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The growth  and development of any nation is  always the major concern  of every government many policies are put in place especially in government  owned establishment .  all these are  with  a  view  to improving the economic well-being of both the nation and its   general populace However,  a visit to any of the government establishment will convince  one   that, there is room for improvement as  there   is a lot of existing   problem ranging  from lack of managerial know lower levels of the management  .  resources are poorly  utilized, while organizational polices act as  deterrent rather than facilitators of decisions making. In most cases, delegation of responsibilities    with  commensurate authority be withheld , is observed. it is therefore, in  the light of  the foregoing that  the interest of the researcher to embark on this study is stimulated. The aim  is  to find out the causes of these problems,  effect  and suggest solutions  there  to, with ENTRACO.









Title  Page                                                             ii

Approval  Page                                                       iii

Dedication                                                             iv

Acknowledgement                                                   v

Abstract                                                                vi

Table of Contents




  • Background of the study 1

1.2   Statement of the problem                                  3

1.3   Objective or purpose of the study                        6

1.4  Research Questions                                          7

1.5  Scope of the study                                           8

1.6  Significance of the study                                    8

1.7  Limitations of the study                                     10

1.8  Definitions of Terms                                         11



Literature Review

2.1 Concept of Managements                                    12

2.2 Principles of Management                                    15

2.3  Functions of Management                                  17

2.4  Roles Of Management                                       22

2.5  Historical Enugu State Transportations Company   27

2.6  Services Rendered by Enugu State Transport Company (ENTRACO), Enugu                                              28


3.0 Research Methodology                                        29

3.1 Design of study                                                 30

3.2 Sources of Data                                                 30

3.3 Population of the study                                       31

3.4 Sample and Sampling  Procedure                          32

3.5 Instrument for Date Collection                             35

3.6 Validation of the Research Instrument                   36

3.7 Method of Data Analysis                                      36



4.0 Data Presentation and Results                             38

4.1  Presentation and Analysis                                38



5.0 Summary of Findings, Conclusion and Recommendation

5.1 Summary of Findings                                         52

5.2 Recommendations                                             54

5.3  Conclusions                                                    54











Some people have defined management as the act of thinking and doing.

Lenin has described management as the extraordinarily simple operations of watching, recording and issuing receipts within the grasp of anyone who can read and write and knows the first four rules of arithmetic” Breech, while defining administration defined   management as “a social process entailing responsibility for the effective, and economic planning and regulation of the operation   of an enterprise in fulfilment of a give purpose or task, such responsibility involving:

  1. Judgement and decision in determining plans, and the development of data procedures to assists control of performance and progress against plains. The guidance, integration, motivation and supervision of the personnel comprising the enterprise and carrying out its operations, Management is a persuasive profession but effective managers are scarce resource in establishment especially government owned ones. It is the ability to know management from its roof, grasp the essentials and practice it that differentiates management from damagers. A visit to any of the government establishment will convince one of a clear lack of  managerial know how in such establishment, areas of discipline, authoritarian, leadership reign supreme, so much that the situation gets worse as one gets to the lower levels of the organizational hierarchy. In this case, organizational policies tend to act as deterrent rather than facilitators of decision making.

In most government owned establishment the government stand has always been that of entrepreneurial functions instead of managerial. It is on this note therefore, that this project because necessary to investigate   the  cause, effects  and possible solution  to the problem  associated with the effectiveness of management in  government  owned  establishments  as a case study, Enugu State Transport Company (ENTRACO))  Eungu is  selected  for the study.



Since the research is on the problems of effective management in government owned companies. The research took an in-depth look at the problems militating against effective performance in government owned companies, before narrowing down to Nigeria coal corporation, Enugu.

Some of the problems of government owned companies high lighted in this research work are:-

  1. Government does not have the mechanism to manage companies. In government procedures appears more important than result and discretion appears limited
  2. In government owned companies nobody wants to take the bame for a mistake

Consequently executives of government owned companies usually take minimal asks for fear of having to explain to the ministry as bold decision that has not worked out well.

  • Government owned companies follow government employment policies like salary awards, special grades for certain categories of labour etc. irrespective of productivity and whether or not such a policy is appropriate.
  1. The idea of “government owned” in Nigeria corrayes inefficiency and mediocrity.

Suppliers immediately refuse them normal good business dealings like credit facilities and are afraid of the constant charges that occur in such companies.

It id in the opinion of the researcher that where this problems are taken note of the recommendation in this research work adequately carted for in planning g there is no doubt management of government owned companies will realize or achieve its predetermined mission, goal and objectives on time.

This is purely what effectiveness and efficiency of management are all about.

It is, therefore, in the light of the foregoing problem that aroused the interest of the researcher to embark on a research study with a view to finding the cause effects and possible solution thereto




The purpose of this study is to find out the problems of managing government owned business enterprises using Enugu State Transport Company (ENTRACO)) Enugu

The objectives of this research work also include

  1. To identify the problems of managing government owned business enterprises.
  2. To serve as resource  information  or  signal to government in its efforts to  revamp its own  establishment
  3. Identifying the come problems that have been hindering operational effectiveness and efficiency in the establishment.
  4. To look at the contributions of appointment to the executive positions in the organization and seek remedies where appropriate.
  5. Finally, to proffer suggestive solutions to the problems of effective management where necessary.

The research questions of this research work include:

  1. What problems of managing government owned business enterprises?
  2. Do you think that there is need to serve as resource information or signal to government in its efforts to revamp its own establishment?
  3. What are the problems that have been hindering operational effectiveness and efficiency in the establishment?
  4. What are the contributions of appointment to the executive positions in the organization and seek remedies where appropriate?
  5. Whether suggestions to the problems of effective management where necessary is essential?


The study on the problems of managing government owned business enterprises using Enugu State Transport Company as the focus.


The study has a lot of significance in that it represents a symbol of academic achievement as having contributed to the already record of research in business studies.   In addition the study shall be useful to the colleagues of the researcher and   the entire students in the field of as they shall resort to it their various research works on the same topic of study in future.

The research shall be relevant to public administration in general and administrators in various ministries and departments as it shall assist them in carrying out their managerial duties.

If management of government owned –establishment is effective, it will reduce the effect of untold hardship on the efficiency of management in such organization.

Finally, students will benefit from this study as it will serve as a source of information to them. Also the Enugu State Transport Company (ENTRACO)) Enugu will the   research work very useful.



In the course of accomplishing this study, the researcher was faced with the following problems:

  • Difficulties in Collection of Data: The researcher had limited access to official records and statistical data relevant to this work.
  • Finance: There was no fund to facilitate on the issue of travelling around for further research to the ENTRACO offices within Enugu metropolis.  Besides, there was high cost of transportation.  This resulted to a barrier in research movement.
  • Time: The researcher found it difficult to combine the research work with academic work such as assignments, exams, etc due to their constraints.




ENTRACO: Enugu State Transport Company

Some of the terms used in the research work are thus defined (for proper understanding) as follows?

Business Strategies: it is board principle by which a business unit expects to achieve it’s business objectives in a target market. It cloud be defined as game plan business managers has for has for positioning the company in it’s chose marketing area competing successfully, pleasing customers, and achieving good business performance.

Commercial: this is derived from “commerce” it is act of having or showing a desire to make a big profit without regard other consideration.

Service: any work carried out for others by an individual or group of individuals without transfer of goods is called service.


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