Swot Essay

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CORPORATE GOVERNANCE AND FINANCIAL PERFORMANCE OF PUBLIC UNIVERSITIES IN UGANDA BY Akodo Robinah Administrator E-MAIL: arobinah@yahoo.com MAKERERE UNIVERSITY BUSINESS SCHOOL ABSTRACT The study examined the relationship between Corporate Governance and Financial Performance in four Public Universities in Uganda. The study was prompted by Institutional turbulences as a result of adhoc policy and decision making processes and poor financial performance of Public Universities. The study aimed at establishing the relationship between corporate governance, Board roles, contingency, board effectiveness and financial Performance of Public Universities. A cross sectional and correlational study was conducted in four public Universities in Uganda. Statistical Package for Social Scientists (SPSS) was used and Spearman Correlation Coefficient and Multiple Regression Analysis to determine the magnitude of the relationship and prediction of financial performance respectively were applied. The findings revealed that corporate governance variables namely; board size, had a negative effect on financial performance while policy and decision making had a significant positive relationship with financial performance. Corporate Governance had a significant positive relationship with board roles, board roles had a significant positive relationship with board effectiveness, and contingency had a significant positive relationship with board roles and effectiveness. There is need for Public Universities to formulate policies and make decisions that can stand test of time. Constitute manageable Council and Senate committees, understand their roles, manage contingency and improve on board effectiveness to realize improved financial performance. Key words: Corporate Governance, Contigency, effectiveness and financial performance

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