HOW STRATEGIC DECISION MAKING IN THE MANUFACTURING INDUSTRY IS INFLUENCED BY CORPORATE GOVERNANCE?

Corporate Governance constitutes the policies, laws, institutions, and customs that are directed to conduct the operational activities of an organisation. SDM is influenced by corporate governance as it enables in unbiased decisions which exhibit financial as well as non-financial benefits for all the stakeholders. The impact of corporate governance within the US Manufacturing industry has been assessed on the CEO duality, independent directors, and board size. A developed methodology focusing on quantitative analysis of the secondary data obtained from the credible online resources and annual reports of the firm exhibited that capital structure is one of the significant strategic decision makings offirm. Findings obtained from correlation revealed that amid identified independent variables of board size, CEO duality, and independent directors, only independent directors was significantly correlated with capital structure of firm as the correlation value was (-0.624). Therefore, it has been inferred that independent directors who are responsible for strategic decision making are likely to reduce the firms' debt reliance.