COST-TIME AND SAFETY PERFORMANCE ANALYSIS OF SMALL SCALE AUTOMOTIVE MAINTENANCE FIRMS IN NIGERIA.

CHAPTER 1

INTRODUCTION

1.1       BACKGROUND OF STUDY

The utilization of automotive facilities in power generation and transportation, assumes a key part in the developmental drive of a nation like Nigeria and her citizenry at large. Overtime, the usage of auto facility in power generation and land transportation has been on the high side compared to water transportation and other modes of transportation, the use of automobile facilities, either diesel or petrol driven is predominant. Notwithstanding, continuous utilization of these auto facilities result in wear, tear and breakdown; and as the parts breakdown so should they be maintained to enhance optimum performance (Akinola, 1995). In this manner, creating job opportunities for auto mechanics who carry out the servicing and maintenance of these facilities. Though, in recent time it has been observed that the rate of overruns in cost, time (i.e. the variation between the estimated and the actual) as well as safety performance has been a major concern for industries globally and need to be addressed. Cost and time performance are the key drivers for project execution irrespective of industry and is a major concern within the auto repair industry. Similarly, the spirit of entrepreneurship is characterized innovation and risk-taking which is an integral part of an industry’s ability to succeed in an ever changing and increasingly competitive global marketplace. Review of literatures on industrial accident shows that most studies have attempted to analyze industrial accident separately from productivity. It is observed that industrial accidents reduce real time (productivity) and increases cost-time otherwise overruns. In an attempt to mitigate or reduce industrial accidents some organizations put in place required safety standards in their workplace (Umoh and Torbira, 2013). In addition to the costs associated with workplace accidents such as increased medical expenses, loss of productivity is a cause for concern to automotive maintenance firms. For example, when a worker is injured, his/her productivity can decrease 33% during the first 48 hours following the occurrence of the injury (Coble et al. 2001). Also, previous studies on entrepreneurship assert that cost, time, and productivity, takes primacy over personnel related issues like safety and health (Sakariyau and Latip, 2015).

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