What is Corporate Governance?
Corporate governance is the system by which companies are directed and controlled. The expression covers the structures and processes for the direction and control of companies. It concerns the relationship between management, the Board of Directors, including sub committees of the Board, the controlling shareholder, minority shareholders and other stakeholders. By defining the rights and responsibilities of each stakeholder, as well as the accountabilities of each to the other, a well defined corporate governance system will maximise efficiency, transparency and proper alignment of interests.
The case for good corporate governance
There are a number of sound business reasons for improving the corporate governance system in enterprises. Good corporate governance systems facilitates access to capital. Much of the attention to corporate governance issues in emerging markets has focused on the role of governance in improving access for emerging market companies to global equity. There remains strong completion for available limited capital.
Good corporate governance also contributes to better performance. The modern corporation has become more complex and cannot be successfully managed without the systems and processes that constitute good corporate governance. Furthermore, sound governance reduces the risk inherent in running a business – an activity that is particularly important in a modern corporate structure.
The board of Directors
Are responsible for installing an appropriate corporate governance and ethical culture within the corporate structure.
Developing Your Organisation
We at John McCarrick & Associates will assist to review, design and implement a Corporate Governance System which will allow your company to achieve its commercial mandate.
John McCarrick our principal partner has carried out consultancy assignments for the World Bank continuously developing and implementing corporate governance re structure programs for financial institutions within China.
If you would like a consultation
given by a qualified
person to whom you
can explain your
particular require-
ments please call: