EMPIRICAL ASSESSEMENT OF THE NEXUS BETWEEN SUCCESSION CONTROL AND FIRM’S FINANCIAL VIABILITY

Olatunji, Fadeyi and Adegbuyi, Abimbola A. and Olubunmi, Oladeji I. (2020) EMPIRICAL ASSESSEMENT OF THE NEXUS BETWEEN SUCCESSION CONTROL AND FIRM’S FINANCIAL VIABILITY. International Journal of Research Publications, 52 (1). pp. 163-174.

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Abstract

In every organisation control is key and central to all management functions, as it helps to keep every activities in check. This paper examines the influence of succession control on financial viability within selected firms. A survey research was conducted among 362 respondents of five firms in the banking sector in Nigeria. Organisational control and structure were used to measure succession control. R statistic was used to carry out a multiple linear regression to test the influence of the variables representing succession control on financial viability. It was found that merely setting out control procedure within the organisation does not have significant influence on financial viability. However, the study revealed that firm’s structure significantly impacts financial viability of the business. This study therefore proposes that in order to guide against the emergence of unqualified and inexperience candidate with its attendant cost implication in the organisation’s leadership cadre, firm’s structure should be made to pilot succession affairs in the organisation. Additionally, to prevent loss of competent hands to competitors with the associated recruitment cost when employees perceived that the organisation is not succession ready, firm’s structure should be given priority in all of the organisation succession related activities.

Item Type:	Article
Uncontrolled Keywords:	Succession, Succession Control, Financial viability
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HJ Public Finance
Divisions:	Faculty of Law, Arts and Social Sciences > School of Social Sciences
Depositing User:	nwokealisi
Date Deposited:	26 Apr 2024 12:34
Last Modified:	26 Apr 2024 12:34
URI:	http://eprints.covenantuniversity.edu.ng/id/eprint/17936

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