Corporate Governance Framework
Expert-defined terms from the Certified Professional in Corporate Governance for Executive Assistants (United Kingdom) course at London School of Business and Administration. Free to read, free to share, paired with a professional course.
Accountability refers to the obligation of an organization or individual to acco… #
In the context of Corporate Governance Framework, accountability is a critical concept that ensures that executives and directors are responsible for their actions and decisions. This term is related to transparency and stewardship, as it requires organizations to be open and honest about their operations and to manage resources effectively.
Audit Committee is a committee of the board of directors responsible for over… #
The Audit Committee plays a critical role in ensuring the integrity of financial reporting and the effectiveness of internal controls.
Board of Directors refers to a group of individuals elected or appointed to g… #
The Board of Directors is responsible for making key decisions, such as appointing executives, approving budgets, and evaluating performance.
Business Ethics refers to the principles and values that guide an… #
Business ethics involves considering the impact of actions on stakeholders, including employees, customers, shareholders, and the environment. Organizations with strong business ethics are more likely to build trust, enhance reputation, and achieve long-term success.
Charter refers to a document that outlines the purpose , objectives … #
A charter provides a framework for governance and ensures that committees and boards operate within their mandate and authority.
Code of Conduct is a set of rules and guidelines that outline expe… #
A Code of Conduct helps to establish a culture of integrity and accountability within an organization.
Committee Charter refers to a document that outlines the purpose , obje… #
A Committee Charter provides a framework for governance and ensures that committees operate within their mandate and authority.
Compliance refers to the process of adhering to laws, regulations, and <b… #
Compliance involves identifying risks, assessing controls, and implementing measures to mitigate risks and ensure adherence to regulatory requirements.
Corporate Governance refers to the framework of rules , practice… #
Corporate Governance involves balancing the interests of stakeholders, including shareholders, employees, customers, and the community.
Corporate Social Responsibility (CSR) refers to the obligation of an orga… #
CSR involves considering the impact of actions on stakeholders and implementing initiatives that promote sustainability and social responsibility.
Director refers to a member of the board of directors responsible for governi… #
Directors have a fiduciary duty to act in the best interests of the organization and its stakeholders.
Disclosure refers to the process of providing stakeholders with accura… #
Disclosure is essential for transparency and accountability, as it enables stakeholders to make informed decisions and exercise their rights.
Diversity refers to the presence of different groups or individuals withi… #
Diversity is essential for innovation, creativity, and effectiveness, as it enables organizations to tap into a wide range of skills and ideas.
Enterprise Risk Management (ERM) refers to the process of identifying, <b… #
ERM involves integrating risk management into an organization's strategic planning and decision-making processes.
Executive Compensation refers to the remuneration and incentives p… #
Executive compensation should be fair and reasonable, and should be designed to align with the organization's strategic objectives and performance goals.
Financial Reporting refers to the process of providing stakeholders with… #
Financial reporting involves preparing financial statements, disclosing financial information, and complying with regulatory requirements.
Governance refers to the framework of rules , practices , and… #
Governance involves balancing the interests of stakeholders, including shareholders, employees, customers, and the community.
Internal Audit refers to the process of evaluating an organization's inte… #
Internal audit involves identifying risks, assessing controls, and recommending improvements to enhance the organization's effectiveness and efficiency.
Internal Control refers to the processes and procedures that an or… #
Internal control involves establishing policies, procedures, and controls to mitigate risks and ensure the integrity of financial reporting.
Leadership refers to the ability of an individual or group to inspire<… #
Leadership involves setting direction, building trust, and empowering others to achieve their full potential.
Management refers to the process of planning, organizing , leadi… #
Management involves setting goals, allocating resources, and monitoring performance to achieve the organization's objectives.
Nomination Committee refers to a committee of the board of directors responsible… #
The Nomination Committee plays a critical role in ensuring that the board of directors has the right mix of skills, experience, and diversity.
Organizational Culture refers to the values , beliefs , and pract… #
Organizational culture involves creating a positive and inclusive work environment, fostering collaboration and innovation, and promoting a culture of integrity and accountability.
Performance Evaluation refers to the process of assessing an individual's… #
Performance evaluation involves setting performance standards, monitoring progress, and providing feedback and coaching to improve performance.
Regulatory Compliance refers to the process of adhering to laws, regulati… #
Regulatory compliance involves identifying risks, assessing controls, and implementing measures to mitigate risks and ensure adherence to regulatory requirements.
Remuneration Committee refers to a committee of the board of directors responsib… #
The Remuneration Committee plays a critical role in ensuring that executive compensation is fair and reasonable, and that it aligns with the organization's strategic objectives and performance goals.
Risk Management refers to the process of identifying, assessing , a… #
Risk management involves integrating risk management into an organization's strategic planning and decision-making processes.
Stakeholder refers to an individual or group that has an interest in an o… #
Stakeholders include shareholders, employees, customers, suppliers, and the community. Organizations have a responsibility to consider the interests of stakeholders and to balance their needs and expectations.
Strategic Planning refers to the process of setting an organization's … #
Strategic planning involves analyzing the organization's environment, assessing its strengths and weaknesses, and developing a plan to achieve its objectives.
Sustainability refers to the ability of an organization to operate … #
Sustainability involves considering the long-term consequences of actions, reducing waste and emissions, and promoting social responsibility and environmental stewardship.
Transparency refers to the quality of being open and honest in an… #
Transparency involves providing stakeholders with accurate and timely information, disclosing potential conflicts of interest, and ensuring that decision-making processes are fair and accountable.
Tone at the Top refers to the leadership and culture set by an org… #
Tone at the top involves promoting a culture of integrity and accountability, setting clear expectations and standards, and leading by example.