CHAPTER ONE

 BACKGROUND OF THE STUDY

The rate at which public organizations are winding up these days is a serious signal that something is wrong with their decision making system. The deplorable state of majority of these public organizations such as the Power Holding Company of Nigeria (PHCN) in spite of the billions of naira being injected into the Power sector annually is having a ripple effect on the economy of Nigeria. A good number of these organizations have either been closed down owing to the fact that they could no longer fulfill the purpose for establishing them or have been privatized with the intent to address the anomaly as this has greatly increased the rate of unemployment and caused a sharp decline in the standard of living.

In recent past, a lot of measures such as downsizing and mere introduction of computers in the work place considered ideal to address this problem were initiated by the federal Government, but it yielded little or no results while the problem persists. This clearly points to the fact that, the managers charged with the corporate responsibility of making dynamic decisions that would put this organization on the path of sustainable growth and quality service delivery are not making the right decisions or do not have access to accurate, timely and quality information.

Managers and business leaders have to accomplish several functions and perform different roles. These roles are connected to communication, information and decision making.  The decision managers make often influence the lives of many individuals, business and even the whole society.

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CAPACITY PLANNING AND PERFORMANCE IN THE NIGERIAN BREWING INDUSTRY

ABSTRACT

The study investigated the influence of capacity planning on the performance of brewery firms in South Eastern States of Nigeria. The specific objectives of the study were to determine the extent to which capacity planning enhanced the level of performance in the brewing industry in South Eastern Nigeria. The study examined the nature of the relationship between capacity requirement planning and materials requirements planning, to ascertain the extent to which capacity planning sustains organizations competitive advantage, thereby determining the relationship between capacity planning and capacity building, determining the steps toward developing a capacity planning that affects the profitability in the brewing firms in the area studied. The research design adopted in the study was a combination of the survey, oral interview and model modifications. Hypothesis 1,3 and 5 were  tested using Z test of population proportions and 2 and 4 using Spearman’s Rank Correlations revealed that capacity planning to a large extent enhanced the performance in the brewing industry in Southeastern Nigeria, that there was a significant capacity planning to a large extent (p< 0.05) enhanced the performance in the brewery industry in the area studied. Capacity requirement had positive relationship (p< 0.05)with materials requirements planning. Capacity planning to large extent (p< 0.05) sustained the organizations competitive position. There was significant positive relationship (p< 0.05) between capacity planning and capacity building. The steps of the capacity plan positively (p< 0.05) affected profitability. Positive relationship between capacity requirements planning and materials requirements planning, that capacity planning to a large extent sustained the organizational competitive advantage, that there is a positive relationship between capacity planning and capacity building, that the 12 steps of the capacity plans were developed that positively affected the profitability in the brewing industry in the area studied.  In conclusion, the finding that capacity planning enhanced the performance in the brewing industry in Southeastern Nigeria implied that it made the brewing companies studied to achieve their organizational goals and objectives. The finding that there was a significant positive relationship between capacity requirements planning and materials requirements planning implied that there was a positive correlation between them. This means that materials requirements planning which was a method of coordinating the detailed production plans could lead to an enhancement of capacity requirements planning which meant taking future decisions on the items needed for the production capability of the brewing facility.

CHAPTER ONE

1.1 BACKGROUND TO THE STUDY

Capacity Planning has enhanced the performance of the brewing industry in Nigeria right from 1946 when Nigerian Breweries Limited set up the First Brewery in Nigeria (Nigerian Breweries PLC, 2011). The direction has been to increase the number of breweries. Guinness Nigeria Plc set up a Brewery in Lagos in 1963. The magnitude is now five breweries located at Ikeja, Ogba, Benin, Jos and Aba (Guinness Nigeria Plc; 2011). Capacity has continued to be the production capability of a facility in terms of the inputs, throughput and outputs.

In 1989, the Federal Government policy of using local inputs such as sorghum and corn instead of malled barley negatively affected a lot of the breweries. Both Nigerian Breweries Plc and Guinness Nigeria Plc depended on the assistance of the Parent Companies. The Brewing Industry in Nigeria have relied on capacity planning for meeting the increased demand for beer, stout and malt products through Demand Forecasting and Capacity Requirements Planning (Guinness Nigeria Plc, 2011; Nigerian Breweries Plc, 2011).

Capacity building has followed capacity planning in the creation of the enabling environment with appropriate policy and legal frameworks, institutional development including community development (of women in particular). Human Resource Development and strengthening of managerial systems, adding that, UNDP recognizes that capacity building is a long-term, continuing process, in which all stakeholders participate (ministries, local authorities, non-governmental organizations and water user groups, professional associations, academics and other (citation: UNDP). Capacity building is very necessary for capacity planning. Planning is deciding in advance what is to be done, when, where, how and whom it is to be done. In that it bridges the gap from where we are to where we want to go in any business building and performance. It is continuous, periodic managerial activities and reduces uncertainty.  Capacity is the production capability of a facility and it is measured in terms of inputs, throughput and outputs. Manufacturing is that aspect of industry in which products, waste products and services are produced (UNDP, 2012).

By 1992, capacity building became a central concept in Agenda 21 and in other United Nations Conference on Environmental and Development (UNCED) Agreements. By 1998, the UN General Assembly had commissioned and received evaluations of the impact of the UN system’s support for capacity building. These evaluations were carried out by the UN Department of Economic and Social Affairs as part of the United Nations GATT Agreement’s (UNGA’) triennial policy review during which it looks at all UN system development activities (UN Publications Section). Since then, the issue of capacity building has become a major priority within the global conventions, the Global Environmental Facility (GEF) and the International Communities.

In the year 2000, UNDP through its Strategic Partnership with the GEF Secretariat, launched the Capacity Development Initiative (CDI), a consultative process involving extensive outreach and dialogue to identify countries’ priorities issues in capacity development needs, and based on these findings, to develop a strategy and action plan that addresses identified needs to meet the challenges of global environmental action.

In 2002, the World Summit in Sustainable Development (WSSD) and the Second GEF Assembly reaffirmed the priority of building the capacity of development countries. The WSSD recommended that GEF resources be used to provide financial resources to developing countries to meet their capacity needs for training, technical knowhow and strengthening national institutions.

Capacity Building is, however, not limited to international aid work. More recently, the term is being used by governments to transform community and industry approaches to social and environmental problems.

According to Skinner (1985), there are five periods of industrial history that stand out in the development of manufacturing management:

1780 – 1950    Manufacturing leaders as technology capitalists.

1850 – 1890    Manufacturing leaders as architects of mass production.

1890 – 1920    Manufacturing management as movers in the organization.

1920 – 1960    Manufacturing management refines its skills in controlling and stabilizing.

1960 – 1980    Shaking the foundations of industrial management.

During the early years of the indusial revolution, production began to shift from low volume activity to larger-scale operations. Although the scale of these early operations was large, the machinery was not particularly complex and production operations were rigid. The management of these operations remained essentially in the hands of top management with the aid of overseers. Working conditions during this period were often abysmal.

The major thrust of the Industrial Revolution took place in the (second 40-year) period from 1850 – 1890. During this period, the concepts of mass production and the assembly line were born. Since coal could be efficiently transported, plants could be located in a larger variety of locations. The plant foreman had enormous power and influence during this period.

According to Skinner(1985), the job of production manager actually came into being in the period 1890 – 1920. Manufacturing processes became too complex to be handled by top management personnel only. With this complexity came the need for scientific management techniques. Frederick Taylor (often called the father of industrial engineering) is generally credited with being the originator of the concept of scientific management. Most of the scientific management techniques introduced around the turn of the century involved merely breaking a task down into its various components. These techniques are probably less scientific than just orderly. With the new levels of complexity, the single plant foreman could no longer coordinate the demands of producing a varied product line and changing production schedules.

The enormous worldwide depression that took place n the 1930s notwithstanding, in many ways the period 1920 – 1960 can be considered a golden age for the development of industry in the United States. By 1960, the United States was the preeminent economic power in the world. With the growth of the labour movement, working conditions had improved enormously. True scientific methods started finding their way into the factory. Mathematical models for learning, inventory control, quality control, production scheduling, and project management gained acceptance by the user community. Top management often came through the ranks of production professionals during this period.

Since 1960, many American companies have relinquished their domination of certain markets. Products that were traditionally produced in the Untied States are now imported from Germany, Japan, and the Far East. Many products are produced more cheaply and with higher quality overseas. Furthermore, management-employee relations are often better in foreign companies. Quality circles, introduced in Japan, allowed employees to input opinions about product development and production procedures. Far more sophisticated scientific production methods have been adopted in Japan than in other countries. For example, there are many more robots and modern flexible manufacturing systems in Japan than in the United States (Skinner, 1985).

Over the past five years, a broad conceptual framework has emerged. This approach is increasingly being adopted by the development cooperation community. It involves a System Perspective that addresses various levels of environmental management capacities (i.e. capacities of institutions, individuals, overall countries and regions) (Vallejo, 2006). This approach lays greater emphasis on the Capacity Development Process itself, on local ownership of its process and on equal partnership in its support (Lafontaine, 200).Capacity Building involves human resource development, the development of organizations and promoting the emergence of an overall policy environment, conducive to the generation of appropriate responses to emerging needs (UNDP/UNDOALOS, 1994).

The concept of capacity building includes the following issues.

Human resource development, the process of equipping individuals with the understanding, skills and access to information, knowledge and training that enables them to perform effectively.Organizational development, the elaboration of management structures, processes and procedures, not only within organizations but also the management of relationships between the different organizations and sectors (public, private and community).Institutional and legal framework development, making legal and regulatory changes to enable organizations, institutions and agencies at all levels and in all sectors to enhance their capacities.The levels of capacity building are that:The Individual: refers to the process of changing attitudes and behaviours-imparting knowledge and developing skills while maximizing the benefits of participation, knowledge exchange and ownership.The Institution: focuses on the overall organizational performance and functioning capabilities, as well as the ability of an organization to adapt to change.

The System: emphasizes the overall policy framework in which individuals and organizations operate and interact with the external environment (Lafontaine, 2000).

1.2   STATEMENT OF THE PROBLEM

There is difficulty in determining the extent to which capacity planning enhanced performance in the brewing firms in Southeastern Nigeria from the inception of brewing industry in Nigeria in 1946 to date. Capacity has consistently and continuously determined operational capabilities of decision, focasting changes in demand attitudes, skill and aids proximity to market future time services needed and work load leading to various shortage or lack of stock in production process which involves complex measures in terms of input, through put and output. This problem leads to other challenges in ascertaining the relationship between capacity requirementsplanning and material requirements planning and the extent to which capacity planning sustains organizations’ competitive advantage.

Determining the extent of the relationship between capacity planning and capacity building and the steps towards developing a capacity plan to improve the profitability in the brewing sector have also produced several challenges and these lead to lack of gateways. It is these challenges that are to be addressed in this study.

The capacity planning problem of a brewing firm would make it have less output in the form of Lager beer, Stout and malt than is demanded by the present and potential customers. One of the numerous ways of solving this problem is to build a new brewery firm. This is a long term decision that will raise new issues of plant location, plant layout, selection and design of the product, selection of equipments and processes, production design of items processed, and job design. If these issues are not properly handled, performance will be negatively affected. This is why the topic on capacity planning and performance in the Nigerian brewing industry in the Southeastern States of Nigeria is apt.

1.3 OBJECTIVES OF THE STUDY

The thrust of the study is the effect of capacity planning on performance in the Nigerian brewing industry in Southeastern Nigeria.

The specific objectives of the study are as follows:

• To evaluate capacity planningand performance in thebrewing industry in Southeastern Nigeria.
• To assess capacity requirements planning and materials requirements planning.
• To ascertain the extent to which capacity planning sustains organisations’ competitive advantage.
• To evaluate the relationship between capacity planning and capacity building.
• To assess the steps toward developing a capacity plan and the profitability in the brewing firms in the area studied.

1.4 RESEARCH QUESTIONS

This research is designed to provide answers to the following questions:

1. To what extent does capacity planning enhances performance in the brewing industry in South Eastern Nigeria?
2. What is the nature of the relationship between capacity requirements planning and material requirements planning?

• What is the extent to which capacity planning sustains organisations’ competitive advantage?

1. What is the extent of the relationship between capacity planning and capacity building?
2. How do we assess the steps that could be used to develop capacity planning that would affect profitability in the brewing industry in the area to be studied?

1.5 RESEARCH HYPOTHESES

Five research hypotheses have been formulated to guide the study. They are as follows:

(i):        Capacity planning to a large extent does not enhances performance in the brewing industry in South Eastern Nigeria.

(ii):      There is no significant relationship between capacity requirements planning and material requirements planning.

(iii):     Capacity planning to a large extent does not sustain organizations’ competitive advantage.

(iv):      There is no positive significant relationship between capacity planning and capacity building.

(v):       The steps towards developing capacity plan that would not affect profitability in the brewing industry in South Eastern Nigeria are of the same order of magnitude.

• SIGNIFICANCE OF THE STUDY

This study will be of immence significance to the Shareholders, Board members, Manager and Stakeholders of brewing firms. It will also benefit officers of government, the public at large and future researchers in the following ways: Shareholders, Members, Managers, Stakeholder, Officers of  Government,The public and Researchers.

1.7 SCOPE AND DELIMITATION OF THE STUDY

The focus of the study is to determine the extent to which capacity planning enhances the performance in the brewing industry in the South Eastern Nigeria. The brewing companies were chosen across the major zones in south eastern Nigeria in terms of subject matter, methodology, spatial and data that best fits the study.

The geographical scope is South Eastern Nigeria, and the time scope of the study is 2 years from December 2010 to December 2012. The brewing firms studied are Nigeria Breweries Plc, Ninth Mile  Enugu, Guinness Nigeria Plc, Aba (former Dubic Breweries Plc), Premier Breweries Plc Onitsha and Continental Breweries Plc Awoomama.

1.8       LIMITATIONS OF THE STUDY

• Attitude of Respondents: Privacy of information and attitude of respondents were alo being constraints. Some of the respondents were reluctant at releasing the required information as a result of prejudiced opinion conceived by the study.
• The Survey Research Design: It had the limitation that some respondents were not willing to give answers to the probes. This limitation is minimized by persuading the respondents to give answers.
• The oral interview: Ithad the limitation that the interviewing situation may change from one situation to another especially if more than one field data collector is used. This limitation is minimized by the Researcher doing most of the field work.
• The Questionnaire Research instrument: It had the limitation that its structured nature compelled some of the respondents to give answers that they do not fully endorse. This limitation was minimized by also asking some open-ended questions in an oral interview schedule.
• The oral interviewschedule: It had the limitation that the open-ended questions asked were difficult to analyse. This limitation was minimized by also using relative frequencies as the numbers given over the total number of research instruments returned.
•  
• 1.9    PROFILES OF THE BREWING FIRMS STUDIED
• Historical Development of Nigerian Breweries
• Nigerian Breweries Plc (NBPLC) is the country’s pioneer factory. Incorporated in 1946, it commenced production in 1949. It started as a joint venture between the United African Company (UAC) International, UK and Heineken of Holland, Thus, at inception, it was 100 per cent foreign owned. By the early 1950s, when it began operating fully, some indigenous traders already involved with its products were invited to become shareholders. Under the indigenization policy of the early 1970s the foreign shareholders were forced to sell a significant proportion of their holdings. Today, the company is 60 per cent Nigerian owned and 40 per cent foreign owned. The 60 per cent Nigerian stake is held by company employees and members of the public, while the 40 per cent foreign ownership is split almost equally between CWA Holdings Limited (for Unilever) and Heineken Brouwerijen BV (Nigerian Breweries Plc, 2011).

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IMPACT OF INFORMATION AND COMMUNICATION TECHNOLOGY ON ORGANIZATIONAL PERFORMANCE OF BREWING INDUSTRY IN SOUTH-EAST, NIGERIA

CHAPTER ONE/INTRODUCTION

Background of the Study

Information Communication Technology (ICT) refers to a wide range of computerized technologies that enables communication and the electronic capturing, processing, and transmission of information. These technologies include products and services such as desktop computers, laptops, hand – held devices, wired or wireless intranet, business productivity software, data storage and security, network security etc (Ashrafi and Murtaza, 2008). With the use of ICT, businesses can interact more efficiently, and it enabled businesses to be digitally networked (Buhalis, 2003). With the use of ICT, the time constraint, and distance barrier to accessing relevant information is eliminated or drastically reduced hence it improves coordination of activities within organizational boundaries (Spanos, Prastacos & Poulymenakou,2002).

The rise of the information industry has gone hand in hand with the developments of the electronics industry. Since the Second World War this has been spearheaded by the USA and lately also by Japan. The year, 1983, the European Economic Community(EEC)has realized its growing dependence on the USA and Japan and it has initiated a major programme for the development of the information industry in Europe (Miller, 1984).

The term ICT originated as Information Technology (IT) until recently when it was thought that the communication component ought to be highlighted because of its significance. It was then that the concept transformed to Information and Communication Technology ICT (Olusanya and Oleyede, 2003).

The nature and scope of information and communication required by managers at different levels in an organization vary considerably. Organizations require different types of information and communication systems to meet their needs. Therefore, information is the result/product of processed data. Communication has to do with the process of the transfer of the information which is the processed data and the output of the data processing system from the sender to the receiver through a medium in the communication system (Nwachukwu, 2006).

Organizations are encountering significant changes in their business practices due to the emergence and widespread use of information and communication technologies (ICT’s) over the last two decades. In the early 2000s,businesses around the world were spending well over $2 trillion on information technologies per annum (Carr, 2003).

Since the early years of the 20th century, the world has been experiencing a revolution known as information technology. Some consider it to be the most fascinating development since the industrial revolution around the mid-18th Century (Tom, 1991). This revolution is changing our daily lives at home and at work, in shops and banks, in schools, colleges and universities. It is changing the way people think, communicate and behave. Today, the world has become a global village with the internet, mobile phones and satellite networks shrinking time and space, bringing together computers and communications; resulting in new ways of communication, processing, storing and distributing enormous amounts of information (Werthner and Klein, 2005). Advancement in chip, satellite, radio, and optical fiber technology have enabled millions of people around the world to connect electronically regardless of national or international boundaries. This explosion in connectivity is the latest and the most important wave in the information revolution (Evans & Wurster, 1997). The twenty-first century witnessed advances from an automation to an era of digitization (built on zeros and ones). It started with computer technology which changed from mainframe to personal computer to net personal computers. Along with these changes, there were changes in soft wares. As network started, there was a convergence of telecommunication with computer. The nature of data transmission using telecom and subsequent development of wireless phone and mobile has revolutionized the information processing system (Gupta, 2007).

Similarly, there is a shift in business models to move beyond automation to innovation. The potential of information system (IS) is to exploit the power of people’s creativity. O’brien (2008) suggests the cascade model in the evolution of information management. The adoption of (ICT) consists of a series of jumps.Emerging economic trend is based on several layers such as social organization, entrepreneurship, knowledge creation, workforce skill sets, infrastructural tools, and natural resources. The important change in the third industrial revolution is occurring in retailing. It is moving from national to global and this transition is more turbulent than earlier industrial revolutions.

Today’s business environment is very dynamic and undergoes rapid changes as a result of technological innovation, increased awareness and demands from customers. Business organisations, especially the manufacturing industry of the 21st century operate in a complex and competitive environment characterized by these changing conditions and highly unpredictable economic recession. ICT is at the centre of this global change curve. Laudon and Laudon, (1991) contend that managers cannot ignore Information Systems because they play a critical role in contemporary organisation. They point out that the entire cash flow of most fortune 500 companies is linked to Information System.The application of information and communication technology concepts, techniques, policies and implementation strategies to any organisation has become a subject of fundamental importance and concerns to all organization and indeed a prerequisite for local and global competitiveness. ICT directly affects how managers decide, how they plan and what products and services are offered in the manufacturing industry. It has continued to change the way manufacturing firms and their production are organized worldwide and the variety of innovative devices available to enhance the processes and quality of product delivery.

Information and Communication Technology has been defined as “a broad based technology (including its methods, management and application) that supports the creation, storage, manipulation and communication of information” (French, 1996). Therefore, Information and Communication Technology has found its niche in every sphere of Nigeria’s polity.

Nworgu (2007) states that ICT industry appears to be making significant in road into the Nigeria society. Prior to 1999, ICT resources and facilities were grossly limited in the country. Only very few wealthy Nigerians had access to these facilities and services. Internet facilities and services were rare to come by and the facsimile (ie. Fax) remained for a long time, the only means available to Nigerians for transmitting and receiving data or documents to other parts of the world. Public awareness of ICT and its application was low.

A significant milestone in the development of the ICT industry in the country is the formulation of a National Information Technology Policy (NITP), which was approved in March, 2001 by the Federal Executive Council. With the enactment of this policy came the establishment of an implementing agency-the National Information Technology Development Agency (NITDA) in April 2001. This agency is charged with the responsibility of implementing Nigeria’s IT policy “as well as promote the healthy growth and development of the IT industry in Nigeria (Isoun, 2003).

The brewing of beer is one of the oldest applications in biotechnology; the oldest historical evidence of formal brewing dates back to about 6000 B.C. in ancient Babylonia. It was only at the end of the 19th and the beginning of the 20th century that brewing evolved to an efficient and well-controlled bioprocess. Increased understanding of brewing fermentation kinetics and mechanism led to design of new accelerated fermentation methods, which incorporate improved batch bioreactors ranging from open, relatively shallow tanks to large cylindroconical fermentors. Furthermore, advances were made in development of continuous beer fermentation processes attractive for many advantages, which continuous mode of operation offers as compared to batch operation such as greater efficiency in utilisation of carbohydrates and better use of equipment (Ronnie, 2000)

Since the beginning of the 20th century, many different systems using suspended yeast cells have been developed. The excitement for application of continuous beer fermentation led to development of various interesting systems especially during the 1950 and 1960’s. These systems can be classified as: (i) stirred versus unstirred tank reactors, (ii) single-vessel systems versus systems consisting of a number of vessels connected in series, (iii) vessels which allow yeast to overflow freely with the beer (“open systems”) versus vessels which have abnormally high yeast concentrations (“closed” or “semi-closed systems”) (Hough, Briggs, Stevens, and Young,1982).

However, these continuous beer fermentation processes were not commercially successful due to many practical problems, such as increased risk of contamination (not only during fermentation but also during storage of wort in supplementary holding tanks required for usually batch upstream and downstream brewing processes), variations in beer flavour and poor understanding of the beer fermentation kinetics under continuous conditions (Ronnie, 2000). One of the well-known exceptions is successful implementation of a continuous beer production process in New Zealand by Morton Coutts (Dominion Breweries) still in use today (Hough, Briggs, Stevens, and Young,1982).

The Nigerian breweries industry has evolved over the years from mere production of bottled drinks to a diversified industry. The industry is a large segment of the food and beverages sub-sector currently accounting for half of the growth in the manufacturing sector, which grew 22 per cent in 2013 as against 14 per cent in 2012. Specifically, the food and  beverage sub-sector’s growth accelerated to 12 per cent in 2013 as against 7 per cent in 2012.The industry, which has now become a major growth driver of the economy is currently growing faster than the telecommunications, oil and gas and agricultural sectors (Aderinokun, 2015).

In terms of the contribution to the gross domestic product (GDP), the manufacturing sector represents nine per cent of GDP in 2013 as against the four per cent in the preceding year. The improvement in the manufacturing sector was attributed mainly to the activities in the food and beverages sub-sector, which has the breweries industry playing a significant role (Aderinokun, 2015).  The principal activities of the breweries industry include the production, packaging and sales of alcoholic and malt beverages. It has two players dominating its landscape namely Nigerian Breweries Plc and Guinness Nigeria Plc but there are others that are playing on the fringes. But SABMiller, a South African brewery giant, has joined the market with its  acquisitionof International Breweries in 2012. SABMiller has a strong track record of building market share as a new entrant, and appears happy to be a loss leader to gain a dominant position in the Nigerian market (Aderinokun, 2015).

The brewery industry is highly capital intensive and this accounts for the reason why the ownership structure is either public and/or state-owned with/without foreign partnership. The technology for the industry, spare parts and expert technicians are not available in the country and therefore highly dependent on foreign exchange. Guinness for example has Diego of Ireland as its foreign partner (Nigeria Breweries, 2016).The ban on importation of barley in 1987 necessitated the industry to settle for local substitute of maize and sorghum as raw materials for its production. The resultant plant conversion to accommodate the new raw material input-mix cost Nigerian Brewery a whopping sum of 100million naira! (Nigeria Breweries, 2016).One of the major challenges facing the industry is the maintenance of equipments and machinery. The players commit huge financial resources in technology and upgrades in order to remain competitive (Nigeria Breweries, 2016). Against the above background, this study seeks to investigate on the impact of Information Communication Technology on organizational performance of brewing industry in South East, Nigeria.

1.2 Statement of the Problem

Managers in brewing industry in Nigeria are scared of losing their jobs due to the advent of information communication technology. Nevertheless, Information communication technology when properly implemented in an organization brings about increase in productivity, profitability, market share and easy flow of information, effective production delivery services to customers.

However, one of the major challenges facing the industry is the lack of maintenance of equipment and machinery which affect production, low market share due to importation of raw materialand exchange rate. These challenges have lead to the closure of quite a number of the smaller firms in the early 2000 in South East, Nigeria leaving only the large firms with strong financial base. Also, problem of organizational information and communication processes on shareholders’ welfare, lack of ICT systems of production and operations management on organizational growth, the problem ofthe rise on ICT on profitability in the brewing industry and poor Information Technology applications and problem of absence of well-trained ICT staff.

However, studies have been carried by prior researchers and this study identifiedthat studies carried out where having a small sample size and related studies that were carried out, dealt on an aspect of ICT and organizational performance, this will not reflect the true life situation currently. Consequently, there is still paucity of information on impact of ICT on organizational performance in the brewing industry in South- East, Nigeria.Therefore, this study seek to address this gapby ascertaining the impact of Information and Communication Technology on Organizational Performance of Brewery Industry in South-East, Nigeria.

1.3       Objectives of the Study

The broad objective of this study is to ascertain the impact of Information and Communication Technology on Organizational Performance of Brewery Industry in South-East,Nigeria. The specific objectives of the study are to:

1. Determine the impact oftechnology on productivity level in brewery industry in South-East, Nigeria.
2. Assess the extent to which organizational information, communication and technical knowledge impact on market share of brewery industry in South-East, Nigeria.
3. Assess the extent to whichorganizational information and communication processes impact on shareholders’ welfare of brewery industry in South-East, Nigeria.
4. Ascertain the extent to which ICT systems impact on organizational growth of brewery industry in South-East, Nigeria.
5. Establish the extent to which the rise of ICT impact on profitability of brewing industry in South-East, Nigeria.

1.4       Research Questions

This study was guided by the following questions:

1. To what extent does technological growthimpact on productivity of brewery industry in South-East, Nigeria?
2. To what extent doesorganizational information, communication and technical knowledge impact on market share ofbrewery industry in South-East, Nigeria?
3. To what extent doesorganizational information and communication processes impact on shareholders’ welfare of brewery industry in South-East,Nigeria?
4. To what extent doesICT systems impact on organizational growth ofbrewery industry in South-East, Nigeria?
5. How doesthe rise of ICT impact on profitability of brewery industry in South-East, Nigeria?

1.5       Research Hypotheses

The Five hypotheseswere formulated to guide the study

1. Technology has a significant positive impact on Productivity of brewery Industry in South-East, Nigeria.
2. Organizational information, communication and technical knowledge has significant positive impact on market share of brewery industry in South-East, Nigeria.
3. Organizational information and communication processes have positive impact onshareholders’ welfareof brewery industry in South-East, Nigeria.
4. ICT Systems have significant positive impact on organizational growth of brewery industry in South-East, Nigeria.
5. The Rise of ICT has a significant positiveimpact on Profitability of brewery industry in South-East, Nigeria.

1.6       The Scope of the Study

The focus of the study is to investigate on the impact of Information Communication Technology (ICT) on organizational performance of brewery industry in South East, Nigeria.The Area scope include the dependent and independent variables, under the dependent variables are organizational performance:productivity, market share, shareholders’ welfare, organizational growth and profitability andindependent variables are ICT:technology, organizational information, communication and technical knowledge, organizational information and communication processes, ICT Systems, and Rise of ICT.

The geographical scope is in South East, Nigeria and organizations studied include Nigerian Breweries Plc Enugu, Guinness Breweries Plc Aba, Hero Breweries Plc Onitsha and Continental Breweries Plc Awoomama Imo State. The time scope is between two years.

1.7       Significance of the Study

This study is significant because it will generate information on the analysis of the impact of Information and Communication Technology (ICT) on organizational performance of Brewery Industry in South-East, Nigeria.

The study will help treat and improve some existing theories on ICT as itapply to any organizations. It will also become a vital and integral part of every business plan .It will also help organizations to improve the way they design and manage customer relationships.

The significance of this research work is immeasurable both to the practitioners, office professionals, chief executives, personnel managers, the management of the organizations and the public at large. It is expected that the findings and recommendations of the study will guide the area of study to consider introducing information technology for their office professional efficiency and other human resources departments for effective administration of personnel matters.

The study will be useful to student who may wish to write or make some research on a similar or related topic using this as a point of reference and to reorient them towards their profession, future research or practical endeavors. It is also hoped that the findings of this study will contribute to the existing body of knowledge and information in the area of research.

1.8       Limitations of the Study

The study experienced an initial slow response from the respondents who were mainly busy workers of the brewery firms, but this was mitigated by having constant follow up on phones and the physical visits to the respondents’ offices.  Another limitation of this study was that most of the brewery firms considered some information confidential and hence could not be willing to reveal them and it affected the analysis of the oral interview schedule. The study however overcame this limitations by having a letter of introduction from the university to assure the respondents that the information provided would be used for academic purpose only and would thereby treated with confidentiality.

1.9       Operational Definition of Terms

The following terms below were defined as they were used in the study

ICT:    Information andCommunication and Technology is the activities that border on processed data (information) and transfer of the information from the sender to the receiver (communication) and the totality of the technical systems involved adding electronically, commercial

Organizational Information, Communication and Technical Knowledge: Organizational Information, Communication and Technical Knowledge is the processed data and its transfer from the sender to the receiver all done electronically to acquire an understanding and information got by a group of people who have come together, connected with the practical use of machinery and methods

TABLE OF CONTENTS
Declaration i
Approval ii
Dedication iii
Acknowledgements iv
List of Tables vii
Abstract viii

CHAPTER ONE: INTRODUCTION
1.1 Background of the Study 1
1.2 Statement of the Problem 7
1.3 Objectives of the Study 8
1.4 Research Questions 9
1.5 Research Hypotheses 10
1.6 Scope of the Study 10
1.7 Significance of the Study 11
1.8 Limitations of the Study 12
1.9 Operational Definition Terms 12
1.10 Profile of the Organizations Studied 14
References 19

CHAPTER TWO: REVIEW OF RELATED LITERATURE
2.1 Conceptual Framework 21
2.2 Theoretical Framework 61
2.3 Empirical Review 70
2.4 Summary of Reviewed Related Literature 78
2.5 Gap in Literature 79
Reference 81

CHAPTER THREE: METHODOLOGY
3.1 Research Design 88
3.2 Sources of Data 88
3.3 Population of the Study 89
3.4 The Sample and Sampling Technique 89
3.5 Description of Research Instrument 91
3.6 Method of data Analyses 92
3.7 Validity of Instrument 92
3.8 Reliability of the Research Instrument 92
3.9 Decision Rule 93
References 94

CHAPTER FOUR: DATA PRESENTATION AND ANALYSES
4.1 Data Presentation 95
4.2 Test of Hypotheses 106
4.3 Discussion of Findings 113

CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND
RECOMMENDATIONS
5.1 Summary of Findings 116
5.2 Conclusion 116
5.3 Recommendations 117
5.4 Contribution to Knowledge 117
5.5 Suggestions for Further Studies 118
Bibliography 119
Appendices 127Download Full Material-N5000