Governance as process

Governance, in simple terms, refers to the actions and processes that help establish
and maintain stable practices and organizations. These actions and processes can
occur in both formal and informal groups, regardless of their size or purpose.
Governance applies to various entities such as states, corporations, non-profit
organizations, NGOs, partnerships, project teams, and any group of people engaged in
purposeful activities.

The idea of governance has its roots in neoclassical economics, a branch of

economics that focuses on modern theories and assumptions. Neoclassical
economists use deductive models to explain how rational people work together to
establish and maintain formal organizations like companies and states. They also
study informal organizations like networks and systems for managing shared
resources. One key theory that influences these explanations is transaction cost
economics, which looks at the costs involved in transactions and how they affect the
way economic activities are organized and governed.

Types of Governance
Governance can be understood in different ways depending on the context. It can refer
to a specific level of governance associated with different types of organizations, such
as public governance, global governance, non-profit governance, corporate
governance, and project governance. It can also be associated with specific fields of
governance related to certain activities or outcomes, like environmental governance,
internet governance, and information technology governance. Additionally, governance
can be seen as a particular model or theory, such as regulatory governance,
participatory governance, multilevel governance, meta-governance, and collaborative
governance.
Furthermore, governance can define normative or practical agendas. Normative
concepts like fair governance or good governance are commonly discussed in
political, public sector, voluntary, and private sector organizations. Good governance,
for example, refers to the processes through which public institutions manage public
affairs, allocate resources, and ensure the realization of human rights.

Public governance
Politics and governance are different concepts. Politics is about how a group of people
with different opinions make collective decisions that everyone has to follow. It can
involve power struggles and deciding who gets to make decisions. Governance, on the
other hand, is about the administrative and process-oriented aspects of governing. It's
more about how things are managed and organized, rather than the conflicts and
power dynamics.
In the past, people thought politics and administration were separate, but nowadays,
there is a belief that they are connected. Both politics and governance involve power
and responsibility.
Public governance can happen in three main ways. It can involve networks that include
partnerships between the public and private sectors or collaboration with community
organizations. It can also use market mechanisms, where competition and government
regulations help allocate resources. Lastly, top-down methods primarily involve
governments and state bureaucracies

Private governance
Private governance refers to situations where non-governmental entities, such as
private organizations or third-party groups, create rules and standards that have a
significant impact on the lives and opportunities of the general public. In other words,
private entities are making policies that affect society as a whole, instead of the
government making those policies.
For example, insurance companies have a private form of governance because the
rules and standards they set have a widespread impact on society. Similarly,
reinsurers, which are private companies that provide insurance to insurance
companies, can also exert a form of private governance over the companies they work
with.
It's important to note that the term "public policy" should not only be associated with
policies made by the government. Public policy can be created by both the private and
public sectors. If we want to specifically refer to policies made by the government, we
can use the term "governmental policy" to avoid any confusion about who is making
the policy.
Private governance can be observed in various sectors and can have a significant
influence on society. Private organizations may collaborate with the public sector or
community organizations to govern certain aspects. Market mechanisms, where
competition and government regulations play a role, can also be used for governance.
Additionally, top-down methods primarily involving governments and state
bureaucracies are another form of public governance

Corporate Governance
Corporate governance refers to the way in which companies are directed, controlled,
and managed. It encompasses a set of processes, customs, policies, laws, and
institutions that affect the way people direct, administer, or control a corporation. The
goal of corporate governance is to coordinate the interests of individuals, businesses,
and society, emphasizing the common interest as much as possible.

The key players in corporate governance include the shareholders, management, and
the board of directors. Other stakeholders, such as employees, suppliers, customers,
banks, regulators, and the community at large, also play a role in corporate
governance. The relationships among these stakeholders and the corporate goals are
important aspects of corporate governance.
 Corporate governance involves establishing a structure of rules, practices, and
processes to direct and manage a company. It aims to ensure accountability,
transparency, fairness, responsibility, and risk management in corporate
decision-making. Good corporate governance is essential for the proper functioning of
an organization and maintaining its reputation.
In simpler terms, corporate governance is about how companies are governed and how
decisions are made. It ensures that businesses have appropriate processes and
controls in place to balance the interests of all stakeholders. Corporate governance
sets the framework for achieving company objectives while building trust and
confidence among stakeholders.
NGO governance
NGO governance refers to the way in which non-governmental organizations (NGOs)
are directed, managed, and operated. It has a dual focus: first, achieving the
organization's social mission, which is the reason for its existence, and second,
ensuring the organization's sustainability to continue its work in the long term.
One crucial aspect of NGO governance is public trust and accountability. NGOs rely on
the support and contributions of various stakeholders, including the communities they
serve, donors, and the wider society. Therefore, it is essential for NGOs to operate in a
way that is respected and trusted by these stakeholders. This includes being
transparent in their operations, demonstrating responsible use of resources, and being
accountable for the impact they create.

By maintaining public trust and accountability, NGOs can enhance their organizational
viability. This means they can effectively achieve their social mission while also
ensuring their long-term sustainability. It involves establishing good governance
practices, such as having a clear mission and vision, adopting ethical standards,
implementing effective financial management, and engaging in strategic planning and
evaluation.
Global Governance
Global governance refers to the way countries, organizations, and people work
together to address global problems. It involves creating rules, relationships, and
processes to solve issues like AIDS, terrorism, poverty, and global warming. Unlike
traditional governance, which is usually done by a single government, global
governance involves many different groups working together because these problems
affect everyone on a global scale. The United Nations and the World Trade
Organization are examples of organizations that help with global governance. The goal
is to find ways for different countries and organizations to cooperate and solve
problems that affect the whole world.

Environmental governance
Environmental governance is a concept that focuses on managing human activities in
a way that promotes sustainability. It considers the environment and natural resources
as global public goods, meaning that they benefit everyone and should be protected.
Environmental governance involves creating laws, rules, policies, and practices to
ensure that human activities are carried out in a manner that is environmentally
responsible.
Major issues addressed by environmental governance include climate change,
biodiversity loss, pollution, deforestation, and resource conservation. It aims to find
solutions to these global problems by promoting sustainable development and
responsible decision-making.
Environmental governance overlaps with other types of governance, such as political
governance and corporate governance. It involves various actors, including
governments, businesses, civil society organizations, and individuals, working
together to address environmental challenges and make informed decisions. It also
emphasizes the importance of public participation and scientific information in the
decision-making process.

Internet governance
Internet governance refers to the rules, policies, standards, and practices that
coordinate and shape the global cyberspace. It involves managing and resolving
conflicts related to the use of the internet and developing a workable order.
The internet has brought many benefits, such as innovative services and opportunities
for sharing and cooperation. However, it has also created new challenges, including
cybercrime, abuse, surveillance, and social conflicts. Internet governance aims to
address these problems and ensure that the internet is used in a responsible and
secure manner.
One important aspect of internet governance is the recognition of the internet as a
global public good. This means that it should be accessible to everyone and managed
in a way that benefits society as a whole. It involves promoting principles such as
openness, freedom of expression, respect for human rights, privacy, and universal
access.
Internet governance is a complex and evolving process that involves various
stakeholders, including governments, private sector organizations, civil society, and
individuals. It encompasses issues such as freedom of expression, trade, privacy,
cybersecurity, and sovereignty.
The development of internet governance has led to the establishment of forums like
the Internet Governance Forum (IGF), where different stakeholders can come together
to discuss and address internet-related issues
Multi-level governance
Multi-level governance refers to a system where different levels of government, from
local to international, continuously negotiate and work together. It involves nested
governments at the local, regional, national, and international levels collaborating to
address various issues.
At the local level, governance involves the administrative units closest to local
communities, civil society, and public and private operators. These units promote
development projects on a local scale and interact directly with the community.
On the national level, governance involves the state government, which is responsible
for making decisions and implementing policies that affect the entire country.
At the international level, governance deals with global issues and coordination among
nations to address common challenges.

Multi-level governance is particularly important in decentralized systems, where

power is shared among different levels of government. It recognizes the importance of
involving local communities, civil society, and public and private operators in
decision-making processes.
Regulatory governance
Regulatory governance refers to the rules, policies, and practices that guide the
activities of public independent regulatory agencies. These agencies are designed to
promote economic, social, risk-management, integrity, or moral goals. The focus is on
the use of authority, rules, and standard-setting to intervene in the activities of specific
economic, political, or social actors.
Regulatory governance involves the development, implementation, administration,
enforcement, and review of regulations over time. It encompasses the processes and
institutions that regulate regulations and regulators. The goal is to ensure that
organizations have clear objectives and functions and act consistently in pursuit of
them.
Participation Governance
Participatory governance focuses on increasing democratic engagement by involving
citizens in the processes of governance with the state. The idea is to give citizens a
more direct role in decision-making or at least a deeper engagement with political
issues. It emphasizes the importance of government officials being responsive to
citizen engagement.
In practice, participatory governance can complement the roles of citizens as voters or
watchdogs by involving them in more direct forms of involvement. This can include
activities such as town meetings, consultations, dialogues, partnerships, participatory
budgeting, and citizens' assemblies. The aim is to engage citizens and civil society
actors in decision-making processes at the local, regional, or national level on issues
that affect their daily lives.
Participatory governance recognizes that citizens' interests and needs should be at the
center of political decision-making processes. It allows citizens to have a say and
contribute to change. It also promotes transparency, accountability, and better
decision-making by involving the public in governance processes.
Collaborative Governance
Collaborative governance involves the government, community, and private sectors
communicating and working together to achieve more than any one sector could
achieve on its own. It recognizes that collaboration between different sectors can lead
to better outcomes in decision-making and problem-solving processes.

In collaborative governance, the government, community, and private sectors engage

in collective decision-making processes that are formal, consensus-oriented, and
deliberative. The goal is to make or implement public policies, manage public
programs or assets, and address public issues more effectively.

This approach acknowledges that certain issues require more technical, analytical,
and financial power than one party possesses. By including a full range of
stakeholders, collaborative governance can mitigate conflicts of interest, legitimacy
problems, and the local knowledge problem. It allows for the sharing of
decision-making power and the utilization of specialized knowledge from different
actors.

Collaborative governance can take various forms, such as partnerships, networks, or

other collaborative arrangements. It aims to leverage the strengths and expertise of
each sector to achieve common goals and address complex challenges