C- Fighter Anti-Corruption Guide - Word for the Day 08-09-09

CORPORATE GOVERNANCE

Definition

Procedures and processes for how private sector organisations are directed, managed and controlled, including the relationships between, responsibilities of and legitimate expectations among different stakeholders (Board of Directors, management, shareholders and other interested groups).

Example in practice

The Board of Directors of General Electric (GE) oversees how management serves the
interests of shareowners and other stakeholders on a variety of issues of corporate
governance. In the past, the Board has received briefings on the company’s controllership, compliance and litigation trends and environmental risk management.

Relevant links

—— European Corporate Governance Institute.
www.ecgi.org/

—— Global Compact: Business against Corruption.
www.unglobalcompact.org/docs/issues_doc/7.7/BACbookFINAL.pdf

—— Global Corporate Governance Forum.
www.gcgf.org/

—— International Corporate Governance Network.
www.icgn.org/

—— OECD Principles of Corporate Governance.
www.oecd.org/DATAOECD/32/18/31557724.pdf