Mcbride Financial Services Governance Evaluation Paper
Running head: MCBRIDE FINANCIAL SERVICES GOVERNANCE EVALUATION
McBride Financial Services Governance Evaluation
McBride Financial Services Governance Evaluation
This paper will introduce possible corporate governance problems that led up to the scandals in the early 21st century. McBride, an online mortgage financial services organization, might be allured by tempting, unethical practices if they choose not to accept a previously proposed solution to their organizations’ structure. The influence of the governance rating system will be discussed and the implications this influence would have on the McBride organization. Two governance rating methodologies will be discussed and what effects they would have on …show more content…
There are a lot of regulations overseeing the governance of companies but the companies are still very flexible in how they handle and install the rules. There is a governance rating service that “ISS has rated companies with a proprietary analysis that results in a "Corporate Governance Quotient" (CGQ) for the company. The information is gathered with a yes or no answer and sometimes a “not available”, this is not reliable information. There are three main concerns in regards to potential conflicts. One is if the governance analysts are one in the same as the consultants, two is the ISS and the competitors administer on companies through proxies or ratings pressure and third is the one-size-fits-all model. (Rose, 2007). How Hugh McBride has reacted has been imprudent, leaving the assumption that once the proposed solution has been instilled the reaction will be to ignore the potential problems that could arise or find away around them. Hugh McBride does not want to be bothered with the details he wants to run McBride the way he wants and he will find someone to do just
McBride Financial Services Governance Evaluation
McBride Financial Services Governance Evaluation
This paper will introduce possible corporate governance problems that led up to the scandals in the early 21st century. McBride, an online mortgage financial services organization, might be allured by tempting, unethical practices if they choose not to accept a previously proposed solution to their organizations’ structure. The influence of the governance rating system will be discussed and the implications this influence would have on the McBride organization. Two governance rating methodologies will be discussed and what effects they would have on …show more content…
There are a lot of regulations overseeing the governance of companies but the companies are still very flexible in how they handle and install the rules. There is a governance rating service that “ISS has rated companies with a proprietary analysis that results in a "Corporate Governance Quotient" (CGQ) for the company. The information is gathered with a yes or no answer and sometimes a “not available”, this is not reliable information. There are three main concerns in regards to potential conflicts. One is if the governance analysts are one in the same as the consultants, two is the ISS and the competitors administer on companies through proxies or ratings pressure and third is the one-size-fits-all model. (Rose, 2007). How Hugh McBride has reacted has been imprudent, leaving the assumption that once the proposed solution has been instilled the reaction will be to ignore the potential problems that could arise or find away around them. Hugh McBride does not want to be bothered with the details he wants to run McBride the way he wants and he will find someone to do just