WASTE MANAGEMENT AND ORGANIZATIONAL PERFORMANCE STUDY OF SELECTED MANUFACTURING FIRMS IN RIVERS STATE
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WASTE MANAGEMENT AND ORGANIZATIONAL PERFORMANCE
STUDY OF SELECTED MANUFACTURING FIRMS IN RIVERS STATE
ABSTRACT
This study is directed at investigating the extent
to which waste management affects organizational performance in the
manufacturing industries of Rivers State. Three Hundred and Seventy Three
respondents were studied using five firms out of about 50 that are registered
with the Federal Inland Revenue Services (FIRS) and manufacturing association
of Nigeria (MAN). The research is to see if there is any relationship between
waste management and organizational performance using the superman’s ranking
correlation. The dimensions of waste management were studied under independent
variables as follows: social environment Technology, Economics, Political and
Administration while those of organizational performance considered under
dependent variables were return on investment, profitability, and market share
growth. Sets of questionnaire were distributed using the simple sampling
method. The simple percentage and frequency tables SPSS were used in the
presentation of results and data. The study showed that there is a positive
relationship between social environment and return on investment, social
environment and profitability, social environment and return on investment,
social environment and profitability, social environment and market share,
Technology and return on investment, Technology and profitability, Technology
and market share, Economics and return on investment, Economics and profitability,
Economics and market share growth., politics and return on investment, Politics
and profitability, politics and market share, Administration and return an
investment, Administration and profitability and Administration and market
share growth. This study therefore recommends that management policies, which
should guide their operation. There should be regular training and seminars on
latest favourable practices on waste management. Government should help in
developing the culture in all our industries.
TABLE OF CONTENTS
Cover
Page i
Declaration ii
Certifications iii
Dedication iv
Abstract v
Acknowledgment vi
Table
of Content vii
CHAPTER ONE
1.0 Introduction 1
1.1 context of the problem 1
1.2 statement of the problem 7
1.3 purpose of the study 10
1.4 research questions 12
1.5 research hypothesis 14
1.6 significance of the study 15
1.7 scope of the study 16
1.8 conceptual model 17
1.9 limitation of study 18
1.10 organization of the study 18
1.11 definition of terms 19
CHAPTER TWO
2.0 literature review 25
2.1 history of waste management 25
2.2 the common wastes in the manufacturing
industry 31
2.2.1
waste management and return on investment 33
2.2.2
waste management and profitability 34
2.2.3
waste management and market share growth 34
2.3 conceptual frame work 35
2.4 some processes used to minimize waste
generation 36
2.5 types of waste 41
2.6 method of waste disposal 45
2.7 methods of waste management 50
2.8 importance of waste 62
2.9 why waste minimization 63
2.10
sources of waste 64
2.11 method used to measure quantity of waste 67
2.12
waste management regulatory bodies 68
2.12.1
Nigerian nuclear regulatory authority 68
2.12.2
National environment standard and regulatory agency
(NESREA) 69
2.12.3
Waste management society of Nigeria (WAMASON) 70
2.12.4
other agencies 71
2.13
Organizational performance 72
2.13.1
external environment 75
2.13.2
internal environment 75
2.13.3
capacity 76
2.14
employee involvement 79
2.15
employee commitment 81
2.16 employee performance 83
2.17 employee productivity 85
CHAPTER THREE
3.0 research methodology 86
3.1 Introduction 86
3.2 population and sampling procedure 87
3.3 data collection design 88
3.4 questionnaire design 92
3.5 operational measures of variables 92
3.6 data analysis technique 94
CHAPTER FOUR
4.0 Presentation and analysis 95
4.1 Introduction 95
4.2 questionnaire distribution and collection 95
CHAPTER FIVE
5.0 Discussion, conclusion and recommendations 119
5.1 Introduction 119
5.2 discussion of findings 119
5.3 Recommendation 126
Bibliography
Appendix
CHAPTER ONE
INTRODUCTION
1.1 CONTEXT OF THE PROBLEM
Waste
is an inevitable product of life. It is generated in every activity of man.
Despite al precautions to either minimize or eliminate it, its presence cannot
be overcome; “waste is everyone’s business. We all produce unwanted by-products
and residues in nearly everything we do” (Cunningham, 2004:21). Waste can be
generated in the process of production or in the use of the product from
industries. As Uheghu puts its;
They
are either a by-product of initial production processes or they arise when
objects or materials are discarded after they have been used. In a similar way,
wastes are also an inevitable part of the natural world. Growth is a production
system for living materials, which produces waste as a by-product. What is more
significant is that all living organism, when they die, ultimately become waste
(Uhegbu, 1998.32).
However,
nature knows how best to deal with the waste it creates than man does in
handling the waste he generates. Once a substance becomes waste it remains so
till it is fully recovered as useful or no longer poses a potential threat to
the environment, such is achieved when the waste is incorporate into some
useful ventures. Some of such useful ventures are; road tarring, building of
houses or infrastructure, feeding of life stocks, recycling and the like where
waste from a process become input materials for another. However, material
which is to be used should properly be processed so that they do not cause harm
to neither the environment nor to man.
The
challenge in handling such waste was what led to the formation of “California
against waste, a nonprofit environment research and advocacy organization in
California USA in 1988. This organization focuses on conserving resources,
preventing pollution and protecting the environment through waste reduction
(minimization and recycling policies and programs(Selden, 2009).
In Nigeria the Koko village (In Delta State)
toxic waste dropping crisis led to the formation of Federal Environment
pollution Agency (FEPA). This agency gave birth to National Environment
standard and Regulatory Agency (NESRE). This Agency is an organ of the Federal
ministry of Environment charged with responsibility of Environment protection
by seeing to compliance to National Environment laws, policies and Regulations
on the environment.
Waste
becomes a problem when nature cannot simply do away with it or where natural
systems like decay or fermentation do not properly take care of it. In such a
situation, it becomes the concern of man to lie to rest the problem he has
created. In most cases, waste leads to environmental pollution or becomes
hazardous to life. In either cases, it becomes a threat to the healthy
existence of man.
This
necessitated the world’s response to this problem through waste management
waste management practice is so prominent in every company, culture and nation.
The difference lies in the approach and level of development in managing the
problem. The common feature significant in all practices is that it is geared
towards handling the problem created by wastes so as to help man have a healthy
environment. Research has shown that; ‘waste management methods vary widely
between areas for many reasons; type of waste material, nearby land uses and
the area available”. (Wikipedia). The free encyclopedia March 8th,
(2009).
One
of the fastest growing methods of waste management is waste minimization. This
aims at reducing to the barest minimum the quantity of waste generated through
human activities and the related problems waste generation created.
Many
manufacturing companies are facing a lot of setbacks from their host
communities. This is in reaction to the effect of the company’s operations and
processes. In such places as in Niger Delta areas; the waters are no longer
potable, the air is polluted and farm lends rendered unproductive due to waste
generated in the course of production or manufacturing. Hence several
communities have recorded outbreak of epidemic as a result of industrial waste
(Currie, 2002).
Besides
environment pollution the costs effect suffered by firms due to waste generated
in production process especially in manufacturing industries enormous. Many
companies have been dragged to court for cases of environmental pollution and
on conviction made to pay heavy penalties. Some are made to pay heavy fines up
to or more than half of their year’s profit. In 1988 for instance a company in
new york-Oxychem was sued for costing the city up to $300milion for cleanup and
based on this the sum of $98million was demanded for settlement. In addition to
this the company was charged with responsibility of waste treatment in the
State and waste treatment as the city (Wikipedia). The free encyclopedia May 5th,
(2009).
In
Nigeria, the drop in oil production is really a huge cost to the economy. Apart
from other factors, one of the major factors that lead to this is poor waste management system and lack of
adequate waste minimization technique in the oil industry. As a
result, the waters are polluted, aquatic lives are lost, the air is polluted to
the extent that rain water is greasy and toxic, farm lands are no longer good
for crops and there is much treat to health and lives of host community’s etc.
the present case between oil giant Anglo Dutch shell and its Nigerian
subsidiary, and the Oruma village in Southg-East of Nigeria as a result of oil leak in 2005, which was alleged
to have caused environment and social damage, is a testimony to this.
Within
the manufacturing industry, with the present day high competitive market and
limited material resources, companies no longer focus just on production of
goods but on how best to use what is available, how best to cut cost and
maximize profit. Interest is primary now on low waste technology (waste
minimization) and not just on high level production technology and waste
management (Boyce, 2005).
This
greatest concern in waste minimization is not managing waste already created
but preventing waste from being created from the unset of production process.
Any benefit considered to be emanating from any activity of man should be
considered alongside the problems associated with the waste it generates. The
effort to achieve source reduction of waste has made produces and consumers to
focus on three main goals of waste prevention:
1. To reduce the amount of waste as much as
possible
2. Reuse products as much as possible, and
3. Recycle materials as much as possible.
Reducing the amount of waste entails purchasing fewer products and purchasing
products that have less packaging and that is last longer or are repairable.
(Raven, 1998).
The
effect of waste on the revenue of companies and the environment of companies,
host communities are enormous. The effect of revenue include high cost of
products where there is much waste in production process, high cost of waste
management, penalties from court for environmental pollution and loss of
goodwill from host communities due to environmental pollution. On the side of
environment, waste generation does destroy the aesthetics of the environment,
leads to outbreak of diseases, environmental pollution (land, water and air)
and loss of life (wild and human) in cases of high toxic waste.
We
have presented opinions from researchers in more advance countries on waste
minimizations and organization efficiency. But just a handful of comprehensive
studies have been made prominent in manufacturing sector in Nigeria. This study
on waste minimization and organizational efficiency is intended to focus on
manufacturing companies using some selected manufacturing organization in Imo
State of Nigeria.
1.2 STATEMENT OF THE PROBLEM
Every
organization exists to achieve a set of objectives. in pursing these
objectives, it has a lot of factors that are working in favour or against its
mission. Its survival lies absolutely on how it responds to or uses these
factors to own advantages. In the present day competitive market, one of the
greatest concerns or organizations is seeking means of survival.
In
order for any organization to survive, it has to be able to use the available
scare natural and human resources at its disposal optimally. An organization
needs not only to be effective but also in operations. The effect of waste on
the life of organizations in business cannot be neglected. Severally, we hear
of companies that have been sued for environmental pollution, unhealthy
disposal of toxic waste and some being threatened by their host communities on
the base of waste they generate. It is a clear issue that one of the prominent
issued that has led to crisis in Niger Delta is poor management of waste (this
has brought about loss of aquatic lives, economic damages and uncondcive
environment for farming in an area where the average citizen is either a fisher
man, a farmer or both). This issue has led to loss of millions of Naira if not
billions by the oil companies in the area; equipment are vandalized, production
is reduced and employees are unsafe (Okechukwu 1983). These are problems that
generation of waste and its handling can create within the company’s operations
and process can also being to constitute threat to the organization when they
generate waste more than they should. At times employees are injured and lots
of materials wasted. Hence there is need for constant monitoring, updating of
production processed and proper mechanism put in place to reduce and less the
quality of goods produced with a given quantity of raw materials.
In
some extreme situation, some companies have folded because they were unable to
handle the problems associated with the waste form their activities. Some have
spent millions of Dollars to build new locations because government forced them
to move away from residential area due to environmental pollution coming from
their operations. Indeed numerous are the problems associated with waste.
All
the above issue predisposes us to the problem in the manufacturing industry (a
great source of waste in the country) which we will look into in this study. We
are to investigation the relationships that exist between waste management and
organizational efficiency in the manufacturing industry. In doing this we will
consider any possible implication waste generation can have on an organization’s
return on investment, profitability and the market share. Finally, the
researcher will ascertain the effect of waste on the wellbeing of the
manufacturing companies.
1.3 PURPOSE OF THE STUDY
In
view of the statement of the problem the major purpose of this study is to
examine how waste management affects organizational performance in the
manufacturing industry in Rivers State.
The
sub-purpose is to find out how the organizations are faring, giving the way
they carry out waste management.
Therefore,
the research has been embarked upon to achieve following objectives.
1. To
determine the relationship between social environment and return on investment
in manufacturing firms of Rivers State.
2. To
determine the relationship between social environment and profitability in
manufacturing firms in Rivers State.
3. To
determine the relationship between social environment and market share growth
in manufacturing firms in Rivers State.
4. To
determine the relationship between technology and return on investment in
manufacturing firms in Rivers State.
5. To
determine the relationship between technology and profitability manufacturing
firms in Rivers State.
6. To
determine the relationship between technology and growth in market share of
manufacturing firms in Rivers State.
7. To
determine the relationship between economy and return on investment in
manufacturing firms in Rivers State.
8. To
determine the relationship between economy and profitability of manufacturing
firms in Rivers State.
9. To
determine the relationship between economy and market share growth in
manufacturing firms in Rivers State.
10. To
determine the relationship between politics and return on investment in
manufacturing firms in Rivers State.
11. To
determine the relationship between politics and profitability in manufacturing
firms in Rivers State.
12. To
determine the relationship between politics and market share growth in
manufacturing firms in Rivers State.
13. To
determine the relationship between administration and return on investment in
manufacturing firms in Rivers State.
14. To
determine the relationship between administration and profitability in
manufacturing firms in Rivers State.
15. To
determine the relationship between administration and market share growth in
manufacturing firms in Rivers State.
16. To
identify the factors that hinders effective waste management in manufacturing
firms in Rivers State.
1.4 RESEARCH QUESTION
Based
on the statement of the purpose of the study, the following questions emerged.
1. To
what extent does social environment affect return on investment in
manufacturing firms in Rivers State.
2. To
what extent does social environment affect profitability in manufacturing firms
in Rivers State.
3. To
what extent does social environment affect market share growth in manufacturing
firms in Rivers State.
4. To
what extent does technology affect return on investment in manufacturing firms
in Rivers State?
5. To
what extent does technology affect profitability in manufacturing firms in
Rivers State.
6. To
what extent does technology affect market share growth in manufacturing firms
in Rivers State.
7. To
what extent does economy affect return on investment in manufacturing firms in
Rivers State?
8. To
what extent does economy affect profitability in manufacturing firms in Rivers
State?
9. To
what extent does economy affect market share growth in manufacturing firms in
Rivers State?
10. To what
extent does politics affect return on investment in manufacturing firms in
Rivers State?
11. To what
extent does politics affect profitability in manufacturing firms in Rivers
State.
12. To what
extent does politics affect market share growth in manufacturing firms in
Rivers State.
13. To what
extent does administration affects return on investment of manufacturing firms
in Rivers State.
14. To what
extent does administration affects profitability of manufacturing firm in
Rivers State?
15. To what
extent does administration affects market share growth in manufacturing firms
in Rivers State.?
16. What
factors hinders effective waste management in manufacturing firms in Rivers
State.
17. How can
these problems be addressed in order to enhance effective waste management
programme in manufacturing firms in Rivers State.
1.5 RESEARCH HYPOTHESES
From the research questions above, the
following hypotheses have been formulated in this study for testing.
H01:
There is no significant between social environment and return on investment in
manufacturing firms of Rivers State.
H02:
There is no relationship between social environment and profitability in the
manufacturing firms of Rivers State.
H03:
There is no relationship between social environment and market share growth in
manufacturing firms of Rivers State.
H04:
There is no relationship between technology and return on investment in
manufacturing firms of Rives State.
H05:
There is no relationship between technology and profitability in manufacturing
firms of Rivers Stat.
H06:
There is no relationship between technology and market share growth in
manufacturing firms in Rivers State.
H07:
There is no relationship between economy and return on investment in
manufacturing firms in Rivers State.
H08:
There is no relationship between economy and profitability in manufacturing
firms in Rivers State.
H09:
There is no relationship between economy and market share growth in
manufacturing firms in Rivers State.
H010:
There is no relationship between politics and return on investment in manufacturing
firms in Rivers State.
H011:
There is no relationship between politics and profitability in manufacturing
firms in Rivers State.
H012:
There is no relationship between politics and market share growth in
manufacturing firms in Rivers States.
H013:
There is no relationship between administration and return on investment in
manufacturing firms in Rivers State.
H014:
There is no relationship between administration and market share growth in
manufacturing firms in Rivers State.
1.6 SIGNIFICANCE OF THE STUDY
The
present day world-wide economic recession had posed a serious challenge to
every organization to seek means and the best way to utilize available human
and scare material resources it has to achieve its organizational goals. How to
realize this had remained a problem that no one answers lays it to rest. It
calls for an integration of various useful approaches.
Waste
management however, does appear to be one of these useful approaches. This
necessitated the choice of the topic of this work. This waste management will
encourage material maximization in the manufacturing firms, in the
understanding of the effect of waste on organizational efficiency within the
manufacturing industry, the implications of waste management to manufacturing
industry, the implications of waste management to the economic life of our
people and the need to take new waste management approaches into serious in our
environmental policies. Finally it will also aim at creating the awareness of
the great impact waste has no individuals, performance of a company and on the
entire human environment.
1.7 SCOPE OF THE STUDY
The
scope of this study covered three main areas. These are the geographical scope,
the content scope and the unit/level scope. The geographical scope of the study
is the manufacturing firms in Port Harcourt, Rivers State but due to time and
interest, the selected of this study has been limited to selected manufacturing
firms in Rivers State. The respondent to this study constituted the management
staff of the organizations like Agbason soap manufacturing company,/Camela oil
company, Ololo sachet water producer, Delta Bread and Butter field bread. The
content scope covered the extent of relationship between waste management and
organizational performance of manufacturing firms in Rivers State.
Findings
in this work will contribute to human resources management in that it will help
in solving organizational problems that arises as a result of waste management.
1.8 CONCEPTUAL FRAMEWORK |
Source:
Mc’Odo D.M. (1999)
1.9 LIMITATION OF THE STUDY
The
limitations of the study include the following Non-challant attitude of
respondents:
The
major constraint to this study is brought about by the nature of the research.
This research is concerned with attitudes and opinions of the people which
depend on the respondents’ co-operation in answering the question. Although
efforts were made to make the questionnaire very comprehensive, however, it
could not be all exhaustible. Consequently, the study was limited to the
content of the questionnaire and the responses derived from it. Also, the
results for the research will be based on responses derived from them which
might not be the best the employee should have given but just gave a response
without actually knowing the implications of such. There was an issue of not
being able to exercise experimental control over predictor variables of
organizational performance, the research just relied on analysis of observation
made of naturally occurring events.
1.10 ORGANIZATION OF THE STUDY
This
study is organized into five chapters. Chapter one is the introduction which is
made up of the background of the study, statement of the problem, purpose of
the study, research questions, research hypotheses significance of the study,
scope of the study, limitation of the study, definition of terms and
organization of the study.
Chapter
two is titled literature review. In this chapter, the researcher reviews
related literature/work of previous researcher, authors, scholars etc which are
embodies in textbooks, journals, seminar papers etc in order to provide a
foundation for the study.
Chapter
three presents the methodology of the study which are the methods used in data
collection as well as the methods to be used in analysis and data presentation.
This is examined under the research design, sampling procedure, data collection
method, and questionnaire design and data analysis techniques.
Chapter
four deals with presentation, analysis and interpretation of data.
Chapter
five is the summary of findings conclusion and recommendations from the study.
1.11 DEFINITION OF TERMS
1. Waste: Differently Authority have given
different definitions for waste for some waste can be define as materials of
solid or semi-solid character that the possessor no longer considers of
sufficient value to retain. Waste can be any garbage, sludge, gaseous and other
discharged materials resulting from other community activities. Waste therefore
results from other discharged materials resulting from other community
activities. Waste consists therefore of discarded materials resulting from
domestic and community activities and from industrial, commercial and
agricultural operation (Uheghu, 1998; 122). This definition of waste however,
appears so restricted and excludes much from what waste is waste are not
deliberately created, a more comprehensive definition can be seen from the
perspective offered by Odocha. He
defined waste as a materials which though may no longer be needed here, may
become a feedback or raw materials elsewhere….. Those materials which
we have control in terms of their production, disposal or discharge. (Uhegbu,
1998;, 110). From the above definitions we realize that wastes are not
worthless materials but materials not put to use where they should. Thus, we
can no define waste as material that was not used for its tended purpose or
unwanted materials produced as a consequence of another process.
2. Waste Prevention: This refers to one of
the approaches in waste management it simple refers to means used to avoid or
minimize the production of waste and it is considered a more favourable
solution in waste prevention aims at crimination waste from the source of its
generation by preventing it being generated.
3. Waste Management: Waste management in
all its ramification can be defined in the word of Uhegbu”……. A planned system
of effectively controlling the production, storage, transportation, processing
and disposal or utilization of waste, in a sanitary, aesthetically, acceptable
and economical manner” (Uhegbu, 1992).
4. Waste Minimization: Waste minimization
is one of the recent approaches to waste management. It is defined as the
effort or process geared towards waste reduction.
5. Efficiency: Efficiency refers to the
state of getting the best possible result out of the available resources (Human
and or material). An organization is said to be efficiency when targets or
objectives of an organization are realized with least minimum resources and at
a minimum cost that can be employed to achieve that.
The
word efficiency and effectiveness are often treated as synonyms and are used
interchangeable especially in common usage. However in managing science the two
terms have quite clear different meanings. Roberts (1994), a management
scholar, in the context of economy with which the process consumes resources
especially time and money”. While defining effectiveness as “How well the
process actually accomplished its intended purpose” Here the definition comes
from customer’s view point. Some scholars define efficiency as “doing things
right” while effectiveness is “doing the right thing”. We note that a process
can be efficient but ineffective or can be effective but in efficient. Good
process ought to be both efficient and effective.
.6. Organization: The intentional structure
of roles in a formally organized enterprise.
7. Organizational Efficiency: The capacity
of an organization to produce desired results with minimum expenditure of
energy time money, personal and materials.
8. Organizational Performance: The result
achieved over a period of time by an organization in relation to the pursuit of
its objectives.
9. Productivity: The measure of how well
the resources are brought together in organization and utilized for
accomplishment of set objectives. Productivity is reaching the highest level of
performance with the least expenditure of resources.
In
Nwachukwu (2000) management scholars use the terms efficiency and
effectiveness; to achieve minimum result for survival is efficiency, but
effectiveness is the foundation of success. “As Peter Drucker put it,
efficiency is concerned with doing things rights”. (Nwachuwu, 2007).
When
we’re talking of efficiency in the manufacturing industry we are referring to
the situation where all resources available are used to produce the greatest
possible number or quantity of goods. In an efficiency production, the number
of rejects produced is zero or insignificant, there is resources maximization
reduced cost of production and high profit yield.
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