Preview

Corporate Governance

Best Essays
Open Document
Open Document
2140 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Corporate Governance
Table of content 1. Assignment question 2. Definition of Corporate Governance 3. Literature Review 4. Reports and Reviews 5. Challenges 6. Director’s Responsibilities 7. Conclusion 8. References

1. ASSIGNMENT QUESTIONS
Question 1
Define, and state the importance of Corporate Governance
Question 2
Provide a Literature Review
Question 3
Provide a report and review of the debate on Corporate Governance.
Question 4
Discuss the challenges that face Corporate Governance
Question 5
Discuss the Director’s Responsibilities

2. WHAT IS CORPORATE GOVERNANCE?
Corporate governance refers to the rules, procedures, and administration of the firm’s contracts with its shareholders, creditors, employees, suppliers, customers, and sovereign governments. Governance is officially vested in a board of directors who have the duty to serve the interests of the corporation rather than their own interests or those of the firm’s management. The Cadbury committee describes it as "the system by which companies are directed and controlled".
It involves a set of relationships between a company’s management, its board, its shareholders and other stakeholders; it deals with prevention or mitigation of the conflict of interests of stakeholders. Ways of preventing these conflicts of interests include the processes, customs, policies, laws, and institutions which have impact on the way a company is controlled.
An important theme of corporate governance is the nature and extent of accountability of people in the business, and mechanisms that try to reduce the principal–agent problem.
It also includes the relationships among the many stakeholders involved and the goals for which the corporation is governed. In contemporary business corporations, the main external stakeholder groups are shareholders, debtors, trade creditors, suppliers, customers and communities affected by the corporation 's activities. Internal stakeholders are the board of


References: 1. http://en.wikipedia.org/wiki/Corporate_governance 2. http://ir.assurant.com/investor/governance.cfm 3. http://kalyan-city.blogspot.com/2011/10/importance-of-corporate-governance-need.html 4. http://ivoireconsultancy.hubpages.com/hub/The-Importance-Of-Corporate-Governance 5. www.york.cuny.edu/~washton/student/.../lit_rev_eg.pdf - United StatesSimilar 6. http://www.smu.ca/administration/library/litrev.html 7. www.gcgf.org/ 8. www.oecd.org/dataoecd/7/26/1931396.pdf 9. http://www.treasury.gov.au/documents/283/PDF/full.pdf
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Better Essays

    Ethics Case 3-3: United Thermostatic Controls Case
    • 932 Words
    • 4 Pages

    Ethics Case 3-3: United Thermostatic Controls Case

    Corporate governance is a commonly used phrase to describe a company’s control mechanisms to ensure management is operating according to policies and regulations. Examples of such mechanisms are a company’s internal controls systems, internal audits, external audits, and an audit committee. Corporate governance aims to prevent accounting abuse and fraud. A strong corporate governance system is built upon a strong ethical foundation that supports producing precise and transparent financial statements..…

    • 932 Words
    • 4 Pages
    Better Essays
    Read More
  • Better Essays

    Corporate Govenance- Business Strategy
    • 841 Words
    • 4 Pages

    Corporate Govenance- Business Strategy

    “Corporate governance is a term that refers broadly to the rules, processes, or laws by which businesses are operated, regulated, and controlled. The term can refer to internal factors defined by the officers, stockholders or constitution of a corporation, as well as to external forces such as consumer groups, clients, and government regulations” (2006).…

    • 841 Words
    • 4 Pages
    Better Essays
    Read More
  • Good Essays

    Corporate Governance Qantas
    • 901 Words
    • 4 Pages

    Corporate Governance Qantas

    To ensure the benefit of everyone concerned in an organisation, corporate governance must be enforced. Corporate governance is a term that refers broadly to the rules, processes, or laws by which businesses are operated, regulated and controlled (Search Financial Security, 2008). It involves internal factors defined by the officers, stockholders or constitution of a corporation, but also involves external factors such as consumer groups, clients and government regulations. When an organisation has a well-defined and enforced corporate governance, it makes sure the organisation adheres to accepted ethical standards as well as to formal laws.…

    • 901 Words
    • 4 Pages
    Good Essays
    Read More
  • Good Essays

    Corporate Governance and Board of Directors
    • 383 Words
    • 2 Pages

    Corporate Governance and Board of Directors

    The Corporate Governance of any business is the relationship among the board of directors, management and shareholders to help in determining the path and performance of the corporation (Hunger & Wheelen, 2007, p. 18). Although laws and standards vary, the board of directors is:…

    • 383 Words
    • 2 Pages
    Good Essays
    Read More
  • Good Essays

    Understanding business ethics
    • 1690 Words
    • 7 Pages

    Understanding business ethics

    Corporate governance - corporate governance involves regulatory and market mechanisms, and the roles and relationships between a company’s management, its board, its shareholders and other stakeholders, and the goals for which the corporation is governed.…

    • 1690 Words
    • 7 Pages
    Good Essays
    Read More
  • Powerful Essays

    British American Tobacco - Corporate governance
    • 2951 Words
    • 13 Pages

    British American Tobacco - Corporate governance

    To begin with we will provide a brief background on the corporate governance. The system of rules, practices and processes by which a company is directed and controlled. Corporate governance essentially involves balancing the interests of the many stakeholders in a company - these include its shareholders, management, customers, suppliers, financiers, government and the community. Since corporate governance also provides the framework for attaining a company's objectives, it encompasses practically every sphere of management, from action plans and internal controls to performance measurement and corporate disclosure.…

    • 2951 Words
    • 13 Pages
    Powerful Essays
    Read More
  • Best Essays

    Corporate Governance Tesco
    • 2252 Words
    • 7 Pages

    Corporate Governance Tesco

    The term "corporate governance" portrays the structure of guidelines, connections, frameworks and processes internally and by which power is practiced and controlled inside enterprises. It includes the components such as stakeholders, suppliers; customers etc are taken into account. Corporate governance has many challenges associated with every organisation. To develop and maintain good corporate governance, seven unique characteristics are framed. They are described as follows:…

    • 2252 Words
    • 7 Pages
    Best Essays
    Read More
  • Powerful Essays

    The framework which presents the most appropriate explicit framework for corporate governance
    • 2029 Words
    • 6 Pages

    The framework which presents the most appropriate explicit framework for corporate governance

    The system of principles and processes which companies are governed by is known as corporate governance. Acting as management or control system, it motives to align the company with its set objectives and goals through a path that adds value to the company whilst keeping the best interests of stakeholders for the long term. (Kaplan Financial Knowledge Bank 2014) While generally carried out by most businesses, the practiced procedure or extent of corporate governance varies from company to company depending on the theoretical framework approached. Examples of frameworks typically applied to companies include the agency theory, transaction cost theory and stakeholder theory. Each framework reflects its own route as to how a company should operate hence; the difference in how corporate governance is interpreted when used to treat respective framework issues arising within entities. To conclude on a single theory which presents the most appropriate and explicit framework for corporate governance, the paper will thoughtfully evaluate and analyse each of the frameworks.…

    • 2029 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Good Essays

    foreign entry
    • 875 Words
    • 4 Pages

    foreign entry

    Corporate governance refers to the system of structures, rights, duties, and obligations by which corporations are directed and controlled. The governance structure specifies the distribution of rights and responsibilities among different participants in the corporation (such as the board of directors, managers, shareholders, creditors, auditors, regulators, and other stakeholders) and specifies the rules and procedures for making decisions in corporate affairs. It, also provides the means through which firms undertake ethical behaviors, CSR, and sustainability. ‘…

    • 875 Words
    • 4 Pages
    Good Essays
    Read More
  • Powerful Essays

    Enterprise Governance
    • 3926 Words
    • 16 Pages

    Enterprise Governance

    Webb, M. (2006) “CORPORATE GOVERNANCE - CHALLENGES, OPPORTUNITIES AND RETURNS”. THE QATAR CORPORATE GOVERNANCE CONFERENCE, DOHA, Available at: http://www1.qfcra.com/publication/Corporate-Governance_Challenges_Opportunities_and_Returns.pdf.…

    • 3926 Words
    • 16 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Corporate Governance Mechanisms and Extent of Disclosure: Evidence from Companies in Nepal
    • 7010 Words
    • 29 Pages

    Corporate Governance Mechanisms and Extent of Disclosure: Evidence from Companies in Nepal

    The corporate governance is the process by which organizations are directed, controlled and held to account. This implies that corporate governance encompasses the authority, accountability, stewardship, leadership, direction and control exercised in the process of managing organizations. Since this definition recognizes the need for checks and balances in the process of managing organizations, it can be considered to be more comprehensive (Gregory, 2000). Moreover, it is similar to the definitions provided by the Audit Commission (2009) and CIPFA/SOLACE (Chartered Institute of Public Finance and Accountancy and the Society of Local Authority Chief Executives 2007) which emphasize the core aspects of accountability and control in the governance of organizations. Corporate Governance (CG) structure specifies the distribution of rights and responsibilities among different participants in the corporation such as, the board, managers, shareholders and stakeholders, and spells out the rules and procedures for making decisions on corporate affairs. It is the allocation of ownership, capital structure, managerial incentive schemes, takeovers, board of directors, pressure from institutional investors, product market competition, labor…

    • 7010 Words
    • 29 Pages
    Powerful Essays
    Read More
  • Good Essays

    Research Proposal
    • 1716 Words
    • 7 Pages

    Research Proposal

    Corporate governance means a framework which ensures the satisfaction or trade off of every stakeholder group – shareholders, employees, community, customers, government, suppliers etc. The aforementioned stakeholders have different goals while they engage with a corporation. Corporate Governance ensures that there is congruence of goals – the organization’s goal is set considering the individual goal of every stakeholder. The goal congruence leads the corporation to tradeoff among all stakeholder groups. By a good corporate governance framework, an organization is administered and operated in a transparent, accountable and responsible way. Thus, it helps the stakeholders to protect their interest in a corporation and exercise their every right which they deserve.…

    • 1716 Words
    • 7 Pages
    Good Essays
    Read More
  • Powerful Essays

    Corporate Governance
    • 43658 Words
    • 175 Pages

    Corporate Governance

    Bøhren, Ø and B. A.Ødegaard(2004). “Governance and Performance Revisited”, 2003 Meetings of the European Finance…

    • 43658 Words
    • 175 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Class Notes on Corporate Governance
    • 1091 Words
    • 5 Pages

    Class Notes on Corporate Governance

    It addresses the issues facing the Board of Directors such as interaction between top management and the relationship with the owners and others interested in the affairs of the company.…

    • 1091 Words
    • 5 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Corporate Governance & Its Principles
    • 417 Words
    • 2 Pages

    Corporate Governance & Its Principles

    Much of the contemporary interest in corporate governance is concerned with mitigation of the conflicts of interests between stakeholders.[4] Ways of mitigating or preventing these conflicts of interests include the processes, customs, policies, laws, and institutions which have an impact on the way a company is controlled.[5][6] An important theme of corporate governance is the nature and extent of accountability of people in the business.…

    • 417 Words
    • 2 Pages
    Satisfactory Essays
    Read More

Related Topics