Governance and Performance Development in The Algerian Economic Enterprises

Abstract

This study aimed to investigate the impact of governance mechanisms on organizational development within Algerian public economic enterprises, recognizing the critical role these entities play in the national economy, both internally and externally. As strategic entreprises of considerable importance to economic dynamics and development, the research sought to analyze the current state of corporate governance and organizational development within these organizations. The study was conducted on a sample of 50 public economic entreprises located in central and western Algeria. In alignment with the study's objectives and the nature of the posed questions, the researcher focused on four functional categories as the sample: executive directors, board members, and internal auditors. To facilitate this, a questionnaire comprising 85 items was developed, organized into three sections: the first addressing personal demographics, the second concerning corporate governance, and the third focusing on organizational development. The research employed a descriptive methodology aimed at examining the phenomenon, as it exists in practice and providing a precise characterization of its attributes. The findings indicated that Algerian entreprises adhere, to a certain extent, to corporate governance principles and actively pursue development through four organizational development approaches. Furthermore, the study concluded that the application of corporate governance mechanisms exerts a strong positive influence on achieving organizational development within Algerian public economic entreprises.