CHAPTER
ONE
1.0
Introduction
In the global
world, organizations do not just operate in the country they must develop
global strategies to coordinate their operation at all phases of the
value-added chain. Co-ordination action of the supply has become strategically
important as new forms of organization, such as victual enterprises, global
manufacturing and logistics networks, and other company to company alliances
evolve.
The
primary objective aims of business organization is to maximize profit and
wealth. Budgeting is defined as a quantitative plan expressed in monetary term
prepared and approved to a defined time usually planned income to be generated
or expenditure to be incurred during the period and capital to be employed to
attain a given objectives.
Basically,
budgeting is a research about an organization source of revenue and the manner
in which the revenue is spent (expenditure). The study set out examine the
budgeting technique implanted by the management of first bank plc and how this
has been able to serve as a tool for effective management control.
The findings of
this result include the act that most organization were
successful through budgeting as a tool of their control. The data for this
study will be administered by questionnaire to be filed
by the respondents which will include the staff of First Bank Plc Saki.
1.1 Historical Background
First Bank of Nigeria, sometimes referred to as FirstBank, is a Nigerian multinational
bank and financial services company headquartered in Lagos. It is the biggest
bank in Nigeria by total deposits and gross earnings. It operates a network of
over 750 business locations across Africa, the United Kingdom and representative
offices in Abu Dhabi, Beijing and Johannesburg set up to capture trade-related
business between geographies. The bank specializes in retail banking and has
the largest retail client base in Nigeria. In 2015, The Asian Banker
awarded First Bank the Best Retail Bank in Nigeria award for the fifth
consecutive year.
The Nigerian banking
business operates nationally, with an active customer base of over 10 million,
and employs over 7,000 staff. First Bank operates along four key Strategic
Business Units (SBUs) – Retail Banking, Corporate Banking, Commercial Banking
and Public Sector Banking. It was previously structured as an operating holding
company before the implementation of a non-operating Holding Company structure
(FBN Holdings) in 2011/2012.
As of December 2015,
the Bank had assets totaling NGN3.9 trillion ($12.2B according to 2017 exchange
rates).The Bank's profit before tax for the twelve months ending 31 December
2015 was approximately NGN10.2 billion. FirstBank’s ownership is diversified,
with over 1.3 million shareholders. The bank was founded in 1894 and is
Nigeria’s oldest bank. It converted to a public company in 1970 and was listed
on the Nigerian Stock Exchange (NSE) in 1971. However, as part of the
implementation of the non-operating holding company structure, it was delisted
from the NSE and replaced with FBN Holdings Plc. in 2012.
First Bank has been
named "The Best Bank Brand in Nigeria" for five years in a row –
2011, 2012, 2013, 2014 and 2015 – by The
Banker magazine of the Financial Times Group, and "Most Innovative
Bank in Africa" in the EMEA Finance African Banking Awards 2014.
1.2 Statement of the Problem
The
role of budgeting in managerial planning and control is with a view to
enhancing optimal performance and productivity in manufacturing companies. It
has further become necessary in views of poor management system in other to
enhance productivity and proper functionality of manufacturing companies. In
Nigeria especially in the area of production, we have experienced a situation
where various policies, effect and measures have been used all towards making
sure that the defects and economic failures of the past years as a result of
lack of proper planning and control are corrected, further plans are taken to
ensure that future plans and objectives are thoroughly set out and implemented.
The problem of choice and resource allocation is the core cause of business
disequilibrium. Most manufacturing firms have problem with allocation,
distribution and control of resources in their production floor. Is it that
proper check are not in place? Or that managers are not competent enough in
drawing out budgets?
1.3 Objectives of the Study
The
main objective of the study is to examine whether budgeting is a tool for
managerial control. The specific objectives are as follows:
1. To
determine the relationship between budgeting and managerial control
2.
To assess the relationship between
budgeting and managerial planning and control.
3.
To highlight the consequences of poor
budgetary on managerial planning and control.
4.
To determine the role of budgeting in
management's decision making.
1.4 Research Questions
The
following research questions were formulated to guide our investigation.
1. What is the relationship between budgeting
and managerial control?
2. What are the consequences of poor budgeting
on managerial planning and control?
3.
What is the role of budgeting in management's decision making?
1.5 Hypotheses
The
following hypotheses form the basis of carrying out this study.
1. Ho:
There is no significant relationship between budgeting and management control
Hi:
There is significant relationship between budgeting and management control.
2. Ho:
Poor Budgeting has no significant effect on managerial planning and control
Hi:
Poor Budgeting has significant effect on managerial planning and control
3. Ho:
Budgeting is irrelevant in management's decision making.
Hi: Budgeting is relevant in
management's decision making.
1.6
Significance of the Study
The significance of the study derives from its
usefulness to the following:
This
work will enable the researcher understand budgeting and its effectiveness on
managerial decision making. Besides it will enable the researcher fulfill the
necessary requirement for the award of master of Business in management, of
University of Nigeria Enugu Campus.
Order for full projects: #2000
Payments method: bank deposit / Bank Transfer
Skye Bank 1
Bank account name: Yekeen Idris Adeseun
Bank account number: 3026132730
GTB Bank 2
Bank account name: Yekeen Idris Adeseun
Bank account number:. 0165460421
Send your payments details to.....
Email: idrisyekeen7@gmail.com or 08167674702
- Your full name
- Your email that the documents will be sent to
- Your payments details
- Your mobile number
No comments:
Post a Comment