EFFECTS OF CORPORATE GOVERNANCE ACTIVITIES ON ORGANISATIONAL PERFORMANCE OF SELECTED OCCUPATIONAL RETIREMENT SCHEMES IN KENYA
Abstract
Corporate governance is a concept that involves practices that entail the organization of management and control of companies. This study sought to establish the effects of corporate governance structures instituted by occupational retirement benefit schemes in Kenya in a bid to surmount the agency challenges inherent in the management of these schemes and their effects on organizational performance. This study used descriptive survey to explore the effects of corporate governance structures prevalent in occupational retirement schemes in Kenya. A sample of the 27occupational retirement schemes were selected on the basis of their asset value as at 31st December or 30th June 2012 depending on their financial year end. The primary quantitative data on scheme corporate governance structures and practices was collected using self administered questionnaires with closed and open ended questions. The researcher will select a pilot group of 10schemes from the target sample of the Retirement Benefits Scheme to test the reliability of the research instrument. In the literature review, apart from the empirical review, a number of theories that touches on the governance and organisational performance have been considered which also include; Shareholder theory, Stakeholders theory and Agency theory. The data will be analysed using descriptive statistics. Statistical tools such as the mean, proportions, graphs, tables, percentages and frequency distributions will be computed using SPSS software. The findings will be presented using tables and charts, percentages, means and other central tendencies. Tables will be used to summarize responses for further analysis and facilitate comparison. This will generate quantitative reports through tabulations, percentages, and measure of central tendency.
Key Words: Corporate Governance, Retirement Benefit Schemes
Full Text:
PDFReferences
Agrawal, A. &Knoeber, C. R. (1996).Firm performance and mechanisms to control agency problems between managers and shareholders.Journal of Financial and Quantitative Analysis, Vol. 31 No.3, pp.377-98.
Andrews E S and Rashid M (1996); The Financing of Pension Systems in Central an Eastern Europe; An overview of Major trends and their Determinants 1990-1993 World Bank Technical Paper No 339, World Bank WashingtonDC
Asebedo, G. & Grable, J. 2004.Predicting Mutual Fund Over performance over a nine- year period.Financial counselling and planning. 15(1):1-11.
Bauer, R. &Guenster, N (2003).Good corporate governance pays off! Well-governed companies perform better on the stock market. International Association for Business and Society Proceedings, pp.205-10.
Bauer, R. Guenster, N. &Otten, R. (2004). Empirical evidence on corporate governance in Europe: the effect on stocks returns, firm value and performance, Journal of Asset Management, Vol. 5 No.2, pp.91-104.
Baysinger, B. &Hoskinsson, R. E. (1990).The composition of the board of directors and strategic control: effects of corporate strategy, Academy of Management Review, Vol. 15 No.1, pp.72
Bebchuk, L. & Cohen, A. (2004).The Cost of Entrenched Boards, National Bureau of Economic Research, Inclusive Cambridge, MA, NBER Working paper, No.10587.
Besley, T. &Prat, A. 2003.Pension fund governance and choice between defined benefit and defined contribution plans. Center for Economic Policy Research.Discussion Paper 3955.
Bryman, A. and Bell, E. (2003).Business research methods . New York: Oxford University Press.
Carmichael, J. & Palacios, R. 2003.A Framework for Pension Fund Management.World Bank. 2nd Public Pension Fund Management Conference, May 5-7.
Claessens, J. P. Fan, P. H. & Wong, T. J. (2002).A study of the relationship between the independent director system and the operating performance of the business in Taiwan, working paper.
Conyon, M. J. & Peck, S. (1998). Board control, remuneration committees, and top management compensation, Academy of Management Journal, Vol. 41 pp.146-57.
Cooper, D. R. & Schindler, P. S. (2003). Business Research Methods (8th edn) McGraw-Hill: New York.
Cross, T., Bazron, B, Dennis, K.W., & Isaacs, M.R. (1989). Towards a Culturally System of Care, Volume.Washington, DC
Daniel W. M. (2007). Corporate governance in the public sector. The case of NHIF
Denis, D. K. & McConnell, J. J. (2002). International Corporate Governance: A survey.
Drobetz K., Eisenberg, T., Sundgren, S. & Wells, M. T. (2003) Executive ownership, corporate value and executivecompensation: a unifying framework, Journal of Banking & Finance, Vol. 20 pp.1135-59.
Drobetz, W., A. Schillhofer, and H. Zimmermann (2004), corporate governance and expected stock returns:
Evidence from Germany, European Financial Management 10 (2) : 267-293.
Field, A. (2005). BOOK REVIEW: Discovering statistics using SPSS (2 nded.). London:
Gatauwa J. &Mwangi, T. (2008) the relationship between corporate governance practices and stock marketliquidity for firms listed on the Nairobi Stock Exchange.Unpublished MBA Project.University of Nairobi.
Gibson, K. (2000). The moral basis of stakeholder theory, Journal of Business Ethics, Vol. 26 pp.245-57.
Gompers, A., Ishii, J. L. Metrick, A. (2003). Corporate governance and equity prices, Quarterly Journal of Economics, Vol. 118 No.1, pp.107-55.
Jenkinson , M. & Mayer (2000) The assessment; corporate governance and corporate control. Oxford review ofeconomic policy
Jensen, M. C. & Murphy, K. (1990).CEO incentives: it's not how much you pay but how, Journal of AppliedCorporate Finance, Vol. 3 No.3, pp.36-49
Kerry SM, Bland JM. (1998) Statistics Notes. The intra cluster correlation coefficient in cluster randomisation
Mallin, C. (2007). Corporate governance (2nd ed.). Oxford University Press: Oxford.
Matengo, M. (2008).The relationship between corporate governance practices and performance, the case of banking industries in Kenya.Unpublished MBA Project.University of Nairobi.
Mathoko, J., Mathoko, F. &Mathoko, P. (2007).Academic Proposal Writing.Nakuru, Kenya: Amu Press.
Meredith, E. &Robyn, C. (2005) Corporate Governance in the public sector;
McConnell, J, Servaes, H (1990). Additional evidence on equity ownership and corporate value, Journal of Financial Economics, Vol. 27 pp.595-612.
McKinsey, & Co. (2005). Investor opinion in corporate governance, available at, www.worldbank.org (accessed 28March.)
Mugenda, O. &Mugenda, A. (1999).Research Methods: Qualitative and Quantitative approaches.First edition.Nairobi ; African centre for technology studies press.
Muriithi A. M. (2004). The relationship between corporate governance mechanisms & performance of firms quotedon the NSE.Unpublished MBA project.University of Nairobi.
Nanak Kakwani and KalanidhiSubbarao. “Aging and Poverty in Africa and the Role of Social Pension”
Nanak Kakwani, Hyun H Son and Richard Hinz. “Poverty, Old-Age and Social Pensions in Kenya
Ngechu. M. (2004), Understanding the research process and methods. An introduction.StarbrightServices, Nairobisekeran.K,& roger ( 2010 ),Reaserch methods for business.
DOI: http://dx.doi.org/10.61426/sjbcm.v1i2.32
Refbacks
- There are currently no refbacks.
This work is licensed under a Creative Commons Attribution 3.0 License.
PAST ISSUES:
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.