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IMPACT OF EMPLOYEES PARTICIPATION IN DECISION MAKING AND ORGANISATIONAL PRODUCTIVITY

CHAPTER ONE

INTRODUCTION

1.1    BACKGROUND OF THE STUDY

It should be known first that a decision is a choice whereby a person forms a conclusion about a situation Costello, I Wand Zalkind, S.S. (1963 p. 334), confined the term decision making, to a choice process, choosing one from among several possibilities.  However, election theory in Costello, T.W. et al (1963, p. 387) largely considers decision as asking the process of making a single choice among course of action at a particular point in time.  This depicts a course of behaviour about what must be done or vice versa.

Decision, however, is the point at which plans, policies and objectives are translated into concrete actions.  Planning engenders decision guided by company policy and objectives, policies, procedures and programmes.  The aim of decision making is to channel human behaviour towards a future goal. Decision making is one of the most germane activities of management.  It has been the preoccupation of all the management of multifarious organization ranging from small-scale organization to multinational corporations. Managers many at times consider decision making to be the heart of their job in that they must always choose what is to be done, who will do it, when, where and most of the time how it will be done.

Traditionally, managers influence the ordinary employees and specifically, their immediate subordinate in the organization.  This has resulted in managers making natural decision even in area affecting their subordinates.  In Germany, around 1951, a law enacted which provides for code termination and requires labour membership in the supervisory board and executive committee of certain large corporations. However, the participation of labour in decision making process results to relatively and peacefully labour management relations.

Additionally, the Japanese management WSES decision making by concerns us in which lower – level employee initiate the reaches the desk of the top executive. If the proposal is approved, it is returned to the initiator for implementation. It is in this context, that the researcher wishes to assess the impact of employees participation in decision making on organisational productivity in Nigerian Public Sector organization, using Nestle Nigeria as a case study.

1.2     STATEMENTOF THE PROBLEM

There has been a lot of controversy as to whether an employee should participate in managerial decision making or not.  Some writers argued that employees where it affects them or their jobs, it is expected that such participation will serve as training and testing ground for future members of upper management. In Nigeria, experts that refuted the above assertion see the arrangement as a symptom of malorganisation.  They maintained that, qualified, reasonably, honest and company oriented individuals are not available at these lower organizational level.  But the big question is, are qualified individuals really available?  All these underlay the need for investigation study.

1.3     PURPOSE OF THE STUDY

The general purpose of this empirical study is to assess the impact of employees participation in managerial decision making in public sector organization in Nigeria with reference to Nestle Nigeria Ltd.

1.  To assess the impact of employees participation in management decision making.

2.  To ascertain the impact of employees participation or non-participation in management decision on productivity of the organization.

3.  To make recommendation based on the research findings.

1.4    SCOPE OF THE STUDY

This research work focuses particularly on the impact of employees participation in decision making and organizational productivity using Nestle Nigeria Lagos as a case study.

1.5    RESEARCH QUESTIONS

In a view to accomplishing this research work effectively, the research poses the following:

1.  Do management staff make decision without per and post discussion and consultation with employees?

2.  Do management change decision when rejected by employees?

3.  To what extent do employees participate in decision making?

4.  How often do employees meet to discuss without managers?

1.6     RESEARCH HYPOTHESIS

The researcher formulates the following hypothesis base on the objectives and problems of this research work.

Ho: Management staff makes decision without per and post discussion and consultation with employees.

1.7    SIGNIFICANCE OF THE STUDY

This research work will be relevant to the managers and employees of Anammco Company. It will also be beneficial to other public sector organization in Nigeria – it will also be of prodigious importance to government, academically, potentially and future researches on the issue of employee participation in managerial decision making. This empirical study is also germane to the researcher since it is a partial requirement for the award of Higher National Diploma in Business Administration and Management.

1.8    LIMITATION OF THE STUDY:

A work of this nature is not easy to consummate or accomplish.  And, as a result, financial problem, time constriaints, apathy on the part of the respondents and bureaucratic procedures involved in releasing data seriously affected the study.

1.9     DEFINITION OF TERMS:

1.  Decision Making: The selection from among alternative of a course of action.

2.  Management: Management is made up of top and middle level management.  Top management include shareholder, Board of Directors, Managing Director, or Chief Executive/General Manager (i.e management above departmental level), middle management includes Heads of Department, Managers, Deputy and Assistant Managers.

3.  Productivity: A measure of how well resources are brought together in organization and utilized for accomplish a set of results.

4.  Germane: Relevant, important, pertinent.

5.  Heart of their job: As it is used in the research work means their main job.

REFERENCES

Applox, R. C. (1981) Modern Business Administration.  3rd Ed., New York, Pitman Publishing Ltd.

Costello, T. W. and Zalkind, S. S. (196) Psychologist in Administration:  A Research Orientation Text Eaglewood.

Cliff, N. J. (1980); Business Oriented Text, London, Macmillan Press Ltd.

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