The Importance of Corporate Governance in the Must Know

Corporate governance

Corporate Governance or Corporate Governance is one way to manage a company for the better. Good Corporate Governance or Good Corporate Governance (GCG) is the underlying principle on a process and mechanism of a company to increase the success of an organization or business and accountability to achieve in the long term and taking into account the interests of stakeholders of companies based enactment law and ethics in running a business.

Basically, Corporate Governance is a method to manage a company like set up a sovereign state to remain gone through the laws and policies of the company to its employees, both from the highest level and lowest level.

Also Read : Business Capital Loan With Collateral Rapid

Principles of Good Corporate Governance (GCG)

Mechanism of Corporate Governance is very influential in the establishment and achievement of a goal as well as the formation and development of the cultural system work environment Limited (the Company). For companies, the implementation of corporate governance is a key policy in order to realize the vision and mission of the company.

In an effort to keep the entire stakeholders and to increase value for our shareholders, for the company has been implementing good corporate governance or good corporate governance in all kegiata and efforts. A company committed to always behave and show business ethics in accordance with applicable regulations and policies. 

Well, for details, please pay attention to the principles of good corporate governance with fellow below.

1. Recognition of stock pemengang is one key to maintaining a stock price of a company. Good corporate governance is to seek to ensure that all shareholders are able to have a voice in the general meeting and be allowed to participate. 

2. Interest holders should also be recognized by the Corporate Governance, specifically to take the time to be able to handle the stakeholders rather than shareholders to help the company and be able to establish a positive relationship with the public and the press.

Also Read : Top 4 Things That Cause Online Business Failures

3. Responsibilities of the Board should be explained clearly to shareholders manyoritas in order to clarify all applicable policies. All board members must be on the same page and have a similar vision for the future of a company. 

4. Business Transparency is the key to promote the trust of shareholders. The point is this, financial records as well as all future earnings should be stated clearly without a magnifying or accounting "Creative". Falsifying financial records of a company can lead the company into a Ponzi scheme , and will be dealt with accordingly.

Now that's a reason for the importance of corporate governance must be considered. Hopefully with this article can help and add to our knowledge all of them and can be beneficial for your company.

Share this post