Browsing by Author "Sejjaaka, Samuel K."

Now showing 1 - 4 of 4
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    Compliance with IAS Disclosure Requirements by Financial Institutions in Uganda
    (Informa UK Limited, 2005-12-06) Sejjaaka, Samuel K.
    This study examines the extent of compliance by financial institutions (banks, and insurance firms) with IAS issued by the IASB and adopted in 1999 in Uganda. Despite the banking crisis of the 1990s and the drive to attract more foreign direct investment, we find that the extent of disclosure in the financial sector in terms of compliance with IAS is still poor. When we compare the disclosure scores for the two groups, we find that the scores are not significantly different. This indicates that the problem of low compliance is sector wide, and regulators need to improve on the standard of reporting in Uganda in order to improve acceptability of annual reports.
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    How Do Small Business Owners Manage Working Capital in An Emerging Economy? A Qualitative Inquiry
    (Qualitative Research in Accounting & Management., 2013) Orobia, Laura A.; Byabashaija, Warren; Munene, John C.; Sejjaaka, Samuel K.; Musinguzi, Dan
    The purpose of this study was to examine the actions owner-managers of small businesses undertake in managing working capital. Design/methodology/approach – The study adopted an exploratory research design. The point of saturation was achieved after ten owner-managers were interviewed. Data were analyzed using content analysis technique with the aid of NVivo software. Verbatim texts were used to explain the emergent themes. Findings - The findings indicate that in the absence of systems, structures and procedures, small business owner-managers intuitively plan, monitor and control their working capital. The activities undertaken include; reliance on memory and oral agreements, informal planning, assuming inventory limits, unconventional record keeping, cash flow based information management and giving credit to close associates. Research limitations - A more detailed investigation of the steps in the action sequence may advance our understanding of the process. Future studies need to test the effect of personal characteristics on working capital management process. Practical implications – Owner-managers of small businesses do not require the same degree of sophistication employed in planning, monitoring and controlling working capital.
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    Intellectual capital in Ugandan service firms as mediator of board governance and firm performance
    (African Journal of Economic and Management Studies, 2014) Korutaro Nkundabanyanga, Stephen; Ntayi, Joseph M.; Ahiauzu, Augustine; Sejjaaka, Samuel K.
    The purpose of this paper is to examine the mediating effect of intellectual capital on the relationship between board governance and perceived firm financial performance. Design/methodology/approach – This study was cross-sectional. Analyses were by SPSS and Analysis of Moment Structure on a sample of 128 firms. Findings – The mediated model provides support for the hypothesis that intellectual capital mediates the relationship between board governance and perceived firm performance. while the direct relationship between board governance and firm financial performance without the mediation effect of intellectual capital was found to be significant, this relationship becomes insignificant when mediation of intellectual capital is allowed. Thus, the entire effect does not only go through the main hypothesised predictor variable (board governance) but majorly also, through intellectual capital. Accordingly, the connection between board governance and firm financial performance is very much weakened by the presence of intellectual capital in the model – confirming that the presence of intellectual capital significantly acts as a conduit in the association between board governance and firm financial performance. Overall, 36 per cent of the variance in perceived firm performance is explained. the error variance being 64 per cent of perceived firm performance itself. Research limitations/implications – The authors surveyed directors or managers of firms and although the influence of common methods variance was minimal, the non-existence of common methods bias could not be guaranteed. Although the constructs have been defined as precisely as possible by drawing upon relevant literature and theory, the measurements used may not perfectly represent all the dimensions. For example board governance concept (used here as a behavioural concept) is very much in its infancy just as intellectual capital is. Similarly the authors have employed perceived firm financial performance as proxy for firm financial performance. The implication is that the constructs used/developed can realistically only be proxies for an underlying latent phenomenon that itself is not fully measureable. Practical implications – In considering the behavioural constructs of the board, a new integrative framework for board effectiveness is much needed as a starting point, followed by examining intellectual capital in firms whose mediating effect should formally be accounted for in the board governance – financial performance equation. Originality/value – Results add to the conceptual improvement in board governance studies and lend considerable support for the behavioural perspective in the study of boards and their firm performance improvement potential. Using qualitative factors for intellectual capital to predict the perceived firm financial performance, this study offers a unique dimension in understanding the causes of poor financial performance. It is always a sign of a maturing discipline (like corporate governance) to examine the role of a third variable in the relationship so as to make meaningful conclusions.
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    A model for effective board governance in Uganda’s services sector firms
    (Journal of Accounting in Emerging Economies, 2013) Nkundabanyanga, Stephen K.; Ahiauzu, Augustine; Sejjaaka, Samuel K.; Ntayi, Joseph M.
    The present study was carried out with the purpose of establishing a model of effective board governance in Uganda’s service sector firms. Design/methodology/approach – This study is cross-sectional. The analysis was conducted using Analysis of Moment Structures (AMOS) software on a sample of 128 service firms in Uganda. The perceived effective board governance in Uganda was measured by the perceptions of 128 respondents who are managers or directors in each of those service firms. Three confirmatory factor analysis models were tested and fitted. Findings – The three-dimensional model of effective board governance in Uganda – consisting of control and meetings’ organization, board activity and effective communication – was determined to be the best fitting model. Evidence in support of relevant theories of board governance was adduced. Research limitations/implications – Although plenty of literature on corporate governance exists, there is scarce literature on effective board governance conceptualization and this together with imprecise terminology regarding this area may have affected the authors’ conceptualization of the study. The authors’ study was limited to the service sector firms registered and operating in Kampala, Uganda and it is possible that their results are only applicable to this sector in Uganda. Nevertheless, policy makers of Uganda dealing with financial markets, academicians, company directors, company owners and even general readers interested in the area of effective board governance might find this paper handy. Practical implications – The authors believe that application of their model should improve the quality of board governance in Uganda and can also apply to other sectors of Uganda’s firms to help avert the problem of ineffective boards as evidenced by consistent firm failures in Uganda. By improving the quality of board governance, Ugandan boards will demonstrate their relevance in company direction and improvement of company value to the benefit of all stakeholders. Originality/value – The present study provides one of the few studies that have analysed with confirmatory factor analysis (CFA) using AMOS to test effective board governance measurement model and provides a benchmark for Uganda’s service firms yearning to leverage the use of their boards.