A research propasal submitted in partial fulfilment of the requirment for the award of master of arts degree in governance and ethics of Mount Kenya university

Abstract

v ABSTRACT Corporate Governance plays a pivotal role in shaping the performance trajectory of organizations. This study delves into the intricate interplay between corporate governance elements and the overall performance of the National Social Security Fund (NSSF) in Uganda, focusing on the period from 2013 to 2020. By leveraging insights from Agency Theory and Modern Portfolio Theory and the Upper Echelons Theory, the research seeks to explore how transparency, accountability, equity, and board composition impact organizational performance. The Agency Theory defined as an interdependence or relationship between the principals and the agents. This relationship was viewed as a contract between the agent and the principal. The Modern Portfolio Theory (MPT) which refers to an investment theory that allows investors to assemble an asset portfolio that maximizes expected return for a given level of risk. Upper Echelons Theory (UET) opines that managerial characteristics such as tenure, age, education, functional background, financial position, and socioeconomic roots affect the outcomes of organizations. Indeed, the landscape of corporate governance has evolved into a critical determinant of organizational success, with various components influencing the decision-making processes and strategic trajectories of entities. This research centers its investigation on the National Social Security Fund (NSSF) in Uganda, scrutinizing the dynamic relationship between corporate governance practices and the fund's performance during the eight-year span from 2013 to 2020. The study adopts a descriptive research design, aiming to provide a comprehensive understanding of the subject matter. The research scope encompasses the entire staff complement of NSSF Uganda, involving directors, managers, and staff members. The data collection process utilizes Microsoft Excel VBA for effective organization and analysis. Employing a mixed-methodology approach, the study amalgamates qualitative insights garnered from questionnaires with quantitative data analysis, ensuring a robust and objective assessment. The analysis reveals significant correlations between transparency, accountability, equity, and board composition, illuminating their collective influence on the organizational performance of NSSF Uganda. These correlations are identified as substantial predictors of the Fund's success, emphasizing the interdependence of these governance elements. The findings of this research transcend theoretical discourse and extend into the realm of practical applications, particularly for stakeholders in the pension sector. The study advocates for the strategic alignment of organizational strategies with the identified relationships between transparency, accountability, equity, and board composition. This alignment is posited to optimize organizational performance, fostering sustained success and enhancing stakeholderconfidence in the pension sector. Beyond its practical implications, this research significantly contributes to the academic discourse surrounding corporate governance and organizational performance. It adds nuanced insights to the existing body of knowledge, offering a deeper understanding of how specific governance elements impact organizational outcomes. The study recommends the development and implementation of robust corporate governance structures within organizations, emphasizing transparency, accountability, equity, and the composition of a well-structured board. These elements are identified as crucial enablers of good governance practices, poised to elevate organizational performance. In conclusion, the research affirms the integral role of transparency, accountability, equity, and board composition in effective corporate governance, positioning them as positive determinants of organizational performance. The implications of these findings extend beyond NSSF Uganda, providing valuable insights for organizations seeking to fortify their governance frameworks and drive sustained success. This comprehensive analysis lays a foundation for future research endeavors and informs strategic decision-making processes within the realm of corporate governance.