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
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