Monthly Archives: February 2015

Good Governance is more than Frameworks.

Good governance must be participatory, consensus oriented, accountable, transparent, responsive, equitable and inclusive and follow the rule of law. The most difficult element of good governance is to take into account the best interests of all stakeholders. Every organization and … Continue reading

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Evaluating Board member performance

What are the nomination committees of companies doing about evaluating performance of directors and recommending the capable ones? They need to do much more than just identifying and selecting potential candidates who are interested, well intentioned and generally aware of … Continue reading

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Flow of information for better governance

A Board needs to be provided with important information in a timely manner to enable it to perform its roles. The above statement looks a ‘no brainer’ for many today. However, in the Enron situation, the directors were pleading ignorance … Continue reading

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Separation of Chairman and CEO for better governance

It is considered good practice to separate the roles of the Chairman of the Board and that of the CEO. If the same person holds both positions the Board’s function of oversight over their own Chairman who acts as CEO … Continue reading

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Too many directorships and Governance.

Some directors still think they’re doing a favour by lending their name to be on the board of a friend or a business associate’s venture. Being a director of a company takes time and effort and the time commitment of … Continue reading

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Market manipulation by a Major Shareholder

A good governance structure in a company should not allow a major shareholder to manipulate share prices for personal benefit. Market manipulation is a practice of interfering with the normal operations of financial markets in a deliberate attempt to create … Continue reading

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