CRISES  MANAGEMENT IN AN ORGANIZATION.

(A CASE STUDY OF ANAMMCO PLC EMENE ENUGU)

CHAPTER ONE

INTRODUCTIONS

GENERAL BACKGROUND OF THE STUDY

Industrial /organizational crisis constitute a very important component of the industrial relations system. They can be seen as any disputes between employers and worker or between workers and workers, which is connected with the employment or terms of employment and deployment or terms of work. They involve the pursuit of incompatible on at least seemingly incompatible goods by two or more parties so that gains for one party result in loss for the other.

          Organizational crisis are usually more exciting to observers and so invariably attract greater attention and comment than peace. As a result in all countries, news papers contain more reports about labour disputes than labour harmony.

Keller 1954 holds two views concerning industrial conflict or crises. The harmony. Relation view: holds that conflict is unavoidable and only occurs because of abnormality in a stable and well integrated organization which has restore a natural homoeostasis while the other realistic view: hold that crises is inherent in any human encounter. It performs an integral part in any dynamic social system and is necessary element of change. 

Dispute is the essence of industrial relations because the structural features of organization necessarily result in tensions among persons on different strata. The industrial relations system consists largely of maintaining a balance among these tensions in the interest of pressuring a going enterprise.

Organizational crisis are of the most part normal  and even necessary; They  have both advantages and disadvantages for the  enterprise, demands by worker forces management to search for efficiency or for new market in order to meet new demands.

On the other hard, demand which impair the efficiency of the enterprise or result in an unacceptably higher costs to the customer, threaten the enterprise’s future. For the society as a whole workers demands have been an engine for social porgies brining shorter working how’s, longer holidays, better working conditions and many other improvements over the years. But the welfare of society also may be adversely affected by productivity where prices are forced up or efficiency excessively lowered and by the inflationary effects of increase in labour costs not covered by increase productivity.

Although crises are an element in the maintenance of equilibrium in industries comes abnormal, dysfunctional or pathological. Examples include crises accompanied by pervasive violence and disputes which results in major economic and social disorganization of a community.

In the cost majority of industries, the sources of disputes are to be found in tensions innate to the industrial relations system. Studied have shown that where people work together in an enterprises many interests are to be found, some shared, some not. The employer wants the operations to be a successful as possible whether judged by profit, non –profit or other measures of efficiency. The needs to keep his labour costs reasonably commensurate with those of his inspires managers and supervisors, but in addition they have other interests of their own as also the employees.

On the worker’s side their diverse interests maximizing wages and improving the condition under which they supply their labour, ensuring the securing of their job. Fair treatment from their managers, avoiding any unduly tough work place, belonging to congenial work groups and working in a sate and reasonably pleasant environment.

In addition, all staff in the enterprise may have outside interests, which affect their life within it. For example, work may share common objectives with comrades elsewhere through their trade union or even under aims through political movements, which influences their conduct at work. Their interests may conflict with the achievement of enterprise goals set by management.

1.2    STATEMENT OF PROBLEM

          In view of the fact that an employee spends the greater part of the day in his place of work and most active vigorous part of his life as a workman, it is pf permanent importance’s that working conditions should be healthy, convenient and attractive, that the work itself should be as interesting as possible and that relations among the employees themselves and between employees and management should be cordial and co-operative and not confrontational.

 It is in this context that we should identify the necessary skills for the effective management of industrial /organizational crises. It is the contention of this research work that for management of industrial crises to be effective, management and workers union must be knowledgeable about the organizational process that impinge on the workers and must be able to diagnose the environment of employees. This can be achieving through the power of information. Information can be even more important than the traditional tangible resources because rational problem solving and influence by presentation are essential in a complex setting. The control of scarce information by management on what motivates specific people, for instance, or on outcomes or processes related to organizational goals can enhance one’s problem salving ability. Thus, information is power.

Curiously enough, although workers union have as their central concern the improvement of the working conditions of their members; but they do not take the workers interests and needs as the starting point of negotiation. Instead the conditions of service as laid down by management are the focal point: However, advances in the behavioral sciences have enabled us to know about the worker. It is they imperative for trade unions and management to have a good knowledge about the workers.

Again, while workers and management are concerned about improving the condition of work which often are interpreted narrowly to include only salaries, wages and fringe benefits the quality of the actual works undertaken by a worker hardly ever features as an area of theorists and researchers on job design that some jobs are ultrasonically more satisfying than others. Workers a lineation has been found to stem from the nature of the jobs, jobs that the worker has no measure of control over the methods to be used, tend to repel to worker, lower his morale and reduce his performance.

PURPOSE OF STUDY

The objective of the study generally is to secure the highest possible level of mutual understanding and good will between several interests which take part in the processes of an undertaking so as to maxi mix productivity for industry and real incomes for workers.

Summarily this study has the following as its objectives.

(1)     Elimination /reduction of conflict /disputes situations among individuals in organizations.

(2)     Creation of group harmony in the work community

(3)     Provision of a warble work environment.

(4)     Minimizing labour turnover

(5)     Increasing the feeling of individual’s self worth.

(6)     Freedom to express himself, recognition for the ability.

(7)     Increase level of efficiency and productivity.

1.4    SCOPE OF THE STUDY

          For the purpose of this study, we shall Focus primary on the intergruop types of organizational crises among the staff of our case study organization.

The scope of this cover the management and worker’s union crises and the strategies or steps in managing crises between this two groups with particular reference to Anammco Emene Plc Enugu.

1.5    RESEARCH QUESTIONS

1.      What are the causes of crises in the organization?

2.      What are the effects of these crises to the management, employees and the society eat large?

3.      How often do these organizational crises occur?

4.      Use in solving these crises?

RESEARCH HYPOTHESIS

Based on the foregoing the research hypotheses are formulated as follows

Ho: Non-employees participation in decision-making does not result to organizational crisis.

Hi:     Non- employees participial in decision making account for industrial crises.

Ho:    Changes in operations or methods of doing works does not enhance industrial crises.

Hoi:   Changes in operations or method of doing work enhances industrial crises.

1.7    SIGNIFICANCE OF THE STUDY

          The research topic management of industrial crises will help management; entrepreneurs to know various preventive crises approach, be confident and make policies that can reduce these crises which hinder the attainment of business mission.

Secondly Government will know how some of their decision gear industrial crises especially the issue of change without adequate notification, planning and use of diplomacy.

1.8    LIMITATION OF THE STUDY

        During the process of this research, the researcher encountered some constraint, which hindered the collection of information.

TIME:  The researcher wishers to state it clearly that the period   under which this study is done is short especially when academic commitment such as writing of term papers, assignment, tests and above all the preparation for the HNDII final exanimations.

    Money: A research paper of this nature requires a lot of money, which is not readily available to a student like the researcher. The researcher is handicapped financially, and thereby cannot afford to make an intensive research.

Back of facilities also reduced the potentiality of this study. The researchers do not have easy access to books and previous studies by other authors based on this study.

          Because of all the above limitations the researcher is then recommending that other researchers can make further investigations and improve on this study.

1.9    DEFINITIONS OF TERMS

Industrial Employees - will include the whole web of workers under the employment of both service and manufacturing industries.

Conflict -    A condition of objectives incompatibility between valves or goals; as the behaviour of deliberately interfering with another goal achievement.

  Industrial relations -   Concerns human relations in the   process of production.

Management  -   The ability to get thing done through The Use of People.