Assessment of Waste Management Practice in Manufacturing Company: The Case of Butajira Town

Abstract

Nearly all manufacturing companies operating in Butajira town are discharging wastes in The main objective of this study was to investigate the determining factors of financial distress in manufacturing share company Addis Ababa-Ethiopia by using panel data of 10 manufacturing share company from 2011 to 2020. To accomplish the study objective explanatory research design was employed, and quantitative research approach was used. Secondary data was used to achieve the intended objective of the study. Descriptive and inferential statistics were used to analyze the collected Data. The study found that firm leverage, liquidity, profitability, and firm size from firm specific variables and inflation from macro-economic factor are statistically significant determinant variables, on debt service coverage as a proxy of financial distress, but solvability and efficiency from firm specific and economic growth and exchange rate from macro-economic factor are statistically insignificant determinants variables on debt service coverage as proxy of financial distress of manufacturing company in Addis Ababa-Ethiopia during the study period. The study recommended that manufacturing share company should follow optimal capital structure with restructuring and retrenchment. The study also suggests manufacturing share company should revise their policy capital structure financing and strategy by considering the potential threat and opportunities in order to get competitive advantage nearby water bodies, open land, etc, causing serious pollution problems. Pollution problems with the continuous growth of urbanization and industrialization have demanded waste management related assessments as being an important and pressing issue for the town. Therefore, this study aimed at assessing the waste management practice of manufacturing companies in the town with specific objectives: quantifying and characterizing of generated wastes, assessing the major practices leading to effective waste management and investigating the major factors affecting waste management practices in the manufacturing companies. To achieve the objectives, both the primary & secondary data were gathered through questionnaire, interview, field observation and published and unpublished materials. A survey data was gathered through questionnaire from 120 respondents sampled from target population consisted of 500 employees of the companies & 2,500 households from the neighboring residences. Interview data was gathered from 16 key informants from concerned sectors & from the companies. Data analysis was carried out using data analyzing tool, SPSS. Findings of this study revealed that average solid waste generation rate was 4.96 tons/year with waste compositions of biodegradable and non-biodegradable. Waste types include manure, agricultural residues, dead bodies, bran, ash, dust, papers, card board, plastic bags, glass/bottles, cans, textile scraps, old shoes, etc. The study found that presence of better public awareness but less participations, better practice of waste management methods by companies, limited capacity in terms of knowledge, skill, technology and finance, presence of unsuccessful enforcement of law, etc. Based on the findings, it was concluded that presence of poor & ineffective awareness creation, less public participation, weak enforcement efforts, etc have been negatively influencing the effectiveness of waste management practices in manufacturing companies. Building the capacity of the companies and concerned sectors in terms of knowledge/skill, technology and finance, improving awareness and participation of public and stakeholders, and enforcement of laws and regulation on waste management, etc were among proposed solutions.