Corporate Governance and Islamic Principles

As the western world has been working to improve corporate governance in the years since the Cadbury Report of 1992, the Muslim world has been addressing the issue of how to reconcile the principles developed in the various codes with Islamic principles. We look at how these principles might be incorporated into western Codes and our Golden Rules.

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Personal Accountability versus Corporate Accountability

Most of the corporate governance debate focuses on corporate accountability, yet a company is, by definition, a group of people and as such, personal accountability should have primacy. How and why is it, then, that companies are fined (which affects all employees), yet very few individuals (especially directors) are actually held personally responsible for their action (or lack thereof)?

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Innovation: Corporate Governance’s hidden but vital contribution

innovation: corporate governance's hidden but vital contribution

Good corporate governance must encourage innovation to drive productivity, which creates high profits, well-paid employment and social benefits

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The UK’s National Health Service and Governance

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In the UK the National Health Service (NHS), once described as “the closest thing the English people have now to a national religion” is in the spotlight once again as the junior doctors are about to embark on a series of strikes. How can an organisation so popular with the public have developed such a bad relationship with a key group of employees? We look here at the failings in corporate governance which have led to this situation and suggest how applying our Five Golden Rules of Good Corporate Governance could help the situation.

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Active vs Passive Management and Stewardship

Image of unrestored and restored vintage cars representing passive vs active investment management and stewardship

So-called “Passive” investment funds, which follow the markets rather than invest actively in companies, are growing in number. But are they really “passive” owners? Research suggests otherwise. We look at the data and whether, as stewards, they can and do influence corporate governance and performance in their investee companies.


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Sovereign Wealth Funds and the Santiago Principles: The ACG View

Picture of gold bullion representing the ACG article on Sovereign Wealth Funds and the Santiago Principles

In recent years the Sovereign Wealth Funds (SWFs) have started to make waves in Corporate Governance. In our regular look at governance in a range of sectors and regions, we examine SWFs and assess their governance code, the Santiago Principles, against our own Golden Rules.


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Pharma Industry Developments in Corporate Governance

Pharma Industry Developments - Applied Corporate Governance blog

The global pharma industry is evolving. Following high profile failures of mergers the pharma sector is choosing strategic alliances and focussing on specific fields to counter challenges of rising costs of new drug development and patent expiry.

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Sale of BHS: Winner Takes All in the Stakeholder Stakes

Sale of BHS (article image)

As another large retailer, British Home Stores (BHS) goes into administration, leaving a huge pension deficit, our latest ACG case study looks in-depth at the facts and the corporate governance of the organisation, in particular the owners, Philip Green and then Dominic Chappell, against our Golden Rules. 

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Women in the boardroom: board diversity and corporate governance

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Women are responsible for more than 80% of consumer buying decisions. Yet the number of women in the boardroom and indeed in business generally falls very far short. We look at the issue of board diversity and representation of women on boards in the context of our holistic approach to corporate governance.

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