General Business Procedures and Practices Standardization as an Instrument for Ensuring Business Survival: An Empirical Based Proposition

Abstract

The worst state of a business is that of failure that may result into liquidation. A business owner or other business stakeholders never pray to experience such state. It, however, occurs very frequently, most especially, to small businesses and sometimes to big businesses and it is usually with enormous consequences. Whether an endeavor prospers or fails is, generally, a big function of the way and manner of the procedures and operations of that endeavor. It, therefore, implies that business procedures and practices should be executed in such a manner that they ensure prosperity. The general objective of this study was to investigate if business procedures and practices standardization can help businesses and consequently reduce business failure rate. Primary data were collected through a well-structured questionnaire, administered to stakeholders of business organizations in Nigeria. The responses were analyzed using the mean and standard deviation and the results were tested using the ‘Z’ statistics which was revalidated with ANOVA. The study revealed that stakeholders are of the opinion that business practices and procedures can be standardized and are in support of it. The study, consequently, recommended that existing standard setting agencies, that are related to business, should come together with other related and experienced experts, at national and international levels, to develop, on a continuous basis, standards that can guide and regulate relevant, yet standardized, activities of business organizations.