| dc.description.abstract | This study Attempts to explain the effect of corporate governance on performance of State
Owned Enterprises in Uganda, given the country’s reform policies in 1990s that were
geared at enhancement of transparency, accountability and performance of SOEs. Uganda
Electricity Transmission Company Ltd (UETCL) was chosen for the study because it is
among the State Owned Enterprises that emerged as a result of such reform policies.
Specifically, the study set out to assess the effect of corporate governance structures,
decision making, policy, corporate reporting practices and the regulatory framework on
the performance of UETCL.
To carry out the assessment study, extensive literature review was carried out which
formed the background knowledge to the study as well as providing the necessary input to
discussion of the findings from the study. Cross – sectional survey methods were
conducted by means of questionnaires, document analysis and key informant interviews.
The population of study included full-time employees of Uganda Electricity Transmission
Company Limited. A total of 188 respondents were targeted, although during the actual
data collection, 163 respondents answered the questionnaire.
Respondents who participated in this study were selected randomly using a stratified
simple random sampling. The data collected was coded and edited before it was fed into
the computer, analyzed using a computer program called STATA. In this program, data
was analyzed using frequencies, measures of central tendency, factor analysis, and
correlation and regression analysis. For qualitative data was analyzed through content
analysis and analysis of verbatim evidence received from key informants.
The study results strongly demonstrate that board structures (such as board leadership
structure, composition, and committees) are an important determinant of the
organizational performance. Thus efforts are needed to enhance the board governance
structures of the organization in the overall, if organizational performance is to be boosted.
Furthermore, the analysis of respondent’s opinions towards Policy, decision making and
corporate reporting practices and performance revealed that respondents were satisfied
that the policy, decision making and corporate reporting practices significantly impact
organizational performance.
Statistical evidence from correlation and regression analysis revealed that policy, decision
making and corporate reporting practices positively impact performance. The results
actually revealed that 100 percent improvement in policy, decision making and corporate
reporting practices result into 61 and 23 percent of improvement in quality of service and
employee satisfaction respectively. Finally, the results suggested that regulatory
framework has a significant positive effect on quality of service and employee satisfaction
of UETCL.
Therefore, the study indicates that the mandate that define the boards of State-owned
enterprise, their roles and responsibilities need to be redesigned to address the current
performance challenges. For example, formal, rigorous and transparent procedure for the
appointment of new directors to the board is something that requires argent attention. | en_US |
