Factors Affecting the Effectiveness of Good Corporate Governance Implementation in the Transport Company Limited

Abstract

           The objectives of this research were to: 1. study the level of effectiveness of the implementation of the good corporate governance policy in Transport Company Limited; 2. study factors affecting the effectiveness of good corporate governance implementation in Transport Company Limited and 3. recommend strategies for implementing the good corporate governance policy in Transport Company Limited is a more excellent successful manner. The combination of quantitative research using survey research was applied together with qualitative research as supported. The sampling was divided into two groups: 1. employees of Transport Company Limited 350 people and 2. chief executives four persons applied purposive. The research instruments were questionnaires and interview forms. Statistic methods were frequency, percentage, mean, standard deviation, T-test, and stepwise multiple regression analysis. Qualitative data analysis was an analytic induction and classification of data.

            The results of this research were: 1. the effectiveness of implementing the good corporate governance policy was not less than 70 per cent; statistically significant level.05         2. factors influencing the effectiveness of the implementation of the good corporate governance policy were the implementation of the policy, the total quality management, the principle of management excellence with the ability to explain the variation in the effectiveness of the implementing the good corporate governance 39.7 percent; statistically significant level.05 and   3. the strategy of implementing a good corporate governance policy to be effective was that the executives and employees should focus on implementing the good corporate governance policy. Adhering to the implementation of the policy, apply the total quality management and management principles towards excellence as guidelines.