In the last century, we have seen an intense development of business management in the world, which has had a direct impact on the performance of companies . Some authors such as Taylor and great entrepreneurs such as JP Morgan and Ford , for example, have improved the practices and concepts of business management and, as a result, the best business schools in the world have been established, such as Columbia, Harvard, Stanford , etc.
Thus, we arrived at the end of the century, around 1980, with business management at the state of the art and extremely developed.
As an evolution of this, what happened was that due to south korea whatsapp data movements in society, ethical principles were included in the management of companies, focusing on the training of business leaders , which transferred the business management forum to Corporate Governance.
What is Corporate Governance ?
Corporate Governance is understood as a system by which companies and other organizations are managed, monitored and encouraged, involving relationships between partners, the Board of Directors, management, supervisory and control bodies and other stakeholders.
The Board of Directors is the most important core of Corporate Governance . Its functions include defending the interests of the shareholders who elected it, and it is responsible for outlining the general direction of the business and defining the corporate strategy.
Since the Board should not be involved in operational execution, it has the power to choose directors with the main mission of executing strategic planning . In addition, it is also its role to monitor the performance of the executive board to ensure that the goals set out in the planning are met.
Good Corporate Governance substantially improves the company's operating capacity and performance , contributing to sustainable economic growth, with easier access to external sources of capital.
Increase your company's competitiveness
It is always good to remember that one of the important objectives of Corporate Governance is to ensure that the organization, through the practice of ethical principles such as transparency and good accountability, is more qualified in the market to obtain resources at lower costs than a company that does not have the same level of governance.