A very recent development in the management of corporation has been a system referred to as Corporate governance. This is the way such organizations are directed and controlled within and without. The governance structure specifies the distribution of rights and responsibilities among different participants (herein known as players) in the corporation. Example of such players include the board of directors, managers, shareholders, creditors, auditors, regulators, and other stakeholders. Corporate governance system specifies the rules and procedures for making decisions in corporate affairs.
Of particular importance is the provision of a structure through which corporations set and pursue their objectives, while reflecting the context of the social, regulatory and market environment. Governance itself is a mechanism for monitoring the actions, policies and decisions of corporations. As such governance includes the alignment of interests among the stakeholders.
A number of benefits accrue from corporate governance, among them:
- It builds confidence amongst stakeholders as well as prospective stakeholders
- C.G reduces perceived risks, consequently reduces cost of capital and enables board of directors to take quick and better decisions which ultimately improves bottom line of the corporates.
- C.G practices provides long term sustenance and strengthens stakeholders’ relationship
- A citizen in the environment of C.G becomes an icon and enjoy a position of respects.
- Good C.G provides stability and growth to the enterprise.
E-GOVERNANCE vs CORPORATE GOVERNANCE
According to Wikipedia ““governance” is the concrete activity that reproduces a formal or informal organization. If the organization is a formal one, governance is primarily about what the relevant “governing body” does. If the organization is an informal one, such as a market, governance is primarily about the rules and norms that guide the relevant activity. Whether the organization is a geo-political entity (nation-state), a corporate entity (business entity), a socio-political entity (chiefdom, tribe, family, etc.), or an informal one, its governance is the way the rules and actions are produced, sustained, and regulated.”
E-governance tend to be applied in most cases to the development, deployment and enforcement of the policies, laws and regulations necessary to support the functioning of a Knowledge Society as well as of e-Government. However, e-governance very well applies to corporations and other informal organizations as long as the e-element has been brought into picture.
Benefits of e-governance
E-Governance offers many benefits and advantages for the government, corporate sector and society. Namely:
- Facilitates better delivery of government services to citizens,
- Improved interactions with business and industry,
- Empowers citizens through access to information, or more efficient government management.
- It simplifies internal operations and improves performance of government departments
- Helps all sections of society to avail government services at lower cost with maximum ease of use.
Kenvision Techniks conducts training in e-governance to equip learners / participants, majority who come from government and private sectors, with skills that can enhance their abilities in using ICT tools to administer and participate proactively in their organizations.
For more details check on this upcoming course: Establishing E-Governance Framework Training