We like to keep up on the latest news and articles on corporate governance. Here’s a list of our favourites from this week:
Four ways board members can avoid personal liability –With a focus on bank board members, this article taken from Bank Director focuses on what do to avoid personal liability with good corporate governance being considered as the first line of ‘defence’. “Directors need to go back to the basics. Understanding the duties of care and loyalty are the foundation of corporate governance and properly documenting actions taken at the board meetings provides evidence that directors exercised their fiduciary duties.”
UK corporate governance code 2014 focuses on long-term risk –According to the article, “preliminary research for our upcoming FTSE 350 Corporate Governance Review suggests that fewer than half of listed companies provide a meaningful discussion of the future development of the business.” What is stressed heavily throughout the piece is for companies to shape up, particularly when it comes to risk reporting, with more transparency needed when assessing risk management.
Social media has become indispensable for CEOs –The article speaks for itself, but Entrepreneur explains why social media is such a useful tool for CEOs, who sometimes aren’t sure how to use it. With a view that it boosts productivity, creates connections, and gives leaders the power to greatly increase the level of engagement and escape the ‘rigid’ hierarchies of the boardroom, it is definitely full of good advice from a subjective writer’s point of view.
Problems by the bagful for beleaguered Tesco –The Guardian definitely don’t hold back in pointing out the mistakes Tesco have made, “Tesco’s fall from grace is about much more immediate failings in management and governance.” With most of their board being fired or ‘departing’, governance professionals should remember how fundamental their decisions are and how much they affect the bigger picture.
Path to board positions paved with honesty, discipline and hard work – Governance Matters believe you shouldn’t pursue a board position for all the wrong reasons. Board members who are genuinely passionate about what the company does and display a genuine interest will ‘flourish’. This is a very valuable article to potential board members who possess these characteristics.
If you want to keep up with our favourite governance articles on a daily basis, make sure to follow @BoardPacks on Twitter. Check back next Friday for the next edition of our weekly roundup.