Corporate Governance
TITLE : CORPORATE GOVERNANCE
COMPANY NAME : AIR ASIA
GROUP MEMBER
AIRASIA BERHAD
COMPANY PROFILE
Established in 1993 and commence operations on
18 November 1996.
Established with the dream of making flying possible for everyone
Originally founded by a government-owned conglomerate, DRB-COM.
Bought by former Time Warner executive, Tony
Fernandes 's company Tune Air Sdn Bhd on 02
Dec 2001
COMPANY PROFILE –Cont‘
Malaysian Low- cost airline
Largest low fare, no frills air line and a pioneer of low cost travel in Asia
Operates scheduled domestic and international flights to over 400 destinations spanning 25 countries
AIRASIA GOVERNANCE BOARD
BACKGROUND & DUTIES
The Board of Directors consist of 8 members :
1 Non Executive Chairman
2 Executive Directors
5 Non Executive Directors – independent & neutral
Ensure the Group meets the responsibility to the stakeholders and serve to the community as well
Appointment of Board and Senior Management staff
Ensure a sustainable & adequate financial resources
Review progress and trends in relation to Flight Safety &
Airworthiness
OTHER DUTIES & RESPONSIBILITIES
Govern the corporation by establishing policies and objectives
Select, appoint, support and review the performance of the CEO
Approve annual budgets
Decide the salaries and compensation of company management. DEFINITION OF CORPORATE
GOVERNANCE
Shleifer and Vishny(1997) - the ways suppliers of finance to corporations assure themselves getting return on investment.
Gillan and Starks (1998) - system of laws, rules, and factors that control operations of a company.
Jensen (2001) - Incorporating the community in which firms operate, political environment, laws and regulations, and more generally the markets in which firms are involved.
MARKETS
LAW/REGULATIONS
Board of Directors
Management
COMPANY NAME : AIR ASIA
GROUP MEMBER
AIRASIA BERHAD
COMPANY PROFILE
Established in 1993 and commence operations on
18 November 1996.
Established with the dream of making flying possible for everyone
Originally founded by a government-owned conglomerate, DRB-COM.
Bought by former Time Warner executive, Tony
Fernandes 's company Tune Air Sdn Bhd on 02
Dec 2001
COMPANY PROFILE –Cont‘
Malaysian Low- cost airline
Largest low fare, no frills air line and a pioneer of low cost travel in Asia
Operates scheduled domestic and international flights to over 400 destinations spanning 25 countries
AIRASIA GOVERNANCE BOARD
BACKGROUND & DUTIES
The Board of Directors consist of 8 members :
1 Non Executive Chairman
2 Executive Directors
5 Non Executive Directors – independent & neutral
Ensure the Group meets the responsibility to the stakeholders and serve to the community as well
Appointment of Board and Senior Management staff
Ensure a sustainable & adequate financial resources
Review progress and trends in relation to Flight Safety &
Airworthiness
OTHER DUTIES & RESPONSIBILITIES
Govern the corporation by establishing policies and objectives
Select, appoint, support and review the performance of the CEO
Approve annual budgets
Decide the salaries and compensation of company management. DEFINITION OF CORPORATE
GOVERNANCE
Shleifer and Vishny(1997) - the ways suppliers of finance to corporations assure themselves getting return on investment.
Gillan and Starks (1998) - system of laws, rules, and factors that control operations of a company.
Jensen (2001) - Incorporating the community in which firms operate, political environment, laws and regulations, and more generally the markets in which firms are involved.
MARKETS
LAW/REGULATIONS
Board of Directors
Management