Thesis:

Inclusivity policies on cooporate governance in dairy saccos, Nandi county Kenya

Establishing a thorough corporate governance structure is vital for defending shareholders, sustaining investor trust in transitioning countries, and attracting foreign direct investment, so contributing to sustained economic growth. Effective corporate governance ensures a transparent and equitable business environment, holding firms accountable for their activities. Research demonstrates that diverse boards, embracing women and youth, provide varied viewpoints in addressing corporate governance concerns. Studies also imply that board diversity, spanning gender and age, may affect a firm's strategic decisions. Although extensive research has been conducted on the characteristics and benefits of involving women and youth in corporate governance, the evidence remains inconclusive. In response to this, the study investigated the influence of women and youth participation on corporate governance in dairy Savings and Credit Cooperatives (Saccos) within Nandi County. The research specifically aimed to examine the influence of board composition regarding women and youth, the preparedness of female and young board members for corporate governance, the authority and duties of women and youth on the board, and the significance of these factors for corporate governance outcomes. The study was guided by Stakeholder Theory and Stewardship Theory. The study utilized a descriptive survey research design. The research targeted all 10 dairy Saccos in the county, conducting a census of 113 board members and management as the study population. Data collection was carried out through questionnaires that were pretested for content validity and reliability, and the data were analyzed using both descriptive and inferential statistical techniques. The findings revealed that the presence of women and youth on the boards did not significantly influence decision-making in corporate governance (β = -0.055, p > 0.522). However, the level of preparedness of women and youth board members had a significant influence on corporate governance outcomes in dairy Saccos in Nandi County (β = 0.161, p < 0.05). Additionally, there was a significant relationship between the board powers held by women and youth and corporate governance outcomes in these Saccos (β = 0.407, p < 0.05). Furthermore, the study found a significant link between the responsibilities assigned to women and youth on the board and corporate governance outcomes in Nandi's dairy Saccos (β = 0.279, p < 0.05). The study recommends that Sacco policies should encourage greater youth involvement in management roles, including board membership, as youth inclusion on Sacco boards can lead to improved corporate governance. Additionally, female Sacco board members should be encouraged to take on leadership roles in areas that are often overlooked within the Sacco. The oversight role of youth board members should also be ensured through appropriate Sacco policies. Moreover, it is essential for Sacco board members to adhere to conflict of interest regulations as outlined in the organization's by-laws.