An Exploratory Analysis of Corporate Governance using Supervised Data Mining Learning

Abstract

The corporate governance is a much discussed issue among the corporate and regulators. With the time and advancement in information and technology, the methods of investigations in the field have also changed for the better and accurate outputs. The study primarily investigates the nature and effect of good corporate governance on the firm’s financial performance using data mining analysis. For the investigation the board meetings and board remunerations are taken as the components of corporate governance whereas firm performance is a depended variable which is measured by return on capital employed (ROCE), return on equity (ROE), and return on assets (ROA). The study results are suggestive of a positive and significant relationship between board meetings and the firm performance whereas the board remuneration has no impact over the firm performance.

Multivariate Analysis for Overcoming Complexities of Corporate Governance and Managerial Dilemma Using Data Mining Techniques

“…Similarly, Bijalwan et al [25] in their exploratory analysis of corporate governance using supervised data mining tools found that there is a significantly positive relationship between board meetings and firm performance. ey found that the firms with a greater number of board meetings performed better as compared to the firms with a lower number of board meetings.…”

Corporate Sustainability Practices in India: A Review and Analysis

“…2012) observed the implementation of governance codes has been challenging among Indian corporates, with a gap between de-jure and de-facto practices. The legislative and regulatory framework is sound, but there is a need for stronger implementation, particularly in the private sector (Bijalwan, 2012). Despite the push towards an Anglo-American model, there is a diversity of governance mechanisms in practice.…”