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CHAPTER ONE 1.1 INTRODUCTION In Nigeria today, the major factor that every organization need to consider is the workforce. The human resource of every organization is the employees that put in efforts to achieve the organization?s corporate goals. The function of human resources does not stop at production and services goals only but goes further to establishing of good conducive working condition for the organization which will enhance the production of goods and services in ways that will provide additional benefit to the organization. The successes and failures of an organization are greatly apportioned to the labour while capital, land and entrepreneur are considered dependable on labour. Appraisal and discipline of employees based on their performance and attitude to work must be effectively done to achieve maximum impact and output from the employees. In other to achieve the objective of profit maximization, human factor is to be managed effectively to attain better performance. To ensure this, more attention must be paid to how labour is recruited into the organization, their performances, motivating factor and other relevant factors. Recently, the attentions of management have been drawn to miss opportunities in the proper logistics management. Management now seeks way to save cost and explore opportunities in logistics with the overall goal of improving productivity. The cost involved in recruitment exercise, staff training and development, staff welfare, provision of good working condition, good enumeration are major cost concern in human resources management. However, they constitute the major factors needed to attain the corporate goal of the organization. The resources of every organization are grouped in three main categories: men, money, machines and materials. These are combined in various proportions in the production of goods and services for consumption. Money resources is the capital involvement in the establishment of the various input (machinery, tools and raw materials) that are needed for the production process while human resources is the effort of man directed to the production of goods and services in the organization. Competent workers are potent instrument for effective production of goods and services. If targeted production is to be achieved, companies must invest in employing and training experts into the organization. Every Nigerian manufacturing company should manage their workforce effectively for the attainment of their stated goals. 1.2 METHODOLOGY 1. The population on to be used in this study is the staff of FAN MILK PLC IBADAN 2. The simple design will be comprised of both random sampling and non random sampling 3. The instrument to be used in collecting data is through questionnaire and the plan intended to put it into operation. 4. The type of data to be collected is the bio-data of human resources management and labour productivity in a manufacturing industry- FAN MILK PLC 5. Experimental design and procedure: The step in collecting data for this project will include going to FAN MILK PLC IBADAN, to distribute our questionnaire which will be filled by the respondents. It also includes editing of the various responses provided on the questionnaire, coding responses in order to identify the categories and tabulating the number of response under each category. 1.3 HISTORICAL BACKGROUND OF FAN MILK PLC The company FAN MILK PLC was incorporated in Nigeria in November 1961, and the diary plant went into production by 3rd of June 1963. The first directors of the company were Eric Enarbong (Chairman) and founding members. Fredric Clerke, Wiulliam Hardy, larsSkensved and Chief B. Olufemi Olushola. The initial share capital was 50,000 pounds of which 10% was held by Nigerian investors. The name FAN MILK and the FAN YOGO exclusively made available by Eric Ebony dairy plant located at Eleyele Industrial Layout Ibadan. But in-spite of its modest size and been equipped with the most modern equipment in the market at that time, the Original range of dairy product was limited to plain full cream with chocolate flavored milk. Both products were held and packed in the revolutionary and unorthodox triangle pack which FAN MILK was the first company to involve in WEST AFRICA 1.4 OBJECTIVE OF THE STUDY i. To determine the factor most crucial to manufacturing output ii. To find out the relationship between human resources management and productivity of labour in the Nigerian manufacturing sub-sector. iii. To identify the factor that explains productivity iv. To analyze the role of productivity in manufacturing industry. v. To establish the role productivity in manufacturing industry. vi. To determine the unit of measurements and the procedure by which it is obtained. vii. To perform the measurement and compose it to the desired level. viii. To accept, rejector takes action to modify the result. 1.5 HYPOTHESIS i. The success of an organization depends largely on efficient personnel administration. ii. The human resources factor contributes the large portion in production. iii. Human effort also contributes a lot to the success of an organization. iv. Also the resources of human factor like land, capital profit and entrepreneurship contribute to the development of an organization. 1.6 SCOPE OF THE STUDY The work is limited to the manufacturing subsector only. This explains its limited applicability to the other sector of the economy, also labour productivity is emphasized. This study is also designed to examine the effectiveness of human resources management and labour productivity in manufacturing industry in Nigeria with particular reference to FAN MILK NIG. PLC. Due to the constraint interest in this exercise, the study is to a reasonable extent limited to the human resources management and labour productivity in manufacturing sector. In an organized society several institutions exist to provide goods and services for the need of the society. Some of these institutions are profit making while some are not. However, those institution that provides good and services for the need of people with the primary aim of making profit for the owners are referred to as business enterprises. To an average Nigerian, the word (business) means the buying and selling of commodities whereas in actual fact, business goes beyond that. As an all-inclusive term, business encompasses all profit-oriented economic or commercial activities carried out by an individual or a group of people as a means of livelihood. This work is limited to the manufacturing sector only. This explains why its limited applicability to the other sector of the economy. Also labour productivity is emphasized and not total productivity. 1.7 LIMITATION OF THE STUDY The secrecy of the company under study ? FAN MILK PLC officials affected the quality and quantity of information used. This is because some officials were unwilling to disclose some information needed for the study. We had to make use of limited available information to draw the conclusion. Also, with the use of correlation co-efficient we found it difficult to determine which of the two variables is dependent. Human resources or labour productivity also affect the quality and quantity of human resources management.


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