CORPORATE

GOVERNANCE
INITIATIVES ABROAD

JIKKU JACOB

The Cadbury Code

Corporate scams in UK
motivated & led to the
appointment of Sir Adrian
Cadbury Committee.
Its report titled, The Code of
Best Practice
It would contain the vision and
mission and core values.
Focused on the financial

 Recommendation was to have a separation

between the chairman of the board and
CEO.
Recommendations on the role of outside
directors, institutional shareholders, auditors
and the management and believed that
shareholders would require governance
board to adopt them .
Recommendation was that the NEDs
should be selected through a process and
approved by the entire board
Company should establish audit committee

OECD Principles of corporate

Governance
There are about 30 countries which
comprise the organization for Economic
Cooperation and development [OECD]
Aim to rebuild and sustain public trust
in stock market and companies.
These international standards are
available for other countries OECD
principles of corporate governance as
they can attract investors confidence.

Global Compact Programme of the

United Nations for Private Business.

In 2000 UN proposed Global Compact

Programme which calls on companies
in the private sector to embrace ten
principles in the area of human
rights, labour standards and
environment

Global Compact Programme of the

United Nations for Private Business.
Supporting and respecting the protection of
internationally proclaimed human rights.
Supporting the elimination of forced and
compulsory labour.
Supporting the abolition of child labour.
Eliminating discrimination in employment and
occupation.
Adopting a precautionary approach to
environmental issues and challenges.

Respecting the protection of human

rights.
Upholding the freedom of
association.
Promoting effective recognition of
the right to collective bargaining.
Promoting greater environmental
responsibility.
Encouraging the development and
diffusion of environment-friendly
technologies.