ASSESSMENT OF THE CONTRIBUTION OF INDUSTRIAL TRAINING FUND IN MANPOWER DEVELOPMENT

CHAPTER ONE

INTRODUCTION

1.1     Background of the Study

Employee’s training and development is seen as the most important formation of any competent management. The reason is not far-fetched, the ever increasing technological sophistication especially in this age of computer technology has really make it compulsory for organizations to meet changing situations. Training for capacity building is central to sustain economic growth and development because human capital is the greatest asset of any organization. Capacity building entails investment in human capital, institutions and practices necessary to enhance human skills, overhaul institutions and improve procedures and systems (Sanusi, 2002). Capacity building could also be defined as the internalization of the knowledge, skills and processes that enable the formulation, implementation, monitoring and evaluation of set goals in an efficient manner. Yet, it could be viewed as a series of activities, which an organization, enterprise or even a nation needs to undertake to provide for itself, on a continuous basis, as well as the regular supply of skilled manpower to meet its present and future needs (Anyanwu, 2002). Moreover, one of the major principles needed by industries to succeed in this current situation is quality training that will equip the employees with new skills, competencies and techniques. Hence, it is good policy to invest in the development of workers’ skills, so as to increase their productivity. In the recent years, Federal Government of Nigeria have concerned with the development of all workers to improve performance in their present job and to provide a solid basis for those who are growing up. Perhaps, this influenced her decision in establishing Industrial Training Fund (ITF) to cater for the training needs of employees in public and private sectors. Since four decades of its formation, Industrial Training Fund (ITF) has been organizing and sponsoring training programmes and also encouraging greater involvement of employers, particularly small employers, in the organization and development of training exercises that would lead to the production of highly-skilled manpower to man various economy affairs of the country. In view of the above, attempts is made in this paper to discuss the roles of Industrial Training Fund (ITF) in Employee’s training and development and capacity building for economic management in Nigeria. The linkage underscores the role of Human Resource Development Agencies (HRDAs) in producing a pool of skilled workforce sufficient to meet the needs of the Nigerian economy. It is the extent to which this task is successfully discharged that the economy can grow and compete favorably with other industrialized nations. Eke (2011) explains that any Nation that fails to develop and utilize her human resource, will not only be backward in terms of industrialization and technological advancement but will surely be condemned to perpetual poverty. Fortunately, the Federal Government of Nigeria recognizes the crucial role of Training. It thus established, as its foremost Training Organization, the Industrial Training Fund (ITF) in 1971 to stimulate a National Industrial growth and development through systematic Human Resource Development. In line with its mandate, the ITF has carried out various Training Programs for Nigeria’s teeming indigenous workforce. The Training Programmes are expected to bridge the skill-gaps between actual and desired job performance and equip employees with relevant skills and competencies that distinguish exemplary job performance from average performance. However, in spite of the emphasis by the Federal Government and ITF’s efforts at Training, reports from various sources have consistently shown that there is still shortage of highly skilled manpower in various sectors of the economy. Industrial Training Fund (2009) reports that, there exists human capital shortfall in performances across different sectors of the economy in spite of increased training efforts. It appears that in practice then, efforts of the Fund in Training have not yet made the desired impact on Nigeria’s economy. These facts are of concern, as no nation with a vision of being one of the 20 most developed economies in the world by 2020, can afford to maintain an inadequately skilled workforce. What issues affect the various Training efforts of the ITF? The major concern of the Study, therefore, was to assess the impact of ITF’s Training Programmes and draw implications for industrial development. Impact Assessment is an activity intended to determine more broadly whether a Program had the desired effects on individuals for which it is developed and whether those effects are attributable to the Program intervention. Impact Assessment is very vital to any Program, for without it, valid information needed to ascertain the weaknesses or strengths of implementing such a Program will be difficult to acquire.

1.2     Statement of the Problem

In spite of ITF’s pursuit to fulfill its mandate of promoting and encouraging skills acquisition in Industry and Commerce to meet the needs of the economy, it is important to measure the contribution of its Training Programmes to client organizations vis-à-vis economic growth and development. The need to assess the impact of its Training Programmes becomes imperative. It is expected that the Nigerian workforce, would have acquired necessary Skills required to make significant impact on industrial development. However, from all indications, there is still a dearth of highly skilled manpower to propel sufficient industrial development. There has been the notion that Training Programmes by our Human Resource Development Agencies are not as practical as expected to assist Trainees to acquire employable skills. Besides, enormous challenges often arise because the task of designing and implementing effective Training Programmes in any Human Capital Development Organization is expected to be based on identified needs. Thus, much concern about outcome and output in training contributions to the society for industrial development has been expressed. For a country that is in dire need of technological advancement, anchored on vision 20:2020, the present status of skills level of the workforce seems not to be satisfactory.

1.3     Objectives of the Study

1.     To find out the role being played by ITF in employee’s training and development

2.     To determine the types of programs available in ITF for employees development

3.     To establish the impact of ITF programs on capacity building and human resources development in Nigeria.

1.4     Research objectives

1.     What are the role being played by ITF in employee’s training and development

2.     What are the types of programs available in ITF for employees development

3.     Is there any significant impact of ITF programs on capacity building and human resources development in Nigeria?

1.5     Research Hypothesis

Ho: there is no significant impact of ITF programs on capacity building and human resources development in Nigeria

Hi: there is significant impact of ITF programs on capacity building and human resources development in Nigeria

1.6     Significance of the Study

This study when successfully completed will be immense importance to employees of labor in order to know the quality of training programs offered by IF. It will be of importance to government to know how the fund has been fairing and make recommendations where necessary. It will also enable non-contributing companies or non-member to know the skill content of the fund and decide whether the fund is living up to expectation. The analysis will act as a catalyst in funding remedies to operational problem of the fund thereby providing solutions where it is lacking.

1.7     Scope of the Study

This study covers ITF as an institution established to organize industrial training in Enugu State. It has it’s headquarter in Jos with about 29 area offices in some states of the federation. The Enugu Area offices would be used for the study. Emenite Limited and ANAMMCO Limited will be used as samples of the benefiting and contributing companies.

1.8     Limitation of the Study

The challenge of finance for the general research work will be a challenge during the course of study.  However, it is believed that these constraints will be worked on by making the best use of the available materials and spending more than the necessary time in the research work. Therefore, it is strongly believed that despite these constraint, its effect on this research report will be minimal, thus, making the objective and significance of the study achievable.