Corporate governance

Presented by
Komal patwa 44
Jain subhi 10
Anirudh vishwakrma 42
Renu gupta 08
Avesh khan 13
Suresh Sharma 24
Arun Chauhan 49
Kiran 46
Aisha mansuri 17
Introduction
 Corporate governance is about ethical conduct
in business corporate governance deals with
conducting the affairs of a company such that
there is fairness to all stakeholder and that its
action benefits number of stakeholders.it is
about openness ,integrity and accountability
Definition of corporate
governance
 ‘corporate governance means that company
manages its business in a manners that is
accountable and responsible to the shareholder.
In a wider interpretation ,corporate governance
includes company’s accountability to shareholders
and other stakeholders such as employee,
suppliers ,companies and local community.’
 Features of corporate governance
1. Discipline.
2. Independence.
3. Protection of shareholders
4. Based on ethics
Principle of corporate
governance
1. Organisation for Economic Co-opeartion and
Development principles.
2. Core principles.
Fundamental pillars of corporate
governance
accountability

responsibility
Four fairness
pillars

transparency
Benefits of corporate governance

Benefits of
corporate
governance

Benefits to
Benefits to Benefits to
national
companies shareholder
economics
Objective of corporate
governance
1 Changing ownership structure.
2 SEBI.
3 Importance of social responsibility.
4 Indifference on the part of share holder.
5 Hostile takeover.
6 Increase in top management compensation.
Issues/challenges/failure of corporate
governance
 Duties of directors.
 Composition and balance of the board.
 Remuneration and reward of directors.
 Responsibility for risk management.
 Shareholder rights and responsibilities.
 Corporate social responsibility and business ethics.
Corporate governance
1 Primary;
monitor those parties within a
company who controls the resources
owned by investors.
2 supporting;
 ensure there is a suitable balance
of Power on the board of directors.
 ensure executive directors are
remuneration fairly.
 make the board of directors are
Responsible for monitoring and
managing risks
1 primary;
contribute to improved corporate
Performance and accountability in
creating long term shareholder value.
2 supporting;
• control the controllers by
increasing the amount of reporting
and disclosure to all stake holders
• Increasing level of confidence and
transperancy in company activities
for all investors and thus promote
growth