sector. That is why the researcher find some interest to do research on this topics and tryhard to unearth the answers that why corporate governance did not apply everywherespecially public sectors.
Corporate governance has recently become a key debate and discussion item for therestructuring of state owned enterprises and the development of a modern enterprise orcorporate system. Governance serves as an essential foundation for better qualityPerformance. If organization structure or managerial accountabilities and rewards areinconsistent with value creation, effectiveness will decrease. Governance identifies rightsand responsibilities, legitimizes actions and determines accountability. It is concernedwith the source, use and limitation of power. Corporate governance is concerned with theprocess by which corporate entities are governed, that is, with the exercise of power overthe direction of the enterprise, the supervision of executive actions, the acceptance of aduty to be accountable and the regulation of the corporation within the jurisdiction of thestates in which it operates.
What is All about Corporate Governance?
According to the Oxford English Dictionary states governance to be ‘‘the act or mannerof governing, the office or function of governing, sway, control’’. In this definition it isnot to government and such but rather to management as ‘‘handle, administer, run,supervise, look after, watch over, direct, head, oversee, superintend, preside over, be incharge of . . .’’ This all seems to make sense to the lay user of such words. (KennethTombs, 2002). According to Tricker , corporate governance is an umbrella termthat includes specific issues from interactions among senior management, shareholders,