Theses and Dissertations

Permanent URI for this communityhttp://192.168.8.146:4000/handle/123456789/15

Browse

Subject: search.filters.subject.Corporate Governance

Search Results

Now showing 1 - 6 of 6
  • Thumbnail Image
    Item
    Internal Audit Function As A Tool To Good Corporate Governance Of Kenyan Non Governmental Organization (A Case Study Of Nairobi County)
    (KCA University, 2016) Mulei, Nicholas
    There has increasingly been pressure from donors, government and other official agencies for non-governmental organizations to show accountability, managerial competence and strong internal control system. The concerns are that they are actually behaving in unaccountable manner as regards their utilization of the fund budgeted by the donors, which is eroding their transparency, as a key requirement for good governance and successful feedback systems. Despite the extensive academic literature on internal audit function the non-governmental organization sector, there limited literature on internal audit as a tool for ensuring good corporate governance, a knowledge gap then needed to be filled, hence the present study. The study used descriptive research and at least 1883 senior audit officers and other key personnel of the non-governmental organizations in Nairobi as target population. The study as sample size of the 15% of the target population. The selection of respondents was done through random sampling. Data was collected from the respondents using a structured questionnaire administered using drop and pick method. It will be analyzed using descriptive statistics and presented in tables and figures. Multiple regressions will be used to estimate a study model. The study concluded that corporate governance status of Kenyan non-governmental organizations, which was very high, was very highly influenced by; competence of internal auditors, follow-up mechanisms, and independence of internal audit function. There was a significant relationship between Competence of internal auditors (p-value = 0.000), follow-up mechanisms (p-value = 0.018), and independence of internal audit function (p-value = 0.050) and the corporate governance. Any increase in; competence of internal auditors, follow-up mechanisms, and independence of internal audit function would lead to an increase in corporate governance and vice versa. The study concludes that 39.50% of change in corporate governance in the Kenyan non-governmental organizations is explained by the; competence of internal auditors, follow-up mechanisms, and independence of internal audit function. The study recommends that the Kenyan non-governmental organizations and the related stakeholder such as non-governmental organization board and the National parliament should review the existing regulatory framework to widely address the issues of corporate governance and relate to accountability and transparency, other policies and regulations should be implemented by the non-governmental organization to ensure that the internal audit function staff make follow up of the internal audit function standards to ensure the independence of the internal audit functions of the Kenyan non-governmental organizations.
  • Thumbnail Image
    Item
    Investigating Corporate Governance Practices In The Kenyan Stock Brokerage Industry: Ownership Structure And Investor Protection
    (KCA University, 2013) Sifuna, Anazett P.
    This study is an exploratory survey on the ownership structures and investor/ client protection endeavours as components of corporate governance practise in the Kenyan stockbrokerage industry. The main purpose of the study was to bring to light, the imperative aspects of corporate governance practise by an industry recovering from its deepest decline in history, experienced during the second half of the first decade of the 21st Century. With a data from 10 out of the possible 11 firms licensed to facilitate the buying and selling of securities to the Nairobi Securities Exchange (NSE) investors, the findings of this study portrayed the industry as very volatile as a number of profound deficits in the firms’ corporate governance practises were observed. The findings indicate that the ownership structure of the firms is highly concentrated with some firms having a single shareholder holding as much as 90%, mainly institutions and families. Additionally, the findings point to the lack of a clear comprehension of the tenets over and above the benefits of good corporate governance practise. It was noted that most firms comply with the corporate governance codes/ rules laid down by the Kenyan Capital Markets Authority (CMA), possibly due to the fear of the repercussions of non-compliance rather than for the ultimate benefit of the firms and the industry’s different stakeholders. The mechanisms of disseminating investment related information were noted to give preference to large scale investors over the small scale investors notwithstanding the fact that if put together the small scale investors would constitute the largest block of investment holders in the firms’ portfolios. The findings of this study have significant implications on the measures engineered by the Kenyan Capital Markets Authority, the Nairobi Securities Exchange and investors generally in reinforcing good corporate governance practises in the Kenyan Stockbrokerage industry
  • Thumbnail Image
    Item
    Effect Of Corporate Governance Structures On Organizational Performance Of State Corporations In Education Sector In Kenya
    (Kca University, 2020) Mwangi, Anthony C.
    Corporate governance structure are the systems and regulations created within an organization, to help guide the decision-making processes. This help in determining the respective roles to be played by various stakeholders to the organization. Corporate governance has been shown to have an impact on the performance of state corporations. However, most of these studies concentrate on the board structures and how they affect the financial performance of the organization in respect to Return on Equity, Return on Assets and Tobin’s Q. This research aims to explore the impact of corporate governance structures on performance of State Corporations in the education sector in Kenya. This area is least studied especially being a service oriented and largely non-commercial sector. The objective of the study is to establish the influence of CEOs attributes on performance, examine the influence of board structure on performance and find out the impact of the audit committee on performance of state corporations in Kenya. The study targets 171 respondents across 27 sampled state corporations under the education sector in Kenya. The respondents are drawn from Senior and middle level managers, finance and accounts officers and internal audit staff. The 27 state corporations were selected using a stratified random sampling technique from the target population of 45 state corporations. The data was be collected for the three objectives with specific questions on Board diversity, attributes of the CEO, Independence of the Audit Committee. The data collection tool used a close ended questionnaire; there were 134 questionnaires returned out of the targeted 162, through a drop and pick method. The data collected was cleaned, coded and posted to SPSS Ver 23 for analysis. A regression model was be used to analyze the existing relationship between the variables; independent variables: CEO Attributes, Board Diversity and Audit Committee effect on the organizational performance being the dependent variable. Diagnostic tests were conducted to check for normality and multicollinearity. The study found that CEOs attributes, Board of directors’ diversity and audit committee had significant effect at α=0.05 and contribute 27.7% of variations of performance in state corporations in education sector in Kenya. The study therefore recommends that, for enhanced performance of state corporations in the education sector in Kenya, stakeholders should appoint CEOs with rich experience, boards with diversity including gender and audit committee members who have higher qualifications especially, professional qualifications.
  • Thumbnail Image
    Item
    Effect Of Corporate Governance On Financial Performance Of Savings And Credit Cooperative Societies In Kenya
    (KCA University, 2016) Ochola, George O.
    The enactment of the SACCO Act of 2008 established SASRA as an entity or state authority that regulates the Cooperative societies in Kenya, with the regulation covering deposit taking and to some extent non-deposit taking SACCOs. The enactment of SASRA regulation requires SACCOs to improve on corporate governance. This study was thus carried out with the aim of understanding the effects of corporate governance on the performance of SACCOs in post SASRA era. Specifically the study focused on analyzing the effect of board of director‟s tenure, board diversity and meeting frequency on the financial performance of SACCOs. The study used cross-sectional study design and had a target population of 49 that comprised of deposit talking SACCOs in Kenya. The researcher collected data from the respondents through secondary data and analyzed the same through SPSS. Data was analyzed using SPSS with regression analysis, ANOVA, and co-efficient of determination (R2 ) used to interpret the results. The study revealed that corporate governance practices affect the financial performance of SACCOs. This was by 28.4% and 28.6% without control and with control variable respectively. Specifically without control variables the results showed (0.061), 0.002, 0.017, 0.026, (0.004) and 0.018, indicate the effect of professional expertise, gender diversity, average tenure of directors, frequency of meetings and age of board members. On the inclusion of control variable the results indicated that gender and director tenure was significant while the rest of the variables were not significant. The study concludes that social heterogeneity and director tenure affect financial performance of SACCOs. Thus the study recommends the need effective implementation of gender diversity and director on tenure regulations.
  • Thumbnail Image
    Item
    An Analysis Of Corporate Governance As A Strategy To Address The Performance Of Sugar Manufacturers In Kenya (A Case Study Of Mumias Sugar Company Limited)
    (KCA University, 2016) Nyongesa, Ben S.
    Currently, a talk around the planet is whether there is proper stewardship geared towards organizational performance. Any outcomes of decisions made by the leaders in those organizations are supposed to benefit environment, the stakeholders and the communities in which they operate. This therefore underscores the need to improve the use of resources, which in turn increases the effectiveness and efficiency of firms. Sugar firms use various strategies for employing existing resources optimally so that a responsible and beneficial balance can be achieved over the longer term. The recent corporate governance erosion in Mumias Sugar Company which contributes more than half sugar production in Kenya warrants this study. It is therefore, against the status of affairs that the present study was conducted to fill this knowledge. The study analyzed corporate governance as a strategy to address the performance of sugar firms in Kenya. The study target population was the 113 officers of Mumias Sugar Company. Since the sample population was manageable and readily accessible, the study used census to collect data. The primary data collection method was through administration of structured questionnaire. The collected data was analyzed using descriptive statistics and inferential statistics. Narratives were used for interpretations of the results and findings and thereafter multiple regressions was then carried to establish the relationship between the Independent Variables (IVs) and the Dependent Variable (DV). Descriptive data was analyzed with assistance of SPSS ver. 20.0 statistical tool. The study concludes that firm performance of sugar companies in Kenya is moderate and that it is influenced by corporate governance, since the indicators of corporate governance; board characteristics, top management characteristics; and stakeholders’ communication characteristics are established to predictors of firm performance of sugar companies in Kenya. The study established that board characteristics highly affects the performance of Sugar Companies, top management characteristics highly influenced the performance of sugar companies, and revealed that stakeholders’ communication characteristics highly affected performance of sugar companies in Kenya. The study recommends that the sugar companies in Kenya should address the issues of board characteristics in their firm through establishment of effective policies and strategies, establish systems and policies to audit and trail the top management performance of sugar companies to ensure transparency and accountability of the directors and the CEO and the sugar companies in Kenya should significantly review the Stakeholders’ Communication polices to ensure that the stakeholders are also informed beforehand of any happenings in their investments.
  • Thumbnail Image
    Item
    Effect Of Corporate Governance On Sustainability Of Family Owned Businesses: A Case Of Listed Family Owned Firms In Kenya
    (KCA University, 2015) Thairu, Francis M.
    In as much as family businesses make up more than two thirds of all businesses in the world, their sustainability has been questioned since most of the family-owned businesses do not live to see their third generation. This could be attributed to the fact that family-owned businesses are fundamentally distinct from public firms, especially in issues pertinent to corporate governance. When a business is family owned, it is likely to have concentrated control and less stringent corporate governance procedures. This study therefore sought to investigate the effect of corporate governance on the sustainability of Kenyan family-owned businesses. The objectives of the study were to establish the effects of ownership structure on the sustainability of family owned enterprises, to determine the effects of board composition on the sustainability of family owned enterprises, and to assess the effects of board functioning on the sustainability of family owned enterprises in Kenya. This study used a sample of listed family-owned businesses since such firms have overcome all early-stage challenges and have gone ahead to get listed although their founding families still hold a substantial stake in them. The study adopted a descriptive research design and the target population was senior level managers of the fourteen firms. Five managers from each of the firms resulted in a sample of seventy respondents. The study used primary data for empirical analysis. All the independent variables yielded a positive and significant relationship with the dependent variable, confirming a causal relationship between sustainability and the regressors.