• Login
    View Item 
    •   Repository Home
    • Theses and Dissertations
    • -College of Humanities and Social Sciences (CHSS)
    • View Item
    •   Repository Home
    • Theses and Dissertations
    • -College of Humanities and Social Sciences (CHSS)
    • View Item
    JavaScript is disabled for your browser. Some features of this site may not work without it.

    Corporate governance practices at National Industrial Credit Bank in Kenya

    Thumbnail
    View/Open
    abstract (10.92Kb)
    Full Text (793.6Kb)
    Date
    2013-11
    Author
    Mbori, Maureen AA
    Metadata
    Show full item record
    Abstract
    Corporate governance systems are in a constant phase of adaptation due to changes in governance. After the extreme corporate failures of Enron and MCI WorldCom in 2001, corporate governance became an important issue throughout the world. Many shareholders had lost confidence in businesses and corporate governance codes of best practice were the main means of restoring investor confidence. However, according to the special requirements of a country, many different corporate governance systems have evolved. The practices of corporate governance used in this study include board size, composition and independence, Board structure, Management committees, Shareholders and internal control. The objective of this study was to determine the corporate governance practices at NIC bank and how they influenced the banks performance. The research study design was conducted using a case study. The study used both primary and secondary data. The primary data was collected through conducting of face to face interviews as well as questionnaires sent on email to the directors and top level management. Data analysis was conducted using content analysis, however in this study, all the disclosure items were given same weight which helps to reduce subjectivity; however, authority may place higher emphasis on certain elements of governance. Some aspect of governance may be considered to be a basic component or prerequisite to implementing others and thus should be given more weight.In summary from the study it is clear that cooperate governance mechanisms have material effects on firm performance as shown in NIC bank. Moreover, findings somehow proceed to confirm that theories of corporate governance provide some support to explain the relationship between internal governance mechanisms and firm performance. Notably, this study has laid some groundwork by exploring the effect of internal attributes of corporate governance on firm performance upon which more detailed evaluation of other banks can be based. Finally, this study proposed to explore the impact of external governance mechanisms on performance. Based on the findings of this research, we therefore present the following recommendations which will be useful to stakeholders. Efforts to improve corporate governance should focus on board size, composition and independence, Board structure, Management committees, Shareholders and internal control, since it is positively related to both future operating performance and to the probability of disciplinary management turnover in poorly performing banks. Steps should also be taken for mandatory compliance with the code of corporate governance. Also, an effective legal framework should be developed that specifies the rights and obligations of a bank, its directors, shareholders, specific disclosure requirements and provide for effective enforcement of the law. Moreover there is the need to set up a unified corporate body saddled with the responsibility of collecting and collating corporate governance related data and constructing the relevant indices to facilitate corporate governance research in banks.
    URI
    http://erepository.uonbi.ac.ke:8080/xmlui/handle/123456789/59667
    Collections
    • -College of Humanities and Social Sciences (CHSS) [21630]

    UoN Digital Archive copyright © 2002-2015  Library Department
    Contact Us | Send Feedback
     

     

    Browse

    All of RepositoryCommunities & CollectionsBy Issue DateAuthorsTitlesSubjectsThis CollectionBy Issue DateAuthorsTitlesSubjects

    My Account

    LoginRegister

    Statistics

    Most Popular ItemsStatistics by CountryMost Popular Authors

    UoN Digital Archive copyright © 2002-2015  Library Department
    Contact Us | Send Feedback