B.M.

S College of Engineering

Corporate
Governance

Presented by :
Keerthana Sai A
Kiran M
 Corporate governance is the framework for managing and
directing businesses. The governance of companies is the
responsibility of the boards of directors. The
Introduction shareholders' responsibility incorporate governance is to
select the directors and auditors, as well as to ensure that
a suitable governance framework is in place.

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 Global concern

Environmental awareness, moral behavior, corporate strategy, compensation, and

risk management are all aspects of corporate governance. Accountability,
transparency, fairness, responsibility, and risk management are the fundamental
tenets of corporate governance

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 The establishment of a corporate governance committee, corporate
governance ratings by rating
Increasing agencies, a risk management committee, and active independent
Awareness of director participation in company
meetings are all examples of corporate governance initiatives that will
CG undoubtedly aid in raising
the bar for corporate governance.
Realize that compliance is only one aspect of good governance.
Boards must strike a balance
between conformance and performance components of their work

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The two major Banking Education
sectors of
corporate
governance

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 Need and Importance of
Corporate Governance
Business governance is necessary to develop a transparent,
accountable, and disclosure-oriented corporate culture

Corporate governance is based on three pillars: security, accountability, and

transparency

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Issues and Challenges in
Corporate Governance

• Selection procedure and term of Board

• Performance Evaluation of Directors
• Missing Independence of Directors
• Removal of Independent Directors
• Liability toward Stakeholders
• Founder/Promoter’s extensive Role
• Transparency and Data Protection

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 Effective CG Rights of
frame work shareholders

Responsibility
OECD Equitable
of board
Principles treatment of
shareholders

Disclosure Role of
and stakeholders
transparency

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Business Ethics
▫ It is usually used to protect
Stakeholders of a company
▫ To increase honesty and integrity
in an organization
▫ Free form fraud
▫ Handling conflicts in a efficient
manner
▫ To compliance with legal
requirement and maintain
company standards

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Sensex Trends

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4000

3000

2000

1000

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 Changes in board Separation of board Greater gender

Recent
size and age chair and managing Diversity
director

Trends
Transformation of Oversight of AI, in Corporate social
ESG landscape predicting risk and voice
benefits

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“ The real mechanism for
corporate governance is the
active involvement of the
owners
- Louis Gerstner
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