INVESTIGATING ACCOUNTING RECORD MANAGEMENT TECHNIQUES IN A COMPANY A CASE STUDY OF HAKS INVESTMENTS LTD

BY KUSASIRA MACKLEAN REG. NO. 09/U/2638/AFE/PE

A RESEARCH PROPOSAL SUBMITTED TO THE SCHOOL OF MANAGEMENT AND ENTREPRENEURSHIP IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF A BACHELORS DEGREE OF SCIENCE IN ACCOUNTING AND FINANCE OF KYAMBOGO UNIVERSITY

MARCH, 2012.
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CHAPTER ONE

1.0

Introduction

This chapter presents the background of the study, statement of the problem, objectives of the study, research questions, significance of the study, scope of the study and operational definitions of key terms used.

1.1

Background to the Study

Batala (1990) adds that poor records management techniques in the 1970s and 1980s affected records management in Uganda. He argues that there was neglect of training, rapid torn over of records staff, absence of appropriate legal framework for the destruction of records, outdated procedures, inadequate physical facilities and low status and attention paid to the accounts records management task. He adds that vital correspondences got lost, Senior Officers spent excessive time storing their own records or searching for documents which in turn lowered their efficiency and credibility. Accounting records management refers to the managing of financial transactions. Transactions include sales, purchases, income, and payments by an individual or organization. Accounting records management is usually performed by an accountant who is responsible for writing the day books . The accountant brings the books to the trial balance stage. An accountant may prepare the income statement and balance sheet using the trial balance and legers prepared by the book keeper. Book keeping should not be confused with accounting. The accounting process is usually performed by an accountant. The accountant creates reports from the recorded financial transactions recorded by the bookkeeper and files forms with government agencies. There are some common methods of bookkeeping such as the Single-entry bookkeeping system and the Double entry bookkeeping system (Pinson et al, 1993) Various accounting software have been developed to address the problems of that come with poor accounting records management. However, management of accounting records is still in a
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pathetic state leading to a delay in financial reporting, decision making and filing of returns. Graft some accountants, lack of enough knowledge in accounts records automation, are some of the challenges affecting accounting records management. Tumusiime (2003) reports that Financial and accounting records are rarely in place, and where they are available, their accuracy is usually doubted. Ssemujju (2002) adds that poor returns, lack of good financial records, and lack of collateral make Ugandan companies not creditworthy. It is no wonder then that their demise is considerable. Musoke (2002) asserts that companies in Uganda need to improve their financial records and accounting systems. Olupot (2003) adds that Proper records need to be kept and maintained and the books of accounts have to be clear and should reflect a realistic picture of their operations and financial conditions. The New vision of (18/4/2002) reports that The Small and Medium Enterprises (SMEs) have been asked to maintain proper books of accounts to access assistance from financing institutions banks and Capital Markets. While at the breakfast meeting of top 100 middle-sized companies in Kampala, the SME Chairman Twaha Kawaase said that SME should cope up with the modern accounting methods to be trusted for loan and other financial services. Twaha added that most SMEs have poor or do not have records of accounts that financiers can use as a basis of advancing loans to them. The small and medium scale entrepreneurs were urged to improve their businesses so that they contribute remarkably to the national income and create more jobs. 1.2 Statement of the problem

Different organizations apply different accounting records techniques in order to come over the constant delays in financial reporting and documents required by their clients, company authorities and improve on accuracy and quality of information required for decision making at various levels of administration. However, despite all these endeavors, accounting records management is still lacking. In Haks Investments ltd, during the Annual General Meeting of 2011, the Managing Director could not accurately ascertain the number of sales promotions and their costs to the company that had been made by the company in a period of 5 years and this could have been required were not produced on time. This led some stake holders to question the quality of the accounting records and the techniques used in maintaining these records in this
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company. Hence, the researchers intentions to investigate the accounting record management techniques in a company.

1.3 Purpose of the study The study will concentrate on investigating accounting record management techniques in Haks Investments ltd. 1.4 Objectives of the Study I To assess the basic accounting practices used by businesses.

ii To examine the effects of accounting records management on company.

iii To analyze the accounting records management practices. 1.5 Research Questions (I)What are the basic accounting practices used by businesses? (II) What are the effects of accounting records management on company? (iii) What are the accounting records management practices used?

1.6

Scope of the Study

1.6.1 Subject Scope The study will focus on the investigating the accounting record management techniques in Haks Investments Ltd. 1.6.2 Geographical Scope The study will be carried out at Haks Investments Ltd located on 6th street in industrial area, Kampala, Uganda.

1.6.3 Time scope The study will consider information from the 2003 to date and the study will critically analyze this information in order to achieve the intended objectives. 1.7 Significance of the Study

i.

The study will act as a guide to the future researchers as its literature will be vital to those who intend to carry out research on the same study variables.

ii.

The study will also provide information to the managers on how to improve the financial performance of their companies.

iii.

The research will benefit the organization by getting to know the issues to be considered when planning records management in the company.

CHAPTER TWO 2.0 LITERATURE REVIEW This chapter highlights on what other researchers say about the variables in the topic. In this case the researcher reads various texts like text books, journal articles, previous research reports and magazines, in all these he quotes what the authors of those materials say about the topic. The literature is arranged according to the objectives of the study. 2.1 The Basic Accounting practiced used by businesses

2.1.1 The Concept of Accounting Book keeping is a mechanical process that records the routine economic activities of a business. Accounting refers to the recording of financial transactions and events either manually or electronically. Book keeping is the analysis, classification and recording of the business transactions in the books of accounts (Saleemi, 2008).

Chartered Institute of Management Accountants- UK defines accounting as the analysis, classification and recording of financial transactions in books of account in a systematic manner.

Commonly, accounting can be defined as the recording of financial transactions and events in books of accounts in a systematic manner. Transactions include sales, purchases, income, and payments by an individual or organization. Book keeping is usually performed by a bookkeeper.

Book keeping should not be confused with accounting. The accounting process is usually performed by an accountant. The accountant creates reports from the recorded financial transactions recorded by the bookkeeper and files forms with government agencies. There are some common methods of bookkeeping such as the Single-entry bookkeeping system and the Double entry bookkeeping system (Pinson et al, 2003).

2.1.2 Basic accounting practiced used by businesses.

Many new business owners are daunted by the mere idea of bookkeeping and accounting. But in reality, both are pretty simple. Keep in mind that bookkeeping and accounting share two basic goals: to keep track of income and expenses, which improves chances of making a profit, and to collect the financial information necessary for filing various tax returns. There is no requirement that records be kept in any particular way. As long as your records accurately reflect the businesss income and expenses, there is a requirement, however, that some businesses use a certain method of crediting their accounts: the cash method or accrual method. Depending on the size of the business and amount of sales, one can create own ledgers and reports, or rely on accounting (Williams et al 2003).

An accounting system records, retains and reproduces financial information relating to financial transaction flows and financial position. Financial transaction flows encompass primarily inflows on account of incomes and outflows on account of expenses. Elements of financial position including property, money received, or money spent, are assigned to one of the primary groups i.e. assets, liabilities, and equity. Within these primary groups each distinctive asset, liability, income and expense is represented by respective account. An account is simply a record of financial inflows and outflows in relation to the respective asset, liability, income or expense.

Income and expense accounts are considered temporary accounts, since they represent only the inflows and outflows absorbed in the financial-position elements on completion of the time period (Williams et al, 2008).

There are account types that include real accounts which represent physically tangible things in the real world and certain intangible things not having any physical existence. Examples of tangible things are: plant and machinery, furniture and fixtures, computers and information processing equipment. Intangibles include: goodwill, patents and copyrights; personal account which represent business and legal entities such as organizations, any local or statutory bodies
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including government at country, state or local levels; nominal accounts which represent temporary income and expenditure accounts for recognition of the implications of the financial transactions during each fiscal year till finalization of accounts at the end. Examples include: sales, purchases and electricity charges. For example a sales account is opened for recording the sales of goods or services and at the end of the financial period the total sales are transferred to the revenue statement account (Profit and Loss Account or Income and Expenditure Account).

Similarly expenses during the financial period are recorded using the respective expense accounts, which are also transferred to the revenue statement account. The net positive or negative balance (profit loss) of the revenue statement account is transferred to reserves or capital account as the case may be (Williams et al, 2008). The classification of accounts into real, personal and nominal is based on their nature i.e. physical asset, liability, juristic entity or financial transaction. The further classification of accounts is based on the periodicity of their inflows or outflows in the context of the fiscal year.

Income is immediate inflow during the fiscal year. Expense is the immediate outflow during the fiscal year. An asset is a long-term inflow with implications extending beyond the financial period and by the traditional view could represent unclaimed income. Alternatively, an asset could be valued at the present value of its future inflows. Liability is long-term outflow with implications extending beyond the financial period and represents unamortized expense as per the traditional view. Alternatively, a liability could be valued as the present value of future outflows. Items in accounts are classified into five broad groups, also known as the elements of the accounts. Asset, liability, Equity, Revenue, Expense. The classification of equity as a distinctive element for classification of accounts is disputable on account of the Entity concept, since for the objective analysis of the financial results of any entity the external liabilities of the entity should not be distinguished from any contribution by the shareholders (Pinson et al 2003).

The double entry accounting systems records financial transactions in relation to asset, liability, income or expense related to it through accounting entries. Any accounting entry in the double entry accounting system has two effects: one of increasing one account, the other of decreasing another account by an equal amount. If the accounting entries are recorded without error, at any
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point in time the aggregate balance of all accounts having positive balances will be equal to the aggregate balance of all accounts having negative balances. The double entry bookkeeping system ensures that the financial transaction has equal and opposite effects in two different accounts.

Accounting entries use terms such as debit and credit to avoid confusion regarding the opposite effect of the accounting entry e.g. if an accounting entry debits a particular account, the opposite account will be credited and vice versa (Williams et al,2008).

The rules for formulating accounting entries are recorded in the books of accounts. It does this by ensuring that each individual f inancial transaction is recorded in at least two different nominal ledger accounts within the financial accounting system. The two entries have equal amounts and opposite signs, so that when all entries in the accounts are summed, the total is exactly the same: the accounts balance. This is a partial check that each and every transaction has been correctly recorded. The transaction is recorded as a debit entry (Dr.) in one account, and a credit (Cr.) entry in the other account. A debit entry generally means that value has been added to the account, and a credit entry means that value is being subtracted from the account. The debit entry will be recorded on the debit side ( left- hand side) of a nominal ledger account and the credit entry will be recorded on the credit side (right-hand side) of a nominal ledger account. A nominal ledger has a Debit (left) side and a Credit (Right) side. If the total of the entries on the debit side is greater than the total on the credit side of the nominal ledger account, that account is said to have a debit balance (Williams et al, 2008).

The double entry system uses nominal ledger accounts. From these nominal ledger accounts a trial balance can be created. The trial balance lists all the nominal ledger account balances. The list is split into two columns, with debit balances placed in the left hand column and credit balances placed in the right hand column. Another column will contain the name of the nominal ledger account describing what each value is for. The total of the debit column must equal the total of the credit column. From the trial balance the profit and loss statement and the balance sheet can then be produced. The profit and loss statement will contain nominal ledger accounts

that are income or expense type nominal ledger accounts. The balance sheet will contain nominal ledger accounts that are asset or liability accounts (Williams et al 2008).

2.2

The effects of accounting records management on company

2.2.1 The concept of accounting records management Accounting records management refers to the managing of financial transactions. Transactions include sales, purchases, income, and payments by an individual or organization. Accounting records management is usually performed by an accountant who is responsible for writing the day books. The accountant brings the books to the trial balance stage. An accountant may prepare the income statement and balance sheet using the trial balance and legers prepared by the book keeper. Book keeping should not be confused with accounting. The accounting process is usually performed by an accountant. The accountant creates reports from the recorded financial transactions recorded by the bookkeeper and files forms with government agencies. There are some common methods of bookkeeping such as the Single-entry bookkeeping system and the Double entry bookkeeping system (Pinson et al, 2003) 2.2.2 The effects of accounting records management on company

Peacock (2005) in his investigation of the effects and causes of 1,000 proprietary company failures in South Australia during ten years and found that 4.6 percent of failures had inadequate or no accounting records. He concluded that there was a minimal effect of accounting records of the success or failure of businesses of the proprietary companies and recommended for further research on causes of business failures.

In another study of company failures in South Australia, peacock (2007) reviewed the bankruptcy reports of 418 unincorporated businesses for four years ( from 1981 to 1985) and found that 50.5 percent of this used single entry system of bookkeeping, 32.8 percent used bank and taxation records whereas only 2.1 percent utilized double entry systems. He recommended further research to be done on double entry systems of recording in companies.

In a more recent study Peacock (2008) found a significant element in the failure of many of the businesses was inefficient or absence of accounting records. More than half of the businesses
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failed were found to have no records or only bank and taxation records. Peacocks (2005, 2007 and 2008) findings are very important as examining the impact of bookkeeping system practices on profitability of SMEs. He recommended for further research study on accounting records management and performance of companies.

Williams (2006) in his evaluation of the adequacy of accounting records for 10,570 failed and surviving small enterprises operating throughout Australia found that a significant proportion of owner-managers kept inadequate accounting records. He recommended for further investigation on the accounting records management practices in small enterprises in Australia.

Holmes (2007), in his survey study of accounting information requirements of 928 small enterprises operating in Sydney, Melbourne and Brisbane found out that 57% of the respondents used the journal/ledger (double entry) systems. This finding is rather in contrast to peacocks (2007) findings of types of records maintained by failed enterprises, where only 2.1% of respondents were found to use double entry systems.

Batala (2000) adds that poor records management techniques in the 1970s and 1980s affected records management in Uganda. He argues that there was neglect of training, rapid torn over of records staff, absence of appropriate legal framework for the destruction of records, outdated procedures, inadequate physical facilities and low status and attention paid to the accounts records management task. He adds that vital correspondences got lost, Senior Officers spent excessive time storing their own records or searching for documents which in turn lowered their efficiency and credibility. In summary from the above studies, show that a lot of research has been done on effects and causes of company failures, bankruptcy of unincorporated businesses, the adequacy of accounting records for small enterprises, and the survey of accounting formation requirements of small enterprises. However little research has been done on the effects of accounting records management on the performance of small and medium scale enterprises in Kampala. This study will focus on the study variables as reflected in the conceptual framework with the hope of filling the gap.

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2.3

ACCOUNTING RECORDS MANAGEMENT PRACTISES

2.3.1 Series Control It is important to establish control over records series from the time that they are created and to maintain control throughout their life. Within each series, there is usually a further level of control over individual record items. There may be, for example, serial numbered vouchers, checks or forms classified by account codes or a chronological arrangement of documents by financial years or monthly accounting periods. Peacock (2008) Information about the records series can be recorded in a register of records series held in each agency. Such a register would record essential contextual information about the series. This contextual information should include: title and description date range creating agency system of arrangement and control records format related series related legislation/financial instructions related accounting manual procedure storage location disposal authority and action.

2.3.2 Identifying Financial Records Individual records must be clearly labeled on the front cover to ensure that they can be readily identified and maintained. Each item should be clearly marked with the following information: creating agency

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 series and item numbers title financial year control number. A number of principles apply to the process of identifying financial records. Where more than one volume of a record is created in a financial year, each volume should be given a single, sequential number (1, 2, 3, and so on), with the sequence starting again at the beginning of each financial year. Batala (2000) The main components of financial information systems will be accounting records, which should be created and maintained as discrete record series. Batala (2000) Each item should be part of a clearly defined record series. Some types of financial records are retained in a general filing system. These may include policy documents, authorities such as warrants, budget papers, tenders, contracts and project documentation. The organisations registry or records office should play a role in their management. In a decentralised organisation the files may also be managed by sub-units, individual action officers or secretaries, who should take account of financial information management requirements. Williams (2006) In order to identify records in a consistent way, file titles should use terms obtained from a master list of authorised terms. File titles should also include the financial year and, where appropriate, the accounting code. Peacocks (2005) 2.3.3 Arranging Financial Records

Where possible, records should be arranged by financial year and then by month, accounting code or control number, as appropriate. This will greatly assist retrieval and facilitate the audit process. Files should be arranged by file number, while file plans should provide for retention and retrieval of records by financial year, expenditure head and document type. Williams (2006) 2.3.4 Determining Storage and Security Needs
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Equipment used for storing financial records should be capable of accommodating the variety of formats and sizes in which these records are created. Adjustable shelving allows optimum use of floor space and shelving. It is important that the accommodation should be secure and that doors should be locked when the storage areas are unoccupied. (Pinson et al, 2003) Accounting and financial documents are frequently stored in lever arch files, binders and box files. This is appropriate for current records but semi-current records should be transferred to file covers, labelled and placed in records storage boxes on open shelving. Boxes, which are less costly, provide greater protection for documents against damage from dust, humidity, fire and water and make for easier handling, identification and processing. Lever arch files can then be recycled. (Pinson et al, 2003) 2.3.5 Managing the Physical Location and Movement of Records In order to aid retrieval, help maintain physical integrity and prevent unauthorized access or use, it is essential that the location of financial records be controlled. Following are basic guidelines for retaining control of the physical movement of financial records. Saleemi, 2008 While current, financial records are usually held in the unit that creates them, but they may be stored elsewhere. For example files containing warrants or contracts should normally be held in the records office or registry. The storage location of current and non-current records should be clearly identified and recorded in the series location register. Williams et al 2008 Some financial records (such as cheque books and specimen signatures) may have to be kept in specially secure accommodation such as a safe or strong room. The Financial Instructions or Accounting secure Manual will usually specify which financial records must be kept in specially

accommodation. All financial records must be kept securely owing to their sensitive

nature. Peacocks (2005) Day-to-day retrieval and movement of financial records within the records creating unit does not normally require recording. Records retrieved from their permanent location for operational purposes should be returned at the close of business each day. Williams et al 2008 When a record is removed from a record series for use outside the record creating unit, this use should be authorised and noted in an issue record and the movement recorded in a transit or way
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book. Peacocks (2005). The movement of records should be monitored on a regular basis, and it is advisable to limit the number of records that may be issued to another agency and the period for which they may be retained by that agency without notification. 2.3.4 Protecting the Information in Electronic Records There are particular issues and risks associated with processing and retaining records on a computer system that are not encountered in wholly paper-based systems. These include the inadvertent destruction or corruption of electronic records unauthorised tampering with electronic records the possibility that electronic records and operating systems will become obsolete because of constant upgrading or changing of computer systems over time. Saleemi, 2008. Various precautions must be in place to protect against the loss of data during a temporary or permanent loss of computer facilities 2.3.5 Monitoring and Reviewing Records Systems The financial records management system should be monitoring regularly to ensure that it is meeting its objectives cost-effectively. Such monitoring should also identify weaknesses or areas for improvement. Users and external auditors should be asked for feedback. It is also important to monitor changes in the financial and technological environments, particularly the impact of information technology. Peacocks (2005) 2.3.6 Conducting a Records Management Audit A records management audit should be carried out on financial records at random intervals two or three times a year. The audit or inspection should check that records management procedures are understood and are being carried out consistently. It can be undertaken more frequently where computerized accounting applications are in use and provide for audit trails. This audit should be performed by the internal audit unit or by the records authority. Saleemi, 2008 Audits should check that a. the financial records required by law and internal regulations are maintained and readily accessible b. standard disposal actions have been carried out under approved disposal authorities.
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Copies of the audit report should be forwarded to the records authority and to the accountable head of the agency, who should be able to take responsibility for ensuring that appropriate action is taken on any recommendations made. The audit report provides a basis for action where a records problem is identified. It should be particularly useful to accounting officers, who are responsible for producing and maintaining financial records, and to the head of the ministry of finance, who has broad policy responsibility for the operation of the governments financial and accounting system. Peacocks (2005) 2.3.6 Appraising and Disposing of Financial Records Despite the introduction of computerization, the volume of financial information and records in most organizations continues to grow. The appropriate and timely disposal of these records is an essential aspect of managing financial records. Disposal is also at the centre of accountability. As Chris Hurley, a former Keeper of Public Records in Victoria, Australia, expressed it. Peacocks (2005) The statutory regulation of the disposal and treatment of government records is the foundation, i a democratic society, upon which all other measures of public and internal scrutiny of the affairs of government rest. These two concerns, the reduction of records holdings and the retention of records as evidence in support of accountability, need to be reconciled in the disposal of financial records. Saleemi, 2008 Perhaps more than other types of records, financial records are found in a range of records systems throughout an organization. The planning, appraisal and implementation of the disposal process requires co-operation and co-ordination throughout the organization to ensure that audit trails and the evidential qualities of records are maintained while the volume of records is controlled. Three key points to consider are outlined below. The extensive use of forms and the practice of copying of documents in accounting and financial transactions lead to a high level of duplication of records. As auditors generally require the original of a document, it is important to clearly establish which records are duplicates and which copies may be used in place of originals. For example, is it appropriate for accounting and auditing purposes to attach supporting documents to a copy of a voucher instead of the original. Peacocks (2005)

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The period of the financial year is also a determining factor in the creation and use of many financial records. This fact can be used in a positive way to assist in the disposal process, to trigger action when disposal is required. Saleemi, 2008. Accountable documents, such as licence receipt books, are usually subject to financial regulations or instructions that provide for their handling and disposal. Care needs to be taken to identify these and accommodate their accounting requirements in the records management process. Peacocks (2005)

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CHAPTER THREE 3.0 3.1 RESEARCH METHODOLOGY Introduction

This chapter will cover the research design, study population, area of study, sampling designs, study variables, instruments of data collection, data processing, presentation and analysis and the limitations of the study. 3.2 Research Design

Research design can be thought of as the structure of research -- it is the "glue" that holds all of the elements in a research project together. A design is used to structure the research, to show how all of the major parts of the research project. The researcher will use both qualitative and quantitative design.

Qualitative research design This will put emphasis on total description of data. It will be in form of words and will involve interviews and use of closed ended questionnaires. Qualitative techniques are extremely useful when a subject is too complex be answered by a simple yes or no hypothesis. These types of designs are much easier to plan and carry out. They are also useful when budgetary decisions have to be taken into account.
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However, qualitative data cannot be mathematically analyzed in the same comprehensive way as quantitative results, so can only give a guide to general trends. It is a lot more open to personal opinion and judgment, and so can only ever give observations rather than results.

Quantitative research design This will be in form of numbers and not words and will involve use of tables systematic presentation of data and use of graphs. This method will be appropriate because it will help the researcher to analyze and interpret the information. The second advantage with this design is that, after statistical analysis of the results, a comprehensive answer is reached, and the results can be legitimately discussed and published. Quantitative experiments also filter out external factors, if properly designed, and so the results gained can be seen as real and unbiased.

However, quantitative experiments can be difficult and expensive and require a lot of time to perform. They must be carefully planned to ensure that there is complete randomization and correct designation of control groups. 3.3 Population of the Study The survey will be conducted at Haks Investments in Kampala District. The study will basically include human resource managers, secretaries, supervisors, office attendants and other employees. The researcher feels the respondents will give the necessary information for his intended findings. 3.4 Sampling Technique Simple or unrestricted random sampling will be used. Here the researcher will ensure that every element of the population is given an equal chance of being selected. There will be randomness in selection and every member in the group will have the same probability of being selected.
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This is because this method is easy to administer and easy to collect data, make the selection representative of the whole population without any bias.

3.5 Sample Size and Composition Thirty respondents will be chosen. They include top management, supervisors and employees. Position Top management Line managers Other employees Total Number 5 20 5 30

3.6

Sources of Data Collection

Data will be collected from primary and secondary sources. 3.6.1 Primary data source Primary data will be obtained directly from respondents who will be distributed with questionnaires. 3.6.2 Secondary data source This will be got from textbooks, journals, magazines, reports and other on line publications.

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3.7

Data Collection Instruments

The researcher will use questionnaires, interview guide, and observation because of the busy schedule of the employees at Haks Investments ltd. These instruments will be chosen because they gather detailed data and are cost effective. 3.7.1 Questionnaire

A questionnaire is a research instrument consisting of a series of questions and other prompts for the purpose of gathering information from respondents. Although they are often designed for statistical analysis of the responses, this is not always the case. Questionnaires have advantages over some other types of surveys in that they are cheap, do not require as much effort from the questioner as verbal or telephone surveys, and often have standardized answers that make it simple to compile data. However, such standardized answers may frustrate users. Questionnaires are also sharply limited by the fact that respondents must be able to read the questions and respond to them. Thus, for some demographic groups conducting a survey by questionnaire may not be practical. The researcher will use unstructured and structured questionnaires to help generate reliable data as respondents answer questions at their own convenient time. Questionnaires will also help the researcher to cover a wide range of employees. 3.7.2 Interview This is a dialogue conducted to collect information about an industry or company. The researcher will also use the interview method where direct access will be needed with various respondents within the organization. This method will be used for the top and lower staff. The method will be used because the one on one approach will help the researcher to get extra vital data.

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3.8

Data collection procedure

The researcher will obtain permission from the human resource officer of this company. She will then proceed to collect data from the target groups using the research instruments cited above. After collecting the needed data, the researcher will embark on analyzing the data.

3.9 Data Quality control Reliability and validity of research instruments Reliability refers to consistency of the instrument in doing what it is supposed to do. Validity is the accuracy with which the instrument measures what it is supposed to measure. This will be done by establishing the validity of research instruments through test - retest method, use of equivalent or parallel forms and inter rate scores method Milkovitah, (2004). This will be ensured by discussing them with the supervisor, seeking expert opinion and pre-testing. 3.11 Data Processing Data processing involved three stages of editing, coding, and tabulating. Editing This will be done just after data collection. The completed interview response schedule will be thoroughly checked noting the relationships between the given answers and questions that were asked. The information collected will be edited for completeness, accuracy, uniformity, consistency and comprehensibility. Respondents answers will be checked to eliminate errors arising out of carelessness in marking or recording and information recorded in abbreviations or symbols will be written in full. Coding Coding will be done in classifying all answers given by the respondents into meaningful categories for the purpose of bringing out their important patterns. Responses to certain questions will be classified accordingly and coding frame will be constructed Tabulation After editing and coding, tabulation will be done to give clear presentation of various responses and significance of each interpretation.
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Tabulation will involve the counting and adding up of all the answers to a particular question to enable the statistical analysis of data to be presented in form of tables. 3.12 Data presentation and Analysis

After obtaining qualitative data from open-ended questions, it will be edited to remove any errors. Data will be coded according to themes derived from the research objectives in chapter one. The process called cleaning the data will be done to remove any errors and help improve the reliability of the data. Statistical packages of data analysis such as Excel will be employed to tabulate the raw data and provide comparisons that will ease the analysis. A qualitative analysis will also be used to provide a clear understanding of the topic under study. 3.13 i. Limitations of the Study Financial constraints, this among others might lead to the delay in the submission of the research proposal. ii. Time constraint, the researcher will have limited time to carry out the study due to the fact that there are many academic activities to accomplish at the university. iii. Information will not easily be accessible because most companies treat their information with a high level of confidentiality and tend to limit access to information. iv. Delay with the questionnaires. The respondents will be expected to take a long time before answering the questionnaires and delivering them in time to the researcher which will take her a lot of time waiting to finish up with the study. 3.14 Delimitations of the study

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The researcher will try to save time in what he will be doing in order to have enough time for his research. The researcher also will try to convince the respondents to attend to the questionnaires in time and also to return them in time so as to enable the researcher to analyze them very quickly.

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