This evaluation of Corporate Governance practices at the Namibian Government Institutions Pension Fund (GIPF) is a qualitative single case study. The study utilized both primary and secondary data to answer the question whether GIPF was in compliance with the criteria relating to audit the committee, governance of risk as well internal audit functions as guided by the Namibia Code for Corporate Governance (NamCode).
The study concluded that overall, the Government Institutions Pension Fund is indeed complying with the majority of the aspects assessed regarding requirements for audit The committee, governance of risks as well as internal audit functions. It appears that in some cases, the company complies with certain criteria how it is being documented may not be exactly how it is guided by the governance framework as stipulated in the NamCode.
In most cases, where the study finds the company to be partially in compliance as opposed to full compliance, it is a question of the style used by the company in documenting how they are applying their corporate governance framework. Considering that only three out of nine principles of corporate were assessed; it is important to document that the survey only provide a snapshot of GIPF compliance to the governance framework and conclusions of this study cannot be taken as a complete view in any way.
The study recommends that the company conform to the style of documenting their application of corporate governance principles to that of the governance framework provided for in NamCode. The adjustment is very important as it will help in ensuring consistency and standards especially when studies of this nature are to be conducted again. Finally, the study recommends that assessment of all nine principles of corporate governance be conducted preferably on an annual basis if GIPF is to keep in touch with the reality in as far as how they are doing regarding compliance.
Table of Contents
1. INTRODUCTION TO THE RESEARCH
1.1. Background of the Study
1.2. Problem statement
1.3. Purpose Statement
1.4. Research Question
1.5. Delimitations of the Study
1.6. Significance of study
1.7. Preface to the research report
2. LITERATURE REVIEW
2.1. History and description of Government Institutions Pension Fund
2.1.1. Legal Framework
2.1.2. Governance and Management Structure
2.1.3. GIPF modus operandi
2.2. Risk management process at the Government Institutions Pension Fund
2.3. An introduction to corporate governance
2.3.1. Describing corporate governance
2.3.2. Principles of corporate governance
2.4. The framework Theories of Corporate Governance
2.4.1. Agency theory
2.4.2. Stewardship theory
2.5. The corporate governance code for Namibia (NamCode)
2.5.1. The Corporate Law
2.6. King III Report
2.7. State-owned Enterprises Governance Act, 2006
2.8. Conclusion
3. RESEARCH METHODOLOGY
3.1. Research Strategy
3.2. Research Design
3.3. Population
3.4. Sample Design
3.5. Research Instruments
3.6. Procedure
3.7. Data analysis
3.8. Validity and Reliability
3.9. Research Ethics
3.10. Conclusion
4. PRESENTATION AND DISCUSSIONS OF FINDINGS
4.1. Presentation of the findings
4.2. Audit Committee
4.2.1 Composition of the audit committee
4.2.2. Suitable skills and experience of independent non-executive directors
4.2.3. Components of the Integrated Reporting
4.2.4. The provision of summarized information to all stakeholders
4.2.5. The process of risk identification, management, and reporting
4.2.6. Audit committee report to the board and shareholders
4.2.7. Provision of required audit information in the integrated report
4.3. Governance of Risk
4.3.1. Characteristics of governance frameworks and processes to anticipating unpredictable risks
4.3.2. Board risk responses
4.4. Internal Audit function
4.4.1. Positioning of the internal auditing function in the company
4.4.2. Internal audit planning
5. CONCLUSIONS AND RECOMMENDATIONS
5.1. Specific conclusions about the research questions
Objectives and Research Themes
The objective of this study is to examine the corporate governance practices at the Government Institutions Pension Fund (GIPF) and evaluate its compliance with the governance framework provided by the Namibia Code for Corporate Governance (NamCode).
- Corporate governance compliance in Namibian state-owned enterprises.
- Evaluation of the Audit Committee structure and effectiveness.
- Governance of risk processes and methodologies.
- Strategic positioning and planning of the internal audit function.
- Application of NamCode principles in a financial institution context.
Excerpt from the Book
4.2.1 Composition of the audit committee
As a requirement set in terms of the corporate governance framework, the board of GIPF is expected to ensure that the company has an effective and independent audit committee in place. Moreover, all members of the audit committee are expected to be independent non-executive directors and should consist of at least three members of which the chairperson of the board should not be eligible for appointment as an audit committee chairperson. Below is the finding which was collected from primary and secondary sources:
As it can be seen from the table above, the company has an audit committee in place which consists of three members who are independent non-executive trustees one of whom is the chairperson. Even though the company prepared for a review of an integrated report in the past 24 months, improvement in this regards still need to be done to ensure that it is done in line with the standards.
Summary of Chapters
CHAPTER 1: INTRODUCTION TO THE RESEARCH: This chapter introduces the study, providing the background of GIPF, the problem statement regarding corporate governance in Namibia, and defining the research scope and objectives.
CHAPTER 2: LITERATURE REVIEW: This chapter reviews the history of GIPF, establishes the theoretical framework using agency and stewardship theories, and outlines the relevant corporate governance codes including NamCode and King III.
CHAPTER 3: RESEARCH METHODOLOGY: This chapter details the qualitative research strategy and the case study design used to investigate GIPF's governance compliance, including data collection methods and research ethics.
CHAPTER 4: PRESENTATION AND DISCUSSIONS OF FINDINGS: This chapter analyzes and discusses the empirical findings regarding GIPF's compliance with audit committee requirements, risk governance, and internal audit functions.
CHAPTER 5: CONCLUSIONS AND RECOMMENDATIONS: This chapter summarizes the study's conclusions regarding GIPF's overall compliance and provides recommendations for improved documentation and annual assessment practices.
Keywords
Corporate Governance, GIPF, NamCode, Compliance, Audit Committee, Risk Management, Internal Audit, State-owned Enterprises, Stewardship Theory, Agency Theory, Financial Reporting, Accountability, Transparency, Governance Framework, Namibia.
Frequently Asked Questions
What is the primary focus of this dissertation?
The research focuses on evaluating the corporate governance practices at the Government Institutions Pension Fund (GIPF) in Namibia, specifically assessing its adherence to the Namibia Code for Corporate Governance (NamCode).
Which three principles of the NamCode are analyzed in the study?
The study specifically analyzes the principles of audit committees, the governance of risk, and the internal audit function.
What is the main research question addressed in this work?
The research question is whether GIPF is currently complying with three of the eight principles stipulated by the NamCode.
What research methodology was employed?
The study utilized a qualitative research strategy adopting a single-case study design, collecting both primary data through a self-reporting questionnaire and secondary data from annual reports and corporate profiles.
What are the main findings regarding GIPF's compliance?
The study concludes that GIPF is generally complying with the majority of the aspects assessed, although some areas show only partial compliance, often due to the style of documentation used by the company rather than a complete absence of the practice.
What are the core themes explored in the literature review?
The review covers the historical context of GIPF, corporate governance theories (Agency and Stewardship), and detailed comparisons of governance codes like King III and NamCode.
How did the researcher ensure the validity of the study?
Validity was ensured by triangulating data from self-reporting questionnaires with secondary data from GIPF's official website and annual reports, downgrading scores where secondary validation was unavailable.
What specific recommendation does the author give to GIPF regarding documentation?
The author recommends that GIPF conforms its documentation style to the governance framework provided in the NamCode to ensure consistency and easier auditing for future evaluations.
Does the study provide a complete assessment of all NamCode principles?
No, the study explicitly states it only provides a snapshot of GIPF's compliance, as it only assessed three out of the nine principles defined in the NamCode.
- Arbeit zitieren
- Joseph Ilonga (Autor:in), 2016, Evaluation of Corporate Governance practices at the Namibian Government Institutions Pension Fund (GIPF), München, GRIN Verlag, https://www.grin.com/document/342289
