Abstract:
Corporate governance received much attention during the last two decades owing to
certain economic reforms in countries and accidents of economic history such as
regional market crisis and large corporate debacles. The main objective of the study is
to find out the significant difference between corporate governance practices on Firm
performance. And the secondary objective is to suggest the listed manufacturing firms
in Sri Lanka to get the efficiency in the firm performance through the best corporate
governance practices. Twenty seven listed manufacturing firms listed in Colombo
Stock Exchange were selected as sample for the periods 2007, 2008, 2009, 20J0 and
2011. Various statistical methods have been utilized to find out the significant
difference between corporate governance practices on firm performance. Finding
revealed that, there is no significant relationship between the firm performance among
corporate governance practices as board leadership structure, board committees, and
proportion of non executive directors. Researcher has suggested that, corporate
governance practices should be reviewed in the systematic way to frame the best
practices in the current Sri Lankan context.
