THE ROLE OF CORPORATE GOVERNANCE IN ENHANCING ORGANIZATIONAL PERFORMANCE

Name of Author : Dr. M. N. Mohamed Abusali Sheik, A Seyadu Benazir Rasina

Abstract: Corporate governance has emerged as an essential framework for ensuring transparency, accountability, and effective management in organizations. Strong corporate governance practices help organizations improve decision-making processes, build stakeholder confidence, and enhance overall organizational performance. The present study examines the role of corporate governance in enhancing organizational performance by analysing key governance dimensions such as transparency, accountability, board effectiveness, and ethical practices. Primary data were collected from 137 respondents using a structured questionnaire. Statistical tools including Kaiser–Meyer–Olkin (KMO) test, Bartlett’s Test of Sphericity, and Factor Analysis were used to identify the major governance factors influencing organizational performance. The findings reveal that effective board structure, transparency in operations, ethical management practices, and accountability significantly contribute to improving organizational performance. The study highlights the importance of strengthening governance mechanisms to ensure sustainable growth and long-term organizational success.

Keywords : Corporate Governance, Organizational Performance, Transparency, Accountability, Board Effectiveness, Factor Analysis

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