THE IMPACT OF DELEGATION OF AUTHORITY ON ORGANIZATIONAL GROWTH IN THE PRIVATE SECTOR (A STUDY OF SELECTED FIRMS IN ABA ABIA STATE)
ABSTRACT
The primary purpose of delegation of authority is to make organization possible. Just as no one person is an enterprise can do all the task necessary for accomplishment of a group goals so as an enterprise grows, it becomes impossible for the manager to exercise all the authority of making decisions. This is so because there is a limit to the number of persons a manager can effectively supervise and for whom they can make decisions. Once this limit is exceeded, authority has to be delegated to subordinates. This work explained and explored the nature of authority delegation in an organizational structure using selected firms in Aba, Abia state as a case study. Efforts were made to identify the principles underlying authority delegation, its impact towards organizational efficiency. The problems militating against authority delegation was also explored and identified and suggestions or recommendations put forth. Both primary and secondary data were used for the work. Visits were made to both the generalized and specialized libraries. It was clearly discovered the authority delegation has a great impacts on organizational growth of any firm.
CHAPTER ONE
1.1 BACKGROUND OF THE STUDY
A common and popular adage states that a tree cannot make a forest. Another similar one assets that no man is an island, because of some psychological, economical and biological limitations of the individual, it is unavoidable that individuals should cooperate with each other in order to be able to surmount the many problems facing them.
Similarly, in the business world, the business manager is faced with lots of problems and tasks to perform in his organization. Some of these problems are external while others are internal. As a result of this, the manager or whoever that is responsible must therefore prepare himself in order to compete favorably in the dynamic business environment so as to achieve the corporate objectives of the organization. But if he fails, it means that the organizations aim for going into the business is defeated.
The need for delegation of authority in the organization is encouraged.
This is so because whenever an organization changes its legal form of one man or small scale business to a two or more partnership, medium of large scale business, it is inevitably grows to a point of impersonality. At this point, it is difficult for top management to know everyone in the organization and exactly what they are doing or should be doing, nor is it possible any more to oversee the whole of this now extensive activities personality. Instead, various organizational techniques of which delegation is part of it should be utilized to spread the work of whom, the bulk of works was rested.
With delegation of authority in the organization, the workload of the manager is reduced or eased economically or otherwise. This is true because left alone, the managers cannot accomplish the entire task necessary for the attainment of the group goals.
HISTORICAL BACKGROUND OF THE STUDY
Guinness Nigeria Plc.
Guiness Nigeria plc is a parent company with a long and worthy history spreading back for more than 200 years now. The original guiness brewery at st james gate Dublin Ireland was founded in 1959.in 1936 the second brewery, a part of royal brewery was open in London and in 1963 the third brewery came into existence at ikeja lagos Nigeria.Jamco Nigeria Limited
Jamco Nigeria limited was founded in1993 by a group of business men in Aba,Abia State.the origin of this company was from ogborhill Aba.the company’s range of product formally was paper but now their product includes breadnylon,pure waterbags,toilet tissue.PZ Industry Limited
Patterson zochoris (pz) industry Nigeria limited was incorporated under the name nicholas p.b and the company partakes in soap making activities.
In 1951 nicholas p.b sold out his interest in toilet soap, perfumes, cosmetic, medical and pharmaceutical of all which are distributed throughout Nigeria.
The company is well known through its dick premier such as venues, range of cosmetic, Dan Fulani pomade
1.2 STATEMENT OF THE PROBLEM
Today’s managers have continually observed the lack as much as they could, they have not been able to properly motivated and make best use of the work force for greater performance.
Some firms even with the abundant resources both finance and materials, still experience poor performance due to lack of a well structural organization which is largely as a result of the inability of some managers to delegate authority to their subordinates. The problem of authority delegation in the organization has posed a very big problem to the smooth running of many organizations.
1.3 OBJECTIVES OF THE STUDY
The purpose of the study is to identify the influence or impact authority delegation has on manager’s employees
The result of this is
to Determine the causes and effects of inadequate or non-delegation of authority in a working place
Determine the impact of the delegation of authority in Private sector
To identify the better means of delegating authority with no adverse effect on the organization.
To provide solutions and recommendation to the problem identified.
1.4 RESEARCH QUESTIONS
What are the causes and effect of inadequate delegation in a working place?
How can we determine the most cost-effective means of delegation of authority?
What are the solutions to the problems of delegation of authority?
1.5 SIGNIFICANCE OF THE STUDY
The study is very important to the researcher since he is a management student. He is likely to face with such situation in his working place upon graduation. It will help the researcher to actualize the reality and the problems that involved such and deal with them.
1.6 SCOPE OF THE STUDY
For the purpose of the research, the researcher’s effort will be concentrate on identifying the effect of delegation of authority on organization and the problem facing proper effective delegation of authority.
The research data, questionnaire and interview will be limited to the employees of Guinness Nigeria plc, jamco Nigeria limited, PZ industry limited comprising of their managers, supervisors, and their subordinates.
Other intended to works to be covered in this work include the view of management profession on the definition and the role of delegation plays in organization
1.7 LIMITATIONS OF THE STUDY
In the course of carrying out this research, the researcher encountered some difficulties which acted as limitations to the successful completion of the work.
These are as follows:
Time constraint: This research work was carried out during holidays with all its social activities including other problems thereby necessitating the disruption and jam-packing of academic work.
Finance: The research was conducted at the time when the cost of living is very exorbitant hence high fare and this obstructed or limited the findings of the work.
Attitude: Most information sought for are not to let out by the management. They keep on telling the researcher to wait for long or to call back with the view of frustrating his efforts.
Distance: The place to get the required information for the progress of this work was too far.
1.8 DEFINITION OF TERMS
DELEGATION: This is the process by which a superior transfers part of his legitimate authority to a subordinate but without passing on the ultimate responsibilities which has been given to him by his own superior.
AUTHORITY: The power granted by an organization to an individual to act in various specified ways.
ORGANIZATION: A pattern of ways in which large number of people engages in a complex task, relate to each other in conscious, systematic, establishment and accomplishment of mutually agreed purpose.
ORGANIZING: The process of creating a formal organizational structure or of breaking a task to be performed into sub-task.
THE IMPACT OF DELEGATION OF AUTHORITY ON ORGANIZATIONAL GROWTH IN THE PRIVATE SECTOR (A STUDY OF SELECTED FIRMS IN ABA ABIA STATE)