Case Analysis of “The Best Laid Incentive Plans” Essay

Background Summary The Best Laid Incentive Plan is a case analysis depicting organizational behavior and performance appraisal management. Rainbarrel Products is a loosely ran consumer durables manufacturer. Within the last ten years, Rainbarrel Products has shown difficulties rebounding from a sluggish economy. The CEO, Keith Randall, once described as â€Å"aspiring† and â€Å"innovative†, has allowed the company to fall victim to a downward economy due to the recent lax in leadership. In addition, Rainbarrel is not adjusting to the decrease in consumer spending in comparison to their competitors; however, this is the least of the company’s problems. In efforts to save Rainbarrel from continuous distress, Randall hires Hiram Phillips as the Chief Financial Officer (CFO) and Chief Administrative Officer (CAO). Hiram generates changes in the company which yields great numerical results. Hiram’s strategy includes cost cutting the budget, reduction in staff as evidenced by cos t reduction in labor, restructured sales incentives, changes in customer service procedures, and changes in the shipping process. Phillips is very proud of his success and is eager for the Corporate Executive Council (CEC) to hear his progress. Sally Hamilton and Frank Ormondy, consultants with Felding & Company are solicited by Phillips to perform baseline metrics to be tracked and  monitored in a year’s timeframe. The consultant’s findings are revealed and everything seems to lean in Hiram’s favor; however, after the meeting, the tide turns. Randall approaches Phillips regarding unsolicited information from other members of the council pertaining to the metrics Hiram has in place. Phillip makes overwhelming changes to the current organization’s systems, procedures, and processes resulting in negative feedback from Rainbarrels employees and customers. Even though the consultant’s reports give Phillips glowing results, Hiram is unaware of the damage he is causing at Rainbarrel. Problem Statement: The main problem identified in the case is the flaws in the performance management systems. Rainbarrel needs to make a dramatic change to its performance management system. The system is one-sided and not aligned with the company’s performance culture and strategic objectives. According to Kastalli, Neely, and Van Looy, (2013), â€Å"increasingly, manufacturing firms are turning to services as a new way of creating and capturing value. Despite its potential benefits, many new product-service providers struggle to deploy service activities effectively, not least because they fail to reflect the presence of service activities in their performance management systems† (p. 100). The CEO has lost sight of other key components of the company which is impacting Rainbarrel from being a successful enterprise. This fact alone questions whether or not the current leadership should be at the helm of Rainbarrel Products. Assumptions: Kerr states (2003) â€Å"the metrics program of Hiram focuses on the intermediary steps and assumes that such enhancements will make a positive impact on the bottom line† (p.31). The assumptions that highlight the main issues include the following: Hiram Phillips knew how to work within Rainbarrel’s budget. The employees are motivated by monetary means. Rainbarrel’s shipping process and customer service department are the only factors which stymies productivity. Email is the preferred vehicle of communication at Rainbarrel. Performance management is not required to align with the performance appraisal and incentive plans at Rainbarrel Hiram assumes the â€Å"fat and happy† company will be†lean and mean† within a year.  Positive results are masked by dissatisfied customers, unhappy employees, and decreased productivity unbeknownst to Hiram. Analysis: This case analysis highlights the importance of assessing, reviewing, implementing, and evaluating processes in regards to performance measurement and management systems. Wouters suggest (2009), â€Å"the importance of performance measurement systems (PMS) has been widely acknowledged. This importance pertains to all functional areas. At the same time, PMS may serve different purposes in an organization: performance measurement systems help to formulate, communicate and implement strategy throughout the organization; they are used to control and influence behavior in the organization and guide the strategic planning process† (p. 68). The aanalysis will start with a glimpse into the issues at Rainbarrel Products. These problems are preventing Rainbarrel from â€Å"picking up the pieces† of its financial and organizational crisis and moving towards a more stable and profitable footing strategically. In addition, the attitude of leadership and inability of the top senior level managers to meet organizational and individual goals resonates throughout the case study. The issues in this case are: Poor system of supervision and control on the shipping and customer service operations No structured budget process Lack of motivation and enthusiasm among employees Inadequate communication between leadership, human resources, and employees Inadequate performance appraisals and incentive plans Among the changes are incentives to answer customers’ calls quickly because the employees would now be monitored, as well as the shipment of products on time. If this does not occur, employees will be held accountable and suffer the consequences. The goal of management is conflicting with the goals of the Rainbarrel employees. Hiram Phillips drafts a rule which indicates the products should not be labeled as shipped until it was out of Rainbarrel’s doors. This is in total contrast to shipping the products from the main warehouse to a location across the street. Rainbarrel likes to emphasize customer service in its values and mission statement, but no reliable metric had been used to track what constituted â€Å"on time† and what constituted â€Å"shipped† (Kerr, 2003, p. 30). Not only are there  problems internally at Rainbarrel but on the outside as well. Longtime and loyal customer, Brenton Brothers, expresses their unhappiness of not receiving shipmen ts on-time or at their request. â€Å"In some cases I’ve been told to take a late date or otherwise forgo the purchase. That becomes the promise date but not the date I asked for,† stated by the buyer Annie, (Kerr, 2003, p. 33). Recorded evidence shows several shipment requests placed by Brenton Brothers indicate the promised shipments had left the Rainbarrel property: however, upon further investigation the shipments were found â€Å"sitting on a railroad siding across from Rainbarrel† (Kerr, 2003, p. 33). In addition, when Brenton Brothers sends e-mails to Rainbarrel’s customer service department they are experiencing late responses to questions and inquires from the call center employees. This problem is one affecting many areas of shipment and customer service. Jaaron & Backhouse (2011), state â€Å"Call centres embraced by a manufacturing organization play a major role in this endeavour as they are the main channel of contact between organizations and their customers† (p. 614). Burgers, Ruyter, Keen, & Streukens (2000) along with Meyer, Allen, and Topolnytsky (1998) indicate, â€Å"in order for organizations to achieve competitive advantage through their employees. â€Å"It is most important to equip them with high levels of affective commitment due to its fundamental links with extra role behaviour in the organization† (p. 48). There is no current protocol in place to monitor the call center for quality assurance purposes. With little or no motivation, there is no way to prove the duties are even performed on a daily basis. At this point, the employees are holding on to the only incentive they have, and that’s the salary wages paid to them now. With â€Å"Fire†em at the elm, nothing is guaranteed whether it means happy customers or not. Liu and Chang (2009) report, â€Å"interviewees were asked about how front-line employees are measured and rewarded. They have commented that the measurement of front-line employees in the call centre is done on the basis of how good they are in matching the company’s principles of serving the customer through employees’ appraisals in the call centre. The number of value-adding calls is counted against the non-value-adding calls to form the basis for measuring and evaluating employees work in general. The front-line employees in the call centre are rewarded by getting feedback and recognition on their work† (p. 619). Frezatti (2009) explains â€Å"the  budget contains the priorities and direction of the organization for a period and provides an opportunity to evaluate the entity’s performance, its internal areas and its managers.† [†¦] It is considered one of the pillars of management and a fundamental tool for accountability that exists in the organization† (p. 135). Hiram’s extreme budget cuts to make Rainbarrel ‘lean and mean†, is his only method of streamlining processes as it relates to performance management. Rainbarrel’s inadequate budget is the common denominator resulting in Hiram’s plan of budget cuts, imposing across the board workforce reduction up to 10 %, implementing the ‘wall of shame’ monitoring tool for underachieving customer care representatives and an unreliable metric regarding on time shipping. Budgets serve as a financial tool for companies, as well as a performance evaluator. Without a solid budgeting process, companies are taking a hopeful attempt to plan for expenses and sales. Hiram Phillips knows the budget is fat and happy now; however, he has not indicated any budgetary goals for the future of Rainbarrel, only short term solutions. Hiram’s metrics look good on paper, but the bottom line is his current budget metrics is displeasing to Rainbarrel’s employees and customers. According to Stern, (2013) â€Å"in theory, budgets tell you where you stand financially, and where you might be heading. In the budget process, the goals can be both individual and team, and behavioral problems may arise if the goal is too high (unattainable), if it is too easy (too vague) or if it generates conflicts between the company and the employees’ goals (goal conflict)† (p. 20) .The non existing budget structure at Rainbarrel influences production; for example, the Innovation ‘X’ project is on hold due to the fact it is not in the budget for the fiscal year, Thus, Rainbarrel is missing out on potential revenue. According to Gostick and Elton (2009), â€Å"A few misguided managers believe that 100 percent of motivation should be internally driven and that recognition is used only to motivate â€Å". Organizational behavior is emphasized on the employees’ behavior and how they perceive themselves in the organization. The impact of employee morale and lack of enthusiasm is vital for the growth of the organization. The current culture at Rainbarrel consists of lack of enthusiasm and motivation partly due to no incentive rewards programs, lack of communication between employees and leadership, and largely to layoffs. Daniel H. Pink’s Drive: the Surprising Truth about  What Motivates Us illustrates what motivates people, especially in a working environment. Pink theorizes motivation arises from reward and punishment of employees. Pink (2009) believes â€Å"human beings aren’t much different from horses – that the way to get us moving in the right direction is by d angling a crunchier carrot or wielding a sharper stick†(p. 10). The metrics, Hiram has in place, which include, reduction in labor cost, the â€Å"wall of shame†, and the change in sales commissions to employees is causing dedicated and loyal employees to become unengaged capital. The paucity of communication at Rainbarrel impacts the company as a whole. The lack of communication between Randall and Phillips causes a trickle down effect between Phillips and the workforce. Phillips does not respond wisely in communicating the changes at Rainbarrel. The case analysis, The Best Laid Incentive Plans, illustrates several examples of poor communication. Hiram does not communicate the performance metrics he plans to implement. For instance, the email policy indicates the time limit on email responses. Employees are penalized if they do not open and respond to email notification from the company. Email should not be the main method of communicating pertinent information to employees of organizations. In order to have effective performance management, there should be communication between leadership and its workforce; therefore, goals and expectations are communicated and understood of both parties. More recently, a 2008 study performed by the Pew Internet & American Life Project revealed that 72% of all full-time employees have an email account that they use for work, and 37% of those workers â€Å"check them constantly† (Madden & Jones, 2008). The CFO is hired to improve Rainbarrel’s organizational and individual performance metrics which are causing the company to fall against main competitors and industry standards. The current change initiatives show a win-win for Hiram and Rainbarrel but failed efforts for the employees. According to Barber and Strack, (2009) â€Å"today’s performance measures and management practices don’t reflect the particular economics of people-driven businesses† (p. 81). Howard does not realize problems occur in his current performance metrics. The reduction in labor cost results in unmotivated staff; streamlining of service calls by two minutes produces frustrated workers and unhappy customers, restructuring the commission sales impacts the productivity of the sales people, and Hiram’s inept ability to  operate the service and shipping department creates a weak performance management system. Smith and Mazin (2013) report , â€Å"the entire organization benefits from a system that aligns performance to company-wide goals, provides a structured format for measuring results and giving feedback, and establishes a record for each employee that can be used for individual development, to inform future supervisors, and to make sound employment decisions† (p. 49). Recommendations: During Hiram’s interview, his main goal is to do what is right in regards to Rainbarrel Products; thus, the performance metrics instituted by Phillips results in cost saving efforts but morally bankrupts the company. Examining the metrics listed in the case analysis, there are recommendations Rainbarrel should implement in order to align Hiram’s strategies and the overall wellbeing of the employees and the company. The first, Hiram should reexamine the current metrics. Without budgetary guidelines, Hiram makes cost reductions based on a sluggish economy. Hiram is not comparing prior fiscal year data to current year data. Hiram is simply basing his metrics on slumping product sales and numbers. Implementing budget structure as a tool will eliminate assumptions Hiram has of the overall performance of Rainbarrel. Packer and Teeters (2012) indicate that â€Å"the budget had grown beyond a financial tool. It is above all managerial tool; in essence, it is the best tool for making sure that key resources, especially financial resource are assigned to priorities and to results. It is a tool that enables the manager to know when to review and revise plans, either because results are different from expectation or due to environmental conditions, economic conditions, market conditions or technologies change, which no longer correspond to the assumptions of the budget† (p. 467). I would also, recommend Hiram conduct monthly budget audits for the first 5 years of implantation. Ijiri (2008) â€Å"The main purpose of budget audits is to make sure that budgeting processes are carried out as specified by budgeting principles and procedures† (p.665). The monthly audits will allow Rainbarrel to adjust the budget on an as needed basis. labor), which are the most significant expenses and the primary variable cost that audit firms incur. According to Ettredge, Bedard, and Johnston (2009) â€Å"Our study finds that asymmetric ratcheting occurs during the budgeting process (p. 15). Audit  firm management successively removes budget surpluses to a greater extent than they provide incremental budgeted hours following budget shortfalls, thus maintaining budgetary control on a continuing basis. Engagement teams also respond asymmetrically, decreasing reported hours following budget surpluses to a lesser extent than they increase reported hours following budget shortfalls† (p. 15). Referencing Bertazzi (2008), â€Å"One of the most common problems is the one in which both transportation and inventory costs are taken into account. The aim is to determine shipping policies that allow the minimization of the sum of these two costs† (p. 750). It is revealed the shipping of products promised is not occurring according to the â€Å"on-time’ ghost policy Hiram has mandated. I propose Rainbarrel implement a shipping policy. The policy should include the shipping date, which includes the shipping turn around time. Also, the policy should indicate refun ds of shipping and handling fees if the delivery is not made as promised. In the Brenton Brothers’ case, the good and services purchased from Rainbarrel are not delivered as promised. The service management is very loose in regards to the customer service representatives at Rainbarrel. There are complaints of long hold times, no return phone calls from employees and the customers are being rushed off the phone. A study conducted done by (Schalk and Van Rijckevorsel, 2007 😉 illustrates â€Å"customer service representatives (CSRs) in a call center in India are given more autonomy in the production market† (p. 77). According to Schalk and Van Rijckevorsel (2007) â€Å"Autonomy refers therefore to the ability of the worker to take over production by integrating personal work skills that could overcome the failures of the production system. The CSRs’ work requires a certain degree of autonomy. In fact, they highlight that the work organization in call centers is articulated around the standardization of the production process and the customer orientation† (p.3). Layoffs due to the economic crisis, the ‘wall of shame’, unfair s ales commissions, and limited incentives are causing low employee moral and motivation. In order to regain the respect and trust of employees, Rainbarrel’s leadership needs to decide on how to motivate its people. I suggest Rainbarrel motivate through leadership. Tebeian, (2012) notes, â€Å"The leadership style has s a direct, positive and statistically significant effect on the subordinates’ motivation† (p.1094). The leadership is definitely an influence of Rainbarrel’s culture and  strategic market sustainability. In their article published in the Havard Business Review, 2008, Nitin Nohria, Boris Groysberg and Linda Lee-eling researched an employee motivation model and incorporated Maslow’s hierarchy of needs. The model includes four drives: leadership style, motivating the team, performance, and job satisfaction. The results of the study shows needs identified by Nitin Nohria, Boris Groysberg and Linda Lee-eling are â€Å"interconnected at the brain level, and the level of fulfillment of each of them directly influences emotions , therefore behaviour as well† (p. 1094). In order for employees to support the organizations, communication is imperative. (Dolphin, 2005), â€Å"Internal communication is communication between the organization’s leaders and one of its key publics: the employees† (p. 185). I recommend Rainbarrel schedule face to face meetings, such as monthly department meetings or team huddles with front line managers, employees, and stakeholders. In the case analysis, email is the preferred route of communication; however, important information is being misconstrued. Chong (2007), studying Singapore Airlines, found that focusing on face-to-face dialogue between management and staff helped the airline deliver its brand promise to its customers through its employees (p.203). Another recommendation to improve communication at Rainbarrel is initiate written communication via the company’s intranet site. The implementation of a company intranet site will convey important information regarding the company’s strategy, policy changes, and forecasted issues. A secure intranet site is ideal to broadcast convey information to the company employees. Borden adds (2010), â€Å"the company’s intranet must be organic and ever-changing, ready to embrace and depl oy new communication technologies that facilitate information sharing across the company† (p.44). According to Barber and Strack (2005), â€Å"when people are your most important resource, some standard performance measures and management practices become ill suited to their tasks† (p. 81). The current performance metrics and incentives at Rainbarrel have impacted negatively on employees. The performance management and measurement system should meet the needs of employees and Rainbarrel. I propose the CEO implement performance appraisals and fair incentive awards. Bacal (2004) points out â€Å"Performance appraisals enable employers and employees to define, communicate, and review expectations, goals, and progress in achieving strategic objectives. The  purpose is to improve the way employees contribute to an organization’s goals and job performance. Appraisals are also intended to sustain, improve, and help an employee† (p. 21). Dunlap (2010)† Distinguish and reward your top performers in a manner that is fair—not equal, but perceived as fair and justified† (p. 10).

Mother Sauvage

Being a wife and a mother is a significant role of a woman that cannot be paid by anyone. It was a purpose and a journey that needs entire love, patience, and kindness. These women make sure that their family will not get hurt and will be able to be loved and nurtured by them. However, there are certain situations that will test their limitations and patience. Most of the women say, â€Å"You can hurt me many times, but not any of my family.† Therefore, no matter how soft and loving heart a mother has, she will remain tough and strong for her family especially when it came to the point of hurting them. The story is about the life of being a mother despite of all the pains and how she gave justice to family that was killed by the people who went to her house and lived like her sons. It was very hard for Mother Sauvage to compose herself so that the Prussians would not think that she was the mother of the man they killed. Mother Sauvage thought that the death of her husband made her numb but when she knew that her son was killed, the same old feeling of loneliness, pain, and sorrow went through her nerves again – flowing like running water in the river. Mother Sauvage learned to love the four Prussians who went to her house and stayed but when she knew that they were the one who killed her son, she doesn’t know what to so but to accept them to her house and not to show her real feelings of sadness and anger. Regardless of all her fears and envy towards her boarders because of what they have done to her son, she remained calm and aware of her plans for the justice of her son and husband’s death. Mother Sauvage was not an ordinary mother. This story was not just a story of motherhood but also a story of womanhood. Even if mother Sauvage was very numb with her husband and son’s death, she continued to make herself relieved and think of the family of those four Prussians died in her house. It was a tragic but a realistic story because I can say that it can happen to any mother who experienced this kind of pain and maybe, not only this kind of things will happen to the killers, but more brutal than that especially when they were in your house. Seeing and serving the people who killed your family will bring you a catastrophic feeling that will lead to brutal killings just to give justice to you and your son and husband. According to Tannenhauser, the work of mothers does not offer â€Å"promotions, raises or any other tangible and ego-gratifying perks available in other professions† (Tannenhauser, 1996, p. 119) This magnificent responsibility of mothers cannot be compared to any other professions because it is a lifetime profession that cannot be quitted by mothers when they were tired. Mother Sauvage was like that. Even if her son left him and joined the military, she remained hopeful that one day, her son will go back into her arms like a child who used to run to his mother when he is tired. However, though it did not happen, she made her own decision of making her son and husband at peace in their death by obliging herself to make their own justice even if it will put her into death. A mother will always a mother and a wife will always be a wife unless you take away her son and husband away from her. Being a wife and a mother is played by women who choose to love and nurture their family instead of nurturing their selves. This major responsibility will put women to the top of the mountain and live as a queen when they perform their tasks as best as they could. This is when the members of their family are respectful, loving, and generous people. Works Cited De Maupassant, Guy. The Complete Short Stories of Guy de Maupassant. New York: Collier,   Ã‚   1903 Tannenhauser, Carol. Motherhood stress. In K. S. Bahr, A. Hawkins, & S. Klein (Eds.),   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Readin

Hydraulic fracturing in the USA Assignment Example | Topics and Well Written Essays - 500 words

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Structural design for serviceability - Thesis Example As standards advance toward probability-based limit state design methods, serviceability issues are expected to become an integral part of design consideration. Whether a structure has passed a limit state is really a matter of perception. As far as the ultimate limit state is concerned, the perception is technical, and there are sets of rules and regulations which are established by building codes. However, in the case of serviceability limit the perception is often non-technical, as they involve the judgments and anticipations of occupants. As a consequence, serviceability limits in general have not been codified since desirable limits frequently alter from application to application. Hence, they remain a matter of contractual agreement between the owner and designer, and thus are not specified in the building codes. The purpose of the current project will be to explore and gather the history of serviceability criteria used for various types of structures. Design deflection and vibration criteria will be relaxed by increasing the floor span and reducing the member size, and the likely effects will be perceived. The paper will later look into possible techniques used for improving structural stiffness without incurring additional cost and materials. The objectives of this study are: to gain better understanding of structural serviceability performance needs of each country, to exchange data on structural serviceability and to develop performance-based design procedures for structural serviceability. The object of serviceability design is acceptable performance during expected service conditions for the design life. The objective maybe is to prevent damage to ceiling plaster or wall glazing elements to maintain a pleasing appearance or to prevent uncomfortable movement. Deflection is typically limited to some proportion of the span. Building construction may be such that there is a wall located near the

A Paper in Support of the Progressive Creationism Theory Research

A in Support of the Progressive Creationism Theory - Research Paper Example This particular theory is neither purely scientific or atheistic such as the atheistic evolution theory, nor purely biblical like the theistic evolution or 24-hour day theory. It aims to mediate these two frames of thought by explaining creation in a way that addresses the concerns of both though patterns. According to Dale Tooley in his paper, â€Å"Progressive Creation: An Overview†, the progressive creationism theory is increasingly becoming accepted as a viable and arguable theory for the creation and origin of the world. In contrast to young earth creation theories, it maintains that the 6 days of creation written in the bible do not necessarily refer to 24-hour days, but instead refer to â€Å"ages†. This gives way to hard scientific evidence regarding the earth's age. Some may discard this theory due to some wordings in the bible that refer to actual days, however, we must keep in mind that we cannot compare God's day with our own. As Christians recognize that Go d's knowledge is infinite and encompasses and eclipses our own, we cannot compare his understanding to ours. This is supported by the bible in the book of Mathew, 24:36. â€Å"No one knows about that day or hour, not even the angels in heaven, nor the sun, but only the father.† This particular area of the theory also allows for intraevolution, or evolution and development within a species, but does not recognize interevolution, or evolution into other species. This gives us an explanation or rationalization for the 6 day-ages of creation. Some other theories will discount this theory saying that the bible states that death is a result of sin, and therefore, would mean that there was no death for ages until Adam committed the first sin. This can be answered in a very simple statement. Man is a very unique creation. We are not just a higher form of animal but instead were created in God's image. We were given higher thinking, rationalization, and a sense of right and wrong. The refore, the weight or burden of sin only applies to us. Since animals do not have a moral compass, and are not accountable to God, we are the only creatures that are affected by sin. Therefore, death came to us as a result of our sin and disobedience, not because of anyone else. Also discussing humans as unique creatures, we must touch on the subject of evolution. We were presented with a theory concerning man's evolution from primates. Most, if not all Christians will not accept this,and for good reason. It is not about not wanting to be associated with monkeys, nor about denial of evolution, but about how the creation of man was described in the bible. If we look at it, creation of other creatures was described rather normally. There were not a lot of details that were given regarding how other creatures were created, but this is not the case with man. The bible gave details on how man was made. This indicates that our creation is unique, purposeful and special. The bible also des cribes that we were made in God's image and that life was breathed into us by God himself. This highlights just how special we are. The theory does recognize that within ages, animals can evolve and adapt, with the guidance of God. A good example of this is the abundance of different kinds of birds. Some swim, others walk, others fly. But never the less, all of them are still birds. This is not the same as the evolution of man from primates. We are not

Mitigation Strategies and Solutions Essay Example | Topics and Well Written Essays - 1750 words - 1

Mitigation Strategies and Solutions - Essay Example Today’s research proves that the Earths average surface temperature has risen by about 1Â °F in 20th century. Meteorologists have firm logics and facts that the Earth’s warming is highly associated to human activities as it has been increasing since the onset of industrial revolution in 1950. Human beings have changed the chemical composition of the atmosphere by producing greenhouse gases mainly carbon dioxide, methane, and nitrous oxide. These are heat-trapping gases. In the Earth’s atmosphere, greenhouse gases are those that first absorb solar radiation and then release it to the atmosphere within the thermal infrared range. This process is called the green house effect which is the fundamental cause of global warming. The well known greenhouse gases in the Earth’s atmosphere that play a major role in global warming are carbon dioxide, nitrous oxide, methane, water vapor, and ozone. Hydro-fluorocarbons, per-fluorocarbons and sulfur hexafluoride are som e other very dominant greenhouse gases that are the results of variety of industrialized processes. Major human actions such as use of fossil petroleum, automobiles, emerging industrial and urban areas, electric power plants and clearing of land are primarily responsible for the increased concentration of carbon dioxide whereas deforestation is the basic cause of enhanced concentration of carbon dioxide, methane and nitrous oxide. The perspective of cooling influences and facts about global warming have proved a very high confidence level of 90% that the globally net effect of warming is due to human activities since 1750 (IPCC, Third Assessment Report, 2007). The contribution of these gases to the greenhouse effect is given in the following table. Some of scientists which are not in majority disagree about the association of increased greenhouse gases to the human activities. They claim that the global warming is the result of natural

Research report assisting a client in a career choice Proposal

Report assisting a client in a career choice - Research Proposal Example Following is a report of the interview that was carried out in response to his order. The main aim of this interview was to help the client follow the correct path in developing his career. The report covers a large scope including his personality and skills suitability, alternatives available to him, the constraint which may deter him from achieving his career and the value that the client would like to obtain from the choice of his career. Sources of the information that were used in giving advice to the client embody records of previous works with some of our clients, career books, and other web sites that cover issues on career alternatives. The report covers the information obtained from the client through an interview, opportunities available for the client, a recommendation of the best choice for him and a conclusion. The interview I carried out with the client was designed with the aim of enquiring on the issues he wanted tackled. The client explained that he needed the help of the firm in developing the correct path for his career. He explained that he needed to have a good understanding on the best career that suited him, the pay and how he could possibly develop it to greater heights. The client is an 18 year old, Black-American boy whose parents do no have access to unaffordable counseling service. He is an 11th grader learning at an English high school in a traditionally advantaged area. The school is dominated by white teachers. The client’s language preference is English with French as a second choice. He is the only child from his family. His parents were divorced and now both married. He has a half sister and three half brothers who are all younger than him. His father is self trained auto-mechanic who runs an own business from his house. His mother, a ninth grader, works as a ho usekeeper in a white’s home. Although the father and the mother are in disagreement on the field that their son should

Compariosn of pre 1914 and Wilfred Owens poems Essay Example for Free

Compariosn of pre 1914 and Wilfred Owens poems Essay By comparing and contrasting a selection of war poems, consider the ways in which attitudes to war have been explored and expressed. When considering poetry written post 1900 concentrate on a selection of poems written by Wilfred Owen. War has been an influential topic for poetry for many centuries and through its catastrophic cruelty and sense of patriotism has created some of the most brilliant poets and most controversial poems ever written. With each different war comes different poets who want to write their views on it and just as motives of war differ, so do the opinions of the poets; some see war as barbaric and destructive, whereas others portray it as a way of ennobling oneself. Before the technology and media coverage we have nowadays, stories of battle were passed down by word of mouth and were often written in poetic form so they could be memorized easily. Just as the artillery used in the wars has changed, the way war is portrayed has as well. Before World War 1 began in 1914, it was seen as a glorious opportunity for men to serve and defend their country. In many poems war is compared to a game, for example in Vitai Lampada written by Henry Newbolt, the refrain Play up! Play up! And play the game! is repeated at the end of each stanza to try and rally the soldiers and ready them for battle. Newbolt uses the leitmotif of comparing fighting to playing a cricket match to ease the pressure off the soldiers by making it seem fun and competitive. He uses the simile: Beat through life like a torch in flame to portray how the schoolboys have responsibilities and also to show how these must be passed down through the generations to protect their country, just like the Olympic torch. War is also compared to a game in Henry Vs speech in Shakespeares play, Henry V. He declares: The games afoot, once again understating the enormity of the battle. In addition Shakespeare uses the battle cry God for Harry, England and Saint George! to show that the English are on the righteous side and have a duty to serve their country. Before 1914, there was no compulsory military service and therefore Britain did not have a huge army like other European countries. However World War 1 was so large, conscription needed to be introduced, meaning all men of the appropriate age were obliged to go to war. Along with conscription came the propaganda to encourage men to join up and a popular form was poetry. Poets like Jessie Pope and Rupert Brooke wrote poems convincing men that war would be an exciting opportunity with their friends and that it is their duty to honour and serve for England. However, one of the most famous war poets, Wilfred Owen, had a different view of the war. At first he wrote in a similar way to the likes of Pope and Brooke, but after experiencing first-hand action in the front line his work became less idealistic. One of Owens most famous poems is Dulce et Decorum est. The Latin title means it is sweet and fitting to die for your country and it is used ironically to anticipate an idealistic poem, but it is quite the opposite. Owen wrote this poem in reply to the jingoistic recruiting poems written by Jessie Pope; they glorify war and make it seem like a great opportunity for men to have an adventure with their friends. In the first two lines of Dulce et Decorum est, Owen uses the vivid imagery of old beggars and coughing like hags and the reader thinks that he is describing someone elderly or of low status. However, in the lines that follow, we realize that Owen is actually talking about soldiers who are walking away from the front line: Till on the haunting flares we turned our backs And towards our distant rest began to trudge. Owen uses the word haunting to portray that the battle they have endured will stay in their minds forever. To convey the exhaustion of the men Owen uses hyperbole: men marched asleepdrunk with fatigue. This shows how fighting was physically draining for the soldiers and contradicts the glamorous image that Popes poems conjure up. In the second stanza Owen illustrates the terrifying scene of a gas attack. He repeats the word GAS for a second time in capital letters to convey a sense of urgency and also to imply how fatigued the men were as they needed it to be repeated louder a second time for them to realise the situation. Owen uses polysyllabic words like ecstasy and fumbling and clumsy to convey a sense of panic and alarm. He describes how one man did not get his gas mask on in time and is floundring like a man in fire or lime. This portrays that the gas he is inhaling is burning and the image as under a green sea, I saw him drowning is very powerful because it shows that the gas overwhelms his lungs just as water does when you drown. The line In all my dreams, before my helpless sight shows how Owen will remember that scene forever, and the word helpless suggests that he cannot do anything about the flashbacks and horrible memories he will have to endure but it also implies that he could not do anything to help the soldier who was dying. Owen uses the adjectives guttering, choking, drowning to illustrate the soldiers horrific death; the word guttering is especially effective as you use it to describe a candle about to go out, just as the mans life is about to be extinguished. Owen bitterly attacks Jessie Pope in the last stanza. He sarcastically addresses her as my friend and uses gruesome comparisons like Obscene as cancer and bitter as the cud of vile to portray the horror of war. The line incurable sores on innocent tongues implies that the some soldiers who were very young will have terrifying memories with them for the rest of their lives. He appeals to the senses by using hideous and graphic imagery: If you could hear, at every jolt, blood- Come gargling from the froth-corrupted lungs. The adjective froth-corrupted illustrates how the mans lungs had been plagued by the gas and what a horrific death he had to endure. He uses the simile: like a devils sick of sin to describe the soldiers face, suggesting a sense of repulsion and disgust. Owen depicts the soldiers as children ardent for some desperate glory portraying that Popes recruiting poems wrongly persuaded boys that were not of age to vulnerably serve their country. In the last two lines Owen frames the poem by repeating the title, but he uses it ironically as he says it is The old Lie, contradicting other pre World War 1 poems that give the impression men will be considered heroic if they serve their duty. Owen once again opposes the notion that women will treat soldiers, who return home from war injured, like heroes in his poem Disabled, Owen opposes the idea that women will treat the soldiers, who return from the war injured, like heroes. In the poem Fall In by Harold Begbie, he persuades men to join the army by using the sexual attractiveness of women. The lines: When the girls line up in the street, Shouting their love to the lads come back, implies the men will be seen as courageous and gallant for fighting. However, Owen explains this is not the case in the lines: Now he will never feel again how slim, Girls waists are, or how warm their subtle hands, All of them touch him like some queer disease. The metaphor like some queer disease expresses how the women are afraid he may be contagious and how they find him repulsive. Just as in Dulce et Decorum est, at the beginning of the poem we think Owen is describing an elderly man because he uses the phrase ghastly suit of grey which infers old age. But then we discover how he threw away his knees; he chose to enlist for the army and that is portrayed a grave mistake, a waste of his life. The line: Poured it down shell-holes till the veins ran dry also infers that the man opted to fight as the verb poured suggests that he did it himself. In addition, Owen portrays how the boy was not motivated by principles to sign up: Someone had said hed look a god in kilts. He had been induced by vanity and also to please his Meg; once again the notion of impressing the women is used. Even though his face was younger than his youth the line Smiling they wrote his lie: aged nineteen years, shows that the authorities were unscrupulous as they knew he was just a boy but still let him sign up. Disabled is a very contrasting poem and Owen repeats the word now to emphasize the contrast between what he was, and what he has now become: Now he is old. Owen uses the motif of football throughout, but not in the positive way Newbolt does in Vitai Lampada. He uses it ironically to show the difference between his life before the war when he was fit and agile, and now when he is condemned to a passive lifestyle in a wheelchair. When he was playing football he liked a blood smear down his leg, implying that he thought it looked manly and would impress the girls. Now however, he can only watch boys playing football: voices of play and pleasure after day and the women do not see him as heroic as their eyes Passed from him to the strong men that were whole. The word whole creates a strong image of him being limbless and is powerful as it is not very compassionate, just like the women. In the last two lines, Owen repeats the rhetorical question: Why dont they come? The first question is directly addressing the nursing staff, portraying that they do not care for the wounded solider or are disgusted by his wounds and the second question portrays a sense of abandonment; he is confused because he fought in the war and people should honour what he has done instead of pitying and disposing of him. Owens Mental Cases has a similar theme to Disabled except it focuses on the mental aspect of fighting and not the physical aspect. The purpose of this poem is to describe to the reader that the conditions were so terrible in the First World War that it drove people insane. The tone of the poem is an angry one; Owen portrays his opposition to the war through line such as: Multitudinous murders they once witnessed. The word multitudinous means the common people and shows how Owen thought that the ordinary people of Britain were being slaughtered and that young, fit men were the subject of untimely deaths. It also emphasises the vast scaled of the murders and the intensity of the war. Owen uses very powerful and vivid imagery in the first stanza with phrases such as drooping tongues and purgatorial shadows to describe the men. The word purgatorial suggests that they are trying to cleanse their soul of the sins they have committed, but are trapped by their own violent actions in the war. Owen uses the word shadows to portray them as ghosts, men that go unnoticed because they are insane and not normal. This is ironic because they were probably once very fit and able and are now spending their lives in an institute. The first stanza poses the question of what made the men mad and Owen uses rhetorical questions to engage the reader: but what slow panic gouged these chasms round fretted sockets? This phrase conjours up a strong image of the men being wide eyed with a constant look of terror upon their face. Owen utilizes the phrase slow panic to infer that the men have been subject to a form of torture and that they have painfully been made to suffer. The phrase deeply gouged suggests wrinkles implying that the men are quite old; however we learn that the men have not lost their minds due to age, but due to war. The lines: Always they must see these things and hear them, Batter of guns and the shatter of flying muscles, use realistic and gruesome imagery to describe the battles. Onomatopoeia is used through the words shatter and batter making the reader almost hear the tremendous bangs of the guns and making them understand the intensity of the situation. The phrase human squander portrays Owens thoughts that many multitudinous murders took place and that their lives were lost for no reason; it was a mistake. In the final stanza Owen describes to the reader how the mental cases wish they were dead so they did not have to remember the atrocious carnage that they have seen: Dawn breaks open like a war that bleeds afresh. This simile is effective because usually dawn brings new beginnings and fresh opportunities, but to these men it just means they have to endure memories of what the war did to them. This poem is a very personal one as in the last four lines; Owen uses words like us and brother. This shows that the men blame us for allowing what happened to occur, and how they wish that they did not have to be reminded of it any longer. Wilfred Owens wrote Anthem for Doomed Youth not to portray the mental and physical effects of war like Disabled and Mental Cases, but to explain how a whole generation of men were subject to gruesome injuries or brutal deaths during the First World War. The title is deliberately ironic because the word Anthem usually suggests celebration; however the tone of this poem is bitter and mournful. It also infers that Owen is mocking poets like Rupert Brooke who say it is honourable to die in the war. The first line is a rhetorical question and it uses plosives, portraying an angry tone. The metaphor for these who die as cattle is effective because it infers that the soldiers are being slaughtered. The soldiers are referred to as Doomed Youth as there were no prayers nor bells for them as they died on the battlefield, just the monstrous anger of the guns, suggesting that the amount of deaths were so widespread there was no separate emotion for each man, their deaths were unimportant like that of cattle. This personification also infers that the weapons were taking control of the soldiers and that their actions are that of monsters. Owen portrays how there is no time for sentiment of the battlefield in the line: The shrill demented choirs of wailing shells; this personification is effective because when a person dies they are believed to be at peace, but when you die on the battlefield the destruction and devastation carries on around you regardless. Owen portrays how the men came from ordinary backgrounds in the phrase: sad shires and he describes how the family of the soldiers did have funerals for them back at home in the line: what candles may be held to speed them all? The devastation of their deaths is shown through the line: the pallor of girls brows shall be their pall; suggesting that their girlfriends are sorrowful and also by using the plural it shows how a whole generation of women may not be able to find husbands because so many young men were killed in action. In the last line, a drawing-down of blinds is a fitting way to end the poem, but it could also be associated with traditional drawing down of blinds in a room where a dead person lies and furthermore it infers that so many soldiers lives were now over. I enjoyed reading Wilfred Owens poetry more than the pre 1900 poetry as it gave me a realistic view of what the effects of war were on the soldiers and their families. World War One was the most devastating and barbaric war to date and therefore I believe that Owens poetry is more fitting as it gives a personal aspect to the poems, portraying the soldiers as humans, not just as statistics, but also showed them like animals to make the vast scale of the murders evident.

Human Capital Development and Productivity Relationship

Human Capital Development and Productivity Relationship ABSTRACT This study examines the relationship between human capital development and productivity. Productivity is the dependent variable while human capital development indicators and gross capital formation are the explanatory variables. Recurrent and capital expenditures on health and education are used as human development indicators. The scope of the study is from1977 to 2003. The Ordinary Least Square method was used to determine this relationship. It has revealed a negative relationship between gross capital formation and productivity. However, human capital development was found to affect productivity significantly. It is therefore advocated to adopt policies that will improve the expenditure on health and education. CHAPTER ONE INTRODUCTION 1.1 BACKGROUND OF THE STUDY The issue of human capital development is of great importance in any economy particularly developing economy such as Nigeria. The twentieth century has become the human capital century. People and skills matter, the wealth of a nation is embodied in its people, that is, the working class. Although advanced countries but the poor countries are becoming more aware of the importance of people the advantage countries but the poor countries are becoming more aware of the importance of people the advancement of the economy. This study is therefore of great significance to the world at large. Labor is one of the four factors of production. The others are capital, land and entrepreneur. In the nineteenth century, people were of little importance to industrial giants such as Britain, Germany, France and the United States. However, in the early 1900 attention began to shift to education of people at secondary and higher levels and provision of welfare services such as health services. The Nigerian economy has however failed to move at the pace of other countries in the world. Although effort have been made in the area of human development in the part, there has not been a substantial improvement in the human capital development in the past, there has not been a substantial improvement in the human capital indicators such as education and health. Productivity can be perceived as the output per unit or the efficiency with which resources are utilized. Therefore productivity with respect to human capital development refers to the development of human capital which will lead to efficiency with which resources are utilized and this will increase output. The trend of productivity in Nigeria is one that fluctuates. Productivity in Nigeria compared to that of other countries is very low. Sustained productivity depends on the economys human capital. Human capital can be defined as the skills, knowledge, competencies, and attributes that reside in a worker. Human capital development involves the improvement of a nations human capital through better healthcare, nutrition, accommodation, working environment, education and training. The economies of nations and the world at large is dynamic in nature, it follows that the human resources of these nations should be constantly improved on. That is, training of manpower should be a continuous process in order to meet up with the demands of the world market. Here, the emphasis is placed on education and health. These can also be referred to as indicators of human capital development on productivity. ducation in Nigeria has improved over the years with increased interest in the tertiary institution. However, a closer attention has to be paid to the needs of the educational sector because the quality and level of educational attainment on the productivity of a country. Certain measures have been put in place to improve the quality of education in Nigeria by the Federal government and other agencies. However, these efforts have not brought about the much desired change in the standard of the education in Nigeria. Failure in the educational sector has been accounted for due to some problems. They include; inadequate allocation by the government to education, lack of dedicated teachers, poor political environment, poor implementation of policies and several others. Private organizations have sprung up to resuscitate the educational sector. This is evident through the increase in private schools in the primary, secondary and even the tertiary level. Nigerians have lost confidence in t he ability of the government to provide good education and this has resulted in high patronage of these private institutions by Nigerians who can afford it. This leaves the bulk of Nigerians that cannot afford private education at the mercy of the government funded schools. The government has failed to realize the gravity of what an underdeveloped human capital can do to an economy. The need for more attention to be centered on this aspect is very necessary. The health sector is also faced with similar problems as that of education. Health is a very important factor in human capital development. The state of health of labor affects the level of performance thereby affecting the level of productivity. Government has tried in improving health services by reducing the number of population per doctor, providing more health facilities, hospitals and other required health personnel. However, there is still room for improvement in this aspect. The rural areas of the country have been neglected while the urban areas have been focused on, there is still need to reduce the population per doctor, provide preventive healthcare and take drastic measures to reduce the infant maternal mortality. These discrepancies in education and health of the country have a very significant effect on productivity and hence economic growth. 1.2 STATEMENT OF THE PROBLEM The Nigerian economy has solved several problems facing it. There has been prolonged economic recession followed by the collapse of the world oil market from the early 1980 and fall in the foreign exchange earnings of the country. Other problems include overdependence on imports for consumption and capital goods, lack of adequate social and economic infrastructure and neglect of the agricultural sector. Nigeria is rated to be one of the poorest countries in the world. Putting the countrys economy back on track requires a lot of activities that will advance the economy such as rebuilding the economy and making goods and services available and affordable for every one. This is where the issue of productivity comes in since productivity refers to the level of output of a country. The problem therefore deals with increase in productivity through human capital development so as to increase growth. This study raises questions on how the indicators of human capital development affect productivity. 1.3 SCOPE OF THE STUDY This study covers all sectors of the economy and all countries in the world as the issue of human capital and productivity affects everyone. However, the study is based on the Nigerian economy and all considerations and analysis refers to the Nigerian economy. This study covers the period from 1977 to 2004. 1.4 OBJECTIVES OF THE STUDY The major objective of the study is to determine the relationship between human capital development and productivity in the Nigerian economy through the use of two human capital development indicators; education and health. The specific objectives include: To ascertain the relationship between human capital development and productivity To examine the impact of health on the productivity in the Nigerian economy. To examine the impact of education on productivity in the Nigerian economy. To determine the indicators of human capital development. 1.5 JUSTIFICATION OF THE STUDY This study is relevant to every sector of the economy. This is because every sector of the economy has labor as its most important factor of production. It is therefore of great importance to the industrial, agricultural, mining sector and so on. It gives them more incentive to invest more in their human resources. It is also of great importance to the government who have in their hands the authority and responsibility over important indicators of human capital development. This study will encourage government to increase expenditure on education, health and other areas of the economy that affect productivity. It provides a basis for which investment in health and education will be measured against productivity. This study is therefore of great importance to all sectors of the economy, the government and other stakeholders such as consumers, shareholders and so on. 1.6 RESEARCH QUESTIONS The following questions arise in the course of this study and will subsequently be answered. They include the following; What is the relationship between human capital development and productivity? What is the effect of health on productivity? What is the impact of education on productivity? What are the other factors that lead to the development of human capital? 1.7 HYPOTHESIS OF THE STUDY The following hypotheses hold for this study; H0 : Education has the lowest impact on productivity H1: Education has the greatest impact on productivity. H0: Health has no significant impact on productivity. H1: Health has a significant impact on productivity. H0: There is no significant relationship between human capital development and productivity. H1: There is a significant relationship between human capital development and productivity. 1.8 RESEARCH METHODOLOGY The issues to be raised in this research work are both empirical and theoretical. The Ordinary least square method of analyzing data will be used and the results will be interpreted. 1.9 DATA SOURCES Data was obtained from the Central Bank Statistical Bulletin, 2004. 1.1.0 OUTLINE OF CHAPTERS In order to achieve the stated objectives, the project work has been subdivided into five chapters. Chapter one is the introduction which consists of the background, statement of the problem, objectives, justification, hypotheses, scope, research methodology, organization and limitation of the study. Chapter two is devoted to past literature written on the subject matter. Chapter three is the methodological framework and the model specification. Chapter four is presentation, interpretation and empirical analysis of regression results. Chapter five boarders on the summary, recommendation and conclusion of the study. CHAPTER TWO LITERATURE REVIEW 2.1 CONCEPT OF HUMAN CAPITAL DEVELOPMENT Human resources make up the standard or the basis for the wealth of a country. Human resources are the summation of efforts, skills, knowledge and experience available in a country. It is the managerial, scientific, engineering, technical, craftsmen and other skills which are employed in creating, designing, developing organizations, managing and operating productive and service enterprises and economic institutions (Yesufu, 1962). They are a nations most valuable resources. They constitute a nations human capital. Human capital refers to the skills, education, health, and training of individuals. It is capital because these skills or education are an integral part of us that is long-lasting, in the way a machine, plant, or factory lasts ( Gary Becker, 1992). Before the nineteenth century, investment in human capital was not important in any country. Expenditures on schooling, health and other forms of investment were quite small. This began to change during that century with the application of science to the development of new goods and more efficient methods of production, first in Britain, and then gradually spreading to other countries. During this century, education, skills, and other knowledge have become crucial determinants of a persons and a nations productivity. One can even call the twentieth century the Age of Human Capital in the sense that the primary determinant of a countrys standard of living is how well it succeeds in developing and utilizing the skills, knowledge, health, and habits of its population. It has been estimated that human capital-education, on-the-job and other training, and health-comprises about 80 percent of the capital or wealth in the United States and other advanced countries. (Gary Becker 1992). Therefore a country without effective human capital development skills will be lagging behind in the issue of development. The concept of human capital refers to the abilities and skills of human resources of a country, while human capital formation refers to the process of acquiring and increasing the number of persons who have the skills, education and experience that are critical for economic growth and development of a country (Okojie 1995:44). Human capital is so important that in the Khartoum Declaration of 1988, it was asserted that: .the human dimension is the sine qua non of economic recovery .no SAP or economic recovery programme should be formulated or can be implemented without having at its heart detailed social and human priorities. There can be no real structural adjustment or economic recovery in the absence of the human imperative (Adedeji 1990:390). In other words, there cannot be meaningful economic growth without adequate human resources. Human resources development involves the improvement and the transformation of a nations human resources by better medicare, nutrition, accommodation, environment, education and training (Yesufu, 1962) Human capital development can be described as a deliberate effort by Government and people to provide the right number of workers, at the right areas of need and at the right time in an economy that is incentives that will increase the morale of the workers. For example, in Japan, training of human resources is seen as very important in development of the economy. They also provide incentives that boost the morale of the workers. The government is expected to provide policies or programmes that provide the labour needs and a requirement in all sectors of the economy. The existence of a large population does not translate to a productive resource. Human resources can only be productive due to effort made by the government and the private organisations in developing human resources. Human beings become productive resource or human capital only when they are able and in a position to contribute meaningfully to productive economic activities. They have to be trained to become agents of p roduction and economic activities. Without training they remain passive, potential and inactive as other factors of production. Human beings can be fashioned to lead useful and happy lives and contribute to societal development by the development of their characters and potential abilities through education, training, health services and so on conducted over a long period of years. The enterprise of human capital development therefore is the impartibility of knowledge and skills to human beings through education and training for productive as well as consumptive ends (U.O Anyanwu). Education is only one form of investment in human beings. Others include expenditure on medical care, migration to more prosperous regions, information about job opportunities and career prospects and choice of jobs with higher training contents. Human capital development is a form of investment with expected economic as well as social returns not only to the individual investor and his family but also the society at large. The economy, with time, begins to experience growth, while the beneficiary acquires the opportunity to contribute to and secure qualitative live by being able to make the right choices and command higher earnings profile. Consequently human capital development has been seen as the ultimate concern of all types of development-economic, social, cultural, political, etc. Capacity building or human capital development responds to a wide-range of questions such as what people are able to be or do, the issues longevity, health and mind development, their inalienable fundamental human rights to freedom of choice, speech, association, political, economic, social and other needs and ability to escape from avoidable diseases, malnourishment and illiteracy (HDR Nigeria 1996). Human Development Report (1996) maintains that sustainability of human capacity building is the essential component of the ethics of universalism of life, stressing that it is a matter of sharing development opportunities between all classes and groups of people between the rich and the poor, between the present and future generations. It is of the view that sustainability demands what it calls intra-generational and inter-generational equity (HRD Nigeria 1996). Capacity building or HRD has other associated benefits and returns. (Umo 1995) has itemized other crucial contributions of human capital to development in general to include; the generalized capacity to absorb economic shocks as well as cope with the complexities of modern development; creating a corps of well informed citizenry with positive attitude to national development, providing persons for technology base needed for industrialization; 2.2 CONCEPT OF PRODUCTIVITY The most widely accepted definition of productivity is that it is the ratio of inputs to output. This definition enjoys general acceptability because of two related considerations. One, the definition what productivity is thought of to be in the context of an enterprise, an industry or an economy as a whole. Two, regardless of the type of production, economic or political system, this definition of productivity remains the same as long as the basic concept is the relationship between the quantity and quality of goods and services produced and the quality of resources used to produce them. Eatwell and Newman (1991) defined productivity as a ratio of some measure of output to some index of input use. Put differently, productivity is nothing more than the arithmetic ratio between the amount produced and the amount of any resources used to produce them. This conception of productivity goes to imply that it can indeed be perceived as the output per unit input or the efficiency with which resources are used. Olaoye (1985) observed that productivity as a concept can assume two dimensions: namely total factor productivity (TFP) and partial productivity. The former relates to productivity that is defined as the relationship between outputs Growth in productivity provides a significant basis for adequate supply of goods and services thereby improving the welfare of the people and enhancing social progress (Mike Obadan). Demburg (1985) said without productivity there would be no growth in per capita income and inflation control would be more difficult. A country with high productivity is often known for high capacity utilization (optimal use of resources), high standard of living, low rate of unemployment and social progress. Productivity measures the relationship between quantitative and qualitative value of goods and services produced and the quantity of resources needed to produce them (that is, factor inputs such as labour, capital, technology) (Sumbeye, 1992; Okojie 1995; Roberts and Tybout 1997). Mali (1978) defines it as the measure of how resources are brought together in organisations and utilized for accomplishing a set of results. It is reaching the highest level of performance with the least use of resources. In this definition, the issue of efficiency is being referred to. Increased productivity will involve the use of less resources and an outcome of more output. Roberts and Tybout (1997) and Tybout (1992), assuming a neoclassical production function at the sectoral or industry , define total factor output to be a concave of inputs and time (a proxy for technological innovation). To them, the elasticity of output with respect to time is the total factor productivity. TFP = Total output / Weighted average of all inputs..1 The factor inputs include labour, capital, raw material and purchase of spare parts and so on. In a particular sense, these factors are reduced to the weighted average of labour and capital (Okojie, 1995; Roberts and Tybout, 1997). Partial productivity (PP) is defined as: PP = Total output / partial input.2 According to T. M.Yesufu, labour productivity refers to the output result of workers organised within a given economic unit or enterprise. Yesufu outlined the three basic deficiencies associated with the use of labour productivity. They include the following; the term labour as generally conceived , is ambiguous and far from inclusive. It excludes some very important categories of human inputs, especially management, marketing, accounting and the white collar workers generally, who are not directly on the production line. even the acknowledged workforce generally used for labour productivity measurement(the blue coated production line- skilled and unskilled labour) as far from homogenous, which complicates the allocation of output between the constituent classes; for example , adult and child labour; male-female, artisan, technician, etc. the output of an enterprise itself usually varies in terms of type , material inputs, labour mixes, sizes of unit products, etc., that are not easily dis-aggregated. Due to these shortcomings of the use of labour productivity some economists prefer to use total factor productivity as it is said to be superior and more acceptable for purposes of determining enterprise or macroeconomic performance. Partial productivity is particularly used for analytical purposes, to test the relative efficiency of, or returns to, various forms of inputs, and to check, for example, the effect on marginal productivity an increase or reduction of a particular type of input. 2.2.1 The Traditional Concept of Productivity The traditional concept of productivity focuses on the efficiency in the production or delivery process. In this wise, the focus is merely on the ratio of output to inputs. Thus, productivity is measured as the amount of output per unit of inputs. Since the emphasis was more generally on labour productivity, the measure was often the amount of output per worker working for one hour. This traditional approach implies a simple Mathematical relationship so that productivity improvement means producing more with less or the same amount of inputs; or sustaining the same level of output with less input. This traditional view derives from the economic logic of cost minimisation. One implication of this approach is that traditional productivity improvement schemes tend to focus on how to reduce inputs employed and improve the skills of the workers they retain. Workers lay-offs, while seeking to maintain the same levels of output with the reduced work force became popular at enterprise levels. The present policy of the Federal Government to reduce the work force in the public service is as a result of this traditional logic. 2.2.2 New Emerging Concept of Productivity Globalisation and the new forms of competition which it has brought about, however, today require us to focus on a much broader concept of productivity. Likewise, we need to appreciate more fully the changing dynamics of the factors involved in the process of productivity improvement. As a recent analysis points out, increased competitiveness, the increased complexity of markets, the globalisation of manufacturing and the increased concern about social and ecological issues make productivity improvement more important at the same time that the need for a broader meaning of productivity is required. Thus, the focus today is increasingly on total factor productivity and the process of its improvement involves improving the overall business environment. This involves the promotion of better labour-management relations, continuous improvement in products and processes, enhancement of the quality of work life and continuous development of the human resource. In this new conception, the emphasis of the direction to productivity improvement is on increased added value creation, rather than the minimisation of labour inputs. Emphasis has also been brought to bear on the distribution of the benefits of productivity improvement among all stakeholders (workers, employers, consumers). Productivity is not seen any more just as the physical increase in output, but also as the improvement in the quality and value or acceptability of the product or service. Thus, productivity is not just an efficiency concept any more, but equally an effectiveness concept. In an increasingly globalized world, productivity improvement does not just involve the efficient production of products or services, but of products and services that are needed and demanded and bought by very discerning customers. Customer orientation is increasingly in the fore and quality is now an important index of performance. Productivity is becoming identical with quality. 2.3 DETERMINANTS OF PRODUCTIVITY A number of factors affect productivity. Major among these are the complementing factors of production as well as technology/innovation, institutional backup, worker motivation, the quality of labour, environment, etc( U.O. Anyanwu). To discover the effect of each of the cooperating factors on productivity, we have to go into a theoretical world where we can hold other things constant while varying each of these factors one after the other. Here, we are still relying on the theory of diminishing marginal productivity which states that if increasing amounts of a variable factor, say labour, is applied to a fixed amount of other factors (e.g. land, capital, materials etc.), given the level of technology then beyond a certain number the extra or marginal product of the variable factor begins to fall down or diminish (Todaro 1985) However, in a real world all the factors impact productivity simultaneously. (a) Land, A Factor of Labour Productivity Growth Land can affect productivity both quantitatively and qualitatively. If land is identified as the limiting factor of labour productivity more arable land can be brought under cultivation to relax the land constraint. In this regard a number of forest reserves have, for this purpose, to be deforested. The quality of land can be improved through the application of manure and fertilizer, which also increases the yield per hectare. Other methods of farming that make for more yields per hectare of land such as improved seed and grain varieties have been adopted by modern farmers. New land policies that alter tenure ship and ownership are devices for relaxing land constraints and improving productivity. (b) Capital Accumulation and Labour Productivity. If identified low labour productivity is attributable to lack of capital, capital can be raised through the mobilization of domestic and foreign investment. Acquisition of new factories, equipment, and machinery will lead to increases in productivity and output per capita of the nation. The Nigerian Governments are committed to the attraction of foreign investments to, among others; improve the capital base of the country. However, while the efforts are being made to cover the need for further capital, installed capital such as the Liquefied Natural Gas Project, Petrochemical plants, Refineries and Iron and Steel factories, among others need revitalization if our productivity is to increase. Investment in social and economic infrastructure gives a significant effect to productivity such as roads, electricity, water, sanitation, communication for the facilitation of economic activities. Road networks are needed to bring the additional product to areas of need, while electricity, water, communication, all play very dominant roles in bringing about the additional product and service arising from the new investment. Dams, irrigation facilities, bridges and road extensions to interior areas all raise product per hectares of cultivated land. Use of chemicals, fertilizers, pesticides, etc. is part of the capital needed enhanced productivity because by raising value of the farm land, productivity is also being improved. (c)Technology/Innovation and Productivity Most economists regard technology/innovation as the most important source of growth. Technology is being seen as a new and improved ways of achieving or performing traditional tasks. Technology can be neutral, labour or capital intensive. Technology is said to be labour and capital neutral when higher output levels are achievable using the same quantity and combinations of factor inputs in a production process. Simple innovations such as re-distribution of labour can result in higher output levels, too. On the other hand, technology may be capital intensive or labour intensive if higher levels of output are possible, with more capital or more labour. Use of simple implements such as those of cottage and small scale industries are said to be labour intensive while those such as electronic computers, automated textile looms, mechanical ploughs, tractors display capital intensity (Todaro 1985). In industrialized countries where unit cost of labour is very high and expensive technology choice favors one that is capital intensive or labour saving, while in developing countries such as Nigeria where there is abundance of labour and scarcity of capital, choice of technology gravitates towards those that are labour intensive, and capital saving. There is the fourth aspect of technology called labour or capital augmentation technology. The quality or skill of labour can be augmented by the use of, for example, videotapes, televisions and other electronic communication devices while capital augmentation is said to occur when productivity can be enhanced by the use of existing capital goods for instance iron types etc can replace wooden hoes. Today hybrid products such as cassava, rice, etc that give higher yield per hectare are being developed through technological augmentation. (d) Labour Force Growth and Labour Productivity. Labour Force growth an important part of the population growth stimulates economic growth and productivity growth particularly when growth has not attained its optimum level. A large labour force, all things being equal, means a large population and the latter is potentially a large domestic market, and if well endowed, empowered and developed, a great international market, too. However, much depends obviously on the capacity of the economic system to productively employ the additional workers arising from the population/labour force growth. Again this will equally depend on the rate and kinds of capital accumulation and the availability of related factors such as managerial and administrative skills and competence the level of commitment of the political administration. 2.4 IMPACT OF HUMAN CAPITAL DEVELOPMENT ON LABOUR PRODUCTIVTY Human Capital Development enhances labour productivity and the productive capacity of the economy. Employers regard the qualification arising from capacity building, as a reliable indication of personal ability, achievement drive reasoning for instance that, a graduate must make a better salesman than a man who had never met the Human Capital Development and Productivity Relationship Human Capital Development and Productivity Relationship ABSTRACT This study examines the relationship between human capital development and productivity. Productivity is the dependent variable while human capital development indicators and gross capital formation are the explanatory variables. Recurrent and capital expenditures on health and education are used as human development indicators. The scope of the study is from1977 to 2003. The Ordinary Least Square method was used to determine this relationship. It has revealed a negative relationship between gross capital formation and productivity. However, human capital development was found to affect productivity significantly. It is therefore advocated to adopt policies that will improve the expenditure on health and education. CHAPTER ONE INTRODUCTION 1.1 BACKGROUND OF THE STUDY The issue of human capital development is of great importance in any economy particularly developing economy such as Nigeria. The twentieth century has become the human capital century. People and skills matter, the wealth of a nation is embodied in its people, that is, the working class. Although advanced countries but the poor countries are becoming more aware of the importance of people the advantage countries but the poor countries are becoming more aware of the importance of people the advancement of the economy. This study is therefore of great significance to the world at large. Labor is one of the four factors of production. The others are capital, land and entrepreneur. In the nineteenth century, people were of little importance to industrial giants such as Britain, Germany, France and the United States. However, in the early 1900 attention began to shift to education of people at secondary and higher levels and provision of welfare services such as health services. The Nigerian economy has however failed to move at the pace of other countries in the world. Although effort have been made in the area of human development in the part, there has not been a substantial improvement in the human capital development in the past, there has not been a substantial improvement in the human capital indicators such as education and health. Productivity can be perceived as the output per unit or the efficiency with which resources are utilized. Therefore productivity with respect to human capital development refers to the development of human capital which will lead to efficiency with which resources are utilized and this will increase output. The trend of productivity in Nigeria is one that fluctuates. Productivity in Nigeria compared to that of other countries is very low. Sustained productivity depends on the economys human capital. Human capital can be defined as the skills, knowledge, competencies, and attributes that reside in a worker. Human capital development involves the improvement of a nations human capital through better healthcare, nutrition, accommodation, working environment, education and training. The economies of nations and the world at large is dynamic in nature, it follows that the human resources of these nations should be constantly improved on. That is, training of manpower should be a continuous process in order to meet up with the demands of the world market. Here, the emphasis is placed on education and health. These can also be referred to as indicators of human capital development on productivity. ducation in Nigeria has improved over the years with increased interest in the tertiary institution. However, a closer attention has to be paid to the needs of the educational sector because the quality and level of educational attainment on the productivity of a country. Certain measures have been put in place to improve the quality of education in Nigeria by the Federal government and other agencies. However, these efforts have not brought about the much desired change in the standard of the education in Nigeria. Failure in the educational sector has been accounted for due to some problems. They include; inadequate allocation by the government to education, lack of dedicated teachers, poor political environment, poor implementation of policies and several others. Private organizations have sprung up to resuscitate the educational sector. This is evident through the increase in private schools in the primary, secondary and even the tertiary level. Nigerians have lost confidence in t he ability of the government to provide good education and this has resulted in high patronage of these private institutions by Nigerians who can afford it. This leaves the bulk of Nigerians that cannot afford private education at the mercy of the government funded schools. The government has failed to realize the gravity of what an underdeveloped human capital can do to an economy. The need for more attention to be centered on this aspect is very necessary. The health sector is also faced with similar problems as that of education. Health is a very important factor in human capital development. The state of health of labor affects the level of performance thereby affecting the level of productivity. Government has tried in improving health services by reducing the number of population per doctor, providing more health facilities, hospitals and other required health personnel. However, there is still room for improvement in this aspect. The rural areas of the country have been neglected while the urban areas have been focused on, there is still need to reduce the population per doctor, provide preventive healthcare and take drastic measures to reduce the infant maternal mortality. These discrepancies in education and health of the country have a very significant effect on productivity and hence economic growth. 1.2 STATEMENT OF THE PROBLEM The Nigerian economy has solved several problems facing it. There has been prolonged economic recession followed by the collapse of the world oil market from the early 1980 and fall in the foreign exchange earnings of the country. Other problems include overdependence on imports for consumption and capital goods, lack of adequate social and economic infrastructure and neglect of the agricultural sector. Nigeria is rated to be one of the poorest countries in the world. Putting the countrys economy back on track requires a lot of activities that will advance the economy such as rebuilding the economy and making goods and services available and affordable for every one. This is where the issue of productivity comes in since productivity refers to the level of output of a country. The problem therefore deals with increase in productivity through human capital development so as to increase growth. This study raises questions on how the indicators of human capital development affect productivity. 1.3 SCOPE OF THE STUDY This study covers all sectors of the economy and all countries in the world as the issue of human capital and productivity affects everyone. However, the study is based on the Nigerian economy and all considerations and analysis refers to the Nigerian economy. This study covers the period from 1977 to 2004. 1.4 OBJECTIVES OF THE STUDY The major objective of the study is to determine the relationship between human capital development and productivity in the Nigerian economy through the use of two human capital development indicators; education and health. The specific objectives include: To ascertain the relationship between human capital development and productivity To examine the impact of health on the productivity in the Nigerian economy. To examine the impact of education on productivity in the Nigerian economy. To determine the indicators of human capital development. 1.5 JUSTIFICATION OF THE STUDY This study is relevant to every sector of the economy. This is because every sector of the economy has labor as its most important factor of production. It is therefore of great importance to the industrial, agricultural, mining sector and so on. It gives them more incentive to invest more in their human resources. It is also of great importance to the government who have in their hands the authority and responsibility over important indicators of human capital development. This study will encourage government to increase expenditure on education, health and other areas of the economy that affect productivity. It provides a basis for which investment in health and education will be measured against productivity. This study is therefore of great importance to all sectors of the economy, the government and other stakeholders such as consumers, shareholders and so on. 1.6 RESEARCH QUESTIONS The following questions arise in the course of this study and will subsequently be answered. They include the following; What is the relationship between human capital development and productivity? What is the effect of health on productivity? What is the impact of education on productivity? What are the other factors that lead to the development of human capital? 1.7 HYPOTHESIS OF THE STUDY The following hypotheses hold for this study; H0 : Education has the lowest impact on productivity H1: Education has the greatest impact on productivity. H0: Health has no significant impact on productivity. H1: Health has a significant impact on productivity. H0: There is no significant relationship between human capital development and productivity. H1: There is a significant relationship between human capital development and productivity. 1.8 RESEARCH METHODOLOGY The issues to be raised in this research work are both empirical and theoretical. The Ordinary least square method of analyzing data will be used and the results will be interpreted. 1.9 DATA SOURCES Data was obtained from the Central Bank Statistical Bulletin, 2004. 1.1.0 OUTLINE OF CHAPTERS In order to achieve the stated objectives, the project work has been subdivided into five chapters. Chapter one is the introduction which consists of the background, statement of the problem, objectives, justification, hypotheses, scope, research methodology, organization and limitation of the study. Chapter two is devoted to past literature written on the subject matter. Chapter three is the methodological framework and the model specification. Chapter four is presentation, interpretation and empirical analysis of regression results. Chapter five boarders on the summary, recommendation and conclusion of the study. CHAPTER TWO LITERATURE REVIEW 2.1 CONCEPT OF HUMAN CAPITAL DEVELOPMENT Human resources make up the standard or the basis for the wealth of a country. Human resources are the summation of efforts, skills, knowledge and experience available in a country. It is the managerial, scientific, engineering, technical, craftsmen and other skills which are employed in creating, designing, developing organizations, managing and operating productive and service enterprises and economic institutions (Yesufu, 1962). They are a nations most valuable resources. They constitute a nations human capital. Human capital refers to the skills, education, health, and training of individuals. It is capital because these skills or education are an integral part of us that is long-lasting, in the way a machine, plant, or factory lasts ( Gary Becker, 1992). Before the nineteenth century, investment in human capital was not important in any country. Expenditures on schooling, health and other forms of investment were quite small. This began to change during that century with the application of science to the development of new goods and more efficient methods of production, first in Britain, and then gradually spreading to other countries. During this century, education, skills, and other knowledge have become crucial determinants of a persons and a nations productivity. One can even call the twentieth century the Age of Human Capital in the sense that the primary determinant of a countrys standard of living is how well it succeeds in developing and utilizing the skills, knowledge, health, and habits of its population. It has been estimated that human capital-education, on-the-job and other training, and health-comprises about 80 percent of the capital or wealth in the United States and other advanced countries. (Gary Becker 1992). Therefore a country without effective human capital development skills will be lagging behind in the issue of development. The concept of human capital refers to the abilities and skills of human resources of a country, while human capital formation refers to the process of acquiring and increasing the number of persons who have the skills, education and experience that are critical for economic growth and development of a country (Okojie 1995:44). Human capital is so important that in the Khartoum Declaration of 1988, it was asserted that: .the human dimension is the sine qua non of economic recovery .no SAP or economic recovery programme should be formulated or can be implemented without having at its heart detailed social and human priorities. There can be no real structural adjustment or economic recovery in the absence of the human imperative (Adedeji 1990:390). In other words, there cannot be meaningful economic growth without adequate human resources. Human resources development involves the improvement and the transformation of a nations human resources by better medicare, nutrition, accommodation, environment, education and training (Yesufu, 1962) Human capital development can be described as a deliberate effort by Government and people to provide the right number of workers, at the right areas of need and at the right time in an economy that is incentives that will increase the morale of the workers. For example, in Japan, training of human resources is seen as very important in development of the economy. They also provide incentives that boost the morale of the workers. The government is expected to provide policies or programmes that provide the labour needs and a requirement in all sectors of the economy. The existence of a large population does not translate to a productive resource. Human resources can only be productive due to effort made by the government and the private organisations in developing human resources. Human beings become productive resource or human capital only when they are able and in a position to contribute meaningfully to productive economic activities. They have to be trained to become agents of p roduction and economic activities. Without training they remain passive, potential and inactive as other factors of production. Human beings can be fashioned to lead useful and happy lives and contribute to societal development by the development of their characters and potential abilities through education, training, health services and so on conducted over a long period of years. The enterprise of human capital development therefore is the impartibility of knowledge and skills to human beings through education and training for productive as well as consumptive ends (U.O Anyanwu). Education is only one form of investment in human beings. Others include expenditure on medical care, migration to more prosperous regions, information about job opportunities and career prospects and choice of jobs with higher training contents. Human capital development is a form of investment with expected economic as well as social returns not only to the individual investor and his family but also the society at large. The economy, with time, begins to experience growth, while the beneficiary acquires the opportunity to contribute to and secure qualitative live by being able to make the right choices and command higher earnings profile. Consequently human capital development has been seen as the ultimate concern of all types of development-economic, social, cultural, political, etc. Capacity building or human capital development responds to a wide-range of questions such as what people are able to be or do, the issues longevity, health and mind development, their inalienable fundamental human rights to freedom of choice, speech, association, political, economic, social and other needs and ability to escape from avoidable diseases, malnourishment and illiteracy (HDR Nigeria 1996). Human Development Report (1996) maintains that sustainability of human capacity building is the essential component of the ethics of universalism of life, stressing that it is a matter of sharing development opportunities between all classes and groups of people between the rich and the poor, between the present and future generations. It is of the view that sustainability demands what it calls intra-generational and inter-generational equity (HRD Nigeria 1996). Capacity building or HRD has other associated benefits and returns. (Umo 1995) has itemized other crucial contributions of human capital to development in general to include; the generalized capacity to absorb economic shocks as well as cope with the complexities of modern development; creating a corps of well informed citizenry with positive attitude to national development, providing persons for technology base needed for industrialization; 2.2 CONCEPT OF PRODUCTIVITY The most widely accepted definition of productivity is that it is the ratio of inputs to output. This definition enjoys general acceptability because of two related considerations. One, the definition what productivity is thought of to be in the context of an enterprise, an industry or an economy as a whole. Two, regardless of the type of production, economic or political system, this definition of productivity remains the same as long as the basic concept is the relationship between the quantity and quality of goods and services produced and the quality of resources used to produce them. Eatwell and Newman (1991) defined productivity as a ratio of some measure of output to some index of input use. Put differently, productivity is nothing more than the arithmetic ratio between the amount produced and the amount of any resources used to produce them. This conception of productivity goes to imply that it can indeed be perceived as the output per unit input or the efficiency with which resources are used. Olaoye (1985) observed that productivity as a concept can assume two dimensions: namely total factor productivity (TFP) and partial productivity. The former relates to productivity that is defined as the relationship between outputs Growth in productivity provides a significant basis for adequate supply of goods and services thereby improving the welfare of the people and enhancing social progress (Mike Obadan). Demburg (1985) said without productivity there would be no growth in per capita income and inflation control would be more difficult. A country with high productivity is often known for high capacity utilization (optimal use of resources), high standard of living, low rate of unemployment and social progress. Productivity measures the relationship between quantitative and qualitative value of goods and services produced and the quantity of resources needed to produce them (that is, factor inputs such as labour, capital, technology) (Sumbeye, 1992; Okojie 1995; Roberts and Tybout 1997). Mali (1978) defines it as the measure of how resources are brought together in organisations and utilized for accomplishing a set of results. It is reaching the highest level of performance with the least use of resources. In this definition, the issue of efficiency is being referred to. Increased productivity will involve the use of less resources and an outcome of more output. Roberts and Tybout (1997) and Tybout (1992), assuming a neoclassical production function at the sectoral or industry , define total factor output to be a concave of inputs and time (a proxy for technological innovation). To them, the elasticity of output with respect to time is the total factor productivity. TFP = Total output / Weighted average of all inputs..1 The factor inputs include labour, capital, raw material and purchase of spare parts and so on. In a particular sense, these factors are reduced to the weighted average of labour and capital (Okojie, 1995; Roberts and Tybout, 1997). Partial productivity (PP) is defined as: PP = Total output / partial input.2 According to T. M.Yesufu, labour productivity refers to the output result of workers organised within a given economic unit or enterprise. Yesufu outlined the three basic deficiencies associated with the use of labour productivity. They include the following; the term labour as generally conceived , is ambiguous and far from inclusive. It excludes some very important categories of human inputs, especially management, marketing, accounting and the white collar workers generally, who are not directly on the production line. even the acknowledged workforce generally used for labour productivity measurement(the blue coated production line- skilled and unskilled labour) as far from homogenous, which complicates the allocation of output between the constituent classes; for example , adult and child labour; male-female, artisan, technician, etc. the output of an enterprise itself usually varies in terms of type , material inputs, labour mixes, sizes of unit products, etc., that are not easily dis-aggregated. Due to these shortcomings of the use of labour productivity some economists prefer to use total factor productivity as it is said to be superior and more acceptable for purposes of determining enterprise or macroeconomic performance. Partial productivity is particularly used for analytical purposes, to test the relative efficiency of, or returns to, various forms of inputs, and to check, for example, the effect on marginal productivity an increase or reduction of a particular type of input. 2.2.1 The Traditional Concept of Productivity The traditional concept of productivity focuses on the efficiency in the production or delivery process. In this wise, the focus is merely on the ratio of output to inputs. Thus, productivity is measured as the amount of output per unit of inputs. Since the emphasis was more generally on labour productivity, the measure was often the amount of output per worker working for one hour. This traditional approach implies a simple Mathematical relationship so that productivity improvement means producing more with less or the same amount of inputs; or sustaining the same level of output with less input. This traditional view derives from the economic logic of cost minimisation. One implication of this approach is that traditional productivity improvement schemes tend to focus on how to reduce inputs employed and improve the skills of the workers they retain. Workers lay-offs, while seeking to maintain the same levels of output with the reduced work force became popular at enterprise levels. The present policy of the Federal Government to reduce the work force in the public service is as a result of this traditional logic. 2.2.2 New Emerging Concept of Productivity Globalisation and the new forms of competition which it has brought about, however, today require us to focus on a much broader concept of productivity. Likewise, we need to appreciate more fully the changing dynamics of the factors involved in the process of productivity improvement. As a recent analysis points out, increased competitiveness, the increased complexity of markets, the globalisation of manufacturing and the increased concern about social and ecological issues make productivity improvement more important at the same time that the need for a broader meaning of productivity is required. Thus, the focus today is increasingly on total factor productivity and the process of its improvement involves improving the overall business environment. This involves the promotion of better labour-management relations, continuous improvement in products and processes, enhancement of the quality of work life and continuous development of the human resource. In this new conception, the emphasis of the direction to productivity improvement is on increased added value creation, rather than the minimisation of labour inputs. Emphasis has also been brought to bear on the distribution of the benefits of productivity improvement among all stakeholders (workers, employers, consumers). Productivity is not seen any more just as the physical increase in output, but also as the improvement in the quality and value or acceptability of the product or service. Thus, productivity is not just an efficiency concept any more, but equally an effectiveness concept. In an increasingly globalized world, productivity improvement does not just involve the efficient production of products or services, but of products and services that are needed and demanded and bought by very discerning customers. Customer orientation is increasingly in the fore and quality is now an important index of performance. Productivity is becoming identical with quality. 2.3 DETERMINANTS OF PRODUCTIVITY A number of factors affect productivity. Major among these are the complementing factors of production as well as technology/innovation, institutional backup, worker motivation, the quality of labour, environment, etc( U.O. Anyanwu). To discover the effect of each of the cooperating factors on productivity, we have to go into a theoretical world where we can hold other things constant while varying each of these factors one after the other. Here, we are still relying on the theory of diminishing marginal productivity which states that if increasing amounts of a variable factor, say labour, is applied to a fixed amount of other factors (e.g. land, capital, materials etc.), given the level of technology then beyond a certain number the extra or marginal product of the variable factor begins to fall down or diminish (Todaro 1985) However, in a real world all the factors impact productivity simultaneously. (a) Land, A Factor of Labour Productivity Growth Land can affect productivity both quantitatively and qualitatively. If land is identified as the limiting factor of labour productivity more arable land can be brought under cultivation to relax the land constraint. In this regard a number of forest reserves have, for this purpose, to be deforested. The quality of land can be improved through the application of manure and fertilizer, which also increases the yield per hectare. Other methods of farming that make for more yields per hectare of land such as improved seed and grain varieties have been adopted by modern farmers. New land policies that alter tenure ship and ownership are devices for relaxing land constraints and improving productivity. (b) Capital Accumulation and Labour Productivity. If identified low labour productivity is attributable to lack of capital, capital can be raised through the mobilization of domestic and foreign investment. Acquisition of new factories, equipment, and machinery will lead to increases in productivity and output per capita of the nation. The Nigerian Governments are committed to the attraction of foreign investments to, among others; improve the capital base of the country. However, while the efforts are being made to cover the need for further capital, installed capital such as the Liquefied Natural Gas Project, Petrochemical plants, Refineries and Iron and Steel factories, among others need revitalization if our productivity is to increase. Investment in social and economic infrastructure gives a significant effect to productivity such as roads, electricity, water, sanitation, communication for the facilitation of economic activities. Road networks are needed to bring the additional product to areas of need, while electricity, water, communication, all play very dominant roles in bringing about the additional product and service arising from the new investment. Dams, irrigation facilities, bridges and road extensions to interior areas all raise product per hectares of cultivated land. Use of chemicals, fertilizers, pesticides, etc. is part of the capital needed enhanced productivity because by raising value of the farm land, productivity is also being improved. (c)Technology/Innovation and Productivity Most economists regard technology/innovation as the most important source of growth. Technology is being seen as a new and improved ways of achieving or performing traditional tasks. Technology can be neutral, labour or capital intensive. Technology is said to be labour and capital neutral when higher output levels are achievable using the same quantity and combinations of factor inputs in a production process. Simple innovations such as re-distribution of labour can result in higher output levels, too. On the other hand, technology may be capital intensive or labour intensive if higher levels of output are possible, with more capital or more labour. Use of simple implements such as those of cottage and small scale industries are said to be labour intensive while those such as electronic computers, automated textile looms, mechanical ploughs, tractors display capital intensity (Todaro 1985). In industrialized countries where unit cost of labour is very high and expensive technology choice favors one that is capital intensive or labour saving, while in developing countries such as Nigeria where there is abundance of labour and scarcity of capital, choice of technology gravitates towards those that are labour intensive, and capital saving. There is the fourth aspect of technology called labour or capital augmentation technology. The quality or skill of labour can be augmented by the use of, for example, videotapes, televisions and other electronic communication devices while capital augmentation is said to occur when productivity can be enhanced by the use of existing capital goods for instance iron types etc can replace wooden hoes. Today hybrid products such as cassava, rice, etc that give higher yield per hectare are being developed through technological augmentation. (d) Labour Force Growth and Labour Productivity. Labour Force growth an important part of the population growth stimulates economic growth and productivity growth particularly when growth has not attained its optimum level. A large labour force, all things being equal, means a large population and the latter is potentially a large domestic market, and if well endowed, empowered and developed, a great international market, too. However, much depends obviously on the capacity of the economic system to productively employ the additional workers arising from the population/labour force growth. Again this will equally depend on the rate and kinds of capital accumulation and the availability of related factors such as managerial and administrative skills and competence the level of commitment of the political administration. 2.4 IMPACT OF HUMAN CAPITAL DEVELOPMENT ON LABOUR PRODUCTIVTY Human Capital Development enhances labour productivity and the productive capacity of the economy. Employers regard the qualification arising from capacity building, as a reliable indication of personal ability, achievement drive reasoning for instance that, a graduate must make a better salesman than a man who had never met the