The moderating role of perceived environmental uncertainty in the impact of corporate governance on strategy implementation: An agency theory perspective

Abstract

The study delves into how governance, environmental unpredictability and strategic management intersect, with agency theory offering a framework to comprehend this connection. It is evident how the structure of governance can influence the actions of managers and the results of organizations, amidst evolving conditions. Descriptive analytical approaches were used, and utilized an electronic questionnaire, as the main tool for gathering data. It involved 254 individuals randomly selected from Information and Communication Technology companies in Amman, Jordan including both managers and non-managers. Various statistical techniques, such as inferential methods using SPSS version 26 for Windows were employed to explore research questions and test hypotheses. The study discovered that the perceived uncertainty in the environment plays a role in influencing how corporate governance affects strategy implementation, in information technology firms. The findings suggest. Studying the environment to better grasp and respond to uncertainties. Additionally, it is advised to tailor governance practices and strategies to manage risks and obstacles resulting from shifts.