EFFECTIVENESS OF HUMAN RELATIONS IN THE
BANKING INDUSTRY
`TABLE OF CONTENTS
Title Page
Declaration
Approval
Page
Acknowledgement
Abstract
Table
of Content
CHAPTER ONE
Introduction
1.1 Background of the Study
1.2
Statement of the Study
1.3
Objective of the Study
1.4
Statement of the Hypothesis
1.5
Significance of the Study
1.6
Scope and Limitation of the Study
1.7
Definition of Terms
1.8
Historical Background of the Study
CHAPTER TWO
Literature
Review
2.1
Concept and Development of Human
Relations
2.2
Hainthorne Studies and Human Relations
2.2.1 The
Illumination
2.2.2 The Relay
Assembly Test Room
2.2.3 The
Interview Programme
2.2.4 The
Bank Wiring Observation Room
2.2.5 The
Final Stage
2.3
The Importance of the Hainthorne
Experiment (Human relation)
2.4
The Effect of Human Relation to
Management
2.5
Human Relation in Banking Industry
2.5.1 Dimension
of Human Relation in Banking Industry
2.5.2 Qualities
of Good Human Relation Practice in Banking Industry
2.5.3 Principles
of Good human Relation in Banking Industry
2.6
Limitations of Human Relations
CHAPTER THREE
3.1
Research
Design
3.2
Research
Population
3.3
Sample
Size and Sampling Technique
3.4
Method
of Gathering Data
3.5
Justification
of Methods Used
3.6
Methods
of Data analysis
3.7
Justification
of Instrument Used
CHAPTER FOUR
4.1
Data
Presentation
4.2
Data
Analysis
4.3
Test
of Hypothesis
CHAPTER FIVE
5.1
Summary
of Findings
5.2
Conclusion
5.3
Recommendation
References
Appendices
CHAPTER ONE
1.1
Introduction
Human
Resource is a management approach that is aimed at understanding how
psychological and social process interacts with the work situation to influence
performance. Human relations are the first major approach to emphasize
information work relationship and work satisfaction.
As
global workplace becomes a reality, companies, both large and small require
human resource. The oppressive nature or informal, email and mobile phone now
ensures that a manager is continually fed with information. However, these are
still no more than supporting tools in business life, helping to maintain good
relationship created at more personal level. The reality is that successful
businesses in the 21st Century are still built around relationship
founded on face to face meeting with customers, suppliers and employees.
For
many, it is when they look at faces, before they know whether they should sign
a deal, promote or take decision.
An
organization is said to be a social system, where there is an interpersonal or
inter-group, interaction aimed at increasing effectiveness at attaining
organizational goals. Though these interactions may involve personal affairs,
to a large extent, the interaction is related to the role expectations in group
or in position occupied by sole occupant.
1.2 Background of GTB
Sincerely,
Guaranty Trust Bank Plc was incorporated in July 1990, as a private limited
liability company, wholly owned by Nigerian individuals and institutions. The
bank was licensed as a commercial bank in August of the same year and commenced
operations in February, 1991.
In
September 1996, Guaranty Trust bank became a public quoted company, winning the
prestigious president’s award in its first year on the stock exchange, and
again in the year 2000. and 2003. Guaranty Trust Bank Plc held its public offer
in 2001. This was over subscribed by 1.17% and is a testimony to the Bank’s
viability as a profitable investment.
The Bank has over the years been
committed to awarding excellent cash returns on shareholder investment,
remaining one of the existing institutions in Nigeria that pays both interim and
final divided each financial year.
Guaranty
Trust Bank Plc obtained a Universal banking license in February 2002. The
Bank’s reputation as an excellent financial service provider and its financial
capacity to meet obligations as and when they fall due has led to a consistent
appreciation of its risk asset rating. This currently stands at Tripple A, the
highest rating on the Agusto & Co. Limited rating scale.
The
Bank is today recognized as one of the most professional and profitably run
banks in Nigeria.
From a start-up capital of 25 million in 1991, the Banks shareholders funds
have grown to over 11.7 billion, with an asset based over 160 billion. Annual
revenues of 18 billion
Guaranty Trust bank started based
on three fundamental aspirations:
–
Exceptional customer service
–
Excellence and superior financial
returns
–
Creating role model for society.
Values
–
Learning organization
–
Professionalism and service excellence
–
Commitment to excellence financial
returns
–
Unique culture
Other Subsidiaries
1.
Guaranty Trust Bank Gambia Ltd with 78%
shareholding
2.
Guaranty Trust Bank Sierra Leone Ltd
with 87% shareholding
3.
Guaranty Trust Bank Ghana Ltd with 78%
shareholding
4.
Guaranty Trust Assurance with 94%
shareholding
5.
GTB Register Ltd with 99% shareholding.
Ownership Structure
The shareholding structure of
GTBank is spread amongst a group of corporate and individual investors who
possess complimentary strength totally committed to the long term corporate
vision of the bank to become a role model in the banking industries, such as
one of Nigeria’s largest and most profitable bank and as a well respected west
African (WA) financial service player.
Shareholders
fund of N39 billion ($300 million) and market capitalization in excess of N149
billion ($1.17 billion) balance sheet size N493 billion ($ 3.79 billion).
Operating Structure
GTBank has over 100 business
locations in Nigeria
with 6 regions across the country, namely.
–
North West
–
South West
–
South East
–
North East
–
Abuja North Central
–
Lagos
Each region is headed by a
Regional Manager who act as the CEO of the region.
Banking Services
GTBank provides a full range
banking services, which include personal and corporate savings, account fund
transfer, foreign exchange services, loans and advances, treasury functions and
deposit, issuance of advance payment services, guarantees and performance
bonds, collection services and correspondent banking services. The bank is fully
equipped with latest technology in all its branches and it operates online
services.
2.3 Statement
of the Problem
The
choice of this topic “Human Relation as a Tool for Effective Management in the
Banking Industry” is to look at the organization and its management perspective
in terms of Human Relations.
Basically,
human resource had gained a permanent role within the organization; it is
important to note that unless the management of the organization support human
relations, the success of the organization (Banking industry) may just be a
façade.
This
research work will therefore address the following problems:
(a) How
effective is the Human Relation System in the banking industry?
(b) How
motivated are the employees through social interactions?
(c) How
effective is communication in the banking industry?
(d) Does
psychological factors influence performance?
These
and other related problems are what I intend to critically look into; it is
also important to state here that one of the fundamental problems of employees
poor productivity is lack of good human relation in firms today and it is still
handled at a every level in most organization.
However,
opportunities still holds firms to change this situation, which would be looked
at with the aim of laying or carryingout this research work.
2.4 Aims and Objectives
This study is intended to address
myriads of objectives which include:
ii.
To find out how human relations
has improved the level of standard of performance.
iii.
To find out how human relations
has assisted in achieving effectiveness in management.
iv.
To discover, the effect of
supervision and or group performance of management.
v.
To make concrete, advice or
suggest on how human relation can be used for effective banking industry.
vi.
And to promote a reference
point where future researchers or students can draw inspiration for their
intellectual nourishment.
2.5 Statement
of Hypothesis
Ho: Human Relation does not serve as a
tool for effective management in banking industry.
HI:
Human
Relation serve as a tool for effective management in banking industry.
2.6 Significance
of the Study
The significance of the study are
clearly stated below:
1.
The study will help Guaranty Trust Bank
(GTB) and possibly other banks in the banking industry to improve or implement
Human Relation policy inside to control problems faced from such a cause.
2.
Human Relations can also enlighten
workers (Industrial and groups) about the concept of human relations and its
implications to management effectiveness.
3.
The study will reveal the relationship
between human relation and productivity as it relates to organisation’s growth
and survival.
4.
The study will help identify benefits
accrued to the Banking industry in the area of human relation and effective
management.
The
significance of this study cannot be over-emphasised as the adoption of this
new approach to firms advancement can improve employees performance, productivity,
efficiency and effectiveness and employees attitude toward work and gaining a
highly competitive advantage over other equally competitive and commercially
oriented firms.
1.7
Scope and Limitation of the Study
This
study is centered on Human Relation in Banking industry with a case study of
Guaranty Trust Bank (GTB) Kaduna.
The study circumscribe around Human Relations and how it can be used as a tool
for effective management, the study is under a lot of constraints.
The
time for the study is quite long, but due to academic demand like preparation
for tests, assignments, and paper presentations took a lot of time for one to
go out and source for information.
Financial
constraint was another major limitation, which made it uneasy for the materials
to be readily available at the appropriate time.
The
restrictions of Guaranty Trust Bank made it almost impossible to obtain details
about the organization.
1.8
Definition of Terms
Organization
– Can
be regarded as a framework for getting things done. It consist of units,
function, decisions, departments and formally constituted work teams into which
activities related to particular processes, projects, products, customers or
professional discipline are grouped together (Micheal Armstrong 2008).
Attitudes
–
An attitude can broadly be defined as a settled mode of thinking. Attitudes are
evaluative. As described by Malain et’al (1996).
Organizational
behaviour – This is concerned with how people within organizations act,
individually or in groups, and how organizations function, interms of their
structure and processes by Nadler and Tushman (1980).
Grapevine
– Refers
to the informal and unofficial channels of communication in an organization by
Cole (2005).