Management perceptions regarding privatisation of parastatals in Zimbabwe
- Authors: Tshuma, Edward
- Date: 2012
- Subjects: Privatization -- Zimbabwe , Government business enterprises -- Zimbabwe , Zimbabwe -- Economic policy
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: vital:9324 , http://hdl.handle.net/10948/d1020923
- Description: In recent years the ownership of public organisations has been transferred from government to the private sector through privatisation owing to the poor performance of parastatals. In Zimbabwe, the privatisation of parastatals has been criticised as a result of the approach which has been adopted to privatise them, the transparency and the paceof the privatisation, the factors pushing for privatisation at the expense of local demand as well as the lack of an institutional framework for privatisation. The main objective of this study was to explore management perceptions regarding the privatisation of parastatals in Zimbabwe. This study is based on a combination of theories of privatisation and preceding results of studies looking at privatisation of parastatals in developing and developed countries. The secondary sources were the backbone in the formulation of a theoretical model on the management perceptions of privatisation which was used to guide this study. The extensive literature which was analysed revealed that independent factors such as stakeholder consultation, business conditions, government considerations, institutional framework and management of the privatisation process could influence management perceptions regarding privatisation. Perceptions of privatisation were identified as influencing two dependent variables, economic benefits and organisational performance. The variables of the study were operationalised and the hypotheses which identified relationships between the independent variables and perceptions of privatisation were formulated. Hypotheses in respect of perceptions of privatisation and the dependent variables were also formulated. In this study, a quantitative research approach was adopted as the study sought to investigate the relationships between variables. This study collected data through the use of a structured self-administered survey questionnaire which was distributed to 700 managers of parastatals in Zimbabwe. The parastatals which were used in this study were selected using the simple random sampling method whilst convenience sampling technique was used to select the managers. The survey yielded 301 usable questionnaires which were analysed using several statistical analysis techniques. The major findings of this study show that managers, employees and customers participate during privatisation and that privatisation in Zimbabwe is guided by a formal action plan. The study also showed that parastatals in Zimbabwe operate under stable macroeconomic conditions and that information regarding the bidding process is accessible to all parties. However, the results also showed that, in Zimbabwe privatisation is poorly implemented as a result of lack of structural capacity to enhance privatisation, lack of an autonomous institution to manage and lead the privatisation process. The results also show that privatisation in Zimbabwe lacks credibility as the valuation of organisations and assets is poorly done resulting in organisations being acquired at rates which are below market value. In addition, the results indicate that privatisation has failed to improve organisational performance and to change the management style from being reactive to being proactive. The study also found that privatisation brings about economic benefits such as effective governance and economic empowerment. The study recommends that government should ensure that managers, employees and customers participate in the privatisation process and that privatisation is implemented in a transparent manner so as to have a credible programme and achieve the intended objectives. The study also recommends that government should engage people and institutions which have the capacity to efficiently value the organisations and assets identified for privatisation. In addition, the study recommends that the government should appoint board members who possess the requisite skills and competencies, encourage partnerships between local and foreign investors so as to produce quality products and services as well as economic growth. This study has contributed to the existing body of knowledge by developing a theoretical model which can be utilised in other developing countries to test perceptions regarding the privatisation of parastatals. This study could assist the government, parastatals and other stakeholders by providing feedback regarding the privatisation of parastatals in Zimbabwe, so that remedial action can be implemented where deviations are recorded. The findings of this study could also assist the government of Zimbabwe and also other governments, by providing guidelines which can be adopted to implement a successful privatisation programme. This study provides useful and very practical guidelines to parastatals so as to ensure successful privatisation.
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- Date Issued: 2012
An empirical investigation into the factors affecting the performance of small and medium enterprises in the manufacturing sector of Harare, Zimbabwe
- Authors: Zindiye, Stanislous
- Date: 2008
- Subjects: Business enterprises -- Zimbabwe , Government business enterprises -- Zimbabwe
- Language: English
- Type: Thesis , Masters , M Com (Business Management)
- Identifier: vital:11319 , http://hdl.handle.net/10353/128 , Business enterprises -- Zimbabwe , Government business enterprises -- Zimbabwe
- Description: This research investigates the factors that affect the performance of Small and Medium Enterprises (SMEs) in the manufacturing sector of Harare, Zimbabwe. To achieve this objective, the research hypothesised that a lack of skilled human resources contributes to the poor performance of SMEs in the manufacturing sector of Harare, Zimbabwe. The research further hypothesized that poor management skills such as human resources, financial management, general management, production management and marketing management result in the poor performance of SMEs in the manufacturing sector of Harare, Zimbabwe. A research proposition was also stated which stipulated that the current hyperinflation environment affects the profitability of SMEs in the manufacturing sector of Harare in terms of profitability. This study is important because SMEs, despite their contributions to the Zimbabwean economy, have not been given due attention as the research of performance has been biased towards large enterprises. The results indicate that managerial aspects which are in short supply have negative effects on the performance of SMEs in the manufacturing sector. The results also indicate that the high rate of inflation and other economic factors such as foreign currency shortage, interest rate and exchange rate affect their performance negatively. Lastly, the study recommends that SMEs, the Zimbabwean government and other supporting institutions such Empretec, ILO and SEDCO take measures to ensure the survival, growth and development of this sector which has the potential to steer the economy. These measures are expected to improve the managerial skills in the SME sector and consequently result in improved performance.
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- Date Issued: 2008