CORPORATE GOVERNANCE

Corporate Governance



Corporate Governance

Introduction

Administrators and business leaders must take into account the requirements, standards and best practices of corporate governance, which are constantly evolving. Thus, the issues of corporate governance increasingly affect other staffs. The application of a battery of new rules could distract boards from their primary function, or mentor and advise management, and harm to officers and employees in managing the daily operations of the company. Ultimately, a key aspect of providential governance can even be compromised: the willingness and ability to tackle difficult issues in an atmosphere of mutual respect, trust and openness. Members of our corporate governance group have extensive experience in all matters affecting corporate governance. They are able to advise management and boards of directors regarding the structure and procedure of boards and committees, civil liability and insurance for directors and officers, regulatory requirements, relationships and disputes with shareholders, management succession and remuneration of senior management.

Discussion and analysis

A good corporate citizenship at home and abroad, including respect for human rights, good environmental stewardship and investment in the community is essential to strengthen public confidence, recruitment and retention of talented employees and to reduce the risk perceptions of investors.

Definition of Corporate Governance

Corporate governance is the set of processes, regulations, laws and institutions affecting the way business is conducted, managed and controlled. Governance also includes the relationships between the many actors involved (the stakeholders) and the objectives that govern the company. The main players are the shareholders, the management and board of directors. Other stakeholders include employees, the suppliers, the customers, banks or other lenders, neighborhoods, the environment and the community at large.

The Importance of Corporate Citizenship

Corporate Governance deals with finding ways to attract the interest of investors and managers and that these ensure that firms truly care about profits for investors. Corporate governance concerns the relationships between internal governance mechanisms of the organization and the idea that society has regarding corporate accounting. Corporate governance encompasses everything that has to do with the structures, processes, cultures and systems that cause the success of the organization's operations. Good Corporate Governance is a new tool to reduce and even resolve problems (Rappaport, 2010, 78-90).

Approach to corporate Governance in Canada

Strong governance is also important for the success of the country. It is the foundation of a healthy and stable economic growth and social progress. The Council remains very active on issues of governance and legislation such as the need for reform at the fragmented regulatory structure of securities markets in Canada. The financial crisis of 2007 to 2009 initiated a global debate about the governance and regulation of global financial services industry, with standards and practices of Canada used as models for the world. Thus, Canada's reputation for ethical governance contributes to its competitiveness by strengthening investor confidence in Canadian markets and Canada's reputation as headquarters of ethical companies and well managed. However, there is an urgent need for concerted action by the federal and provincial governments to reduce regulatory fragmentation and to remove the ...