INFORMATION COMMUNICATION TECHNOLOGY AND CORPORATE GROWTH (A STUDY OF SELECTED OIL SERVICE FIRMS IN PORT HARCOURT)

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Abstract

This study examined the relationship between information communication technology. The main purpose of the study is to examine the examine the relationship between internet and corporate growth in selected oil service firms in Port Harcourt, to examine the relationship between intranet and corporate growth in selected oil service firms in Port Harcourt, to examine the relationship between extranet and corporate growth in selected oil service firms in Port Harcourt and to investigate the relationship developmental culture and corporate growth in selected oil service firms in Port Harcourt. The population of the study was made up of 100. The sample size of 80 respondents was drawn from using the Taro Yemen formula. The simple percentage was used to analyse the research question while chi-square was used to analyes the hypotheses. Based on the finding of the study, it is recommended amongst others that, companies should adopt ICT devices to enhance their productivity, experts should be mandated to train the existing workers (especially those at the lower level) on the nitty-gritty issues of the job for maximum productivity; companies should make available fund to accommodate latest technology, Government should ensure prompt and adequate electricity supply, thereby reducing cost of production and thereby increasing productivity and companies should also invest more on ICT capital and ICT labour in order to enhance their productivity.

Table of Contents

Title Page    i

Declaration iii

Certification         iv

Dedication  v

ACKNOWLEDGEMENT       vi

Abstract      vii

Table of Contents viii

List of Tables       x

List of Figures      xi

CHAPTER ONE  1

INTRODUCTION         1

1.1    Background of the Study         1

1.2    Statement of the Problem         4

1.3     Purpose of the Study     4

1.4     Research Questions       5

1.6     Significance of the Study         6

1.7    Scope of the Study         7

1.8     Definition of terms         7

CHAPTER 2        9

REVIEW OF RELATED LITERATURE   9

2.1        Conceptual Framework       9

2.1.1  Information Communication Technology   10

2.1.2  Dimensions of Information Communication Technology        13

2.1.3  Corporate Growth         15

2.1.4     Measures of Corporate Growth     17

2.2         Theoretical Framework       18

2.2.1  Universalistic Theory   18

2.2.2  Contingency Theory     19

2.2.3      Configurational Theory      20

2.3         Empirical Review      21

CHAPTER THREE       24

RESEARCH METHODOLOGY      24

3.1   Research Design    24

3.2  Population of the Study   24

3.3 Questionnaire Design        25

3.4 Source and Method of Data Collection 25

3.5 Sample and Sampling Techniques        26

3.6     Data Analytical Techniques    27

3.7     Reliability and Validity  28

CHAPTER 4        29

DATA PRESENTATION AND ANALYSIS       29

4.1 Data Collection and Presentation         29

4.2 Data Analysis 30

4.3 Testing of Hypothesis       34

CHAPTER 5        39

SUMMARY, CONCLUSIONS AND RECOMMENDATIONS       39

5.1     Summary    39

5.2 Conclusions   39

5.3 Recommendations   39

References  41

Appendix I 46

Appendix II          47

List of Tables

Table 4.1: Questionnaire Administration and Retrieval 29

4.2 Data Analysis 30

Table 4.2: showing the age of respondents 30

Table 4.3: Showing the Sex of Respondents        30

Table 4.5: Showing the Marital Status of Respondents 32

Table 4.6: Internet associate with corporate growth in selected oil service firms in Port Harcourt     32

Table 4.7: Intranet associate with corporate growth in selected oil service firms in Port Harcourt.    33

Table 4.8: Extranet associate with corporate growth in selected oil service firms in Port Harcourt.    34

List of Figures

Fig 2.1 A conceptual framework showing the relationship between information communication technology and corporate growth…………….9

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

Every business requires resources in the form of physical, financial and intangible assets. Lack of, or inadequate resources of any kind may place a firm in a vulnerable position, and might undermine its success. Corporate growth is, in fact, used as one indicator of effectiveness for small and large businesses and is a fundamental concern of many practicing managers (Crosby, 1999). Ultimately, growth will be gauged by how well a firm does relative to the goals it has set for itself.

Caplow (2010) points out that such growth can be particularly disorienting for employee and owner alike:  “often the people involved may not realize that anything significant has occurred until they discover by experience that their familiar procedures no longer work and that their familiar routines have been bizarrely transformed. One construct that can trigger growth in the organization today is employee participation. Employee Participation is generally defined as a process in which influence is shared among individuals who are otherwise hierarchically unequal (Wagner, 1994).

Today we live in an information society in which more people must manage more information, which in turn requires more technological support, which demands and creates more information. Electronic technology and information are mutually reinforcing phenomena, and one of the key aspects of living in the information society is the growing level of interactions we have with this complex and increasingly electronic environment.   The general consequence is that we deal with large volumes of information, new forms and aggregations of information, and new tools for working with information (Marchionini, 1997).  These new tools we use to manage information at corporate, governmental and societal level are tools we must learn to use, pay for, and maintain.  The primary tool of the information society is the computer.  Microprocessors are used to improve the performance of other technologies, and computers are increasingly used to control and integrate other kinds of information technology (e.g. TV, radio, telephones).

Current literatures have it that ongoing advances in information systems and communication technologies allow organizations to achieve greater levels of productivity, efficiency and service delivery (Brown, 2000; Dawes et al, 1997; Drucker, 1995; Tapscott and Caston, 1993).   For example, one electronic mail message replaces the dictation of a memo which is then typed, copied and distributed.  Electronic workflow processing allows operational reports to be stored and forwarded to appropriate units for follow-up without a host of manual intervening steps.

One other thing that is crucial as far as information communication technology (ICT) concerned is that, because of technological and communication innovations, geographic boundaries that once citizens, client and customer service jurisdiction no longer apply.  The move toward e-commerce, e-banking and e-governance provides an excellent example of how organizations are no longer restricted to, a contained geographic boundary.  In this 21st century, organizations all over the world have come to realize that only those that overhaul the whole of their administrative systems and operations are likely to survive and prosper.

Due to the pressures of competition and the need to maintain a high level of efficiency and productivity organizations have been forced to catch on to the technological craze. Thus in order to place themselves in a favorable position to meet the growing expectations of their customers, and become organizations or co-operations to be reckoned with, more organizations are making use of it to smoothen and speed up the process of administration. They have not only started ensuring that their personal computer (PC) per capita use is one for every staff, but have also started brining PC’s together to form local and wide area networks (Rogers,  2002).

Many organizations use computer systems to run their inventory, control accounting, manage human resources, etc. Businesses are no longer relying on trails of paper work to conduct every day transactions. With an installed modern computer interconnectivity backbone, establishments can keep in touch, synchronize and co-ordinate activities with the utmost ease (Curry, 1999).

Managers now realize that information technology can be used as an engine to speed up processes, eliminate or reduce paperwork, increase the quality of output and service delivery, decrease storage costs, and enhance information sharing and communication (Aluko, 2003). They also realize that they have to achieve not only management / staff wide computer literacy, i.e. knowing how to locate, analyze, store and use information. All staff in modern organizations needs to be able to search and gather data from different sources, analyze them, select the relevant ones and organize them in such a manner as to allow them make decisions based on the information

1.2   Statement of the Problem

The problem of the study lies in the fact that information communication technology accommodated  the change  towards  the  use  of  technology  in  performing  its  functions  and  operations;  it  rather remained in the same position away from progress and excellence,  due to the intensification  of competition between private and public organizations as a result of the multiplicity and diversity of services and organizations  that provide such services on one hand, and the high level of their needs and expectations and desires, and different standards of judgment of the quality of services that  they  consume  the  other  hand.  The use of technology has many positive and effective advantages that are reflected on the organization itself such as technological development, competition, the desire to improve work and others, which leaves various outcomes and results on the organization, both at the level of work and the services provided. So the problem of the study is illustrated by the lack of awareness and knowledge of the impact of using of management information systems technology and quality on the services provided by the oil service firms in Port Harcourt. Therefore the study will examine the relationship between Information communication technology and corporate growth in selected oil service firms in Port Harcourt.

1.3     Purpose of the Study

The main purpose of the study is to examine the relationship between information communication technology and corporate growth in some selected oil service firms in Port Harcourt. The specific objective is as follows:

1. To examine the relationship between internet and corporate growth in selected oil service firms in Port Harcourt.

2. To examine the relationship between intranet and corporate growth in selected oil service firms in Port Harcourt.

3. To examine the relationship between extranet and corporate growth in selected oil service firms in Port Harcourt.

4. To investigate the relationship developmental culture and corporate growth in selected oil service firms in Port Harcourt.

1.4     Research Questions

The following question shall be used in the course of this research study.

1. Does internet associate with corporate growth in selected oil service firms in Port Harcourt?

2. Does intranet associate with corporate growth in selected oil service firms in Port Harcourt?

3. Does extranet associate with corporate growth in selected oil service firms in Port Harcourt?

4. Does developmental culture influence developmental culture and corporate growth in selected oil service firms in Port Harcourt?

1.5     Research Hypotheses

HO1: There is no relationship between internet and corporate growth in selected oil service firms in Port Harcourt

HO2: There is no relationship between intranet and corporate growth in selected oil service firms in Port Harcourt

1.6     Significance of the Study

The study will be beneficial to all service organization especially the banking sectors as it emphasized the  need  and  encourage  the  establishment  of  policy  guidelines  on  the  efficient and  effective  human resources development.

The  study  shall  have  a  great  impact  on individuals,  organization  and  the society  at  large.  Subsequently, it will enhance good suggestions for achieving better performance through an effective training/development programmes. Moreover, the study shall provide framework which will assist business organization  and  the  society  as  a  whole  on  how  to  evolve  an  enduring  training  programmes capable  of  achieving  the  desired  result  for  an  organization.

It will help managers of various organizations to generate ideas and solution to problems based on the best way to run training in their organization in order to achieve desired goals and objectives. It will equally be useful to small scale business, large corporations, management and consultants, practitioners, and universities, college of education and to the government.

It will also help researchers to know more about the relevance of human resources development as it enhance organizational productivity.

Finally, it will be of great value to management, researchers, investors, government and students as a point of reference and will equally form the basis for further research study.

1.7 Scope of the Study

The study is delimited under the following heading: content scope, geographical scope and unit of analysis.

Content Scope: The content scope of this study involves an investigation to ascertain the relationship between human resources development and organizational productivity. The independent variable is human resources development measured by staff training, intranet and extranet. While dependent variable is organizational productivity, measured by increase market share, increase profitability and increase in return on equity.

Geographical Scope: This study is delimited in Port Harcourt Metropolis, Rivers State with special reference to selected oil service firms in Port Harcourt.

Unit of Analysis: The unit of analysis in this research involves selected oil service firms at the time of carrying out the study.

          This study involves an investigation of human resources development and organizational advantage; hence it is a micro level study.

1.8     Definition of terms

COMMUNICATION:  This is the act of sending and receiving information for proper understanding and assignation.

EXTRANET: Extranet can provide an array of benefits for organizations of all sizes, especially small businesses. When conducted in an efficient and productive manner, extranet and mentoring provides employees a way to connect, learn and grow within the company and along their own career paths.

INFORMATION: What is conveyed or represented by a particular arrangement or sequence of things.

INTRANET: An intranet is a private network accessible only to an organization’s staff,  Often, a wide range of information and services are available on an organization’s internal intranet that are unavailable to the public, unlike the Internet.

          MARKET SHARE: It represents the proportion of an industry or market’s total sales that is earned by a particular company over a specified time period. Market share is calculated by taking the company’s sales over the period and dividing it by the total sales of the industry over the same period.

TECHNOLOGY:  It is an organized totality of knowledge, skill, attitude, tools etc to solve a problem in the most effective and efficient manner.

INTERNET: A global computer network providing a variety of information and communication facilities, consisting of interconnected networks using standardized communication protocols.

EXTRANET:  An extranet is a controlled private network that allows access to partners, vendors and suppliers or an authorized set of customers normally to a subset of the information accessible from an organization’s intranet.

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