A Dissertation Submitted in Partial Fulfillment of the Requirement for the
Award of Degree of Masters of Business Administration in Corporate
Management (MBA-CM) of Mzumbe University
This research study focused on the impacts of corporate governance on Employee
performance, at Keko Pharmaceutical Industries (1997) Limited with the purpose of
examining the impact of corporate governance on employees’ performance in the
organization. The study comprised of three objectives which were to determine the
effects of internal control systems on employee performance in the organization, to
determine the impacts organizational structure on employee performance in the
organization, to determine the influence of leadership style of managers and
organizational culture on employee performance in the organization.
The study employed a case study design at Keko Pharmaceutical Industries (1997)
Limited. Where by respondents were obtained through Sloven’s formula and selected by
using purposive sampling and simple random sampling. The research employed
questionnaires, interview and document review as a data collection tools.
It was concluded that internal control system affects employee performance. Different
reasons discovered such as internal control system creates role clarity which avoid
friction among employees leading to agreements, efficiency and effectiveness. Also, it
adds value of job performance to an employee in which a controlled organization
promote job security. Organization with well and clear internal control system,
effectiveness and efficiency of the employees is assured. Organization structure has its
impact on the performance of employees in the company. This is because of influence of
organization structure on activity flows in an organization for implementation of
strategic objectives, provides supervision by arranging the official reporting relations
that rule the activity flow of the organization. Moreover, it is determined that the
influence of leadership style of managers and organizational culture on employees’
performance is certain. Leadership style influence employees’ performance by
empowering them, improving self-motivation, team work, and maintain trust among
employees, motivating employees to work hard with high and achieve targeted goals
easily with efficiency.
Management should ensure that internal control system is the best practice in company
by ensuring conducive control environment, practice of effective risk assessment in the
organization, an effective and efficient information and communication.