THIS PRESENTATION INCLUDES:

Introduction to corporate governance

Definition
History
Structure
Objectives
Challenges facing corporate governance
Recent trends in corporate governence
conclusion
INTRODUCTION
The term corporate governance
has got much currency after
successive corporate failures. The
process of LPG in 1991 triggered the
need for much stronger governance
and more protection towards the
interest of investors . Hence the term
corporate governance came in to
lame light.
DEFINITIONS
corporate governance is the relationship
of a company with its stake holders, more
broadly its relationship to the society
-financial times 1997
corporate governance is all about
promoting corporate fairness, transparency
accountability
MEANING
Corporate governance refers to an
economic legal and institutional environment
that allows companies to diversify, grow,
restructure and exit and do everything
necessary to maximize its long term value
HISTORY
Emerged at various stages in various
countries
In India it was penned in 3
rd
century BC by
KAUTILYA.
He quoted prajasukhe, sukha margam,
prajanaka hitam, ye hitam natman priyam
hitam ragyan, prjanan tu priyam hitam
means well being of a constructed
organization depends up on well being of its
people.

HE QUOTED FOUR FOLD DUTIES OF A KING:
RAKSHA-PROTECTION-PROTECTION OF
SHARE HOLDERS WEALTH
VRIDHI-ENHANCEMENT-ENHANCEMENT OF
WEALTH BY PROPER UTILISATION OF ASSETS
PALANA-MAINTENANCE-MAINTENANCE OF
SHARE HOLDERS WEALTH
YOGAKSHEMA-SAFEGUARD-SAFE GUARDING
THE INTEREST OF STAKE HOLDERS.


HISTORY POST INDEPENDENCE:
From 1947 indian economy was controlled
by norms and restrictions
During 1980 economy was not in a good
shape
1991 reforms stimulated economy corporate
governance emerged.
Committees formed
OBJECTIVES:
1. Fairness
2. Transparency
3. Accontability
4. Responsibility
need for corporate governance:
1. Reduces risk
2. Stimulates performance
3. Improves access to capital markets
4. Enhances the marketability
5. Improves leadership
6. Demonstrates tranparency and social responsibility

STRUCTURE OF CORPORATE GOVERNANCE
SHARE
HOLDERS
MANAGEMENT
BOARD OF
DIRECTORS
COMMITIES FORMED TO REGULATE
CORPORATE GOVERNANCE IN INDIA
Cadbury committee on corporate governance,1992
Paul ruthman committee
Green bury committee(jan 1995)
Hampel committee (nov 1995)
The combined code
The jumbull committee
World bank on corporate governance
Organisation for economic co-operation and
development
Sarbanes Oxley Act-2002
CHALLENGES FACING CORPORATE
GOVERNANCE IN INDIA
INSIDE TRADING
GLOBALISATION
LIBERALISATION
FOREIGN DIRECT INVESTMENT
CORPORATE SCANDALS
REGULATORY FRAME WORK OF CORPORATE
GOVERNANCE
MCA(corporates)
Capital market and Stock exchanges(SEBI)
Money market and banking.
Insurance life and non-life(IRDA)
Telecom Regulatory Authority of India
Foreign businesses(fipb)
Imports and Exports(FEMA, OGFT)
Professions such as ICAI, ICSI, ICWAI etc

RECENT TRENDS IN CORPORATE GOVERNANCE
Social corporate responsibilities
Value rating for governance
Concepts such as economic
value added, market value added
and human resources.
CONCLUSION
Corporate governance is a necessary tool
for management performance, it also leads
to growth and excellence.
Corporate governance is a path on which
success can be experienced and excellence
is achieved