EFFECT OF STRUCTURE OF THE BOARD ON PERFORMANCE OF PUBLIC TECHNICAL VOCATIONAL AND ENTREPRENUERSHIP TRAINING (TVET)T INSTITUTIONS IN NYANZA REGION, KENYA

Abstract

The board has the responsibility to monitor, discipline, and remove ineffective management teams, and to ensure that managers pursue the interests of shareholders. The Bonn Resolution noted that TVET is the master key for alleviation of poverty, promotion of peace, creation of employment, food security and conservation of the environment, in order to improve the quality of Human Life and promote sustainable development. However, Kenya has continued to experience challenges of unemployment, poverty, food insecurity and environmental degradation. Although the structure of the board is very important for the success of an organization, the effect of structure of the board on performance of TVET Institutions is not clear. Prior studies show mixed relationships between structure of the board and performance. The main objective of this study was to establish the effect of the structure of the board on performance of public TVET institutions in Nyanza region, Kenya. The design used was correlation research design. Population of the study included the principals, deputy principals and heads of department of TVET Institutions in Nyanza region Kenya who were 99 in number. The study employed a census survey with response at 97.5 %. Reliability was measured using cronchbach’s alpha which revealed 0.872 consistency. Regarding the size of the coefficient, the study found that as the variable changes by 1 unit, performance too changes by a magnitude of 0.125. The results however showed that the probability of structure of the board is insignificant (p values = 0.164) at 5% level in determining performance. The study concludes that performance of TVET Institutions is determined by several factors which vary in their magnitude of influence. This study recommends that stakeholders employ the principles of corporate governance in appointing boards of management since they impact on performance positively. Findings of this study may be used for decision making by policy makers to improve governance of TVET Institutions and other stakeholders for further research.