Definition of Corporate governance:
A framework of rules and regulations in which the Board of Directors guarantees accountability, equality and transparency in the company's relations with all its stakeholders (finance, consumers, management, employees, government and society).
The structure of corporate governance consists of (1) clear and implicit agreements between the company and stakeholders regarding the distribution of responsibilities, rights and rewards, and (2) how to deal with stakeholder interests, which are sometimes mutually exclusive. Are in conflict with According to the duties, privileges and functions, and (3) monitoring, control and information flow procedures that are suitable to act as a common control system. It is also known as corporate governance. See also Cadbury's Principles and Rules.
How to use Corporate governance in a sentence?
- The Board of Directors exercises corporate governance over all employees of the Company, including the CEO, and may terminate any of them at any time.
- Corporate governance generally refers to balancing the diverse interests of a company's stakeholders, the mechanisms, relationships and processes that the company uses and controls.
- You need to make sure your company follows all the rules of corporate governance so that they are all legitimate.
Meaning of Corporate governance & Corporate governance Definition