Corporate governance and firm integrated performance: Issues, challenges, and opportunities faced by nation in crisis

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Abstract

Literature on corporate governance (CG) and firm integrated performance (FIP) — accounting and finance performance (AFP), marketing performance (MP), logistics and supply chain performance (LSCP) — of organizations are rarely seen in addition to the empirical evidence on issues, challenges, and opportunities since of adhering to CG and FIP principles which is also hard to find. Besides, Sri Lanka declared itself bankrupt during mid part of 2022. It raised the question of whether the corporate sector really encountered unbearable risk and is nothing left as opportunities in sailing the nation without announcing its bankruptcy. Thus, the present study aims to set the light on the issues, challenges, and opportunities (a priori constructs) of the CG and FIP through structured qualitative study. The study adopted the secondary data and used the annual reports of S&P SL20 companies listed on the Colombo Stock Exchange (CSE) as the theoretical sample from the financial years 2019–2021. Researchers used content analysis and theoretical thematic analysis in identifying the key units of analysis in the annual reports and connecting them systematically to the a priori constructs. The study found that the risk level and the opportunity level were moderate the years right before the announcement of bankruptcy. Accordingly, it is concluded that Sri Lanka had a chance of avoiding the bankruptcy if the moderate level of risk and the opportunities were well managed.

Keywords: Corporate Governance, Firm Integrated Performance, Issues, Challenges, Opportunities

Authors’ individual contributions: Conceptualization — N.N.; Investigation — C.M.; Resources — N.N. and C.M.; Writing — Original Draft — C.M.; Writing — Review & Editing — N.N.; Visualization — N.N.; Supervision — N.N.; Project Administration — C.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M41, M42, M48

Received: 29.09.2022
Accepted: 20.12.2022
Published online: 21.12.2022

How to cite this paper: Nagalingam, N., & Malinga, C. (2022). Corporate governance and firm integrated performance: Issues, challenges, and opportunities faced by nation in crisis. Corporate Board: Role, Duties and Composition, 18(2), 27–34. https://doi.org/10.22495/cbv18i2art3