The Effect of Employees’ Welfare Management on Organizational Performance
Abstract of The Effect of Employees’ Welfare Management on Organizational Performance
This research examined the Effect of Employee Welfare Management on Organizational Performance with special reference to Nestle Nigeria Plc. The research adopted survey research design. Data were gathered through primary source with the aid of a well-structured questionnaire. Simple random sampling technique was adopted in the selection of sample, this was used to eliminate biasness in the selection process of the respondents.
Data garnered were presented on table using percentage and the formulated hypotheses were analysed with the used of Chi-square statistical method. The result of the analysis shows that employee welfare affects organizational results. Also, welfare benefits are the determinants of company’s success.
Based on the conclusion of the analysis recommendations were proffered to the staff and management of Nestle Nigeria Plc.
Chapter One of The Effect of Employees’ Welfare Management on Organizational Performance
INTRODUCTION
BACKGROUND OF THE STUDY
This research seeks to examine and determine the relationship between employees’ welfare management and measurement of company performance. It will also evaluate the impact of employee welfare on what an organization achieves.
Employee welfare has become an issue for stakeholders at work place. Employee demand better and safety working conditions to help them satisfy their individual needs while employee desire higher efficiency at a reduced cost. This differing view drives the desire for this research. This project would conclude by making or suggesting possible ways of improving company performance through efficient welfare services.
The central thesis of this research is how the organization evaluate and measure the value added to the business result through efficient employee welfare management. Today’s global business climate is marked by extreme geopolitical and economic uncertainties. The need to remain competitive and to be the leader in the industry, have induced businesses to ensuring that their employees are able to respond effectively to feedbacks at marked place. These businesses are under extreme pressure to increase revenue and grow, while decreasing costs, optimizing resources utilization and tightening corporate governance. Organizations know they must adapt their business and it system to survive, innovate and grow. And, behind it all, executives remain firmly convinced that people are their most important asset.
From the foregoing, it follows therefore that organizations needs to develop an approach of linking employee welfare to organizations performance with the following objective in mind:
1. Identify and measure the factors that affect employee performance in the organization.
2. Develop a repeatable measurement scheme that is, one that can be carried out over successive time periods in a single organization to track its performance over time.
3. Establish a datable enabling company to benchmark in key human capital development areas against their competition, and to predict return on investment from specific human capital investment and interventions.
The core of this work would be to verify in simple terms that the economic benefits an organization realize from employee welfare management is in direct proportion to the quality of the welfare provided for its employees.
HISTORICAL BACKGROUND OF THE CASE STUDY
Nestle Nigeria Plc is associated with the Nestle Company worldwide; the simple trading operations in Nigeria started in 1961 and have today grown into a leading food manufacturing and marketing company. It is publicly quoted company listed since 1978 in the Nigeria Stock Exchange, 43% of its equity is owned by Nigeria shareholders, while Nestle S. A. of Switzerland owns 57%. The Company’s Head Office and Registered Office is located at Ilupeju, Lagos State.
There is Board of Directors responsible for formulating policies for the attainment of the objectives and aims of the company. The department that makes up the factory is human resources department headed by a human resource manager. Accountant department headed by a professional cost accountant in charge of costing section, production department headed by production manager who is also the production engineer. Transport and warehouse department, finance department, security and health centre come under Administration or personnel department.
The Nestle Nigeria Plc is in the Food and Beverage industry and its objective is to satisfy the requirement of consumers with high quality food products, mainly by processing agricultural raw materials into products, adapted to the taste and food habits of the consumer.
The manufacturing facilities are located at Agbara Industrial Estate, in Ogun State. The main production areas have been designed in line with modern manufacturing methods, which ensure efficient production of the various products they manufacture – infant Dietetic products, Beverages and culinary products. The company with the assistance of its technical advisers, Nestle Ltd of Switzerland has built and commissioned at its Agbara site, a fully integrated plant producing concentrated saghom malt Extract. The company also produces hydrolyzed protein mix using local raw materials.
Through all the activities enumerated above, Nestle Nigeria Plc aims to optimize its long-term viability with the physical and skilled human available to it high quality products, high standard of integrity, efficient management and access to the technical know-how of its success, continue to contribute to the progress, prosperity and Economic development in Nigeria.
STATEMENT OF PROBLEM
Often, workers or employee are attracted into certain organization not only because of the pay package that are in the advert but also because of the benefits attracted to them. These benefits usually include housing, transport and medical allowance together with pension or retirement benefits to mention but a few.
This attraction may constitute a consideration objective for which such individuals make up their minds in such organization. The absence or reduction in these primary attractions of such individuals into the organization will certainly lower the morale as well as the efficiency of such individual’s performance, which will in turn reflect on the organization productivity.
Many examples abound where organization in recent times have been faced with incessant agitation from the worker-union and staffs Association because of the inadequate employee welfare services. Poor management of the existing ones or total withdrawal of those benefits.
The dissatisfaction expressed by the employee either on the provision or management of these benefits needs proper investigation and examination in order to find lasting solution to these numerous problems. These assertions will be examined with respect to Nestle Nigeria Plc.