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IJBESM | International Journal of Business, Economics and Strategic Management
Published: August 27, 2026 | Vol. 1 Issue 3 | ISSN: 3139-5929
Research Article

CORPORATE GOVERNANCE AND FIRM’S PERFORMANCE OF SELECTED MANUFACTURING COMPANIES IN KOGI STATE, NIGERIA

SULEIMAN, Olusegun Ph.D.1✉,
ENIMOLA, Dare Joseph Ph.D.2
1 Department of Business Administration, Faculty of Management Sciences, Prince AbubakarAudu University, Anyigba.
2 Department of Business Administration, Faculty of Management Sciences Kogi State University, Kabba
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Abstract

Abstract This study examines the effect of corporate governance mechanisms on the performance of manufacturing firms in Kogi State, Nigeria, with specific focus on board composition, board independence, and audit committee independence. Effective corporate governance has been widely acknowledged as a critical determinant of organizational performance, particularly in emerging economies where regulatory compliance and accountability are often challenged. The study specifically investigates how a balanced and professionally diverse board composition influences decision-making and strategic oversight, the extent to which independent directors contribute to unbiased monitoring of management activities, and how audit committee independence ensures transparency and enhances financial integrity. The research is limited to the operations of Dangote Cement Plc, Obajana Plant, covering a five-year period (2019–2024), and utilizes primary data collected through structured questionnaires distributed to key managerial staff across selected manufacturing firms in the state. A survey research design was adopted, and Taro Yamane’s formula was used to derive a sample size of 41 firms from a population of 45 registered manufacturing companies. The data were analyzed using descriptive statistics, Pearson correlation, and multiple regression analysis, facilitated by SPSS version 26.0. Findings reveal that board composition, board independence, and particularly audit committee independence, all have positive and statistically significant effects on firm performance. These results underscore the importance of strong governance structures in enhancing firm efficiency, strategic alignment, financial accountability, and overall organizational success. The study concludes that adopting sound corporate governance practices is essential for sustainable performance in the manufacturing sector. It recommends that manufacturing firms should enhance board structure, promote independent oversight, and strengthen audit functions as strategic tools for boosting performance. The study contributes to corporate governance literature by providing empirical insights from a sub-national perspective in Nigeria and sets the stage for future research on broader governance frameworks and firm level outcomes.
Keywords: Smart Corporate Governance, Firm Performance, Board Composition, Board Independence, Audit Committee Independence.

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🔓 Open Access | Published by AGSIR Publisher. This article is licensed under a Creative Commons Attribution 4.0 International License (CC BY 4.0).
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