Problems And Achievements Of Human Resources Management

Problems And Achievements Of Human Resources Management: (A Case Study Of Federal Mortgage Bank Enugu)

Problems And Achievements Of Human Resources Management: (A Case Study Of Federal Mortgage Bank Enugu)

The federal mortgage Bank of Nigeria (FMBN) was established in 1977, as a fully owned federal Government Housing Development finance Agency, under the federal mortgage Bank Act n0 7 of 1977. this followed the dissolution of the Nigeria Building society (NBS) whole assets and inabilities the federal mortgage Bank took over.

The authorized capital at the time the federal mortgage Bank of Nigeria (FMBN) was established in 1977 was = N = 20 million. The quiche firm of Boson (management consultants) was contracted by the federal Government to supervise the take off of the new bank for a 3-year period from 1977. with the exit of the outch management consultants in July 1980, the management operations of the Bank became wholly indigenous.

There was also a change in the authorized share capital and ownership structure of the Bank at the same time.

The authorized share capital increased to = N = 150 Million jointly subscribed by the federal Government and the central Bank of Nigeria in the [proportion of 60 percent and 40 percent respectively. The federal government appointed the chairman and members of the Board of Directors.

By 1981, the Bank has established branches in all the state capitals including the federal capital territory under scoring its national out look, since then, additional thirty, (30) home saving center had been established in major urban areas outsides the state capitals.

The federal mortgage Bank of Nigeria offers, a complete range of savings and investment schemes V12 popular Target Term and the children’s saving schemes. Other services rendered by federal mortgage Bank of Nigeria include the Administrations Deposit scheme, designed to help employers of labour who intend to provide Housing facilities for their employees but cannot administer it. A fixed amount is deposited with Bank for disbursement to employees based on the recommendation of the employer.

Research activities, sponsorship of workshops, and provision of technical assistance to state Government and their agencies for municipal development purpose.

Periodic organization of formal and informal workshops to improve the perception of state and other practitioners within the sector, with the aim of securing improvement to sect oral institutional performance.

The Bank as an agency of the federal Government acts as a cost recovery agency for the federal low cost housing programme and has been the un-leading agency for funds from the world Bank for urban Development under the Nigerian states urban Development programme.

One of the major achievements of the national Housing policy is to its institutional reform, which resulted in the establishment of a two-tier housing finance system following the promulgation of the mortgage institution Decree N0. 53 of 1989.

The two-tier housing mortgage institution are Apex mortgage bank, which was assigned to federal mortgage Bank with a supervisory role over network of primary mortgage institutions and the retail functions to be responsibility of a new autonomous entity now called the federal mortgage finance limited (FMF).

Within the context of its regulatory and apex functions, the federal mortgage Bank of Nigerian is to promote and support responsive credible housing services to all segment of the Nigerian population as well as promote awareness of the socio-economics benefit of housings.

It has established that man is the most important of all factors of production, the most difficult to deal with. The management of human resources as GRAHAM (1983), points out aims at making sure that workers (human beings) serving in an organization are engaged in such a way as to reap maximum satisfaction and benefit from their services and potentially by their employers. The employees in turn deserve the greatest possible rewards materially, socially, and psycholerically.

Graph (1983), also wrote that attitude can make or break a company. Many mangers like to quote the peter principle, which simply says that people will, with time, be promoted to their level of incompetence meaning, that if you can do job, you may get promoted to the next job, from the next job, you may be promoted again until one finally reaches the job where he cannot do and therefore remain incompetent. To do this, organization must engage in manpower planning.

Manpower planning has be defined as an attempt to forecast how many and what kind of employees will be required in the future, and to what extent this demand is likely to be met.

Peter Orudeer (1964), states that the purpose of man power planning is to help management make decisions in the following areas:


Avoidance of redundancies.

Training numbers and categories.

Management of development.

Estimates of labour cost.

Productivity bargaining.

Accommodation requirements.

Most managers take the tricky problem with out real explicit knowledge of why of people behave as they do. This unfortunate assumption about people’s behavior creates a lot of problems within the organization.

Clearly, a manager has to have or build up some understanding of people. He should not proceed as if information were obvious or irrelevant. The manager must try to understand people and their behaviour.

The size and complexity of many organizations make it impossible for top management to exercise direct supervision. The even widening gap this created between administration and front line operation according to koontz, O’ Donnel (1984), makes it difficult to form true assessments of situations. This increase in misunderstanding, misinterpretation, delay and ill-conceived judgment all of which clef eats the objectives of the organization.

One may conclude that performance the job depends on our selves and the many facets that make up our individuality including our goals and needs and also the environment in which we work. From what was discovered it is important that every manager should have a year or two of full time study to acquire good knowledge of human behaviour.


According to urns and stalker (1961), the managerial function of controlling is the measurement and connection of the performance of activities to subordinates in order to make sure that all level of objectives and plans devised to attain them are being accomplished”.

The bank has a peculiar nature as it deals basically in financial assets and liabilities. There is strong attraction towards fraudulent manipulations and practices by both employees and those out side. There is them need for every bank management and other organizational heads to strive towards effectiveness in the performance of its function.

Human resources as a function require nature the complexity arises from the fact that the wishes and desires of employees are often in conflict with those of employers. All employees frequently wish to participate in decision making over matters affecting their welfare, conditions and environment.

Experience has shown that the effective utilization of people in organizations has always been a pressing problem. Most chief executives of all corporations (not only Banks) according to Hecht (1980), face similar problem. Hence, they must think of the following.

(a) How to organize work and assign to workers.

(b) How to re ward an punish.

(c) How to adjust to changes.

(d) How to cope with competition.

(e) How to absorb failure and harassments, etc.


The society cannot function without people coming and working together. The human resources management function must be performed and executed in any intending successful organisation.

It is because of this dire need, that the researcher intends to look into the problems encountered by organisatios in trying to manage the limited human resources available for their employment and how far the organization tends to go in meeting the various needs of the workers working for them.

Also, to understand these problems and how organizations cope with them, considering the difficult economic and political atmosphere in which we now face, a case study of federal mortgage bank of Nigeria (Enugu Branch) was conducted. Specific intended objective objectives are:-

(1) To find out if proper employment of qualified and experienced staff development (training) motivates higher productivity.

(2) The researcher also wants to identify and analyse how payment of fringes benefits could motivate employees for higher productivity.

(3) To find out whether proper promotion is instrumental to increased productivity in federal mortgage bank of Nigeria.

(4) To identify and analyses how good and conducive working environment and adequate facilities motive workers towards higher productivity.

(5) To find out if hard work alone will lead to recognition and success of the bank under study.

– Training numbers and categories.

– Management development

– Estimates of labour cost

– Productivity bargaining

– Accommodation requirements.

Most managers tackle the tricky problem with out real explicit knowledge of why of people be have as they do. This unfortunate assumption about people’s behaviour creates a lot of problems within the organization clearly, a manager has to have or build up some understanding of people. He should not proceed as if information were obvious or irrelevant. The manager must try to understand people and their behaviour.

The size and complexity of many organizations make it impossible for top management to exercise direct supervision.

The even widening gap this created between administration and front line operation according to Noontz, O’ Donnel (1984), makes it difficult to form true assessments of situation. This increase in remoteness brings about an increase in misunderstanding, misinterpretation, delay and ill-conceived judgment all of which defeats the objectives of the organization. One may conclude that performance on the job depends on our selves and the many facetsd that make up our individuality including our goals and needs and also the environment in which we work. From what was discovered, it is important that every manager should have a year or two of full- time study to acquire good knowledge of human behaviour.


According to burns and staiker (1961) the managerial function of controlling is the measurement and correction of the performance of activities to subordinates in order to make sure that all level of objectives and plans devised to attain them are being accomplished”.

The bank has peculiar nature as it deals basically in financial asses and liabilities there is strong attraction towards fraudulent manipulations and practices by both employees and those out side. There is then need for every bank management and other organizational heads to strive towards effectiveness in the performance of its function.

Human resources as a function require utmost attention because of its complex nature the complexity arises from the fact that the wishes and desires of employees are often in conflict with those of employers. All employees frequently wish to participate in decision.


The findings of this study, which is an appraisal of the problems and achievements of human resource management. A case of study of federal mortgage Bank of Nigeria will significantly contribute to the achievement and success of the management of federal mortgage bank by helping them grasp with the various factors internal external that actually facilitate or militate against workers effectiveness and efficiency towards high or low productivity.

It will enable the management to determine whether their organizational environment is conducive towards helping workers in corporate and achieve both organizational and personal objectives. The government on its part will be able to determine how their different monetary and fiscal policy guidelines, other capital market regulations, and general economic guidelines effect banks ability to adhere strictly to them while striving to maintain a good personnel policy capable or enhancing economic development within the preferred sector of the economy.

The essence of any research work is to provide opportunity for furthering knowledge. Resolving conflict in existing knowledge, control and reduce bias among others. The society will therefore, be will acquaint with how banks effectively combine the business of keeping depositors money and at the same time, cope with various human resources problems facing them daily.

The society as the external environment will be in a better position perhaps to determine whether the bank management is coping with human resources problem facing them or not.


Authorized capital: The share capital of the company stated in the memorandum of association of approved by the registrar of companies.

Mortgage: An agreement by which money is lent by a building society or bank for buying a house or other property as security. It is usually a long term loan.

Human resources; One of the factors of production contributed by man. It is known as labour.

Manpower: It can be define as the number of workers need or available to do a particular job.



There are two resources in an organization-the material and human resources.

Hecht (1980) defined human resources management as concerned with the pulling together of resources so that the job is done efficiently and objective are met within thee time scale laid down.

Flippo (1980) defined it as the planning, organizing, directing and controlling of the procurement, development, compensation, integration, and maintenance and separation of human resources to the end that individual, organizational and societal objectives are accomplished’’.

This definition divides personnel function into two the management and operative functions.

Human resources management is the using of skills and attitudes for the benefits of the company, but also providing encouragement and motivation of the people concerned.

According to Besatnik (1972), “Effective delegation provides benefits in both directions”.

It is now left for the supervisor or manager concerned to pay very close attention to the work to them accordingly. To get the staff to work there must be appropriate authority, which the manager must delegate. It is in this activity that the manager himself exercises one of his most important functions.

The management of people in a large-scale enterprise such as bank is a shared responsibility. Any manager and other superior officers at all levels of authority, have a part to play, though a times, it is difficult to place their exact responsibilities not withstanding how carefully planned and well executed a career may be, it will always include a number of surprises, both pleasant and unpleasant. Most of us attributed the pleasant surprises such as unexpected promotions and unusual reward to our own capabilities and the unpleasant ones, such as demotions or clear-end assignment to circumstances beyond our control or even other people.

A more careful analysis may show that each step in career development is not only upon ourselves, but also upon our relations with other people and the circumstance of the particular time.

Phillpsadler (1974), in attempting to discuss the issue of leadership and motivation posses the guest ions that are in the minds of most managers.

What can I do to become most effective as a leader, how can I become more effective in the way I motivate my staff? Managers yes must exercise the authority but the way taken in exercising this authority is the problem it can make or man their success. If done properly, the performance of managers and subordinates may be relied in mutually satisfying ways.


As the company or organization grows and expands so do the size and complexity of tasks. Appropriate division of functions are needed to achieve maximum effectiveness in relation to objectives.

Centering power in one person is not practical and if all decision have to be pushed upwards before actual decisions or actions are made, the well known bottleneck occurs.

R. Hecht (1980), described delegation as enabling the manager to concentrate on managing (that is ) making sure that the resources are in place at the right time so that the hob can be completed and keep him abreast of further developments generally in his own particular skills.

It has been emphasized that management in the broad sense, is concerned a mush in planning for the future by dealing with today’s problems. Delegation improves the morale of subordinate staff by giving a real edge to work. Being accountable for decisions taken will improve the strains of the work and provide a motivational factor.

Taking decisions also equally gives confidence and a sense of belonging to the workers. Getting and analyzing the information on which the decision is taken trains staff for greater responsibility.

Maurice (1980) says delegation requires a plan of action. The following factors should be identified.

(a) The standard required should be set.

(b) What level of performance is required?

(c) Tasking to be passed down must be identified.

Being vague destroys the whole purpose of delegation and leaves staff and confused. This leads to a situation where very decision is referred upwards thereby defeating the purpose of delegation.

Delegation can only be effective where there are able staff who can take the required right decision. There is them need for recruiting staff of adequate caliber and then train them.

Effective communication is also very necessary for delegation to work well in an organization. The requisite authority to act must accompany delegation others in the company must know what is happening. Staff in other departments will be hesitant to deal with somebody who may have been given authority by his superior but who has nothing to prove it.

Delegation cannot mean that the manager losses the responsibility for the work, it remains his. There is a well known axiom that you can delegate authority, but you cannot delegate responsibility. The manager cannot always however, be checking on his subordinates, and if he does his then there is on delegation. The manager should as part of the overall plan, device a monitoring system that enables him to be aware of what is happening, while the same time leaves his subordinates to get on with the job within the units of his authority.

When passing down task under a process of delegation, the subordinate must be aware of the company’s objectives and policies existing to achieve them. The feature should be development whether delegating is practiced or not, if the staff know how the company function, what it hopes to achieve and the problems encountered, they contribute intelligently.

Communication between the manager and his staff assumes a new importance when delegation becomes and a general policy approach to work. Staff must also be informed about the limits and extents of the authority delegated to them.

What part of the company’s fund can they spend on its behalf, to what expected to get on with tasks under new authority limits.


Hecht (1980) says, there are few real difficulties when it comes to delegation, but many are nevertheless perceived. They need to be examined. Truly, there is a lot of risk involved in that a subordinate might take the wrong decision and put the company into a lot of cost. The manager may be more than concerned about this possibility after all the is ultimately responsible for the decisions made by his staff. The manager may genuinely feel that has not the time nor resources in delegating work and he may feel that standard of his subordinates are not up to his own level, therefore the standard at which the work is done will be unacceptable.

Many managers wrongly continue to do specialized work that they were good at when they themselves were subordinates. They fail to leave it behind when promoted to manage and would not delegate it, in doing so, they fail to appreciate the changed role as managers. They too feel threatened to delegate work to subordinates, as they would ask what is left for them to do.

Hecht (1980) Said that, it is natural that these resistance points should figure in thinking . it is after all easier to carry on as before even though his leads to loss of motivation on the part of subordinates a lack of training directed towards them, and the no identification of potentials for the non identification of potentials for the future management should however be about change, efficiency and managers cannot escape a personal responsibility in this field.

If subordinates make mistakes when delegated duties, rather then ditch the system, efforts should be doubled as regards the training and better selection. There is no time or resources argument cannot be allowed to prevail. Time and resources must be found. If it’s not done, then high probability that pressure of work is much due to lack of delegation continue.

To sum up, the manager is there to direct and use resources effectively. This cannot be achieved if he is continually caught up in routine tasks and enquiries.

The manager must analyse the work and positively push down those task the work and positively push down those task that others can do.

The process calls for good recruitment standards in the first place and them appraised to establish skills and aptitudes on the part of employees. The manager will certainly need to monitor what is done, but that activity is itself a crucial function of management.


The term motivation is derived from the latin word “ over” which means, “to move’ motivation extremely important for an understanding of individual and organizational behaviour and efficiency. Motivation is a common concept covering all the factors that initiate, direct and organize the behaviour of the individual and determine intensity and persistence of the behaviour. There is conviction that highly motivated individuals working smarter are more productive in quantity and quality. Nwku (1997) in his words said “productivity is achieved through excellence and excellence is achieved by having an organization of highly motivate individuals.

According to kham and katz (cited in Abah (1997), people must be attracted not only to join the organization but also to remain in it. People must perform the tasks for which they are hired and must do so in dependable role performance and engage in some form of creative, spontaneous and innovative behaviour at work.

Many scholars and management experts have defined as concept of motivation variously. However, almost all definitions are saying the same thing. It is a matter of semantics Abah (1997), defined motivation as the immediate (temporary) influence on the direction, vigour and persistence of action. It is in term of low behaviour get stunted energized, sustained, directed, stopped and what kind of subjective reaction is present in the organism while this is going on.

It is the innate urge to the person do a thing because that thing has meaning to the person doing it.

Nklizu (1997) says that “motivation is concerned with the whys of human behaviour it attempts to account for the drives ad wants of an individuals rather than just focusing on the individual actions.

According to berelson and Steiner (1964) ‘Motivation is an inner state that energies, activates, or moves and that which directs or channels towards goals. To say that a manager motivates his subordinates means that the manager does thing that enable the subordinates to satisfy their desires and drives and induce them to behave in the desired manner.

Koontz et al (cited in chukwuemeka 1991) contend that it takes only a moment to realize that at any given time, an individual’s motivation may be quite complex and often conflicting.

Therefore a person may be motivated by desires to economic foods and services (groceries, better house, new car on a trip) and even these desires may be complex and conflicting, showed one buy a new car or house, motivate is so complex and individualize that there is no single best answer.

Management theoristy, peter 91974) contends “ we know nothing about motivation. All we can do is write books it”. The field is actually far from being that dismal.

Douglas Macgregor (1967), points out that the root of much thing is the concept that maintains that man has certain needs or desires which when unsatisfied, causes tension or drive , propelling him to act in a way that will acquire certain things to produce a state of affairs sat is tying his need. When the need is satisfied he will stop his previous behaviours.

In recent years maciregor (1974) said that expectancy theory conceptualizations to motivations have explicated the conditions that are necessary in order to achieve higher level of ob performance. Specifically three elements are involved.

1. Macing sure that employees see a clear relationship between effort on their part and and job performance.

2. Linching high level of job performance to organization rewards.

3. Establishing organizational rewards which employees view as desirable,

The first element can be achieved by eliminating any barriers that may prevent employees from achieving high performance in the company.

Training programmes and performance coaching help to increase the certainty that effort expenditure will lead to such performance level. Developing performance target and goals for employees are also means satisfying this particular element of motivation.

Further, quality control circles, involvement in decisions affecting work performance and clear cut job descriptions are techniques particularly suited to help employees understand how more efforts on their part could lead to desirable performance in the bank.

The second essential motivational condition living high. Level of performance to organizational rewards can be accomplished through effective performance appraisals during such sessions, employees can be given information concerning where they stand and told that paths to those outcomes that they value are directly related to performance in the firm.

Goal setting and management by objectives can additionally charity the relationship between performance and rewards. Determining those of outcomes that are most attractive to employees, the third element of expectancy theory is perhaps the most perplexing aspect of motivation

A number of theorists such as maslow (1970) and Herzbery have described what they consider to be “universal motivators. Maslow proposed that every on has five basic need, namely physiological need, safety need, social love needs, were esteem need and sufactualisation need. It is findings were based on the following important propositions concerns unman motivation.

1. That man is a want satisfying creature. Man’s want is unlimited, what he wants at any given time depends to a large extent on what he already has or what he wants to receive. When some want are met, others spring up to receive attention. It is a never ending process

2. when needs as a motivating drops as it no larger acts as motivation factor. An only unsatisfied need motivates. The significance of this is profound managers must not fail to understand that even partially satisfied need ditrinish their ability to motivate.

3. needs are placed in order of their importance in a hierarchical structure. The appearance of a need usually nests on the prior satisfied of an other, move potent needs. Need so not exist as a miscellanceous want that are satisfied in random fashion.

Every one has his or her own hierarchy of needs for some, self actualization may come much earlier, or even before self esteem or social need it all depends on individual wants desires.

Maslow arrived at a need structure consisting of five.

1. Physiological

2. safety

3. love of belongingness

4. esteem

5. self actuation


Physiological Safety Love Esteem Self actualization

Food Security Belonging Ego needs Self realization

Shelter Protection Acceptance -pride Self development

Warmth Against Affection -self Self satisfaction


Physiological Safety Love Esteem Self satisfaction

Rest Danger Friendship Respect Self fulfillment

Set – illness Understanding Achievement

Loss of consideration Confidence

Loss of Consideration Confidence


Loss of


Uncertainty Status



Regard of others

Physiological and safety need are satisfied through pay, fringe benefits, and seniority higher order needs are satisfied through physiological social behaviour. As long as lower order needs remain unsatisfied, it will be difficult to motivate employees by appealing to higher order needs.

Herzberg (1959) stresses that people strive for challenge, recognition, achievement and that it is only the higher order needs, which serve as true performance motivator. Most difficulties with the that they preclude cultural and individual differences in terms of need. Through, herzberg has found some support for his theory in some countries like Hofstede (1980) has shown that needs higerarchy postulated by maslow may be an inadequate description cross culturally. His work has show that it is the need for security rather than self actualization which come highest in order by maslow theory that motivates peoples in such countries as Germany, mexico, and japan.

Social needs seem to replace the self actualization concept on other states as remark, Sweden and Finland.

In that there may be cross- cultural differences in motivation and that individual difference and benefits shemes individually. One way of doing this is by utilizing “café ten a” approach in which employees are able to choose from a predetermined lest those type of outcomes, rewards which are most desirable to them.

There are several other theories of motivation but for time and space will not allow a thorough discussion of them, though they have important bearing in their research work.

They include:

1. Douglas maciregor postulated theories x and y.

2. The Chris Argyris theory

3. vroom’s valence expectancy theory

4. Ejiotor P.N.O. Muissing lind theory

5. The carrot and strike approach

6. Positive reinforcement B.E. Skinner

7. Special Motivational techniques Money.


The research work was conducted to find the problems of human resources management and what efforts have been made by those in the management of federal mortgage bank of Nigeria, Enugu Branch to curb these problems and how their efforts have been rewarded.

This was done with a view to the qualities expected of a manger in adequately motivation his employee, taking into consideration the economic condition prevalent, which is affecting the banking industry.From the data collected through various means like journals, magazines textbooks, questionnaires oral interviews etc. the following summary were arrived at:

1). That the present level of fringe benefits paid by management of federal mortgage bank of Nigeria has caused to motivate staff members towards higher productivity. The oral interview conducted around shows that the new generation banks pay move to their staff. This is understandable since people usually evaluate their compensation in the light of what their peers are receiving.

2). There were complaint by some of the workers over the inadequate infrastructure facilities provided for the. To them it is only the top management that are recognized and catered for in the bank.

3). The provision of accommodation is also found to retired to the top management the other levels of staff that are being marginalized in this regard have complained this of it is only area managers and branch manager that are provided with accommodation in federal mortgage bank of Nigeria.

4). The personnel policy of the bank was found to be good. In order to bring control nearer theirs the bank embarked on a decentralization exercise by creating more branches with this, the staff management relationship has improved. Despite this development, all the powers necessary to enable the branches becomes autonomous have been vested in them.

5). It is also found that the bank pays it is staff salaries and bonuses as and when due, and this have helped in motivating the workers to improve their performance to a certain level.

When: N is the number of respondents f is the frequency of respondent % is percentage.

The aim of choosing this technique was to make charity of purpose, instead of using burdensome statistical data that will be complex for understanding and interpretation to a lay man

From the tables presented, the hypothesis was tested and used in making final decision based on the higher percentage of information given and analyzed from the data collected.


In view of the findings above, the following recommendations have been made.

1. That managers should be more concerned with taking decisions that will create a conducive working environment and any action should be chosen carefully from available alternatives for the purpose of enhancing organizational goal.

2. Since the current level of trigs benefits have failed to motivate workers, further in federal mortgager bank of Nigeria, management should look for alternative means of motivating workers. Every one gets something no matter what and once staff members see fringes benefit as part of the total compensation package in which they are entitled to, it ceases to motivate them further. Management should lie certain rewards and compensation package to performance and strive to unity the type and level of erring benefit with what is obtained in other banks sectors of the economy.

3. Accommodation should be provided for all categories of staff by building staff quarters for bank workers. In addition, the present practice of paying rent allowance to staff members on monthly basis is of no now as usually, the rent allowance paid is below what is demanded to landlords and rent allowance increases by the end of the day and is now being paid on a yearly basis.

4. Staff member should be sent on course regularly and only those who have received any form of training on a particular area should be allowed to work in such departments. In addition staff should be encouraged to enroll in professional bodies as chartered Accountants Bankers (CIBN) etc. Take their respective examinations as a means of developing themselves and the banking industry.


Today, the Banking Industry is one out of many of economic ventures, which plays a very important role in the development of any nation. At present, Bankers, their customers, and the general public have considered banking very special business, set apart from all others.

From the findings stated above, a lot of conclusions can b e drawn.

That many of the employees dissatisfaction cannot be resolved using stringent punitive measures, by adding inspections, by threats, or by spending more money. The human resources executive, or any manager for that matter, is well aware that the real causes are poor human relations practices at all level the symptoms; they root out the underlying causes. The Human Relations Executive assists in the process, and in large measure, provides the solutions. The result is reduced cost and improved productivity.

Problems And Achievements Of Human Resources Management: (A Case Study Of Federal Mortgage Bank Enugu)