Financial Re-Engineering Impact on Organisational Capacity of Poultry Business in Nigeria

Abstract

The Nigerian poultry industry, with a net worth value of 1.875trillion naira, comprises approximately 180 million birds and produces 454 million tons of meat and 21 billion eggs per year. Yet, local production only meets 30% of the demand for chicken eggs and meat, thus exposing the investment potentials and performance associated challenges at boosting the poultry industry that has emerged as the most dynamic, developed, commercialized and fastest growing livestock sub-sector in the country. Thus, this study examined the impact of financial re-engineering on organisational capacity of the poultry business in Nigeria. The study adopted survey research design. The population of the study were 4,324 active farmers and support services of the key poultry business stakeholders in the six geo-political zones of Nigeria. The sample size of 450 was determined using Taro Yamane sample size formular. Strata random sampling technique were used to select the respondents from the geo-political zones. A structured and valid questionnaire were administered to the respondents with a response rate of 84%. The Cronbach’s alpha reliability coefficients for the constructs ranged from 0.87 to 0.95. Descriptive and inferential (multiple regression) analysis was used to analyse the data at 5% level of significance. The findings revealed that financial re-engineering had a significant effect on organisational capacity (learning and growth performance) (Adj. R2 = 0.607 F (5,379) = 118.008, p < 0.05). The study concluded that financial re-engineering has significant effect on organisational capacity of poultry business in Nigeria. The study recommended that the numerous agricultural institutions should prioritise the training of skilled professionals and workers at all levels running short-term developmental programmes, adapting the school curriculum to teach current trends in the livestock business, research into new methodologies of skills development as a tool for building capacity with the workforce and drive all other performance indices.