Contemporary Issues: International Management Essay

Question:

Discuss about the Report of Contemporary Issues for International Management.

Answer:

Relevance of the article

Corporate governance is the need of the hour and is highly advocated by all companies because it safeguards the interest of the stakeholders. The main reason for choosing this article can be attributed to the fact that corporate governance is vital and developments need to be done to have a better presentation of the annual report and accounts. The article clearly summarizes the developments and peers at the major developments that need to be done so that the company attains a better prospect. Corporate governance contains the prospect of accountability that pertains either to stakeholders or to a broad range of shareholders (Lubatkin, 2009).

The main aim of the article is to stress upon the number of developments that are made in the field of corporate governance. The selection of the article is done considering the fact that the developments in the area of corporate governance need to be done so that the companies are benefited out of it. The article is based on developments in corporate governance and narrative reporting developments. It provides a general understanding of the new developments that the premium listed and other companies need to follow. The main change applies to areas like adding C.3.1 that pertains to audit committee, audit committee should provide notice of any retendering plans. Moreover, guidance has been set for all audit committees that is considered as a mandatory committee (Norton Rose Fulbright, 2016). Hence, following the standards and rules the companies will benefit and there will be a strong code of corporate governance. Succession plan and role of audit committee is the vital part when it comes to corporate governance and taking a sight of the developments it can be said that the board will perform with effectiveness and precision. Hence, this article solidifies corporate governance and its principles

Personal reflection

Going by the matter of the above article it can be stated that the developments in the corporate governance will further enhance the concept. Moreover, the amendments sought in the current article will strengthen the company in terms of good corporate governance. The major stress is provided on the audit committee (Norton Rose Fulbright, 2016). The succession planning will provide a big boost to the board’s role, role of various committees, evaluation of internal and external policies, etc. In short, it can be said that corporate governance is wide in scope and hence needs development with the gradual passage of time (Goergen, 2012). The recommendation provides the guidance that the companies needs to implement and taken into consideration for better authority. The Enron and Satyam scam jolted the corporate world and therefore, needs regular monitoring so that corporate governance is properly implemented. The article corporate governance and narrative reporting developments will go a long way and provide with huge benefits (Mark, 2010). Going by the complex environment it can be said that the external and internal environment fluctuates a lot and therefore, the amendments needs to be done at regular interval. This article provides vast recommendation and hence is very impactful for the companies.

References

Goergen M 2012, International Corporate Governance, Prentice Hall.

Lubatkin, M.H 2009, ‘One more time: What is a realistic theory of corporate governance?’, Journal of Organizational Behaviour, vol. 28, pp. 59-67

Mark, J.R 2010, Political Determinants of Corporate Governance - Political Context, Corporate Impact, Oxford University Press.

Norton Rose Fulbright 2016, Corporate governance and narrative reporting developments – Summer 2016, Retrieved 31 August 2016,

How to cite this essay: