IMPACT OF CORPORATE GOVERNANCE ON THE ORGANIZATION PERFORMANCE OF NON- FINANCIAL COMPANIES IN BENIN CITY, EDO STATE

ABSTRACT

This research examined the impact of corporate governance on the organizational performance of non-financial companies in Benin City, Edo State. To facilitate this investigation, four research questions and their corresponding hypotheses were formulated. A longitudinal research design was employed, and the study's population was sourced from two primary references: a register of SMEs from the Edo State Ministry of Commerce and Industry and the Benin Business Diary Annual Report (2018) concerning SMEs. The entire population was utilized as the sample for this research. The findings indicated a positive and significant correlation between return on equity (ROE) and board size, as well as between performance measures (PM) and CEO duality. Conversely, a negative and statistically insignificant relationship was observed between ROE, board composition, CEO duality, and the audit committee. Additionally, a negative and insignificant relationship was found between PM and board size, board composition, and the audit committee. In light of these results, it is recommended that efforts be made to expand the sample size to improve the robustness and comprehensiveness of the study. Furthermore, management should prioritize placing qualified individuals in appropriate roles to enhance corporate profitability and performance. It is also advisable that the roles of Chairman and CEO be held by different individuals to promote transparency and ensure proper corporate disclosure.