Abstract

The research targeted the challenges encountered in the privatization process impacting
the profitability of Cimerwa Cement Manufacturing Company in Rwanda. This
investigation held significance for CIMERWA, the researcher, and future scholars.
Adopting a case study approach, the research engaged 172 CIMERWA employees, with a
sample size of 64 selected through stratified and random sampling methods.
Questionnaires and documentary analysis facilitated primary and secondary data
collection, while reliability and validity of the instruments were validated via pilot
research using Cranach’s Alpha and expert evaluations. SPSS software was employed for
data analysis.Findings indicated that inadequate privatization strategies at CIMERWA
hinder long-term sustainable performance and goal attainment, leading to escalated
capital and maintenance costs, ultimately impacting the company's prosperity. The
study emphasized that CIMERWA's efficiency in profitability hinges on its focus on
crucial aspects such as material handling systems, warehousing, cost-effective
profitability measures, supply chain and inventory management, all pivotal in
organizational management. In terms of the benefits derived from privatization efforts,
23.4% of respondents affirmed that these services ensured accountability for
profitability, while 60.9% attested to their role in ensuring profitability accountability.
Employing the Pearson correlation coefficient in SPSS revealed a strong 96.3% correlation
between privatization efforts and profitability.
Keywords: Privatization, CIMERWA cement, Profitability, Accountability, Employees