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This research work is titled Management Problems of Public Enterprise in Anambra State (A Study Of PHCN in Nnewi District). The purpose of this study is to examine the management problems District, to identify ways government tackle the problem of PHCN Nnewi District, to examine if the solution of these problems can help PHCN district to improve their management of PHCN Nnewi district has been outlined as follows: king system of funding, low government participation, lack of raw materials and lots of other factors such as ethnicity problem etc. the source  of data used for this research are both primary and secondary source. Primary source was collected through administered questionnaire which data from secondary source came through firms record, textbooks, journals and other publications. The survey research of this work was based on data collected through primary and secondary sources of data, the population used is 246 and the sample size is (152). The findings base on this study are as follows: lack of adequate training of staffs, non-payment of salaries and mismanagement of funds. Based on the recommendation of this study it is stated below management should be given some means of authority in taking quick routine decisions management should initiate new plans that are necessary for the  successful  operations of the company.














Title Page                                                                                                                 i

Declaration                                                                                                              ii

Certification                                                                                                            iii

Approval Page                                                                                                        iv

Dedication                                                                                                                v

Acknowledgements                                                                                                vi

Table of Contents                                                                                                 vii

Abstract                                                                                                                  viii



INTRODUCTION                                                                                                   1

  • Background to the Study 1
  • Statement of the Problem 4
  • Research Questions 6
  • Purpose of the Study                                     6
  • Significance of the Study 7
  • Scope of the Study 8
  • Limitations of the Study 8
  • Definition of Terms 10
  • Organization of the Study 12




2.1     Literature review                                                                                           13

2.2     Theoretical Framework                                                                                39






3.1 Research design                                                                                                 43

3.2 Area of the Study                                                                                               44

3.3 Population of the Study                                                                                    44

3.4 Sample and Sampling Techniques                                                                  44

3.5 Methods of Data Collection                                                                             45

3.6 Instruments for Data Collection                                                                      47

3.7 Reliability of the Instrument                                                                            47

3.8 Validity of the Instrument                                                                                47

3.9 Distribution and Retrieval of Instrument                                                        48

3.10 Methods of Data Analysis                                                                              48





4.1 Data Presentation                                                                                              49

4.2 Analysis of Research Questions                                                                      50

4.3 Interpretation of Results                                                                                   60






5.1 Summary of findings                                                                                        61

5.2 Conclusion                                                                                                         65

5.3 Recommendations                                                                                             67

References                                                                                                    68

Appendix  A                                                                                                 70

Appendix B                                                                                                  71







      In any developing economy the government is the main intiator and promoter economic development especially in Nigeria. In developing countries government usually in which the private sector cannot perform, according to Abubaker (2006) in order to facilitate the federal government has instituted and made use of much public enterprise over the years.

It would be recalled however that in the fifties and sixties, agriculture was the main stay of the Nigerian economy. The early seventies earned for Nigeria a lot of revenue including revenue from all level that was never anticipated. This new dimension got government involved more with widely diversified investment in areas that span both the traditional public sector and exclusive private sector business. As a result of this development include oil, agriculture that was the main stay of our economy was later given less attention owing to this circumstance, the government investment were sponsored mostly by the oil revenue. The oil boom era (2004 – 1979) has been described as the golden era for public investment.

The government invested in over 30 parastatals and companies within this period. Most of them have been unprofitable some cannot even meet their operating costs and have depended on government subvention for their years to years survival. Public corporations in Nigeria have been considered ineffective it who the profit criterion. Kindleberger (2006) however Hinks that this not a fair judgement economic activities, it is usually not appropriate to use the performance standard of the private sector they are the objective of private business is service to the society or promotion of general welfare Olisa (2005) said that prior to independent and after Nigeria was failed objectives there was no well destined capitalist class that could operate the mach need development through their productive and industrializing activities. The civil service as that time was in appropriate for accelerated development and the country was saddened with the problem of running many businesses.

These parastatal are established out side the civil services and this allows for greater freedom of action quicker decision making which will promote them efficiency and effectiveness. These corporations are managed through government appointed officials who could utilize the profits accruing from their operation in catering for the public interest (Onwndum 1970). (Ugwu 199) said that in Nigeria, it is very unfortunate that government have rapid development and this is because the management of these enterprise have constituted the bane of these enterprises.

Most of them failed to meet people’s expectation in terms of provision of goods and services and development in general. The commercially oriented ones neither make profit nor even sustain themselves. All efforts by successive government yield no positive result despite various commissions of inquiring and review parties.

The performance of these enterprise still fall shorts of people expectation. It is based on this that the researcher finds the needs to investigate these problems in power holding company of Nigeria (PHCN).


It is important to note that public enterprises in any given economy has important role to play in the rapid socio-economic development of the country.

Government owned enterprise and business in Nigeria are established to accelerate the pace of economic development in which government is the major investor. Due to the important roles associated  with the major public  enterprise in Nigeria. There is need for good management for efficiency. It is a fact that government spends larger sums of money in setting up these enterprise and this look forward to making profit. As a result of inefficiency in running these enterprise, federal government and state government have in the recent past set up committee which studied the public corporation and parastatals and recommended privatization and commercialization of some of these enterprise. These enterprise perform so poorly than privately owned business.

It is based on this that the researcher purposely carried out an investigating, to this problem using Enugu Electricity Distribution Company (EEDC) Nnewi District as a case study.

Since public enterprise are important in growth of any economy, there is the need to investigate the problems of public enterprise in Nigeria? Also there is need to identify the reason for criticism leveled against them. Despite the enormous investment in public enterprise, is Nigeria obviously not getting good value for the money being spent or invested on these public enterprises? This gives the decision to this research on management problem of public enterprises in Nigeria using PHCN as a case study.


  1. How can management proficiency be determined in public enterprises?
  2. Can the government tackle the problem of the management of public enterprises in Nigeria.
  3. In what ways could the solution of these problem helps PHCN to improve in their management functions
  4. What impact could it create in the transformation of PHCN production.


This study is aimed at the management problems of

public enterprise in Enugu state who a view to identifying those problems and therefore coming up view solutions to them as related to the a aforementioned corporation. This study aims to:

  1. a) Identifying some of management problem falling the pubic enterprises like in adequate infrastructural facilities etc.
  2. b) Examining the influence of the problems on the corporation in particular and state as a whole.
  3. c) Identify if there is any impact of government interference on their performance.
  4. d) Giving recommendation based on the findings of the study and suggesting suitable ways and strategies of improving the managerial efficiency.


In third world countries public enterprises are noted for their inefficiency and waste of resources. To same the situation, an inquiry is needed in his sector of our economy especially at this time of economic difficulties falling the country.

The country cannot afford to encourage or entertain any kind of economic waste in our public enterprise since if efficiency is maximized it will definitely have a positive effect on the improve standard of living of the general public. This is the significance of this study. It is hoped that the study of the management problem in the public enterprises in Owerri (PHCN) will help management sort some managerial problems so that both workers and organization will benefit, and public enterprises will achieve more in future.


The essence of this research work is to study  management problems of public enterprise in Nigeria. The research intends to focus on the of PNCN in Nnewi district.


     In the course of writing and carrying out this project work, the research encountered many difficulties; some errors in the results of the research and from external sources of data collection. These are factors  standing as constraints thereby limiting the effect of the research result. These problems include:

Time Factor: There was no enough time to gattier all the necessary information relating to the study because the researcher has to combine the research work with other curricular activities.

Financial Constraint: The low financial capacity of the researcher also restricted the area of the study.

Attitude of Respondents: some respondents complain of time and not detail their responses and others not available during the researcher visits. And others were indifferent about the topic and could not give constructive opinion.

I was able to overcome these challenges by effectively using the little time at my disposal, soliciting for funds from well wishers, I was able to overcome the attitude of the respondents meeting of with prominent individual in the society.



WARE HOUSE:  A  warehouse is  a commercial building for storage of goods warehouse, are used by many factors, customs, importers and exporters, whole sales, transport business etc. they are usually large plan building in industrial part of town they come equipped who coaling folks to loud and an load tracks or sometimes our loaded directly from railways airports or seaports.

They also often have cranes and fore lifts for morning goods.

MARKETING: Is the process by which term applied to the craft or musing the producer or service who customers both existing and potential it provides any direction to some are hoping with that a more modern explanation of what marketing is and what makes it effective. Marketing is four step process that begins with analyzing and defining a qualified universe of potential users of buyers.

CONSUMER MARKET: The consumer deals with the last final customer  who buys the product or their aim satisfaction for personal use or student consumer, you could possibly be a member of the markets of the market brand name clothing  and shoes, collage book, backpacks newspaper and bicycles. The consumer market collers a wide variety of people of different ages, tender race and etc. as long as they also the end user of product.

ENTERPRISE MANAGEMENT SERVICE: This provide complete life cycle and configuration management of enterprises assess through an integrated toll suite  we provide cradle to grave service utilizing  a suite of product for standardized  repeatable processes for procurement. The enterprise management service data base provides the enterprise resources for continually assessing and improving customer service.

SALES: sales can be define as an exchange of goods or services for currency or credit.


This research work is organized in five chapters, for easy understanding, as follows. Chapter one of this study contains introduction, which includes the background of the study, statement of the problem, purpose of the study, research questions, significance of the study, scope of the study, limitation of the study, definition of terms and organization of the study. Chapter two, the literature review is a text of a scholarly paper which includes the current knowledge, substantive findings on this project topic. It establishes as a link between the theoretical framework provides the background that supports the investigation and offers the reader a  justification for the study of this research problem.

Chapter three, this involves the research methodology, research design, area and population of the  study, sampling techniques, method of data collection, instruments  for data collection, reliability and validity of the instruments distribution and retrieval of instruments and finally method of data analysis.

Chapter four, this contains the discussions (analysis) supported with data gathered from both primary and secondary sources.

Chapter five, this contains the summary., the conclusion and the recommendations.



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