Abstract

    The present paper sought to confirm factors that are relevant to board role performance in Uganda and      as a corollary empirically tested the relationship between individual dimensions of the model of board    role performance. The study was cross-sectional and correlational and the analysis was conducted  using Structural Equation Modelling (SEM) with Analysis of Moment Structures (AMOS) software on a  sample of 128 service firms in Uganda. Findings indicate that a four-dimensional model of board role  performance was determined to be the best fitting model for Ugandan service firms. From the results  we do claim, that board role performance causes the scores observed on the measured variables of  boundary spanning, effective partnership, environmental scanning and control of the organization. The  measured variables are the individual dimensions of the model of board role performance. The present  study provides one of the few studies that have analysed with confirmatory factor analysis (CFA) using  AMOS to test board role performance measurement model and provides a benchmark for Uganda’s  service firms wishing to leverage performance of their boards. However, using cross-sectional data  does not allow for testing of the process aspect of the model; still, it provides evidence that the model  can stand empirical tests of the four elements of the model. Additional research should examine the  process aspects of board role performance and also test our model in predicting firm financial  performance. The model in this paper might improve the quality of board role performance and apply to  other sectors of Uganda’s firms to avert the problem of ineffective boards as evidenced by consistent  firm failures in Uganda. By improving the quality of board role performance, boards will demonstrate  their relevance in company direction and improvement of company value to the benefit of all  stakeholders.    Key words: Board role performance, service firms, analysis of moment structures (AMOS), Uganda.

Highlights

  • The overall objective of this study is to confirm factors that are relevant to board role performance in Uganda and empirically test the relationship between individual dimensions of the model of board role performance in Ugandan service firms

  • More evidence is provided by the Root mean square error of approximation (RMSEA) = 0.041 which is further supported by the Tucker-Lewis Index (TLI) result of 0.980

  • We asked them to indicate on a five-point Likert scale the extent of their agreement with a number of questions relating to the perceived board role performance in their respective service firms

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Summary

Introduction

The overall objective of this study is to confirm factors that are relevant to board role performance in Uganda and empirically test the relationship between individual dimensions of the model of board role performance in Ugandan service firms. This is because a paucity of empirical board role performance models to use in practice has often led to the perceived attrition of credibility of board role performance among firms. Understanding the nature of effective board role performance is important in management and.

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