CORPORATE GOVERNACE AND FINANCIAL PERFORMANCE OF MANUFACTURING COMPANIES (A STUDY OF EASTERN METAL ISSELE-AZAGBA)

This study assessed corporate governance and financial performance of manufacturing companies. Other specifics objectives of the study are to ascertain the effect of corporate governance on organizational profitability and to examine if delegate control to directors and managers enhance smooth and efficient flow of operations. The quantitative research design was adopted in this study using survey research by selecting a sample from the total population. The population of this study was 200 staffs of Unilever Nigeria Plc, De-United food industry, Rite food, Dangote Cement Factory and Nestle Nigeria Plc, Ogun State. Yamane equation method was used to gather information from the sample size of one hundred and twenty-one (140) respondents selected from the total population of the study. The study made used of primary source to generated data and the correlation co-efficient was used to analyze the stated hypothesis. Findings of the study show that corporate governance has impact on organizational profitability. The study also showed that delegate control to directors and managers enhance smooth and efficient flow of operations. The study therefore recommends that compliance with legal and regulatory requirements since it Was found to be performance enhancing. This would ultimately translate to significant positive effect on performance via substantial increases in return on equity. Embark on cost-saving composition of board size and structure as well as proactive strategies in order to reverse the negative effects on operational performance. Small and medium enterprises should develop business record habit in their economic transaction, as it will enhance performance measurement over time.