ABSTRACT
This research work focuses on the impact of
working capital management on the growth of corporate organization in Nigeria.
The research formulated three specific objectives: To assess the impact
ofinventory holding period, on sales growth ofmanufacturing companies in
Nigeria, to establish the relationship between debtors ’ collection period on
sales growth ofmanufacturing companies in Nigeria, to determine the
relationship between creditors paymentperiod on the sales growth
ofmanufacturing companies in Nigeria. Thus research questions and research
hypotheses were structured in accordance with the specific objectives. In a bid
to achieve a meaningful research study work, this research will review related
literatures on the effect ofworking capital management and the growth
ofmanufacturing companies in Nigeria. Which were sub-divided into three
subheadings such as conceptual framework, theoreticalframework and empirical
review. However, in the quest to perfect this work; ex-postfacto research
design was adoptedwhere data was sourced secondarily through the
annualfinancial reports ofNigeria Bottling company, Aba andNigeria Breweries,
Enugufrom 2008 to 2017. Purposive Sampling technique was adoptedfor the study,
which indicates all the companies used in the population ofthe study has equal
chances of being selected. This study make use of annual time series data. The
following findings were deduced based on the study: Inventory Holding Period
has a significant effect on sales growth, Debtor’s collection Period has no
significant effect on sales growth, Creditorpayment Period has no significant
effect on sales growth. Sequel to thefindings and conclusion, the research made
the following recommendations that the brewery companies should manage their
working capital efficiently to achieve optimal growth. This can be achieved by
improving the inventory control process, collecting receivables in line with
the agreed credit terms and by delaying payments to suppliers. All these will
lead to shortening the cash conversion cycle resulting to an increase in
growth. Thus, its minimization in the application is recommended that there
should be proper inventory managementsystem to avoidoverstockofinventory,
manufacturingfirmsshould engage in relationship with those suppliers who allow
long credit time period and those customers who will take short payment period,
the managements of manufacturing companies should employ experts in accounting
andfinance to help establish and monitor their required liquidity position
through efficient working capital
ABUAJAH, N (2024). Impact of working capital management on the growth of corporate organization in Nigeria:- Abuajah Ann N. Mouau.afribary.org: Retrieved Sep 08, 2024, from https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-the-growth-of-corporate-organization-in-nigeria-abuajah-ann-n-7-2
NKECHI, ABUAJAH. "Impact of working capital management on the growth of corporate organization in Nigeria:- Abuajah Ann N" Mouau.afribary.org. Mouau.afribary.org, 26 Jul. 2024, https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-the-growth-of-corporate-organization-in-nigeria-abuajah-ann-n-7-2. Accessed 08 Sep. 2024.
NKECHI, ABUAJAH. "Impact of working capital management on the growth of corporate organization in Nigeria:- Abuajah Ann N". Mouau.afribary.org, Mouau.afribary.org, 26 Jul. 2024. Web. 08 Sep. 2024. < https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-the-growth-of-corporate-organization-in-nigeria-abuajah-ann-n-7-2 >.
NKECHI, ABUAJAH. "Impact of working capital management on the growth of corporate organization in Nigeria:- Abuajah Ann N" Mouau.afribary.org (2024). Accessed 08 Sep. 2024. https://repository.mouau.edu.ng/work/view/impact-of-working-capital-management-on-the-growth-of-corporate-organization-in-nigeria-abuajah-ann-n-7-2