MCOM Theses and Dissertations (2020)

Permanent URI for this collection

http://hdl.handle.net/11071/10251

Browse

Now showing 1 - 5 of 13

The Influence of product diversification and firm characteristics on performance of companies listed at Nairobi securities exchange
(Strathmore University, 2020-08) Muchiri, Stephen Kamau
This study sought to establish the influence of product diversification and firm characteristic on performance of listed companies at Nairobi Securities Exchange which was guided by three specific objectives. The first specific objective was to determine the motives of product diversification on companies listed at the Nairobi Securities Exchange. The second specific objective was to establish the effect of product diversification on performance of companies listed in Nairobi Securities Exchange. The third specific objective was to establish the effect of product diversification and firm characteristics on the performance of companies listed in the Nairobi Securities Exchange. The study adopted a correlation research design. Census method was used to study all the targeted population which was the listed firms at the Nairobi Securities Exchange. Primary data was collected through questionnaires to address the first objective. Secondary data was collected from the audited financial reports of the listed firms to address the second and the third objectives. The financial data ranged between 2011 and 2017. The variables being studied were performance, diversification, size and age of the companies. Descriptive analysis was employed to analyze both primary and secondary data. The primary role of the model was to establish the major motives of product diversification. Pearson correlation and Multiple Linear regression models were employed to establish the effect of product diversification and firm characteristic on performance. The findings revealed that the major motives of diversification were to minimize risk and increase tax shield in order to enhance the capacity to borrow and to access more markets. The second specific objective, both the correlation and regression analysis revealed that product diversification had a negative significant influence on firm performance. The third specific objective, the regression analysis results revealed that firm age and firm size as firm characteristics had a positive significant influence on firm performance. Thus, listed firms which have advanced in age and have plenty of resources experienced a high degree of performance. The fourth specific objective, revealed that firm age and firm size has a positive significant influence on performance of diversified firms. The study was only limited to listed firms at the Nairobi Securities Exchange. Future studies could consider studying all firms whether listed or not listed in each sector. Additionally, future studies could distinguish between related and unrelated product diversification.
Influence of fraud on operational performance in non-governmental organizations within Nairobi County
(Strathmore University, 2020-06) Chesimo, Clare Cheptegen
Fraud is a global trend that has existed for long and it increases every day. This study sought to investigate the factors that influence of fraudulent transaction and effect on operational performance in NGOs within Nairobi County. Different findings have been found by various researchers on the same area of study but with conflicting findings. Some concluded that only three factors lead to fraud (Pressure, Rationalization and Opportunity) while others found that there are more other factors that influence the fraud occurrence. The aim of the study was to identify factors that influence fraudulent transactions within NGOs and to examine their impact on operational performance of NGOs. The study was anchored on the Agency theory, Fraud Triangle Theory, Fraud Diamond Theory and Fraud Pentagon Theory. It adapted a descriptive research design and a positivism philosophy with a target population of 702 for the registered NGOs operating within Nairobi County and recognized by the NGOs Board. Slovin’s formula was adapted for a sample size which was 87. The study used primary data gathered through structured questionnaires. Sampling was done using Slovin’s formula. The factor analysis results show that although several fraud variables impact the operational performance of NGOs, only regulations and rationalizations are significant. The major effect identified were loss of future donors, bankruptcy, inability to meet the project objectives and job loss among employees as a result of any fraudulent transaction discovered within NGOs. The limitation encountered was by use of questionnaire which promotes anonymity that may result in totally dishonest respondents. The findings of the research are beneficial to policy makers within the context of the NGOs and on the growing debate concerning accountability and responsibility of employees within NGO sectors and guide the management on the need to emphasize the reinforcement of internal controls implementation and monitoring. Future studies may be done on the same with focus on quantifying the impact caused by fraudulent transactions.
The influence of corporate culture on operational performance of multi-national companies in Kenya
(Strathmore University, 2020) Awino, Lavender Okore
The complexity and dynamism of the business environment has resulted in multinational companies heavily investing in building the right working environment for their employees. Multinational companies face a number of challenges, one of them being fostering cooperation among different actors in the organization while focusing on the company’s strategic goals and long-term objectives. The operational performance of multinational companies in Kenya has been declining since 2016 and some of them moved their operations to other regional hubs other than Nairobi. This study sought to establish how various cultural dimensions (market, adhocracy, bureaucratic and consensual) affect the operational performance of these multinational companies. The research study was anchored on Edgar Schein’s Model of Culture and the Contingency Theory. The study adopted a quantitative research design; specifically descriptive cross-sectional survey technique. The researcher administered structured questionnaires traditionally from a selected sample of 450 respondents. Data collected was analysed using descriptive statistics, correlation analysis and regression analysis. The results on the synergetic influence however showed that only adhocracy and bureaucratic culture had a significant positive influence on oper ational performance. Market culture and consensual culture had a positive influence that was not significant. This study contributes to theory by building on the prevailing theoretical frameworks such as the Edgar Schein model and boosting the understanding of the various dimensions of corporate culture and the possible influence that each culture trait could have on organizational outcomes. Empirically, the study guides management practices by diagnosing corporate traits as the first step to managing people effectively especially in instances where activities such as recruitment, on-boarding, performance management and innovation are being carried out by the organization. Regarding policy formulation, the study informs organizational policy development encompassing issues such as recruitment and selection, reward systems, compliance, customer engagement, performance appraisals and employee development. The findings of this study were limited to the classifications of the dimensions of corporate culture and operational performance adopted by the researcher. The study was also limited to data collected using cross-sectional sur vey, yet corporate culture may be affected by time, unprecedented occurrences and technological advancements that may warrant disruptions in the manner in which a business carries out its day to day activities. Lastly, the response rate was limited by the prevailing conditions of the COVID 19 pandemic. Future studies could address these limitations.
Perception of the effectiveness of fraud prevention and detection techniques in Kenyan county governments
(Strathmore University, 2020) Aloo, Consolata
There is need for adoption that would curb the likelihood of fraud happening. Failure of these measures to curb should be curtailed through development of fraud identifiers and preventive mechanisms. Reliance of audit report by County government may fail to achieve desired results even long after it has been effected. This may have consequential effect on loss of organization sustainability that would collapse the system deployed for service delivery. Moreover, this discovery may lead to reactive response instead of proactive approach by County government. Consequently, the current study sought to establish the perception of the effectiveness of fraud prevention and detection techniques in Kenyan county governments. Particularly, to establish the fraud prevention and detection techniques implemented in Kenyan county governments. To analyze the perceived effectiveness of fraud prevention and detection techniques implemented in Kenyan county governments. The study was anchored on the fraud triangle theory and fraud management lifecycle. The study adopted positivism research philosophy and mixed research design. Primary data was collected through questionnaires administration among 3 respondents (internal auditor, accountant and external auditor) from 47 counties. Similarly 3 respondents (An accountant, senior internal auditor and senior forensic investigator) responsible for county audits drawn from the Auditor General’s Office partook an in-depth interview. A total of 144 respondents were considered in the study. Quantitative data was analysed through use of descriptive statistics and Kruskal-Wallis. Qualitative data was analysed through content and thematic analysis. Results of the study indicates that County government in Kenya has adopted that fraud prevention techniques are often implemented in Kenyan county governments. Accordingly, with the mean of 3.9, it is incidental that the respondents have acknowledged to the parameters of fraud detection techniques that those measures are always implemented. It was found that most respondents consented that, the perceived fraud prevention techniques on fraud in county governments were very effective as shown by the grand mean of 4.2. Majority of the respondents generally agreed that indeed the perceived effectiveness of fraud detection techniques on fraud in Kenyan county governments was very effective as shown by the grand mean of 4.2. Consequently, it can be deduced that according to the respondents, the perceived fraud detection techniques on fraud in county governments were very effective. It was recommended that the county government should lay emphasis on enhancing contract reviews, discovery sampling and fraud reporting policy among other techniques for fraud prevention. There is need for analytical review and audit committee as techniques for fraud detection should be enhanced at the county level. There should be harmony with regards to the execution of finance activities by employees at the county level and those responsibilities of the Auditor General’s Office in order to mitigate material misstatement which is regularly discovered by the Auditor General’s report
Influence of fraud prevention and detection techniques on fraud and moderating effect of firm revenue in Kenyan State Corporations
(Strathmore University, 2020) Kangogo, Sharon
The main goal of this research study was to establish the influence of fraud prevention and detection techniques on fraud and moderating effect of firm revenue in Kenyan state corporations. The main purpose of the study was addressed by three specific objectives. The first specific objective of this study was to establish the influence of fraud prevention techniques on fraud in Kenyan state corporations. The second specific objective of the study was to establish the influence of fraud detection techniques on fraud in Kenyan state corporations. Finally, the third objective was to establish the moderating effect of firm revenue on the influence of fraud prevention and detection techniques on fraud in Kenyan state corporations. Questionnaires were utilized to retrieve primary information that informed the independent variables and dependent variable. Moreover, secondary data was retrieved from the Auditor General Audited Annual Reports of the State Corporations, which also informed the dependent variable. Multiple Linear and Logistic Regression analysis were employed to establish the influence of fraud prevention and detection techniques on fraud in Kenyan State Corporations and if the influence was controlled by firm size. Multiple Linear Regression analysis revealed that fraud prevention and detection techniques significantly mitigates fraud in Kenyan State Corporations. Additionally, the results ascertained that firm revenue significantly controls the influence of fraud prevention and detection techniques on the mitigation of fraud in Kenyan State Corporations. The findings of the logistic regression analysis was not used for discussion since the model summary posted insignificant results. The implication of this study is that it provides a framework of preventive and detective techniques that are effective in curbing fraud, which has not been stated in Mwongozo code of conduct. Thus, it can be incorporated in Mwongozo code of conduct or a separate policy guideline should be developed. The study chips in to the present research knowledge of the relationship between preventive and detective techniques by broadening the scope to incorporate how firm revenue plays a fundamental role is mediating the relationship. The limitation of the study was that although the respondents who were the accounting professions were deemed to have the needed information on anti-fraud controls and fraud aspects in State corporations, the study could not wholly confirm that it obtained credible information on the effectiveness of anti-fraud controls and the degree of fraud occurrences.

Browse

Recent Submissions