Corporate Governance

Definition of Corporate Governance as it relates to Business, Business Planning, Budgeting

Corporate Governance refers to the system of rules, practices, and processes by which a corporation is directed and controlled. It involves balancing the interests of diverse stakeholders, including shareholders, management, customers, suppliers, financiers, government, and the community. Corporate Governance encompasses the establishment of strategic goals, the measurement of performance against those goals, and the management of risks. It also includes the development of a code of conduct and ethical standards, as well as mechanisms for ensuring transparency, accountability, and compliance with laws and regulations. Ultimately, effective Corporate Governance promotes long-term sustainability, enhances stakeholder trust, and contributes to the creation of value for all interested parties.

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