scholarly journals Roles and responsibilities of board of directors: Paving new path toward corporate governance in Thailand

2006 ◽  
Vol 3 (4) ◽  
pp. 184-191 ◽  
Author(s):  
Boonchai Hongcharu
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Future Development ◽  
Asian Financial Crisis ◽  
Essential Elements ◽  
Board Members ◽  
Monitoring Systems ◽  
Roles And Responsibilities ◽  
The Board Of Directors ◽  
Set Up

Board of directors is one of the most essential elements of a corporation. Board members function as representatives of shareholders to monitor the management’s performance. Therefore, the board of directors is directly concerned with corporate governance development. However, it is generally found that the roles and responsibilities of board of directors are often ignored. The Asian financial crisis that first started in Thailand in 1997 triggered the interest in the structure and roles of the board of directors as an attempt to improve corporate governance. As a result, several measures have been set up to strengthen the functions of the board after incidences of corporate disasters resulting from the failure of monitoring systems of the board. This includes both regulatory and voluntary measures to improve corporate governance through board of directors. Recommendations for future development of board of directors are also discussed

scholarly journals Strategic corporate governance in family business: A study on the board of directors’ roles and responsibilities

2012 ◽  
Vol 9 (2) ◽  
pp. 9-20
Author(s):  
Henrique Cordeiro Martins ◽  
Carlos Alberto Gonçalves ◽  
ose Antonio de Sousa Neto ◽  
Marcio Augusto Gonçalves ◽  
Reynaldo Maia Muniz
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Family Business ◽  
Board Members ◽  
Practical Activity ◽  
Roles And Responsibilities ◽  
The Board Of Directors ◽  
Qualitative Nature ◽  
The Impact

The goal of this article is to analyze the constitution of the directors boards, based on their attributes, and the impact of this configuration on the roles and responsibilities of the board members in Brazilian Family Businesses. A research of a qualitative nature was carried out in 10 big family companies in Brazil. The results found point to the strategic roles as being the most relevant, but as a practical activity focused on the role of control. The Board has been more active at some moments, but is inactive at others, especially, when the concentration of capital is greater in some companies than in others.

scholarly journals Implementing the board of directors’ mechanism – An empirical study of the listed firms in Libya

2018 ◽  
Vol 14 (1) ◽  
pp. 22-33 ◽  
Author(s):  
Jill Atkins ◽  
Mohamed Zakari ◽  
Ismail Elshahoubi
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Boards Of Directors ◽  
Listed Companies ◽  
Board Members ◽  
Corporate Boards ◽  
Listed Firms ◽  
Stakeholder Groups ◽  
The Board Of Directors ◽  
Executive Managers

This paper aims to investigate the extent to which board of directors’ mechanism is implemented in Libyan listed companies. This includes a consideration of composition, duties and responsibilities of the board directors. This study employed a questionnaire survey to collect required data from four key stakeholder groups: Boards of Directors (BD), Executive Managers (EM), Regulators and External Auditors (RE) and Other Stakeholders (OS). The results of this study provided evidence that Libyan listed companies generally comply with the Libyan Corporate Governance Code (LCGC) requirements regarding the board composition: the findings assert that most boards have between three and eleven members, the majority of whom are non-executives and at least two or one-third of whom (whichever is greater) are independent. Moreover, the results indicate that general assemblies in Libyan listed companies are practically committed to the LCGC’s requirements regarding the appointment of board members and their length of tenure. The findings provide evidence that boards in Libyan listed companies are carrying out their duties and responsibilities in accordance with internal regulations and laws, as well as the stipulations of the LCGC (2007). Furthermore, the stakeholder groups were broadly satisfied that board members are devoting sufficient time and effort to discharge these duties and responsibilities properly. This study helps to enrich our understanding and knowledge of the current practice of corporate boards as a significant mechanism of corporate governance (CG) by being the first to address the board of directors’ mechanism in Libyan listed companies.

scholarly journals The influence of cultural values on the board of directors: Lessons from five corporations

2012 ◽  
Vol 9 (4-2) ◽  
pp. 221-229 ◽  
Author(s):  
Elsa Satkunasingam ◽  
Aaron Yong ◽  
Sern Cherk
Keyword(s):  
Corporate Governance ◽  
Cultural Values ◽  
Board Of Directors ◽  
Senior Management ◽  
Independent Directors ◽  
Board Members ◽  
Differences Of Opinion ◽  
The Board Of Directors ◽  
Code Of Corporate Governance

The Malaysian Code of Corporate Governance 2000 emphasises the monitoring role of the Board of Directors, especially that of independent directors. It has not however taken into account the cultural values in Malaysia which do not encourage differences of opinion or criticisms and has failed to provide sufficient safeguards for directors to exercise their role effectively. As a result, it is relatively easy for dominant Chairmen or CEOs especially in government-linked companies or CEO dominated companies to control the Board or senior management with very little opposition. This paper will discuss several incidences of financial mismanagement in companies caused by dominant directors with very little opposition from the rest of the board. It will highlight that the law has to take cultural values more seriously in order to equip the Board and especially independent directors with the ability to challenge dominant Board members.

scholarly journals Corporate Governance in the Banking Industry of Kosovo

2019 ◽  
Vol 7 (3) ◽  
pp. 20-34 ◽  
Author(s):  
Arber Hoti ◽  
Arben Dermaku
Keyword(s):  
Corporate Governance ◽  
Regression Analysis ◽  
Financial Performance ◽  
Multiple Regression Analysis ◽  
Board Of Directors ◽  
Multiple Regression ◽  
Commercial Banks ◽  
Banking Sector ◽  
Board Members ◽  
The Board Of Directors

The main purpose of this research is to study the impact of corporate governance on the financial performance of the banking sector in Kosovo. To analyze this impact, the Pearson correlation coefficient, multiple regression analysis related to the board size and board independence and banking sector performance in Kosovo were applied. The key corporate governance variables that have been studied in this research are: (i) size of the board of directors, (ii) the independence of the board of directors (the ratio between non-executive directors and the total number of board members). The data for this research were collected from the annual reports and audited financial statements of commercial banks in Kosovo for the 12 year period (2006-2017) and from questionnaires addressed to board members of commercial banks in Kosovo as well as other publications from relevant local institutions such as the Central Bank of Kosovo (CBK), Statistical Office of Kosovo (SOK), Tax Administration of Kosovo (TAK), etc. The results of the multiple regression analysis regarding the influence of the board of directors on the financial performance of the banking sector indicate that: the size of the board of directors and the independence of the board of directors have a positive and significant impact on the financial performance of the banking sector in Kosovo, expressed through return on assets (ROA) and return on equity (ROE). Findings of this research are in line with the findings of other researchers in this field and confirm the assertion that the management of the above variables improves and has a positive impact on the financial performance of banks in Kosovo.

scholarly journals The Impact of Corporate Governance on the Cost of Equity for Russian Companies in the Ohlson Model

2021 ◽  
Vol 15 (1) ◽  
pp. 5-18
Author(s):  
Adil Khassanov
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Stock Prices ◽  
Analytical Data ◽  
Market Value ◽  
Board Members ◽  
Net Profit ◽  
The Board Of Directors ◽  
The Impact ◽  
Ohlson Model

The purpose of this paper is to identify key indicators of corporate governance that affect the market value of Russian companies. To this end, we examine the possibility of modifying the Ohlson model of evaluating stock price dynamics in public companies, by adding corporate governance variables that may affect market value. The study consists of the following stages: the key points of the Ohlson economic model are described, empirical works that demonstrate corporate governance as a factor in assessing the value of companies are presented, and the significance of the modified Ohlson model for the Russian market is evaluated. The novelty of our methodology is represented in the prioritisation of our “other information” parameter, which is a combination of forecast analytical data and corporate governance indicators. Through analysis of panel data, we estimate differences in the predicted net profit indicator, calculated as the average of analyst forecasts for an individual company for a financial year, and the actual net profit. Corporate governance is represented by the percentage of board members holding professional certificates and licenses, the average term of board of directors members, the share of independent members on the board of directors, the share of independent members in the audit committee, the proportion of women on the board of directors, and the size of the board of directors. Our results indicate dependence of share prices on the dynamics of the book value of equity, abnormal profits, the share of board members holding professional qualifications, the difference between the actual net profit and the forecast net profit of companies, and the level of gender diversification in the board of directors. The results of our analysis of deviations in average stock prices are comparable to the findings of existing literature examining the markets of Europe, Latin America and Africa.

scholarly journals Investigating the relationship between corporate governance and banks’ financial performance: Egypt case

2015 ◽  
Vol 13 (1) ◽  
pp. 1177-1190
Author(s):  
Amr Youssef ◽  
Mohamed Bayoumi
Keyword(s):  
Corporate Governance ◽  
Financial Performance ◽  
Board Of Directors ◽  
Stock Exchange ◽  
The United States ◽  
Board Members ◽  
Governance Reform ◽  
Egyptian Revolution ◽  
Policy Makers ◽  
The Board Of Directors

In the last few decades, policy makers around the world have focused on corporate governance reform since the Asian financial crisis and scandals in the United States such as the Enron debacle. In addition, there is no doubt that banks have significant position in the welfare of any economy. Corporate governance involves in how banks’ businesses and affairs are governed by its board of directors that raises a fundamental question of how this could affect banks’ financial performance. The focus of this research is to investigate the relationships between some of the corporate governance variables that are related to the board of directors on the financial performance of these banks working in the Egyptian market. Thirteen banks that are listed in the Egyptian Stock Exchange were selected with data collected for the period from 2011 till 2013 which is the post Egyptian revolution era. Research analyses adopted in this study are descriptive, correlation and regression analyses to test the research hypotheses. Findings of this research provide evidence that some of these variables such as board independence, foreign board members ratio, women board members ratio and board educational ratio have significant effect on the financial performance of these banks; however, board size and CEO qualities do not have any significant effect on banks’ performance. The research reaches some implications that are important to different stakeholders on practical and academic levels.

Corporate Governance Change and Management Performance: An Exploratory Study of A Korean Company - Mando Corporation

2007 ◽  
Vol 8 (2) ◽  
pp. 68-92
Author(s):  
Bryan Min ◽  
Dong-Jae Kim
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Exploratory Study ◽  
Large Family ◽  
Asian Financial Crisis ◽  
Company Performance ◽  
Management Performance ◽  
Professional Managers ◽  
The Board Of Directors ◽  
Low Performance

Triggered by the Asian financial crisis in 1997, corporate governance has become an important topic for many Korean companies. Particularly, Korea‟s large family-owned conglomerates, chaebols, went through significant changes in terms of corporate governance. There has been a widely held belief that the lack of proper corporate governance in Korean companies, notably chaebols, forces them to suffer from low performance. Changes in corporate governance, therefore, is expected to enhance company performance. This paper is an exploratory study to address this issue. Specifically, it has an indepth look at the case of Mando Corporation to show how corporate governance improved management performance in terms of increasing shareholder value. The roles of the board of directors, large shareholders, and professional managers are explained and contrasted in the context of rapidly evolving dynamics of changes in the corporate governance of the company.

New Mexico

2017 ◽  
Author(s):  
David K. Jones
Keyword(s):  
New Mexico ◽  
Board Of Directors ◽  
The State ◽  
Governance Model ◽  
The Board Of Directors ◽  
Set Up ◽  
The Right

The fight over an exchange had a very different dynamic in New Mexico because there were no loud voices on the right calling for the state to reject control. Republican Governor Susanna Martinez supported retaining control, but strongly preferred a governance model that allowed insurers to serve on the board of directors and limited the degree of oversight by the board on the types of plans that could be sold on the exchange. Governor Martinez vetoed legislation in 2011 that would have set up a different model of an exchange. Institutional quirks meant the legislature did not have the opportunity to weigh in again for two years, until 2013. By this point it was too late and the state had to rely on the federal website despite passing legislation to run its own exchange.

Corporate governance, product market competition and firm performance: evidence from Iran

Humanomics ◽  
2017 ◽  
Vol 33 (1) ◽  
pp. 38-55 ◽  
Author(s):  
Mahdi Moradi ◽  
Mohammad Ali Bagherpour Velashani ◽  
Mahdi Omidfar
Keyword(s):  
Corporate Governance ◽  
Board Of Directors ◽  
Market Competition ◽  
Product Market ◽  
Research Literature ◽  
Product Market Competition ◽  
Governance Mechanisms ◽  
Management Performance ◽  
Content Type ◽  
The Board Of Directors

Purpose The purpose of this study is to investigate the effect of product market competition and corporate governance on firm’s management performance in the Tehran Stock Exchange market. According to the research literature, the governance mechanisms used in this study consist of ownership structure, structure of the board of directors and capital structure. In addition, Herfindahl–Hirschman Index and market size were used to measure the product market competition. Design/methodology/approach This study used one selected sample among the firms in the capital market of Iran from 2004 to 2012. Findings The results of this study indicated that there is a significant relation among the major governance mechanisms (including ownership concentration, independence of the board of directors and debt ratio) and product market competition and management performance. The findings of this study also showed that product market competition is effective on the relation between corporate governance and the performance, and this is what has been ignored in most of the conducted studies. Originality/value In general, the results of this study supported the idea that product market competition is effective on implementation and efficiency of governance mechanisms.

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