scholarly journals The Impact of Cost- driven Strategic Outsourcing on the Organizational Performance of Manufacturing Companies in Nigeria

Author(s):  
Hafiz Baba

The pivotal roles of the manufacturing sector in economic growth and sustainable development in both developed and developing countries have been documented in the literature. However, the highly competitive environment along with customers' demands for tailored products and services, has forced manufacturing companies, especially in Nigeria to experience slow growth. This study, therefore, seeks to determine the impact of cost drive outsourcing strategy on the organizational performance of manufacturing companies in Nigeria. The questionnaires were administered among the one hundred and twenty (120) management staff members of the sixty selected manufacturing companies in Nigeria through a purposive sampling method, and this was done personally by the researcher. Linear regression was used to analyzed and interpret the data used in this research. The study reveals that cost-driven is a major strategy that helps an organization in achieving its stated objectives in the global competitive environment. The findings further show that cost-driven has a significant impact on the organizational performance of the manufacturing sector in Nigeria.  Based on the findings, the study therefore, recommends that the management of manufacturing companies should adopt strategic and well thought out outsourcing partnerships in order to continuously reduce operating costs for growth.

2021 ◽  
Vol 13 (22) ◽  
pp. 12844
Author(s):  
Lei Guo ◽  
Luying Xu

With vast potentials in improving operations and stimulating growth, digital transformation has aroused much attention from firms across the world. However, the high costs associated with the transformation can not be ignored. Limited research has looked into the organizational performance effects of digital transformation. After examining the benefits and costs of digital transformation, this research makes an empirical study on the impact of digital transformation on firm operational and financial performance. The panel data from 2010 to 2020 of 2254 manufacturing companies in China suggests that the intensity of digital transformation is in positive correlation with the process-based operating performance, and in the U-shaped correlation with the profit-oriented financial performance. Further, we find that digital transformation has a much more lasting impact on operating performance than on financial performance. The conditions required (i.e., policy and innovation environment) to improve the operating performance via digital transformation are more easing. This research shows the differentiated effect of digital transformation on different dimensions of organizational performance and provides guidance for companies to set the goals for digital transformation.


2019 ◽  
pp. 33-41
Author(s):  
V. L. Harutyunyan ◽  
S. V. Dokholyan ◽  
A. R. Makaryan

The presented study discusses the issues of applying the Common Customs Tariff (CCT) rates of the Eurasian Economic Union (EAEU) on rough diamonds and the impact thereof on the exports of stones cut and polished inArmeniaand then exported toRussia.Aim. The study aims to identify the possible strategies Armenian diamond cutting and polishing companies could adopt as a response to the application of the CCT rates on rough diamonds and how it would affect exports to various destinations, namely to Russia.Tasks. The authors analyze the current state of the gems and jewelry sector and substantiate the need to either integrate it into the jewelry manufacturing sector or to apply various strategies to facilitate exports to either Russia or other destinations in the medium term in response to the application of the CCT rates.Methods. This study uses general scientific methods of cognition, including analytical and methodological approaches and elements of forecasting. Possible strategies the Armenian diamond cutting and polishing companies could adopt in the medium term in response to the application of the EAEU CCT rates are determined using the analytical research method, forecasts in the context of the developments in the Armenian gem processing and jewelry market and global trends, statistical data on the imports and exports of cut and polished gems and jewelry for 2014–2018 published by the UN Comtrade Statistics.Results. Statistics on the exports of processed diamonds from 2014 to 2018 highlights the issue associated with the loss of competitiveness suffered by Armenian companies (mainly in comparison with Indian diamond cutters). The major global trends in the diamond cutting and polishing business indicate that it could be virtually impossible for Armenian cutters and polishers to compete with Indian companies in the medium term if they do not comes to investing in new technology to achieve operational efficiency. For these companies, it is important not to lose the Russian market due to an increase in the tariff rate and concentrate on the processing of gems that are larger than 1 carat. Another strategy to avoid an increase in the customs tariff rates would depend on the Armenian government’s ability to negotiate with Russia in respect of direct imports of diamond stones from Russian manufactures. Two other options for Armenian cutters involve focusing on cutting and polishing of rubies, sapphires, emeralds, etc. or integrating into the jewelry sector either by being the primary supplier or by considering this business as a channel to sell processed diamond stones by setting up their own jewelry manufacturing companies.Conclusions. With CCT going into effect in January 2021 and India’s dominant role in the diamond cutting and polishing business, Armenia needs to carefully consider all of the strategies the Armenian companies could adopt, as discussed above. As a member state of the EAEU, Armenia freely exports to Russia, however, further exports to Russia would depend on Armenia’s ability to ensure that cost-effective operations are in place, or to concentrate on the processing of precious gems rather than diamonds, or to switch to the manufacturing of jewelry items as a major export item.Practical Implication. The findings of this study could be of interest to the Ministry of Economy of the Republic of Armenia and Business Armenia that could be used in elaborating the strategy for the development of Armenian gems and jewelry sector of the economy.


Author(s):  
Theresia Julina Rusli ◽  
I Dewa Nyoman Wiratmaja

This  research  aims to find empirical evidence  about the impact  of  workload  and  audit tenure  on  audit quality  and  using audit  committee  as  a  moderating  variable. This  research  focused  on  manufacturing companies  that  listed  on  the  Indonesia Stock Exchange. Sample was collected using   purposive sampling method and resulted 31  companies as a final sample.  The  data are analyzed by using Moderated Regression Analysis (MRA). The results of  this research indicate  that the  workload  has a negative  impact on  audit quality.  Audit tenure has a positive impact on audit quality. Audit committee reduces the negative impact of workload on audit quality. And audit committee reduces the positive impact of audit tenure on audit quality.


2014 ◽  
Vol 11 (4) ◽  
pp. 329-337
Author(s):  
Nadarajah Sivathaasan ◽  
Sivapalan Achchuthan

This paper seeks to investigate the effect of duality/non-duality of CEO, board size, meeting, committee on domestic shareholdings of manufacturing companies listed on Colombo Stock Exchange over a three-year period from 2011 to 2013. The study employs the independent samples t-test, correlation and regression analyses to assess the relationships as well as the impact on domestic shareholdings using a sample of 32 quoted companies ( n =32). It is found that duality & non-duality of CEO structure do not differ in relation to domestic shareholdings that are inconsistent with the hypothesis formulated. Board size (+) and board meeting (+) have shown positive relationship and board committee (-) is negatively associated with domestic shareholdings. As per the empirical results, board committee and board size have significant (p < 0.05) impact on domestic share holdings and insignificant impact is observed by board meeting. The present study concentrates only on the manufacturing sector quoted on Colombo Stock Exchange. This paper has taken an effort to this area of research on emerging share holdings held by local individuals and institutions in Sri Lanka and the findings could be generalized to the companies similar to this category.


2021 ◽  
Vol 2 (2) ◽  
pp. 17-22
Author(s):  
Audy Tri Saputra Meha ◽  
Sugeng Hariadi

The purpose of this study is to examine the impact of corporate social responsibility and financial performance on firm value with managerial ownership as an intermediary variable. Corporate social responsibility and financial performance are used as independent variables. Meanwhile, firm value is used as the dependent variable. Managerial ownership is used as a moderating variable in this study. Manufacturing companies in the consumer goods industry sector listed on the Indonesia Stock Exchange in the 2017-2018 period are the population in this study. Purposive sampling method is a sampling method used in this study by producing 27 companies with 2 observations to produce a sample of 54. Multiple linear regression and moderation regression analysis are the analytical methods used in this study. This research shows that corporate social responsibility and financial performance have a positive and significant effect on firm value. Managerial ownership has a negative and significant effect on firm value. Then corporate social responsibility and financial performance with managerial ownership as the moderating variable have a positive and significant effect on firm value.     Tujuan penelitian ini adalah untuk menguji dampak corporate social responsibility dan kinerja keuangan pada nilai perusahaan dengan kepemilikan manajerial sebagai variabel perantara. Corporate social responsibility dan kinerja keuangan digunakan sebagai variable Independen. Sedangkan nilai perusahaan digunakan sebagai variable dependen. Kepemilikan manajerial yang digunakan sebagai variabel moderating dalam penelitian ini. Perusahaan manufaktur sektor industri barang konsumsi yang terdaftar di Bursa Efek Indonesia pada periode 2017-2018 merupakan populasi dalam penelitian ini. Metode purposive sampling merupakan metode penentuan sampel yang digunakan dalam penelitian ini dengan menghasilkan sebanyak 27 perusahaan dengan pengamatan selama 2 sehingga menghasilkan sampel sebanyak 54. Regresi linier berganda dan analisis regresi moderasi merupakan metode analisis yang digunakan dalam penelitian ini. Dari penelitian ini menghasilkan bahwa corporate social responsibility dan kinerja keuangan berpengaruh positif dan signifikan terhadap nilai perusahaan. Kepemilikan manajerial berpengaruh negatif dan signifikan terhadap nilai perusahaan. Kemudian corporate social responsibility dan kinerja keuangan dengan kepemilikan manajerial sebagai variabel moderating berpengaruh positif dan signifikan terhadap nilai perusahaan.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nagwan Abdulwahab AlQershi ◽  
Sany Sanuri Mohd Mokhtar ◽  
Zakaria Bin Abas

PurposeThis paper examines the interaction of human capital and CRM on the performance of SMEs in Yemen.Design/methodology/approachThe study used a quantitative approach in investigating the interacting effect of human capital on the relationship between CRM and SMEs' performance in Yemen. The PLS-SEM analysis was performed to test the hypotheses.FindingsIt was observed that key customer focus, technology-based CRM and CRM knowledge management were effective drivers of SME performance, but not CRM organization tools. It was also ascertained that human capital has no moderating effect on the key customer focus and knowledge management relationships with performance, although it does moderate the relationships between performance and CRM organization and technology-based CRM respectively.Research limitations/implicationsBecause this study is limited to manufacturing SMEs in Yemen, the results cannot be generalized to other types of industry such as services, whose structure and vision differ from those of manufacturing SMEs. While the current results may be appropriate for SMEs in other developing countries, the researcher believes they are unsuitable for SMEs in advanced economies with different financial structures and employee and management cultures.Practical implicationsThe empirical insights of this study are valuable for the owners, managers and professionals in the SMEs manufacturing sector in developing countries, to enrich their organizational performance through CRM adoption, while considering the moderating effect of human capital.Originality/valueThis is the first empirical work to confirm way the main drivers of human capital, including in the analysis the impact of CRM dimensions and SME performance, in the context of the manufacturing sector. In support of an original conceptual model, the insights contribute to the literature on CRM, SMEs in the manufacturing sector, human capital and emerging economies.


Author(s):  
I Gede Putra Adyatmika ◽  
I Gusti Bagus Wiksuana

The purpose of this study is to determine the effect of Inflation and Leverage on Profitability and Stock Return as well as knowing the ability of Profitability in mediating the influence of Inflation and Leverage to Stock Return at manufacturing companies in Indonesiai Stock Exchange. This research uses stocks of manufacturing sector companies as the object of research. The sampling of the research was conducted by proportional random sampling method and the number of samples of this study were 31 companies obtained from the Indonesia Stock Exchange website from 2012 until 2016. Hypothesis testing is done by path analysis method with the help of SPSS program. The results of the study found that (1) Inflation has a negative and significant effect on the Stock Return, (2) Leverage has a negative and significant effect on Stock Return, (3) Profitability has a positive and significant effect on Stock Return, (4) Inflation has negative and insignificant influence on Profitability, (5) Leverage has a negative and significant influence on Profitability, (6) Profitability is not able to mediate the influence of Inflation on Stock Return, (7) Profitability able to mediate the influence of Leverage on Stock Return.


2021 ◽  
Vol 6 ◽  
Author(s):  
Uchechukwuka Linus Odia

This is empirical research focusing on the impact of recycling sustainability on Organizational performance in Nigeria. To achieve the objective of this study, a sample of 10 publishing houses in four major cities in Delta State was adopted, and these cities include Asaba, Warri, Sapele, and Oghara. Given that Nigeria is the regional publishing powerhouse in West Africa with newspaper publications selling in the whole region, likewise, textbook publishers in Nigeria dominate the regional market. The industry contributes about 10% of the GDP and is one of the fastest-growing in the manufacturing sector. Unfortunately, Nigeria does not produce most of the raw materials for publishing. All paper materials used in Nigeria are imported, and the costs are rising with the reliability of the sources dwindling. In addition, the publishing industry in Nigeria is faced with a high rate of waste and returns. The study focused on the impact of adopting recycling sustainability as a possible solution to the dwindling raw materials, increasing costs, and high rate of returns. It used a stratified random sampling approach and a descriptive research design. 


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