Chapter 3 corporate governance C orporate governance is the invisible element that steers the ship of any successful organization through the turbulent seas of business. It is the set of rules,
practices, and structures that de ! ne how a company operates, making it a critical component in the corporate ecosystem. E $ ective corporate governance ensures a delicate balance of power, transparency, and accountability, which ultimately de ! nes the destination of the organization. the pillars of corporate governance At the heart of corporate governance lie three essential pillars: accountability, equity and inclusion, and transparency. accountability
equity and inclusion Corporate governance ensures equity and an inclusive environment by safeguarding the rights and interests of all stakeholders, providing each with a fair opportunity to have a 'seat at the table.' It prevents any single group or individual from dominating the decision-making process, maintaining a level playing ! eld where diverse voices are heard and considered.
The cornerstone of corporate governance ensures that those entrusted with power and resources are answerable for their actions. This accountability extends to all leader levels of the organization. They are responsible for making decisions that align with the company's vision and strategy while considering the interests of various stakeholders, including shareholders, employees, customers, and the broader community.
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