Please use this identifier to cite or link to this item: http://hdl.handle.net/1959.3/226328

Title

An empirical analysis of chronic corporate governance failures: evidence from Australia, India and UK

Author(s)

Thyil, Vijaya;  Young, Suzanne

Abstract

Corporate governance systems aim to promote the fundamental values of a market economy in a democratic society by assuring society that large corporations are well-run institutions, safeguarded against corruption and mismanagement, and that the investing public can confidently commit their funds (CIPE, 2002). However, the unrelenting stream of governance failures is testimony that corporate governance systems have failed to meet the intended aims. This paper aims to identify and explain the governance failures by exploring five major aspects of governance, namely, board practices, remuneration issues, risk management lapses, concerns with shareholder rights and disclosure issues, from data gathered from in-depth key informant interviews of a range of key actors in governance, conducted during 2007-2009 in Australia, UK and India. Key sub themes in relation to governance trigger points were uncovered. For practitioners, focusing on these aspects would bring about improvements in governance. For policy makers, the data on interlinkages shows that any changes to codes or regulations should take into account the combined effect of these key governance variables. For theory, the sub themes, in relating to key components of Agency theory, demonstrates through a process approach, how and in what ways the key actors, namely the board, managers and shareholders can interact to improve governance.

Publication type

Conference paper

Research centre

Swinburne University of Technology

Source

Proceedings of 'Social innovation for competitiveness, organizational performance and human excellence', the 12th European Academy of Management (EURAM) Conference, Rotterdam, The Netherlands, 06-08 June 2012

Publication year

2012

Keyword(s)

Board practices;  Corporate governance;  International corporate governance;  Shareholder rights

Publisher

Rotterdam School of Management, Erasmus University

Publisher URL

http://euram2012.mindworks.ee/public/papers/paper/1503

Copyright

Copyright © 2012.

Peer reviewed