CHAPTER 1

INTRODUCTION

1.1 Background of the Study

The  formulation  and  implementation  of business  policies  are  induced  by  certain  environmental factors. Thus, the  government  is  not  the  only  factor  defining  the  processes  of  business  policies  but  other  pertinent  factors.  Business policy cannot be adequately considered outside the environment in which it takes place. This is because; the demand for policy actions are generated in the environment,  transmitted within it while it also places constraints on what can be  done  by  policy  makers.  The  essence  of  any  meaningful  public  initiative  is  to  focus  on  productive  aspiration  in  a way to  bring out  concise responsibility, coordination and  control.

Every organisation has a purpose for which it was established either for profit making or non-profit making, and closely allied to the purpose of an organisation are the principles on which it is to be conducted. These principles in business parlance are commonly called “Policy”. Policy, according to Kalejaye (1998), denotes a future course of action of intent towards the activities of an organisation. He opined that there is more to the meaning of policy than an expression of intent. To him, there is usually the connotation that policies should express the beliefs of the organisation, the things that  are  right  to  do  and  the  courses  of  action  which  it  ought  to  take  in  the  organisation.  This explains why policies on the same subject can be so different from one organisation to another. Every business requires guidelines which are to be embedded in policy. Policy is a decision rule, not a decision (Ackoff 1993).  Principles in business parlance are commonly known as policy. Policy denotes a future course of action of intent towards the activities of an organization. In this unit, you will be introduced to the meaning of business policy in order to prepare you for all the associated ideas about the concept in business management.

Business  Policy  defines  the  scope  or  spheres  within  which  decisions  can  be  taken  by  the subordinates in an organization (Wikipedia, 2012). It permits the lower level management to deal with the problems and issues without consulting top level management every time for decisions. Business  policies  are  the  guidelines  developed  by  an  organization  to  govern  its  actions.  They define the limits within which decisions must be made.  Business policy also deals with acquisition of resources with which organizational goals can be achieved. Business  policy  is  the  study  of  the  roles  and  responsibilities of  top  level  management,  the significant  issues affecting organizational success and  the  decisions  affecting  organization in long-run.

Policy implementation has been plenty and has, to a large extent tried to explain policy implementation gaps. Though the issue of policy failure has been of great interest to social scientists, it has not been so to policymakers who often equate proposing a policy to its effective disposal (Dunsire, 1978). ‘Down-top’ versus ‘up-bottom’ perspectives on policy and action are at the heart of discourses on policy implementation. Barrett and Fudge (1981) note that policy implementation challenge, failure or gaps in implementation can occur when policy is imposed from the centre with no thought given to how it might be perceived or received at the local level. They argue that it is not a case of bottom-up approach to policy and action being preferred to top down but that balance between the two is necessary

Policy  failure  can  occur  as  a  result  of  bad  execution  or  as  a  result  of  the  policy  being  bad. Ineffective  implementation  or  barriers  that  make  it  difficult  for  a  policy  to  be  implemented  are seen by policy makers as bad execution. The other reason that is commonly advanced to explain policy implementation failure is when the policy itself is defective in the sense of its being based on inadequate information, poor reasoning or unrealistic assumptions (Pfeffer, 1992). It  is  more  likely  that  what  happens  at  implementation  stage  will  influence  the  actual  policy outcome in a way that might not have been anticipated or foreseen. Conversely, the likelihood of a successful outcome (as desired by policy initiator) will be increased if thought is given at the policy design stage to the potential problem of implementation.  There is need for policy audit to identify possible implementation problems or challenges and success (Dunsire,1978). Challenges of policy implementation at times arise due to inability to look at the outcomes and analysis  of  strength  and  weaknesses  of  different  system.  Such  ability  points  out  at  what  works and what policies can actually deliver results. It also interrogates whether policies are consistent with  the  country’s  objectives  and  priorities  taking  into  account  the  institutional  settings  and arrangements, systems internal coherence while checking that policies are not pulling in opposite direction and canceling each other out (Deborah, 2008).

1.2     Statement of problem

The  Policies  in  the  culture  sector    on  the   other  hand  spells  out  the  government  commitment  to the  development  of  the  cultures  of  the people  of  Nigeria  through  program  support,  human  resources  development  and  infrastructure development  within  a  given  time.  Through  these  policies,  the  government  also  makes  financial commitment  for  the  support  of  the  growth  of  the  sector (GOK2010,KIPPRA,  2012;  NPCH, 2009). Despite the commitment and support of the government towards the sector, the study conducted in  the  sector  reveal  that  the  implementation  of  policies  in  the  culture  sector  continues  to  face major  challenges.  There  are  also  duplication  of  policies  in  various  government  ministries  and parastatals  which  appear  to  have  development  of  culture  as  their  objective.  This  has  created challenges  in  the  implementation  of  policies  where all  and  sundry  seem  to  be  playing  an implementation role without proper coordination (KIPPRA, 2012).

1.3     OBJECTIVES OF THE STUDY

The object of the study is to determine the effect and role of business policy formulation on implementation in Nigeria. Thus the objectives study is aimed at the following;

1.       To examine the role of strategic intent on the implementation of small and medium scale enterprises in Rivers State

2.       To examine the role of policy formulation on implementation of small and medium scale enterprises in Rivers State

3.       To examine the role of decision making on implementation of small and medium scale enterprises in Rivers State

1.4     RESEARCH QUESTIONS

This above objective was formulated to guide the following research questions;

1.       To what extent does strategic intent on the implementation of small and medium scale enterprises in Rivers State?

2.       To what extent does policy formulation on implementation of small and medium scale enterprises in Rivers State?

3.       To what extent does decision making on implementation of small and medium scale enterprises in Rivers State?

1.5 RESEARCH HYPOTHESIS

The hypotheses below were formulated as follows

HO:   There is no significant relationship between policy formulation and implementation of small and medium scale enterprises in Rivers State.

HA:   There is a significant relationship between policy formulation and implementation of small and medium scale enterprises in Rivers State.

1.6 RESEARCH HYPOTHESIS

The outcome of this study will be of immense benefit to a wide range of people. First, to the government and public policy makers, this study will help them appreciate the strategic importance of making and implementing a policy of inclusiveness that can fast-track environmental stability for business to serve, hence, promote friendly investment climate which is an impetus for increased foreign direct investment. The study will reveal to stakeholders and manager to promote workplace ethics in the organization in order for the organization to be effective and face their competitors. The study will add to the knowledge in industrial relations in specificity and management sciences.

Employees also would be better enlightened on the issues of reward in oil industry so that they are properly guided on what they should expect from their employers to reduce tendency for conflict between them and their employers.

High productivity and output demand that work environment be harmonious.

The students and researcher will also benefit from the study because it will serve as a base data for those who might want to carry out further studies in the area.

1.7     SCOPE AND LIMITATIONS OF THE STUDY

This study examines the strategic contributions of stress management and employee performance of telecommunication firms in Rivers State. The specific areas of productivity the study investigated include; effectiveness, efficiency and productivity. In carrying out an investigation of this nature the researcher must of necessity be faced the following constraint.

The time constraint’s the time frame provision for this study was short.

Financial constraints usually, a study of this nature involved some level of expenditure therefore, finance was also a limiting factor.

Poor response from the respondents and inability to access the entire population freely.

1.8 DEFINITION OF TERMS

STRATEGIC INTENT: Organizations usually and generally develop a consistent set of narrow intentions that guide and move activities of the organization towards broader intentions.

POLICY FORMULATION: The nature of business of an organization determines the desirability of policy formulation in various functional areas of business.

DECISION MAKING: Decision making is a daily activity for any human being. There is no exception

BUSINESS POLICY: It refers to set of ideas or a plan of what to do in particular solutions that has been agreed to officially by a group of people, a business organization, a government or a political party. This definition confirms that policy gives the opining for industrial organization actions.