Ethical code of conduct and the financial performance of government institutions

Abstract

The main purpose of the study was to assess the effect of ethics on the financial performance of government institutions. The study was guided by the following objectives: to assess the structure of Code of Conduct and Ethics for government institutions, to examine the financial performance in the government institutions and to examine the relationship between the Code of Conduct and ethics and the financial performance of government institutions. The study was carried on using a detailed literature review thereby analyzing what various authors have written about the topic. This was done by looking into different books. Data was collected using various tools like a self administered questionnaire, and interviews. A population of 46 respondents which included, senior Finance and Accounting staff, Department of Finance and Accounting Staff and Staff of Secretary to the treasury was tested andit was observed from the study that the leading component structure of code of conduct and ethics for government institutions such as the code of conduct communicated, the code of conduct practiced by the staff and every staff at the MFPED is committed in carrying out their duties and the managers encourage the code of Conduct. It can also be concluded that Ministry of Finance, Planning and Economic Development has effective and efficient production measures as generating cost savings on most of its procurements; it aims at minimizing the cost of resources for all the available Programs/ proper and economical utilization of resources available which has led to a higher production rate hence growth and development of the ministry. Finally, a number of recommendations were suggested such as the board should make a full follow up to ensure maximum utilization of resources so that they are put to proper and full use to yield high productivity through an organized code of conduct and that the public entity organizes workshops and conferences concerning proper ethics and code of conduct.