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Budgeting as a Tool for Service Improvement in Telecommunication Industries in Nigeria A Case Study of MTN Nigeria Plc Owerri Branch

Budgeting as a Tool for Service Improvement in Telecommunication Industries in Nigeria

Project / Seminar Material
Reference ID: PS-152-TM

DEDICATION

This research material titled “Budgeting as a Tool for Service Improvement in Telecommunication Industries in Nigeria” is dedicated to God for his enabling grace, and to all computer enthusiasts who contributed to make life a pleasant experience during my research documentation.

ACKNOWLEDGEMENT

I extend my sincere gratitude to all those who contributed to the completion of this project. Special thanks to my Supervisor (Name of your Supervisor), the Head of Department (Name of your HOD), the Lecturers in the department of Accountancy / Accounting, Book Authors and Profound Scholars of existing or related project material on “Budgeting as a Tool for Service Improvement in Telecommunication Industries in Nigeria” for their invaluable guidance, support, and expertise throughout the journey.

I am also grateful to your study area (mention any funding organizations, if applicable) for their financial assistance. This research would not have been possible without the encouragement and assistance of some stakeholders (mention any mentors, teachers, or colleagues). Additionally, I would like to acknowledge the understanding and patience of my family and friends during this endeavor. Your unwavering support has been a constant source of motivation. Thank you all for being part of this meaningful endeavor.


Budgeting as a Tool for Service Improvement in Telecommunication Industries in Nigeria (A Case Study of MTN Nigeria Plc, Owerri Branch)

TABLE OF CONTENTS

PRELIMINARY PAGES


CHAPTER ONE

  • 1. 0 Introduction
  • 1.1 Historical background of case study
  • 1.2 Problem analysis
  • 1.3 Purpose of the study
  • 1.4 Relevant research questions
  • 1.5 Statement of hypothesis
  • 1.6 Limitation (scope of the study)
  • 1.7 Assumptions
  • 1.8 Significance of the study
  • 1.9 Definition of terms

CHAPTER TWO

  • 2.0 Review of related literature
  • 2.1 Historical development of budget/budgeting
  • 2.2 The meaning of budget/budgeting
  • 2.3 The purpose of budgeting
  • 2.4 The condition necessary for a successful budgeting
  • 2.5 Process of budgeting
  • 2.6 Classification of budget
  • 2.7 Budgetary control system
  • 2.8 Budgeting techniques
  • 2.9 Introduction of telecommunication services
  • 2.10 Types of service provided by telecommunication industries
  • 2.11 Reasons for poor quality services
  • 2.12 Strategies for ser vide improvement
  • 2.13 The impact of budgeting on telecommunication service improvement in Nigeria
  • 2.14 Payment made by MTN on poor quality service

CHAPTER THREE

  • 3.0 Research methodology
  • 3.1 Research design
  • 3.2 Characteristics of study population
  • 3.3 Sample design and procedures
  • 3.4 Data collection instrument
  • 3.5 Study instrument
  • 3.6 Administration of data collection instrument
  • 3.7 Pilot study, test of validity and reliability of the study instrument
  • 3.8 Procedures for processing collected data

CHAPTER FOUR

  • 4.0 Presentation and analysis of data
  • 4.1 Brief introduction of the chapter
  • 4.2 Criteria group return, respondents, characteristics and classification
  • 4.3 Presentation and analysis of data according to research Questionnaire
  • 4.4 Presentation and analysis according to hypothesis
  • 4.5 Analysis of other data
  • 4.6 Discussion of findings

CHAPTER FIVE

  • 5.0 summary, conclusion and recommendation
  • 5.1 Summary
  • 5.2 Comprehensive summary of the findings
  • 5.3 Summary of the study
  • 5.4 Conclusion drawn from the findings
  • 5.5 Recommendation based on the conclusion
  • 5.6 Suggestion for further studies

BIBLIOGRAPHY

  • Letter of introduction
  • QUESTIONNAIRE
  • ABSTRACT

    This study reviewed budgeting as a tool on service improvement in telecommunication industries in Nigeria. The objectives of this study were to examine the historical development of budgeting, meaning and purpose of budgeting, process and types of budget, control and techniques of budgeting and to identify the introduction of telecom services, types and give reasons for quality services as well as give the strategies and finally to give the impacts of budgeting on telecom service improvement.

    The data collected through questionnaire were analyzed, tabulated and presented using average and simple percentage. The hypothesis was tested using chi-square (x2) at 0.05 level of significance and degree of freedom 5. The sample size no = 30 was used and represented the population size (n). The chi-square (x2) was calculated and compared with the critical value, accepting the alternative hypothesis (Hi) since the calculated value is higher than the critical value. The major finding of this study is that there was significant relationship between budgeting and service improvement in telecom industries. On recommendation, telecommunication industries should apply budgeting in order to improve their standard, service and achieved the firms' objective.


    Budgeting as a Tool for Service Improvement in Telecommunication Industries in Nigeria (A Case Study of MTN Nigeria Plc, Owerri Branch)

    CHAPTER ONE

    1.0 Introduction

    Budgeting is the most important techniques whereby long-term strategies are converted into short-term action plans. Every organization including telecommunication requires not only planning but also a well co-ordinated plan to improve the quality of service was rendered to their customers in order to achieve the organization goals.

    Budgeting as a predetermined objectives, represents what is most likely to happen after a careful consideration of the priorities of the company and the constraints of the company. It provides a standard for comparism with the result actually achieved.

    According to the Chartered Institute of Management Accountants (CIMA), “A budget is a financial or qualitative statements prepared and approved prior to a defined period of time, of the policy to be pursued during that period for the purpose of attaining a given objectives. Thus budgets and the resulting variance would serves as a guide to current operation and service improvement in the telecom industries.

    This study would review budgeting and service improvement in telecom industries as follows:

    1. Historical development of budget/budgeting
    2. Meaning of budgeting
    3. The purpose of budgeting
    4. Conditions necessary for a successful budgeting
    5. Process of budgeting
    6. Classification of budgets
    7. Budgeting control system
    8. Budgeting techniques
    9. The introduction of telecom services
    10. Types of service provided by telecom industries
    11. Reasons for poor quality services
    12. Strategies for service improvement
    13. The impact of budgeting on telecom service improvement in Nigeria

    1.1 Historical Background of Case Study

    The historical background of MTN Nigeria Plc, according to Ezeifedi (2009) was launched on may 16th, 2001 as part of the MTN group Africa and become the first GSM network operator. The company started its commercial operation on the GSM network at Lagos as it's headquarter, followed by Abuja, Portharcourt, Enugu, Owerri and other states in the country.

    In January 2001, MTN paid for one of the GSM license in Nigeria at US $85 million and as at date, in excess of $1.8 billion has been invested in building mobile telecommunication infrastructure in Nigeria. Since August 2001 MTN moved it's services across Nigeria and providing services in not less than 223 cities and more than 10,000 villages across the 36 states of the country (Nigeria) and the federal capital territory Abuja.

    According to Ezeifedi (2009:9), “the company introduced yellow Balm in January 2003 which was commissioned by the former president Olusewgun Obasanjo. This digital microwave transmission was the most extensive in infrastructure in all of Africa which helps to enhance call quality on MTN Network.

    He further say that “in the year 2004, MTN expanded its network coverage or capacity from the number prefix 0803 to 0806 as the first GSM operator to have adopted an additional numbering system. In 2007, its network capacity was further expanded to 0703 and 0706, and finally in 2009 0813.

    MTN Nigeria Plc also introduced a self help toll-free 181 customer care line through which subscribers can resolve their frequently asked questions free of charge.

    MTN's overriding mission is to be catalyst for Nigeria's economic growth and developmental potentials not only through the provision of world class communication but also through innovative and sustainable corporate social responsibility initiative.


    1.2 Problem Analysis

    Since the inception of information and communication technology, those involve in planning and control in telecommunication industries needs information about budgeting that will be a guiding principle towards their service improvement.

    Some telecommunication industries in Nigeria are finding it difficult to grow because of their inability to plan and include in their budgets those strategies, tactics and actions required for service improvement. It is necessary to imply budgeting in order to maintain their standard.

    These means that if a sound and effective budgeting system is applied to these telecommunication industries, the effect will be positive.


    1.3 Purpose of the Study

    The theme of this study is budgeting as a tool on service improvement in telecommunication industries in Nigeria. The objective set to achieved in the study including:

    1. To identify the historical development of budgets/budgeting
    2. To give the meaning of budgeting
    3. The purpose of budgeting
    4. The purpose of budgeting
    5. Conditions necessary for a successful budgeting
    6. Process of budgeting
    7. Classification of budgets
    8. Budgeting control system
    9. Budgeting techniques
    10. The introduction of telecommunication services
    11. Types of service provided by telecommunication industries
    12. Reasons for poor quality services
    13. Strategies for service improvement
    14. The impact of budgeting on telecommunication service improvement in Nigeria.

    1.4 Relevant Research Questions

    1. Will the staff of MTN Nigeria Plc able to give the historical background of budgets/budgeting.
    2. Will they be able to give the meaning of budgeting
    3. Will they be able to give the purpose of budgeting
    4. Will the staff of MTN Nigeria Plc be able to give the condition necessary for a successful budgeting?
    5. Will they be able to give the process of budgeting
    6. Will the staffs of MTN Nigeria Plc be able to give the classification of budget
    7. Will they be able to give the budgetary control system
    8. Will they be able to give the budgeting techniques
    9. Will the staff of MTN Nigeria Plc be able to give the introduction of telecommunication services
    10. Will they be able to give the types of services provided by the telecommunication industries
    11. Will they be able to give reasons for poor quality service?
    12. Will the staff of MTN Nigeria Plc be able to give the strategies for service improvement
    13. Will they be able to give the impact of budgeting on telecommunication service improvement in Nigeria?

    1.5 Statement of Hypothesis

    Ho: there was no significant relationship between budgeting and serviced improvement in telecommunication industries.

    Hi: there was significant relationship between budgeting and service improvement in telecommunication industries.

    Ho: there was no major deviation between budgeting and service improvement in telecommunication industries in Nigeria.

    Hi: there was major deviation between budgeting and service improvement in telecommunication industries in Nigeria.


    1.6 Limitation of the Study

    The research work is to examine the budgeting and service improvement in telecommunication industries in Nigeria with particular reference to MTN Nigeria Plc Owerri.

    There was reserved altitude of some MTN staff, some felt reluctant in replying their question while some were strictly conscious of the answers they provides. The level of education of some staff was low to expectation. Inspite of all these frustrating factors, this project was carried out successfully.


    1.7 Assumptions

    In the process of this work, the assumption made include the following which has not been tested or proved by the researcher.

    1. That budgeting will not have a negative affect towards the service improvement in telecommunication industries.
    2. That the standard set in the budget will provide strategies on how to improve service in telecommunication industries.

    1.8 Significance of the Study

    1. This study will help the company to widen its scope that budgeting will play a vital role towards service improvement.
    2. This study will also encourage more students to take up a study on Accounting as it unfolds the challenges and duties that await them in the nearest future.
    3. It will be use for academic purpose and acts as a reference for student of accountancy, Business Administration and Management and other related discipline.

    1.9 Definition of Terms

    Budget:

    According to Osondu (2004), A budget can be defined as a financial or quantitative statements, prepared and approved prior to a defined period of time, of the policy to be pursued during that period for the purpose attaining a given objectives.

    Budgeting:

    Okezie and Osondu (2005) define budgeting as the process of efficiently allocating scarce resources to unlimited objective. It is a form of transformed planning of its firms operations.

    Improvement: According to Hornby (1995) improvement is been defined as a positive change or effect additional value.

    Service:

    Hornby (1995) defines service as a system or an arrangement, work done by a company that meet the public needs.

    Telecommunication: according to Hornby (1995) telecommunication is seen as communication or communicating through the radio, telephone, television and cables.

    Industry:

    Hornby (1995) defines industry to be commercial activities that provides serviced to the people.

    Budgetary control: according to Nsofor (2009), budgetary control is about making plans for the future and making activities conform to the plan.

    Planning:

    Nsofor (2009) defines planning as the formulation of a programme of operations and activities in a manner comprehensive enough top cover all phases of operations and detailed enough to grant specific attention to the fulfillment of the programmes in controllable segments.

    Control:

    According to Infurueze (2007), control involves comparing actual result with plans, approving result against performance standards and devising effective means of measuring operations.

    Budgeting techniques: a variety of measures have evolved over time to analyze budgeting request.

    CHAPTER TWO

    2.0 Literature Review

    2.1 Introduction

    This chapter focuses on the review of related literature. A literature review includes the current knowledge as well as theoretical and methodological contributions to a particular topic. It documents the state of the art with respect to the topic you are writing. It surveys the literature in the topic selected. In this research work the literature review includes the …

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