#AlignedValue Deconstructing #CorpGov as we know it to Reconstruct Effective Oversight
In a recent Harvard Business Review article, Guhan Subramanian asserts that the current system of corporate governance was borne of patchwork policy and regulation – created by consequences, not intentional design. As a result, our current system of governance can be ineffective, allowing unintended outcomes that subvert common sense and public policy. Guhan suggests a “back-to-the-basics” approach to create effective corporate governance based on three principles: 1. End the culture of short-termism. Financial performance is not just a quarter-over-quarter, year-over-year endeavor. Boards should have the right to manage the company for the long term. 2. Develop More Qualified Director-level Talent. Boards should install mechanisms to ensure the … Continue reading #AlignedValue Deconstructing #CorpGov as we know it to Reconstruct Effective Oversight