Getting back to basic principles in corporate governance
Everyone from shareholders to employees to the public should be able to understand what good corporate governance is. It helps businesses restore confidence.
Our latest thought leadership paper “What are the overarching principles in corporate governance?” encourages the board to shift their focus back to a set of simple but fundamental principles.
Setting out overarching principles of corporate governance is important, as these principles should help the board to focus on the long-term view of the company and how it may fulfil its business purposes and other responsibilities. While detailed principles and provisions in codes may help the process of applying such principles, a compliance-only approach is insufficient in promoting good governance.
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