Toshiba pulls a rabbit out of the hat

Toshiba and the Japanese Stewardship Code, image of Toshiba logo on office building with blog title

We have featured Toshiba several times this year in our new ACG Report, and the twists and turns have been fascinating. The likely end result is both surprising and at the same time unsurprising, though the long term implications for governance could be ground-breaking. This post is taken from the latest issue of the report which is available free to subscribers.

Read More...

Kobe and the Japan Codes of Corporate Governance and Stewardship

Kobe Steel is one of the pillars of the Japanese industrial establishment. In a few short weeks in October, its share price suffered a disastrous drop of some 40% following revelations by the company that over some years it had routinely produced fake quality control data. We look at its code of conduct, apply Japan’s Corporate Governance Code and our Golden Rules and suggest measures that should now be taken to stop this happening again.

Read More...

What is ESG? Can it really unlock Brand Value?

ESG is now mainstream and holistic Corporate Governance now drives brand value. But exactly what is ESG? We look at its origins in Responsible Investing and the principles thereof, various interpretations of ESG and its evolution towards complete acceptance by the investment community of the effect of holistic corporate governance on sustainability (in the widest sense) and hence brand value.

Read More...

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.

Read More...

Stakeholder engagement and directors’ duties under company law

image of businessman with tablet showing survey results, representing stakeholder engagementWe have written often, and at length, about the imperative of taking a holistic approach to Corporate Governance, and that balancing the interests of primary stakeholders in formulating the Goal of the organisation is key to this. In UK company law, we can see that this is now effectively explicit in the statutory duties of directors.

Read More...

Impact Investing

We discussed active versus passive investment in an article last year, but what about impact investment? It comes after socially responsible investment (SRI) and environmentally sound, socially beneficial and excellent governance investment (ESG). Is it more than just another marketing tool for investment managers, and how does it rank in corporate governance compared with traditional investment?

Read More...

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)?

Read More...

Australia update: Charities in the Spotlight, the Big 4 Banks and MPs’ “Entitlements”

Australian charity governance in the spotlight - ACG Australia updateOur latest review of corporate governance developments in Australia places charities in the spotlight, following another scandal involving underpayment of so-called “chuggers” (street collectors or “charity muggers”), checks progress in the banking sector since the parliamentary review and comments on the expenses furore that has led to the resignation of the health minister. By Malcolm Sealy, Australia Correspondent.

Read More...

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

Read More...

Risk Management and Corporate Governance: Topical or Typical?

risk-management

Risk Management is the latest topic to get our Golden Rules treatment, this time with a convenient Infographic. We look at the different types of risk and how our cardinal principles of good corporate governance can guide identification and management of these risks.

Read More...