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AN ASSESSMENT OF COST PERFORMANCE AND ACCOUNTABILITY-IN-PRIVATIZED-PUBLIC ENTERPRISES-IN-NIGERIA

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AN ASSESSMENT OF COST PERFORMANCE AND ACCOUNTABILITY-IN-PRIVATIZED-PUBLIC ENTERPRISES-IN-NIGERIA



TABLE 0F CONTENT

Title page 1
Approval page 2
Certification 3
Dedication 5
Acknowledgement 6
Table of content 7
Abstract 11

CHAPTER ONE

1.0 Introduction 12
1.1 Background of the Study 12
1.2 Statement of problem 16
1.3 Research questions 17
1.4 Objective of the study 18
1.5 Statement of hypothesis 18
8
1.6 Significance of the study 19
1.7 Scope of the study 20
1.8 Limitation of the study 20
1.9 Definition of key terms 21

CHAPTER TWO

2.0 Introduction 24
2.1 Literature review 24
2.2 The nature and concept of public enterprises 24
2.3 Performance of public enterprises in Nigeria 28
2.4 Problems of public enterprises in Nigeria 35
2.5 Public enterprises privatization in Nigeria 41
2.6 Concept of privatization 52
2.7 Types of privatization 55
REFERENCES 57

CHAPTER THREE

3.0 Introduction 59
3.1 Research Questions 59
3.2 Source of Data 60
9
3.2.1 Primary source of data 60
3.2.2 Secondary source of data 60
3.3 Area of Study 61
3.4 Population of the study 61
3.4.1 Sampling design and technique 61
3.5 Instrument of data collection 63
3.6 Reliability of the test Instrument 63
3.7 Validity of the research instrument 63
3.8 Method of data Analysis 64

CHAPTER FOUR

4.0 Analysis of data and testing of hypothesis 66
4.1 Data presentation and analysis 66
4.2 Test of hypothesis 73
4.3 Tabulating the result 84
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CHAPTER FIVE

5.0 Summary, Conclusion and Recommendation 86
5.1 Summary 86
5.2 Conclusion 87
5.3 Recommendation 88
BIBLIOGRAPHY 90
APPENDIX I 93
APPENDIX II 94
11

Abstract

Despite an impressive level of privatization activity across Africa and the upsurge in search of the operating performance of privatized firms in both develop and developing economies, our empirical knowledge of the privatization program in Africa is limited. The purpose of this study is to appraise the post privatization cost and operating performance as well as accountability of some privatized public enterprises in Nigeria. A survey research design was adopted for the study, sixty five internal audit and thirty five accounting.

Totally one hundred was randomly sampled and stratified among the staff of Oando plc Enugu state. Three research questions and hypothesis tested at 0.05 percent level of significance guided the study. Frequencies, percentages, mean and standard deviation were employed to answer the research questions while Z-test statistics were used to test the hypothesis. It was found that privatization of unipetrol has led to efficient and improved cost performance, and proper accountability to share holders. We conclude and recommend among others that effective cost performance and proper accountability to share holders is very necessary in privatized public enterprises and that government should prive the entire necessary enabling environment for the privatized company to carry out their activities without unnecessarily increasing their cost.
12

CHAPTER ONE INTRODUCTION

1.1 Background of the Study
Privatization of state-owned enterprises has become an important phenomenon in both developed and developing countries. Over the last decade, state-owned enterprises (SOEs) have been privatized at an increasing rate, particularly in developing countries (DCs). Privatization has become an important phenomenon in both developed and developing countries. Over the past decade, privatization attempts have been occurring at an increasing rate, especially in developing countries. The compound annual average growth rate was around 10% between 1990 and 2000, with global privatization revenues jumping from $25 billion in 1990 to $200 billion in 2000. The number of countries that have implemented privatization policies has exceeded 110, not to mention that privatization has touched almost every aspect of economic activity (Shadeh, 2002).




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