVERSITY OF NIGERIA ENUGU CAMPUS SUPERVISOR: PROF. UJF EWURUM 1 Source: http://www.doksinet JULY, 2012 CERTIFICATION This is to certify that this work was carried out by UGWU KINGSLEY N. PG/MBA/10/55045 in the Department of Management, University of Nigeria, Enugu Campus. UGWU KINGSLEY N. PG/MBA/10/55045 Date: 2 Source: http://www.doksinet APPROVAL This work titled: Corporate planning and attainment of organizational objectives was approved for UGWU KINGSLEY N. with registration number PG/MBA/10/55045 and is submitted to

the department of management in partial fulfillment of the requirements for the award of MBA in Management Prof. UJF Ewurum Dr. C A Ezigbo Project Supervisor Head of Department Date: Date: 3 Source: http://www.doksinet DEDICATION This piece of work is dedicated to our Lord Jesus Christ 4 Source: http://www.doksinet ACKNOWLEDMENTS I am grateful to Almighty God for his wisdom and knowledge, My immense gratitude goes to my supervisor Prof, UJF Ewurum for his guidance all through this work. Am also indebted to all my lecturers both within and outside my department: Dr Ezigbo C.A, Dr Agbaeze, Dr Chukwu C.O, Dr Nnadi, Chukwu BI, Dr Ugwuoke, and Dr Modebe I also wish to thank my parents: Mr and Mrs Steven Ugwu. Finally, I wish to thank all who in one way or the other supported me through this programme God bless you all. 5 Source: http://www.doksinet ABSTRACT This project is a

review “Corporate planning and attainment of organizational objectives”. The problem identified are The attitude of management to corporate planning in attainment of organizational objectives. The effectiveness of corporate planning policies and practices in the organizational management decision. This write up showed the relevant literature concerning the project topic. The objectives of the study are as follows: to ascertain the appropriate measure by which the various corporate plans can to be achieved, to examine the relationship between corporate planning and corporate objective and to examine the impact of corporate planning on organizations. The review of this topic will address the research questions which are below. The descriptive survey method was used and the research tool was questionnaire. 277 staffs answered the questionnaire. Frequency percentages and critical value (cv) or Z tabulated level of significance of 0.05 was used in data analysis The hypothesis will be

tested scientifically using Z test formula and presentation was done by the use of tables. Taro Yamani’s Statistical formula was used for the sample size determination of 277 from a total population of 896 respondents. Based on the analysis carried out, the findings were it was arrived at and was concluded that poor implementation of corporate planning was responsible for the organization not being able to attain its organizational objectives, Another finding made by the researchers was that managers encounter problems when implementing this system/process in the organization and this is affected by business environment.Finally, solutions and recommendations were proffered that planning committee should be established. 6 Source: http://www.doksinet TABLE OF CONTENT Approval Page ii Certification Page iii Dedication iv Acknowledgement v Abstract vi CHAPTER ONE: INTRODUCTION 1.1 Background of the Study 1 1.2 Statement of the Problem 5 1.3 Objective of the Study 5

1.4 Research Questions 6 1.5 Hypotheses of the Study 6 1.6 Significance of the Study 7 1.7 Scope of the Study 7 1.8 Limitation of the Study 7 1.9 Definition of Terms 8 1.10 Profile of selected organizations 9 Reference 13 CHAPTER TWO: REVIEW OF RELATED LITERATURE 2.1 Introduction 14 2.2 Conceptual Framework 14 2.3 Theoretical Framework 18 7 Source: http://www.doksinet 2.4 Empirical Review 24 2.5 Summary of literature review 32 References 33 CHAPTER THREE: RESEARCH METHODOLOGY 3.0 Introduction 34 3.1 Research Design 34 3.2 Area of the Study 34 3.3 Source of Data 34 3.4 Population of the Study 35 3.5 Method of Data Collection 37 3.6 Questionnaire Design, Distribution And Collection Of Responses 38 3.7 Methods Of Data Presentation And Analysis 38 3.8 Validity of the Instrument 39 3.9 Reliability Test 39 References 40 CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS 4.1 Data Presentation 41 4.2 Analysis of

Demographic Characteristic 43 References 57 CHAPTER FIVE: SUMMARY OF FINDINGS, RECOMMENDATIONS AND CONCLUSION 5.1 Summary 58 5.2 Recommendations 59 8 Source: http://www.doksinet 5.3 Conclusion 60 5.4 Area for Further Studies 60 REFERENCES 61 APPENDIX CHAPTER ONE INTRODUCTION 1.1 BACKGROUND OF THE STUDY When the pemberton, an American civil war veteran and pharmacist in 1886 was searching for a quick cure for headaches, little did he know he was on the path of investing one of the greatest production histories. As pemberton thinked with his medical formulas, he strived up a fragrant, caramel colored liquidized in a cauldron, took it to Jacob’s pharmacy a few doors away from where the mixture was combined with carbonated water. When sampled by customers, they testified to the uniqueness of the taste of the new drink. Pemberton’s book-keeper frank Robinson, named the drink cocacola and wrote it out in his distinct handwriting, which to this day is the trade

mark of coca-cola company. But pemberton, who was more of an inventors than a business man did not have the insight that he hit a gold mine. Over the course of three years, he sold the company to Atlanta business man, Asa Griggs Candler who became the first president. Griggs brought real vision to the business and invention to a business. Currently, cocacola has over 230 brands in about 200 countries of the world including Nigeria In Nigeria, the Nigeria bottling company (NBC) plc is a member of the coca-cola Hellenic bottling company group. It was incorporated in November 22nd, 1957to bottle 9 Source: http://www.doksinet and sell carbonated non-alcoholic beverages. The company has the sole franchise to bottle coca-cola product in Nigeria. Production of coca-cola began in 1953 at a bottling factory in Lagos (NBC). It became a public quoted company in 1972 with its share listed in the Nigeria stock exchange. Currently, NBC has 16 bottling facilities located around the country and

numerous distribution warehouses, deports and outlets, while its head office is in Lagos. Coca-cola has a universal formula for its products However, it has no universal taste as regional preferences are taken into consideration in preparing local brands. The range of coca-cola beverage in Nigeria includes: - Coca-cola (coke). - fanta (orange, lemon and black current flavor) - sprite - krest lemon - Guilder (black current, orange and pineapple) - And Eva table water. All these come in various packs and sizes. NBC uses returnable glass bottle that are manufactured locally by Beta industries (NBC owns 88% of Beta) as well as disposable cans and bottles. Coca-cola in Nigeria has over decades grown into an octopus, dominating the soft drink sectors with about 68% control of the market (Alabi 2002). The past World War II era was marked by industrial revolution. Before the period of the world war, most business enterprises were carrying on their business operation without stating

the formal objective or formal long range business plan. Usually, business planning was confirmed to the lower original levels, namely: the functional or departmental level and they have only short term plans which focused mainly on 10 Source: http://www.doksinet manufacturing, production, material, ordering and receiving and recruitment of labour. Must companies use to have annual budget or yearly financial plans to ensure their liquidity. This resulted in the need for more accurate results in business planning and decision as competition grew and become more intense. Planning is a function performed by all managers. According to Trewartha and Newport (1976:90), planning is a process by which managers visualize and desired objectives. Akpala (1990:90) planning is a process by which managers visualize and determine future actions that will lead to the realization of desired objectives. Akpala (1990:44) defines planning as a process of using facts and assumptions about the future to

arrive at course to of followed in seeking specific goals. Hicks and Gullet (1987:8) states that planning develops objectives for each level of the organization and determines ways to achieve those objectives. Koontz et al (1980:156), sees planning as the process of deciding in advance, what to do it, when to do it, where to do it, who is to it and even why it should be done. From the definitions above, certain things can be seen about planning: First, planning is a futuristic activity. Because of the future of planning, and for the fact that the future is uncertain, forecasting becomes necessary in planning. Planners must forecast the environment in which the objectives are to be accomplished. This is important because of the impact of the environmental factors on goals realization. Secondly, planning can be either individual based or organizational based. Individual base planning is the process by which individual set out their personal objectives. In the other hand, organizational

based planning involves planning for corporations and other organization (Enudu, 2005:35). 11 Source: http://www.doksinet This brings us to the question of corporate planning. Corporate planning can be define as the process through which managers determine the long term objectives of their corporation/organizations and the courses of action necessary for the accomplishment of these objectives. Corporate planning is the top most and broadest of all plans, and therefore covers the entire organization and every functional area of the organizations business. It considers the whole organization and the factors operating in the external environment such as political, economic, institution, social, technological and ethical factors (Enudu, 2005:35). Scholars in management have classified plans in many different ways. To Hicks and Gullets (1987:258), corporate plans can be classified either as standing plans or single use plans. Plans can be classified according to the level in the

organization. In line with this view, he classified plan into 3, corporate plans, strategic plans and tactical plans. According to Terry (1970:260) plans can be classified according to time horizon fort which plan is made that is, short-term plan, medium-term plan and long -term plan. For the purpose of this work, plans shall be classified according to the time horizon for which plan is made; Short term plans are sometimes called annual operating plans (AOP). A short term range plan usually requires a short period of time say one year to accomplish. It takes into consideration the various strategies which will be put in place to enhance the goal of the organization. The typical planning period for medium term plans is five (5) years The length of this period may vary depending on the type of organization. It might be longer in industries facing rapidly changing external conditions. 12 Source: http://www.doksinet Long term plan usually ranges from five years to infinity. They are

often used by capitalintensive organizations most often, long-term plans cover entire organization and its major functional areas, since they take long time before being achieved, managers must consider the external environmental factors such as economic, political/legal, technological and ethical factors before arriving at the plan. This is because of the possible changes that might occur between the time of formulating plan and the time it is expected to be achieved. 1.2 STATEMENT OF PROBLEM The purpose of this study is to assess the extent corporate planning practices in coco-cola bottling company plc. Influences and determine realization of organizational objective This research study is set out to investigate the causes of the following problems in cococola bottling company: The attitude of management to corporate planning in attainment of organizational objectives. The effectiveness of corporate planning policies and practices in the organizational management decision. The

appropriate measures to execute corporate planning using various approaches and challenges faced by those approaches and to examine the relationship between corporate planning and corporate objective by helping managers identify treats and opportunity and to take them into account in developing the organization’s corporate objectives, goals, plans and strategies, political forces and stakeholders within and outside the organization play a key role in determine the organization’s mission, and goals as well as exerting pressures for charging them. 1.3 OBJECTIVES OF STUDY 13 Source: http://www.doksinet Corporate planning is not without record of failure in firms that have applied its measures in pursuit of organizational objectives. This study is set out to pursue the following objectives: (i) To ascertain the appropriate measure by which the various corporate plans can to be achieved. (ii) To examine the relationship between corporate planning and corporate objective. (iii)

1.4 To examine the impact of corporate planning on organizations. RESEARCH QUESTIONS 1. To what extent can the application of appropriate measure for the various corporate plans be achieved? 2. What is the relationship between corporate planning and corporate objective? 3. 1.5 What is the impact of corporate planning on organizations? HYPOTHESIS OF THE STUDY The following hypotheses are: 1. Ho: The extent at which the application of appropriate measure for the various corporate plans be achieved is high. Hi: The extent at which the application of appropriate measure for the various corporate plans be achieved is low 14 Source: http://www.doksinet 2. Ho: There is no significant relationship between corporate planning and corporate objective Hi: There is significant relationship between corporate planning and corporate objective 1.6 3. Ho: The impact of corporate planning on organizations is low Hi: The impact of corporate planning on organizations is high

SIGNIFICANCE OF THE STUDY This study will equip coca-cola bottling company and other organization with the proper knowledge to evolve formidable plans the attainment of the organizational objectives. Also to highlight the invaluable benefit of applying corporate planning to boosting of profits and maintaining market tender ship. The study will also enable managers of coca-cola bottling company to be favorably disposed to the application of corporate planning to their market, possibilities of new opportunities, monitoring organization trends and energetically pursuing organizational objectives. This research work study will enlighten managers on the essence of corporate planning for the enterprises survival by using the present data and past experience for forecast or project evaluation for present future operations so as to be able to survive and compete favorable, Finally, this study is intended to serve as a base for researchers (s) who may choose to go further on this study, 1.7

SCOPE OF THE STUDY 15 Source: http://www.doksinet The study is on the assessment of corporate planning and attainment of organizational objectives. A case study of coca-cola bottling company, Mercedes-Benz ANAMMCO And Access Bank Plc Enugu State. The study took place from 2010 to 2012 1.8 LIMITATIONS OF THE STUDY The time given for this research within which the researchers have to do some other academic works was not sufficient for a research work. It wasn’t easy to arrange for personal interviews with the various managers in the organization due to the time limit. The researchers faced a serious problem of insufficient fund to travel to Lagos and other parts of the country are where the company exist. The research work required much money for transportation, producing questionnaires and interview guides, as well as visits to area of importance to the researchers. This limitation not withstanding, believed that the findings and conclusion of the study are however assumed to be

applicable to be encouragement of corporate planning in the light of present business environment to the business enterprises in Nigeria. Finally, some respondent were not willing to release relevant information, with the fear that information collected will be enclosed or sold to the public or their competitors, for them to know their policies and procedures guiding the organization. 1.9 DEFINITION OF KEY TERMS Planning: This is the process of using facts and assumptions about the future to drive at courses of actions to be followed in seeking specific goals. To Akpala (1990:44) planning is the process of deciding in advance what to do, how to do it, when to do it, where to do it, who is to do it and even why it should be done. 16 Source: http://www.doksinet Management: Ejiofor (1985:3) defines management as the art of science of working in an organization through being directed and by directing and coordinating the activities of people to achieve one’s personal goals in the

context of the goals of one’s organization. Objectives: According to Akpara (1990:51) an objective is an end in view or goals to sought for. 1.10 PROFILE OF SELECTED ORGANIZATION History of Coca-Cola Company: In Nigeria, the Nigeria bottling company (NBC) plc is a member of the coca-cola Hellenic bottling company group. It was incorporated in November 22nd, 1957to bottle and sell carbonated non-alcoholic beverages. The company has the sole franchise to bottle coca-cola product in Nigeria. Production of coca-cola began in 1953 at a bottling factory in Lagos (NBC). It became a public quoted company in 1972 with its share listed in the Nigeria stock exchange. Currently, NBC has 16 bottling facilities located around the country and numerous distribution warehouses, deports and outlets, while its head office is in Lagos. Coca-cola has a universal formula for its products However, it has no universal taste as regional preferences are taken into consideration in preparing local brands.

The range of coca-cola beverage in Nigeria includes: - Coca-cola (coke). - fanta (orange, lemon and black current flavor) - sprite - krest lemon 17 Source: http://www.doksinet - Guilder (black current, orange and pineapple) - And Eva table water. All these come in various packs and sizes. NBC uses returnable glass bottle that are manufactured locally by Beta industries (NBC owns 88% of Beta) as well as disposable cans and bottles. Coca-cola in Nigeria has over decades grown into an octopus, dominating the soft drink sectors with about 68% control of the market (Alabi 2002). Historical Background of Access Bank Plc Company Description Access Bank Plc is a full service commercial bank operating through a network of over 80 branches and service outlets located in all major commercial centres and cities across Nigeria. Access Bank Plc was incorporated in 1989 as a private limited liability company with ownership residing with Nigerians and Nigerian institutional investors.

The Bank was subsequently listed on the Nigerian Stock Exchange in 1998. The Banks shareholding structure is varied and diverse with less than five individuals. Access Bank is a large financial services provider, with an asset base in excess of US$12.6 billion (NGN:202 trillion), as of February 2012 The shareholders equity in the bank is valued at approximately US$2.33 billion (NGN:3735 billion) Starting in 2007, Access Bank began an International expansion drive. As of February 2012[update], it has subsidiaries in Burundi, Côte dIvoire, the Democratic Republic of the Congo, Ghana, Rwanda, Sierra Leone, The Gambia, Tanzania, United Kingdom, and Zambia. Corporate Profile 18 Source: http://www.doksinet Access Bank Plc. is a full service commercial Bank operating through a network of 348 branches and service outlets Allocated in major centres across Nigeria, Sub Saharan Africa and the United Kingdom. Listed on the Nigerian Stock Exchange in 1998, the Bank serves its various markets

through 5 business segments: Institutional, Commercial, Retail Banking, Transaction Services and Financial Markets. The Bank has over 800,000 shareholders including several Nigerian and International Institutional Investors and has enjoyed what is arguably Africas most successful banking growth trajectory in the last ten years ranking amongst Africas top 20 banks by total assets and capital in 2011. Brief History of Mercedes-Benz ANAMMCO ANAMMCO was conceived in the 1970s as a joint venture between the Federal Government of Nigeria (FGN) and Daimler-Benz AG (“Daimler”) of Germany to import and assemble Completely Knocked Down (CKD) units of Mercedes Benz trucks and buses in Nigeria. “ANAMMCO” is an acronym of ANAMBRA MOTOR MANUFACTURING COMPANY. By its Memorandum of Association, ANAMMCO is established to carry on the business of importation of CKD sets of Mercedes Benz commercial vehicles and passenger cars as well as spare parts pertaining thereto and the assembling of same

in Nigeria under license from Daimler, utilizing parts purchased from Daimler or from local suppliers. Daimler and ANAMMCO also entered into Manufacturing and Agency Agreements which gave ANAMMCO selling rights in respect of trucks and buses imported in CKD version and assembled and/or manufactured by ANAMMCO in Nigeria only and the spare parts 19 Source: http://www.doksinet appertaining thereto. In the middle of 2006 and in accordance with the then existent Shareholders Agreement between FGN and Daimler, Daimler nominated Mr. Jacques Gelin as the Managing Director of ANAMMCO. In March 2007, FGN through the Bureau for Public Enterprises (BPE) sold 24% (Twenty-four per cent) out of its 35% (Thirty-five per cent) interest in ANAMMCO to G. U Okeke & Sons Limited (GUO), a company owned by Chief Godfrey Ubaka Okeke (Chief Okeke). GUO also acquired 3% (Three per cent) of ANAMMCO’s equity from Leventis Ltd and another 0.5% (Half of one per cent) from Hon. Nnamdi Njoku, another

shareholder Management Team • Jacques Gelin (Managing Director) • Gabriel Ndu (Sales Manager) • Igwe G.C Onyia (General Manager Personnel) • Rolf Ohlinger (Technical mManager) • Donatus Ngwoke (Chief Accountant) Organization The company has five divisions with each division headed by a general manager except one headed by the managing director. The five divisions are: 1. Technical Division 2. Marketing Division 3. Personnel Division 4. Controlling and Finance 20 Source: http://www.doksinet 5. Corporate Affair Divisions The management of the company is made up of the divisional heads which at present is made of three expatriates and two Nigerian that head the personnel and marketing divisions. REFERENCES Akpala A (1990); Management: An introduction and the Nigerian perspective Enugu: Department of management, UNEC. Enudu T.O (2005); Corporate planning in modern organizations: A fundamental approach, Enugu: John Kens and Willy publications Ltd. Ejiofor

R. NC (1987); Management in Nigeria: Theories and issues, Enugu: Africana Rep Publishers limited Hicks H.G And Gullett CR (1987); Management: New York: McGraw-Hill international Edition. Muselman V.A and Hughes GH (1981): Introduction to modern business analysis and interpretation, Englewood Cliffs, N.J Prentice Hall Inc 21 Source: http://www.doksinet CHAPTER TWO REVIEW OF RELATED LITERATURE 2.1 INTRODUCTION This chapter review previous research works which have been done on the topic “The assessment of corporate planning and attainment of organizational objectives”. This review is subdivided into: conceptual framework, theoretical framework, empirical review and summary of literature review 2.2 CONCEPTUAL FRAMEWORK 2.21 MEANING OF PLANNING Planning is one of the basic functions of manager. Akpala (1990:3-5) and koontz et al (1980) all agree to the fact that planning is the foremost function of manager. This is because an old adage says that those who fail to plan, plan to

fail. It is clear therefore that individual and organizational activity without a plan is likely to be a failure. We must understand the meaning of planning, if we are to understand the meaning of corporate planning. 22 Source: http://www.doksinet According to koontz et al (1980:156), planning is the process of deciding in advance. What to do, how to do it, where to do it, who is to do it and even why it should be done. According to trewarther and Newport (1976:90) planning is a process by which managers visualize and determine future action that will lead to the lead to the realization of desire objectives. According to akpala (1990:44) planning is the process of using related facts and assumptions about the future to arrive at courses of action to be followed in seeking specific goals. Therefore planning involves three major elements: 1. Determination of original goals or objectives. 2. Forecasting or visualizing the environment in which the objectives must be accomplished.

3. Determination of the approach by which the goals and objectives are to be accomplished. 2.22 LEVELS OF PLANNING WITHIN AN ORGANIZATION Corporate planning can best be understood when it think about the terms of hierarchy which depicts that decision are not taken in vacuum but against the background of a series of guidelines and priorities that are determined by corporate management. And whatever planning options developed by the manager, it must be strictly within the framework of the established policy. Now let examine the level of planning within an organization: - corporate level - business level - function level 23 Source: http://www.doksinet (a) Corporate level: planning here guides the over direction of firms having more than one line of business. The amount of diversification determines the complexity of the planning formulation required. Corporate level planning focus on the types of business the firm wants to engage in and ways to acquire a divert business

within the organization. Corporate level of any organization utilizes the strength of its trade marks goodwill and related assets from its manufacturing/production business, contribute to each other’s development, and support the company’s growth as a whole. Corporate level management provides guidance and reviews the performance or strategic business units. A strategic business is a division or sub-division and goals. A strategic business unit may have a well defined set of customers that corker a specific geographical areas. It strategic business unit is usually evaluated on the basis of its own income statement and balance sheet. The top managers of each strategic business unit are responsible for developing plans for their unit. These proposals normally are submitted to the corporate headquarter for review. (b) Business level: business level planning is the interconnected set of key commitment and action intended to provide values to customers and gain a competitive advantage

by using the company’s core liabilities in specific markets. Top managers of en constantly involved with planning and formulating strategies for: (i) Maintaining or gaining a competitive style in serving its customers. (ii) Determine how each functional area (product, human resource, molting and finance) can best contribute to its overall effectiveness and; (iii) Allocating resources among functions. A focus on customers is the foundation of successful business level plans and strategies. 24 Source: http://www.doksinet (c) Functional level: functional level planning is the set of highly related commitments and actions established for operations (manufacturing) marketing human resources, finance and other functional area of the organizations. Examples of issues addressed in developing functional strategies/planning 1. Human resources: The issue addressed under human resources includes: - What type of reword system is needed? - How should the performance of employee be

reviewed? - What approach should be used to recruit qualified personnel? - How is affirmative and fair treatment ensuring for woman, minorities and the disabled. 2. Finance: Some of the issues addressed under finance include: - What is the desired mixture of borrowed funds and equity funds? - What portion of profit should be reinvested and what portion should be paid out as dividend? - What criteria should be used in allocating financial and human resources to project? - What should be the criteria for issuing credit to customers? 3. Marketing: Issues address under marketing includes: - How should product be distributed (e.g direct selling, wholesalers, 25 retailer etc)? Source: http://www.doksinet - Should competition be primarily on price or on other factors? - What corporate image and product feature should be emphasized to customers? 4. Operations (manufacturing): - What should be the level of commitment to total quality? - How should supplier be

selected? - Should the focus be on production run inventory or producing primarily in response to customer’s orders? - What production ordination should be changed (e.g automated or laid out differently) to improve productivity? 2.3 THEORETICAL FRAMEWORK FOR THE STUDY A lot of work has been carried out on corporate planning and attainment of organizational objectives. According to muselman V.A and Hugher E H (1981:177), the post word war II era marked by industrial revolution. Before the period of the word war, almost all business enterprises were carrying on their business affairs without stating any formal objective or formal long range business plans. Usually business planning was continued to the lower organizational levels, namely the functional or departmental level and they had only short term plans which focused mainly on manufacturing, production, planning, materials, ordering and receiving and recruitment of labor. Most companies used to have annual budget or yearly

financial plans to ensure their liquidity. The development of business planning has been a revolutionary movement as the technological revolution or even the revolution in life styles due to income demonstration effect defect from time to time. 26 Source: http://www.doksinet Comprehensive business planning now covers long range in the form of strategic planning involving the entire fabric of the organization and is the concern of the top most management from where it descends to all. It is hence called corporate planning and the word corporate is of Latin origin meaning “corpus” which literally means body. Most company of large scale operations now has a formal long range planning unit. Such companies now have written objectives and set of plans and they are using many and set of plans and they are using many and new planning tools and techniques as they available. 2.31 CORPORATE PLANNING, ORIGIN AND PROCESS The root of word corporate is of Latin origin from the word

“corpus” which literally mans body. Planning on the other hand is the process of deciding in advance what to do, how to do it, when to do it, where to do it, who is to do it and even why it should be done. This brings us to the meaning of corporate planning. Corporate planning therefore is the process through which managers determine the long term objective of their corporate of their corporations/organization and the courses of actions necessary for the accomplishment of these objectives Enudu (2005:35). It can also be defined as the process of making present entrepreneurial (risk-taking) decision systematic with the knowledge of organization various functions needed to carryout these decision as well as meaning the results these decisions against the expectations through organized systematic feedback. Etterson (1960:35) Corporate planning is a more recent phenomenon. Prior to the world wars I and II, little about corporate planning is known. Planning as managerial function as

that time was unlimited to the operational or production level of the organization cadre, which engaged 27 Source: http://www.doksinet only in short-term plans. After the World War II however, industrial boom followed the peace of the world war era. Due to technological advancement and competition which characterized the business terrain, planners become the winners while non-planner an essential ingredient for business survival. Its scope and complexity will yet increase in the future. 2.32 CORPORATE PLANNING PROCESS/STEP Step 1:Assess Threats and Opportunities The first major step in corporate planning is to assess the environment to identify opportunity and threats these opportunities and threats are significant to an organization. Corporate planning helps managers identify these treats and opportunity and to take them into account in developing the organization’s goals, plans and strategies, political forces and stakeholders within and outside the organization play a key

role in determing the organizations mission, and goals as well as exerting pressures for charging them. Top managers negotiate with powerful stakeholders (boards of directors’ barks, government, major customers, and suppliers) in an attempt to influence these forces. The task environment accepts the most direct influence or an organization’s corporate planning process. In frame work suggested by Michael port for diagnosing the competitive forces that a firm faces any particular time. These frame-works includes five competitive forces: threat of new competitors. Customer bargaining power, supplier bargaining power, threat of substitute products and rivalry among existing firms in the industry. The combined strength of those forces affects the long run profit potential in an industry. Step 2:Develop missions and Goals 28 Source: http://www.doksinet The next step is to establish objectives that will guide the organization as a whole from where lower level will derive their

objects. As indicated previously organizational mission and goals are developed by answering questions such as: what business are we in? What are we committed to? And what result do we want to achieve? General goals provide broad direction for decision making and may change from year to year. The mission and goals are not developed in isolation. They are influenced by diagnosis of environmental threats and opportunities and diagnosis of organization’s strengths and weaknesses. Step 3: Develop Tactical Plans This is simply stating the underlying planning assumptions, with particular reference to the external environment, market, social-political and economic factors. Also certain factors internal to the organization are considered. For instance, an organization with about three three thousand employee or so in anticipation of its growth and to capture the knowledge of its employees, managers, developed a tactical plan to maintain strong communication between employees and managers.

Then primary mechanism for doing do was to great a team environment Their action focused on (1) creating an environment characterized by empowerment in which effective teamwork is expected, recognized, praised and rewarded (2) bringing issues and dissent into the open and using it is enhance the quality of decisions, while at the same time facilitating corporative behaviors and keeping the group moving toward its goals. Step 4:Control and Asses Results 29 Source: http://www.doksinet Once a plan of action is chosen, it set the pace for other supportive plans that should naturally follow, a plan to acquire a loan kill necessitate supportive plans on how to determine which collateral to give. Corporate planning must be accompanied by controls to ensure implementation of the plans and evaluation of their results. If the plans haven’t provided the desired results, managers and terms may need to change the controls, mission, goals, or the plan themselves. The lack of planning can lead

to extinction by instinct, and poor, drawn-out planning can lead to paralysis. A thorough assessment of the result of planning should reveal whether either of these conditions exists. Step 5:Develop a Strategic Plan The next step is to discover all the alternative plans. Often times, enough patience and hard work are not dissipated to discover all the alternative courses of action. After formulating alternative plans and selecting among them, management is ready to develop a corporate plan. The plan should contain: i. A statement of organization mission and goals; ii. Strategies for obtaining and utilizing the necessary technology, marketing, financial, and human resources to achieve those goals. iii. Strategies for manufacturing processes and conducting research and development: and iv. Strategies for developing and utilizing organizational and employee competencies. The corporate plan may also include a summary of the diagnosis of external opportunities and threat and internal

strengths and weakness. 30 Source: http://www.doksinet Step 6:formulate strategies The assessment process and development of organizational goals are closely linked to formulating organizational strategies. Potential strategies, in turn, must be evaluated in terms of: i. environment forces; ii. the organization’s strengths and weakness, and iii. the likelihood that the strategies will help the organization to achieve its mission and goals. There are basic growth strategies that are common to business level planning and strategy. There are as follows: i. a market penetration strategy involves seeking growth in current products. A firm might increase market share by increasing the use of product, attracting competitor’s customers or by buying a competitor market penetration also may be achieved by increasing the total size of the market by converting non users into current users. i. A market development strategy involves seeking new markets for current products. Three

of the principal ways to do so include entering new geographic markets, target market, new geographic markets, target market, and the use of current products and facilities. ii. Product development strategy: involves development new or improved goods and services for current markets. Step 7: Access strengths and weakness 31 Source: http://www.doksinet The assessment of internal strengths and weakness enable manager’s to identify an organization’s core competencies and to determine which need to be improved. This assessment covers factors such as the organization’s relative competitive positional, ability to adopt and innovate, human resources skills, technological capabilities, financial resources, managerial depth, and the values and background of its key employees. Core competencies are the strengths that make an organization distinction and more competitive by providing goods and services that have unique value to its customers. Step 8:Repeat the planning process The

forces that effects organizational are constant changes. Sometimes these changes are gradual and foreseeable. Whatever the nature of change, managers and other employees need to be ready to adapt or innovate by repeating the planning process. Hence planning is an ongoing process It is always a means, never an end in itself. 2.4 EMPIRICAL REVIEW 2.41 CLASSIFICATION OF CORPORATE PLANNING Scholars in management have classified plans in many different ways, according to Hicks and Gullet (1987:258) corporate plan can be classified either as standing plans or sing use plans. According to akpala (1993:49) plans classified into corporate plans, strategic plans and tactical plans. For the purpose of what we are doing, plans shall be classified according to time horizon for which it was made. This includes long range plan, medium range plans and short range plan. i. Long Range Plan: long range plan involves the development of basic objectives and strategies to guide the company in the future. It

provides the frame work for both the 32 Source: http://www.doksinet annual plans and the specific divisional plans that ranges from five years to infinity. This guides the organization to face the uncertain future. Long range planning set the company’s long range goals, objectives and strategies. The corporate plans specify the role and responsibilities the management should within the over-all company plan. The plan should emphasize how the resources will be developed and committed in the future. ii. Medium Range Plan: these are major plans that extend beyond the traditional operation period which normally is one year. The typical planning period for medium term plans is five years. The length of this period may vary depending on the type of organization. It might be longer in industries facing relatively stable external conditions and shorter in those industries tally rapidly changing external condition. iii Short Range Plan: short range plan covers a period of one year or

less, this kind of planning help to focus the organizations attention on the activities to which it is currently committed. It cannot, however accommodate an unexpected changes in the economy Short range plans could be seen at all level of management. They are necessary to serve certain purposes: a). They spell unit long-range plans and move them more meaningful. When there is connecting between the management, it is quite clear that the work of the employee becomes meaningful. In other words, individual plan becomes goals-oriented and his work and duties become purposeful. b). Short range plan provide a point of reference or means for measuring progress towards long-range plans. c). Short range plans act as a basis for performance appraisal studies under management by objectives. They are the standards to measure employee performance 33 Source: http://www.doksinet 2.42 CORPORATE PLANNING APPROACHES AND PROCESSES The approaches in corporate planning include: a. To dawn

approach: in a centralized company, comprehensive corporate planning is done at the top level of the organization and are usually told what to do. In a decentralized company however divisional guideline is given on how to embark on plan. The plans are then reviewed at the headquarters and sent back to the division for modification or with a note of acceptance. Where the divisional plan do not measure up to top management expectations additions additional corporate plan are then prepared. b. Bottom up Approach: In this method, no guidelines are given to corporate division but plans are then required to be submitted. The plans are reviewed at top management levels and the same process as noted in the top-down approach them followed. c. mixture of top down and bottom up: in this approach, top management gives guidelines that are broad enough to permit the division. Generally, the guidelines are broad enough to permit the division of some flexibility in developing their own plans.

Sometimes the top management many design basic objectives through discussions with divisional managers. Such objectives as sales and return on investments may be derived in the manner. This is the method used in most large decentralized organization in Nigeria. b. Team Approach: here the main time manager is used in developing formal corporate plan. 2.43 CORPORATE PLANNING AND FORECASTING 34 Source: http://www.doksinet Planning is a futuristic activity. Because of this feature of planning, and the facts that the future is uncertain, forecasting becomes necessary in planning. Planners must forecast the environment in which the objectives are to be accomplished. This is very important because of the impact of the environmental factors on goal realization and accomplishment. For the accomplishment of the objectives to be possible, the environment must be capable of supporting the objectives of the organization. The importance of environmental forces to all organizations cannot be

over emphasized. These forces can include the state of the economy, social (values, political trends, legal factors and ethical factors. The possible impact of any of these factors or a combination of two or more of them must be forecast if an organization is to be able to accomplish it’s objectives. Forecasts are there for the basic assumptions, upon which the manager’s planning and decision making activities are based. There are basically two techniques normally use in qualitative and the quantitative techniques. Qualitative Techniques Qualitative or judgmental methods are appropriate when data are scarce or vary difficult to obtain and use. For example when a product unite a new technologies introduced into the market, past experience is not a reliable guide for estimating what the new future effects will be. These forecasting methods involve the use of subjective judgemental and rating schemes to transform qualitative information into quantitative estimates. Through qualitative

information techniques are used for both short and long term purposes, their use becomes of increasing importance as the time scale of the forecast lengthens etc. the 35 Source: http://www.doksinet qualitative methods include Delphi method, market research, historical analogy and brainstorming. Delphi Method This is a procedure for arriving at a consensus of opinion among a group of experts. Who are given a detailed questionnaire about a problem. Then the answers are complied and the composite results are feedback to the panel members. Everyone needs the opinion of others and can reverse their own ideas. Direct contact and debate is avoided purposively, as this may produce hastily attachment to some ideas with the information at hand, further estimates of the future are made this process may be repeated several times. Market Research This is the systematic and objective search for and analysis of information to guide managers in unit planning and problem solving. Thus, opinion

survey’s, analysis of market data, questionnaires are designed to gang the reaction of the market research is often used vary accurately for the relatively short term. But longer term forecast based purely on surveys are likely to be suspect because people attitudes and intentions changes. Historical Analogy When past data on particular items are not available, data on similar products are analyzed to establish the life cycle and expected sales off the new product. Considerations are needed in using analogies, which relate to different products in different time periods but such techniques may be used in formally a broad impression in the medium to long term. Brainstorming 36 Source: http://www.doksinet Usually this involves conducting a group meeting on a problem and any ideas may be separated as there is hope in that meeting, ideas may be separated as there is freedom to let ideas flow and from these positive solutions may emerge. This technique is used more frequently in

developing creative ideas for new product and solutions to complex problems. Quantitative Techniques Quantitative methods of forecasting extrapolate from the part or are used when there is sufficient statistical data to specify relationships between key variables. Extrapolation methods such as time series analysis, trends are use to project future events. Sales records are used where good data exist for a number of related variables and where the relationship between variables can be clearly expressed. However sophisticated the technique used, there is still the assumption that past partners will provide some guidance to the future. Some of the methods of quantitative techniques include: (a) The time series analysis (b) Econometric model (c) Regression analysis (d) Extrapolation method (e) Business barometers or indicators (f) Opinion pooling (g) Causal model 37 Source: http://www.doksinet The Time Series It is applied to business and economic analysis. It simply

means utilizing a series of observation or values at successive points and using them to project the future. Any event that can be observed and it is a factor of time and value can be forecasting use. Econometric Model This techniques come first in the 18000s and its influence his been enhanced since the advent of computer. It simply refers to the use of mathematical and statistical techniques to measure results assumed or hypothesized by economic theory. They are best in determining the cause and effect of relationship about some variables in the economy. Theory help to identify those factors that can be explain changes in the variable a forecaster or business man is interested and which be utilizing for forecasting. Regression Analysis This is a popular forecasting technique and is used all over the world despite the level of economic development. In the regression approach, many of the theoretically expressed approach, many of the theotically approach expressed relationship between

some variables in the economy are used to forecast the future trend. Extrapolation Extrapolation is the most assumption that a variable will follow already established pattern or path. It is ideal for sales forecasting and for their estimates when there is no need for more sophisticated method. Business Biarometers This method entails the use of indexes or indicators of basic conditions related to industry or agricultural production, is of important to practical business forecasting. The following 38 Source: http://www.doksinet are commonest micro and macro economic factors classified as business barometers for forecasting. (a) GMP (Gross national product) (b) Employment situation (c) Consumer price (d) Exchange rate of the national currency (e) Disposable personal income etc. Opinion Polling Opinion polling has remained as established basis for forecasting as conformed from practical experience. The survey research centre of some universities in some advanced countries

conduct an annual pool exercise about the future plans of consumers. The answers to many of these questions are translated into short run demand for consumer durables like electronic appliances and cars. This is a sophisticated approach to forecasting and can be used by business experts. This method utilizes mathematical formula to express casual relationship and may include inventories as well as market survey information. It can also adopt the result of a time series analysis. The casual being revised continually as more information and knowledge of the system becomes available from time to time. 2.44 IMPORTANCE/BENEFITS OF CORPORATE PLANNING Specially, the following accrue to coca-cola company when engage in corporate planning. Focus and Direction: 39 Source: http://www.doksinet The natural outcome of corporate planning to coca-cola is a clear-cut of objective. These objectives give direction to the entire organization’s effects and provide leverage for harnessing and

utilizing resources effectively. Facilitate control: One important benefit of corporate to coca-cola company is that it sets targets that facilitate control of operations in the organization. The measurable target set in the course of corporate planning are evaluated at the end of the period. For instance, if the management of coca-cola company set out to realize a particular profit within a given period and states what it means to achieve the target set will be used to appraise their effort within the said period. Anticipate and prepare for change: An organization like coca-cola company is not usually taken unawares. Its planning machinery helps to anticipate changes and prepare for them. Organization synergy: Sequel to benefits above on coca-cola company corporate planning helps to align its various subdivisions and departments to the central goal and mission of the organization. The implication is that there is harmony and increase in productivity SUMMARY OF REVIEW OF RELATED

LITERATURE Corporate planning often ends with a hastily prepared business plan, prepared to satisfy debt or equity funding sources. While a plan prepared in such a way may meet its immediate objectives, it is near worthless as a sound operations planning tool. A corporate planning process is described below. It is not the only viable method of 40 Source: http://www.doksinet corporate planning. It must be supported, monitored, and modified where necessary in order to be effective. Corporate strengths and weaknesses vary considerably Accordingly, the planning process and its implementation must vary as well. In summary, a company without a comprehensive corporate plan is wandering aimlessly. It is imperative that the company have a plan in place, particularly if the company is growing or moving onto another field of endeavor. REFERENCES Akpala A (1990); Management: An introduction and the Nigerian perspective Enugu: Department of management, UNEC. Bursk C. Edward and Fan, H D

(1956) Planning the future strategy of your Business (Mcgraw-Hill Bork Company) P.77-79 Cullinton, W. J (1960) Diagram of management control, Haward Biz Review Norch, April (Val. 38, No 3) p 144-145 Drucker, F. (1974) Management: task responsibilities New York: Harper and row, publisher. Elterson, C.A (1960) Organization of the planning process A paper presented to an Amah seminar on planning to meet corporate growth. San Francisco, 25th April, p.35 ILe N.M (2000); Comparative and international/management, Enudu ochumba printing & publishing co. Ltd 41 Source: http://www.doksinet Muselman V.A & Hughers EH (1981); Introduction to modern biz analysis and interpretation, Englewood cliffs N.J Prentice Hall Inc Oshagbeni F. (1989) Problems of managing Nig Organization, Ejiofor PHA Wheaber T.C and Hinger IN (2000) Strategic management and Biz policy: (New Dersey Prentice Hall). CHAPTER THREE RESEARCH METHODOLOGY 3.1 INTRODUCTION This chapter will deal with modes or methods of

collecting data which will be used in analyzing the research problem and the description of the study population. It will also elicit the sampling plan and the method, the procedures and instrument used and collecting the data are also discussed. 3.2 RESEARCH DESIGN This survey research method was adopt for this study because survey research focus on people, their beliefs, attitudes, motivation and behaviours (Osuala, 1982:181). The researcher selected a sample of the population being studied and the tool used for the collection of data was the questionnaire and personal interview. 42 Source: http://www.doksinet 3.3 SOURCE OF DATA Data for this study are collected from two major sources: primary and secondary sources. 3.31 Primary Source The primary source of data is the source where the researchers obtained response directly from the respondence. 3.32 Secondary Source The source of this data is already published work like test books, articles, journals and periodicals. Most of

these information were found in various public libraries, schools and organization. 3.4 THE POPULATION OF THE STUDY The target population for the study consists of senior staff of the selected organizations in Enugu. According to the information received from the selected organizations concerning their population. MB ANAMMCO Ltd = 282 Nigeria Bottling Company = 411 Access Bank = 203 Total = 896 43 Source: http://www.doksinet Base on the population of the selected organizations the sample size was determined at 5% error tolerance and 95% degree of confidence, using yamane’s formula n= N Where 1 + ne2 n = population size N = total number of staff e = error tolerance (5%) 1 = constant A stratified sampling method was adopted so as to ensure that the selected organizations were covered using proportionality formula thus: Q=AXn N 1 Where Q = the number of questionnaires to be allocated to each segment A = the population of each segment N = the total population of all the

segment n = the estimated sample size used in the study From the study, the proportionality formula apply thus: MB ANAMMCO Ltd = 282 Nigeria Bottling Company = 411 Access Bank = 203 Total = 896 44 Source: http://www.doksinet MB ANAMMCO Ltd = 282 X 277 = 87.2 896 Nigeria Bottling Company = 1 411 X 277 = 127.1 896 Access Bank = 1 203 X 277 = 62.8 896 Total = 1 277 Table 3.1 Organization A Q MB ANAMMCO Ltd 282 87.2 Nigeria Bottling Company 411 127.1 Access Bank 203 62.8 Total 896 277 3.5 METHOD OF DATA COLLECTION The researcher made several visits to the selected organizations. The following techniques were used in collection of data. I. Delivery of permission letter by the researcher to the manager of the Nigeria Bottling Company, MB ANAMMCO Ltd and Access Bank respectively. 45 Source: http://www.doksinet II. The researcher conducted interviews with the departmental heads, supervisors and the junior workers. III. The researcher took proper

observation of workers at work IV. Distribution and collection of completed questionnaire. 3.6 QUESTIONNAIRE DESIGN, DISTRIBUTION AND COLLECTION OF RESPONSES The study was conducted by means of survey design and questionnaire method was used to generate the requisite data for the study. Questions were taken from different articles/research instruments used in the past by other researchers on the study of corporate planning. Questionnaire was chosen as the instrument for data collection for reason of confidentiality of identity that the respondent would like to display. The questionnaire was designed along simple statement that required the respondent to chose from the alternatives ‘yes’ or ‘No’. 3.7 METHODS OF DATA PRESENTATION AND ANALYSIS The data collection is analyzed using  test for proportion, percentages and frequency distribution. The formula is thus: P – P0 Ε= p0 (1-P0) n Where p = sample proportion for success i.e x 46 Source: http://www.doksinet N

3.8 Po = hypothesized proportion which is 0.5 n = total sample size analysis VALIDITY OF THE INSTRUMENT Validity referred to here is the degree or extent to which an instrument or measurement actually measure what it is supposed to measure. Has it achieved the objective intended for it to achieve? Therefore an instrument is valid to the extent it is tailored to achieve the research objectives. The instrument used for this research was valid cited by ensuring that questions were structured in a manner that would enable the researcher obtain information relevant to the purpose and objectives of the study. 3.9 RELIABILITY TEST: The reliability was determined through the test-retest reliability technique. In doing this, the instruments were administer to (164) One hundred and sixty four respondents in the selected companies again. 47 Source: http://www.doksinet After a period of two weeks, the instruments were re-administered. The data collected on the two tests were analysed

using the person product moment correlation. A correlation coefficient of 0.81 was obtained indicating that the instruments were reliable for the study. A total of 277 questionnaire were distributed to the respondents, out of which 130 were returned. The data collected especially the ones that emphasize more on the purpose of the study were analyzed in tables and results shown in percentages. REFERENCES Babble Garl R. (1973); survey research methods (Belmon) California: word worth publishing company INC.) Okeke A.O (1995): foundation of statistics for business decision, Enugu macro Academic publishers. Osuala E.C (1981); Introduction to research methodology cowtsh-african p53) 48 Source: http://www.doksinet CHAPTER FOUR DATA PRESENTATION AND ANALYSIS 4.1 DATA PRESENTATION In this chapter, the data collected from the respondents regarding the basic issues involved in the research were presented and analyzed. The basic issues were tested making a qualitative and reliable

assessment on the possibility of reducing cost so as to achieve the profit objective of the company and still maintain standard quality of production. Due to the nature of the research work, the presentation and analysis of data will entail data gathering through questionnaires, interviews, observations and investigation. A total of 277 questionnaire were distributed to the respondents, out of which 130 were returned. 49 Source: http://www.doksinet The data collected especially the ones that emphasize more on the purpose of the study were analyzed in tables and results shown in percentages. Table 4.1 Questionnaire Distribution Option No of Respondents Percentage Collected 130 46.93 Not collected 147 53.06 Total 277 100% Source: field survey, 2012 From the table above, 130 out of the 277 questionnaire distributed were rightly filled and returned while 147 were not returned. Therefore, the data will be presented and analyzed using the 130 questionnaires collected.

DECISION RULE The rule is to reject Ho (Null hypothesis) if the computed value of x2c is greater than the critical x2t, otherwise do not reject. This means that if Ho (Null hypothesis) is rejected, the alternative hypothesis (Hi) will be accepted. 4.1 Analysis of Questionnaires distributed and returned 50 Returned (%) Percentage Returned Questionnaire Given (%) Percentage Questionnaire Given Response Table 1: Questionnaires Distributed, Returned and Not Returned Source: http://www.doksinet MB ANAMMCO Ltd 87.2 31.4 40 30.8 Nigeria Bottling Company 127.1 45.9 60 46.2 Access Bank 62.8 22.7 30 23.1 Total 277 100 130 100 Source: Survey Data, 2012 4.2 ANALYSIS OF DEMOGRAPHIC CHARACTERISTIC This sub-section shows the data collected from the hundred and thirty (130) respondent as presented analyzed. Table 4.2 Option Distribution of Respondents by Gender No of respondents percentage Male 89 68.461 Female 41 31.539 Total 130 100% Source: field

survey, 2012 Interpretation: the result obtain in table above shows that 68.461% of the respondents are male while 31.539% are female 51 Source: http://www.doksinet Table 4.3 distribution by marital status Option No of respondents percentage Single 51 39.230 Married 72 55.385 Divorced 7 5.385 Total 130 100% Source: field survey, 2012 Interpretation: from the table, it can be seen that most of the staffs are mature and responsible. Table 4.4 Option Distribution of Respondent by Age No of respondents Percentage 21-30 years 46 35.385 31-40 years 49 37.692 41-50 years 22 16.923 51 and above 13 10 Total 130 100% Source: field survey, 2012 Interpretation: this shows that the work force is made up of relative young agile personnel between the age of 21 years and 50 years old. 52 Source: http://www.doksinet Tables 4.35 Distribution of respondents by their working experience Option No of respondents Percentage Under 5 years 24 18.461 6-10

years 57 43.847 10-15 years 27 2.461 15 and above 12 9.231 Total 130 100% Source: field survey, 2012 Interpretation: this indicates that labor turnover is relatively low in the organization. Therefore, it indicates that staffs are very motivated to stay long in the service. Table 4.6 Distribution of respondents by their occupational status Option No of respondents Percentage Top management 27 20.769 Middle management 65 50 Lower 38 29.231 Total 130 100% Source: field survey, 2012 Interpretation: this indicates that majority of the work force is middle management who controls units as well as the lower management level. 4.3 PRESENTATIONS ACCORDING TO KEY RESEARCH QUESTIONS 53 Source: http://www.doksinet This section contains only ten (10) questions and the respondences to each question are analyzed in tabular form in order to give accurate and clear result. Table 4.7 Distribution of Respondent by whether corporate planning helps to prevent lower

sales volume in your in organization Option No of Respondents Percentage Yes 130 100 No Total 130 100% Source: field survey, 2012 Interpretation: this shows that corporate planning helps this organization to prevent lower sales volume hence enough marked share and profitability where achieved. Table 4.8 Distribution of respondents by whether the company’s performance is better than competitors practicing this form of approach. Option No of Respondents Percentage Yes 120 92.308 No 10 7.692 Total 130 100% Source: field survey, 2012 Interpretation: 92.308% of the respondents agreed while 7692% disagreed that this sys approaches are based on the success of the organization as well as how they are motivated will determine whether the company’s performance is better than competitors. 54 Source: http://www.doksinet Table 4.9 Distribution of respondents by whether effectiveness of corporate planning tem is affected by business environment. Option No of

Respondents Percentage Yes 125 96.153 No 5 3.847 Total 130 100% Source: field survey, 2012 Interpretation: from the table above, 96.153% agreed that effectiveness of corporate planning system is affected by business environment while 3.847% disagreed with the statement. Table 4.10 Distribution of Respondent by whether the corporate planning offers better co-ordination of management activities within the organization Option No of Respondents Percentage Yes 118 90.769 No 12 9.231 Total 130 100% Source: field survey, 2012 Interpretation: from the table, 90.7697 agrees while 9231 disagree This reveals that there is unifying and well coordinating activities among the work force and the organizational objectives to be achieved. 55 Source: http://www.doksinet Table 4.11 Distribution of Respondent by whether needs and wants of customers are being meet through the use of corporate planning. Option No of Respondents Yes 130 No Nil Percentage 100 130 100%

Total Source: field survey, 2012 Interpretation: 92.308% of the respondents agreed with the statement that customers needs and wants are determined through corporate planning while 7.692% where against the statement, hence, it shows that the company is able to satisfy above 90% of it customers needs and wants are determined through corporate planning while 7.692% where against the statement, hence, it shows that the company is able to satisfy above 90% of it customer needs and wants. Table 4.12 distribution of respondents by whether corporate planning facilitate information flow to help company provide consumer products effectively and efficiently. Option No of Respondents Percentage Yes 128 98.461 No 2 1.539 Total 130 100% Source: field survey, 2012 56 Source: http://www.doksinet Interpretation: 98.461% of the respondents agree on the fact that effective and efficient communication link is achievable in the company by means of corporate planning while 1.539 disagreed

Table 4.13 Distribution of respondents by whether corporate planning system assists in management control and monitoring of the implementations. Option No of Respondents Percentage Yes 126 96.923 No 4 3.077 Total 130 100% Source: field survey, 2012 Interpretation: 96.153% of the respondent agreed on the statement while 3847% disagreed. This shows that the system aid organization to produce required and substantive result. Table 4.15 Distribution of respondents by whether presently the company is achieving its profit objective Option No of Respondents Percentage Yes 122 93.847 No 8 6.153 Total 130 100% Source: field survey, 2012 57 Source: http://www.doksinet Interpretation: the above table indicates that 93.847% of the respondents agreed to the view that the company is achieving its profit objectives while 6.153 disagreed to this statement. Table 4.16 Distribution of respondents by whether the benefits derived from corporate planning is greater than

cost incurred. Option No of respondents Percentage Yes 119 96.153 No 11 3.847 Total 130 100% Source: field survey, 2012 Interpretation: the above table indicates that 96.153% of the respondents agrees to the statement while 3.84% agreed This shows that the benefits accrued from corporate planning is higher. 4.4 ANALYSIS BASED ON RESEARCH HYPOTHESES A hypothetical statement has earlier been made with reference to the problems the researcher presented to have been militating against the selected companies It is therefore important that these hypothetical statements be tested to validate the research claims. The hypothesis will be tested scientifically using Z test formular (Okeke1995:216) thus: 58 Source: http://www.doksinet The formular is thus: P - Po  = Po (1-po) Where p = sample proportion for success i.e x N Po = hypothesized proportion which is 0.5 n = total sample size analysis i.e 164 Note that the critical value (cv) or Z tabulated level of

significance of 0.05 is 1645 ie 2 tab. Of 005 =1645 DECISION RULE Accept null hypotheses (Ho), if the calculated value is less than than the entered value. Otherwise reject null hypotheses and accept alternative hypotheses and accept alternative hypotheses (H1) 4.41 TESTING OF HYPOTHESES Hypotheses one: 59 Source: http://www.doksinet Ho: The extent at which the application of appropriate measure for the various corporate plans be achieved is high. Hi: The extent at which the application of appropriate measure for the various corporate plans be achieved is low In order to test this hypothesis, Z test formular will be used. Data for testing this hypothesis is drawn from table 5. Option No of respondents percentage Yes 130 100 130 100% No Total Recall:  = p- po poq n Where p = x = n 130 164 Po = 0.5 q = 1 – po = = 0.792829268 1- 0.5 = 60 0.5 Source: http://www.doksinet n = 164 Substitute into the above formular  = 0.7926829268-05

0.5 (05) 164 H1: p = 0.5 Ho p > 0.5 Decision: Since the calculated (z cal) of 7.496 is greater than the table value (z tab) of = 05= 1645, the researchers, therefore reject the will hypotheses and accept the alternative hypotheses (H1) corporate planning system helps organization in meeting it’s customer’s requirement. HYPOTHESES TWO Ho: There is no significant relationship between corporate planning and corporate objective Hi: There is significant relationship between corporate planning and corporate objective 61 Source: http://www.doksinet In order to test this hypothesis, Z test formular will be used. Data for testing this hypotheses is drawn from table 9 Option No of respondents Yes 122 No 93.847 8 Total Recall: percentage 6.153 130  = 100% p – pq Poq n where p = x = 122 n n Po = 0.5 q = 1 – po n = 164 = 164 = 1-0.5 = 0.5 Substitute into the above formular 62 0.743902439 Source: http://www.doksinet  =

0.743902439-05 0.5 (05) 164 = Ho: p = 0.5 H1: p > 0.5 6.247 Decision: Since the calculated (z cal) of 6.24 7 is greater than the table value (z tal) of 205 = 1.645, the researchers, therefore reject the null hypotheses and accept the alternative hypotheses (H1) that corporate planning system helps organization to realize its objectives HYPOTHESES THREE Ho: The impact of corporate planning on organizations is low Hi: The impact of corporate planning on organizations is high In order to test this hypothesis, Z test formular will be used. Data for testing this hypothesis is drawn from table 3. Option Yes No of Respondents Percentage 125 96.153 63 Source: http://www.doksinet No 5 3.847 Total 130 100% Recall: E = p – po Poq n Where p = x = n Po = 0.5 q = 1-0.51 = n = 164 125 164 0.5 Substitute into the above formular  = 0.762195122 - 05 64 = 0.762195122 Source: http://www.doksinet 0.5 (05) 164 = Ho: p = 0.5 H1: p

> 0.5 6.715 Decision: Since the calculated (z cal) of 6.715 is greater than the table value (z tab) of 205 = 1.645, we therefore reject the null hypotheses and choose the alternative hypotheses that the effectiveness of corporate planning is affected by the business environment. REFERENCE Okeke A.O (1995); Foundation of statistics for Business Decision, Enugu Macro Academic Publisher. 65 Source: http://www.doksinet CHAPTER FIVE SUMMARY OF FINDINGS, RECOMMENDATIONS AND CONCLUSION 5.1 SUMMARY OF FINDINGS In the course of this study, a lot of findings were made. With the help of these finds and tests carried out, the researchers was able to achieve all the objectives mapped out in chapter one. It would be necessary to re-emphasis that the objective of this research is to find out, to what extent corporate planning system/process is effective in Nigeria Bottling Company, 66 Source: http://www.doksinet MB ANAMMCO Ltd and Access Bank respectively and whether the system is

able to produce right results to the organization’s profitability, • .Based on the analysis carried out, it was arrived at and was concluded that poor implementation of corporate planning was responsible for the organization not being able to attain its organizational objectives. • Another finding made by the researchers was that managers encounter problems when implementing this system/process in the organization and this is affected by business environment. • Resources for planning in an organization are not always provided for the workers to use. These resources available are not given to these workers at the actual time and to the right people that would make use of it. • Finally, the researchers discovered that it is important in corporate planning to know the pattern of commitment by management and workers for the future, and the residual areas in which adjustment can be made easily and this pattern is rarely obvious and sometimes surprising when revealed or to

work on. 5.2 RECOMMENDATIONS The researchers are optimistic that Nigeria Bottling Company, MB ANAMMCO Ltd and Access Bank respectively has a very good opportunity to attain its organizational objectives. The objectives would be well met if it could adhere strictly to the following recommendations: 67 Source: http://www.doksinet • Training of top management whose duty is to coordinate the activities of corporate planning in the organization. They should be inducted in the various skills necessary for them to carry on the work of managers. • Building up of data. To plan effectively, there must be effective build up of data that will feed the planning team with the relevant information that will aid their work. • Location of planning committees at various responsibility centers. A nation wide organization cannot be planned by one central planning committee. It is better that at various levels like territory, regions, branches etc. • Planning committee be established.

Planning supervisory term further benefit of planning to be fully realized, there should be a monitoring and control team to ensure that the ideas of planning are followed and actualized, and where necessary, they should modify the plan. Much importance should be attached on managers in the organization more than management. • Organizations should give priority ahead or any activities they want to embark upon with adequate control. • Finally, the planning system should aim at achieving the overall organizational objective with emphasis on organizational effectiveness. 5.3 CONCLUSION The study has been able to achieve all the objectives it set up in chapter one. It has shown that poor implementation of planning by managers in organization has been responsible for the inability of the managers to achieve the organizational objectives. 68 Source: http://www.doksinet Managers shy away from planning (most specially the top managers). Those that plan don’t implement their

plan to attain organizational objectives. This means that any organization that doesn’t project a corporate planning policy wouldn’t attain its aim, objectives and goals as an organization. 5.4 AREA FOR FURTHER STUDIES Given the result of the research work, and in order to improve this study, I will suggest that more organizations should be looked into so that they also can know the effect of corporate planning and how it affects their organizational objectives More textbooks and current journals should be reviewed and finally, the sample size to be used for further studies should be more, so that findings will be generalized to a larger population. BIBLIOGRAPHY Akpala A (1990); Management: An introduction and the Nigerian perspective Enugu: Department of management, UNEC. Ansoff T. and McDonnell F (1990); Implementing strategic Management, UK: Prentice Hall International Ltd. Babble Eral R. (1973) Survey Research Methods, California: Word Work publishing company Inc. 69

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