What is Corporate Governance?

18/12/2023Back to all articlesCorporate governance is a framework of rules, practices, and processes by which an organisation is directed and controlled. It enables effective management, ensuring a balance among a company’s stakeholders, such as shareholders, senior management, customers and suppliers. Boards of directors oversee the company operations, while shareholders play a key role in governance by appointing directors and auditors, so there’s an appropriate governance framework in place.What are the 4 Pillars of Corporate Governance?Every company has its principles, but the most common pillars in corporate governance are accountability, transparency, fairness and responsibility. They constitute the guiding principles for ethical and effective organisational management and shape decision-making, stakeholder interactions, and governance best practices.AccountabilityCorporate accountability is essential for transparency and responsible management. The board of directors holds a cen...