Sign up for regular news, views and insights about corporate governance

Name
Email
Company
Job title
Industry

Close

Setting the benchmark in corporate integrity

Annual Reports

Investors want sustainable reports to be more transparent

A recent survey by two of Europe’s leading reporting organisations has shown that the majority of investors across the continent are dissatisfied with how companies are reporting on their sustainability practices.

Read the full story…

A new model for financial reportage

This is a story of hackers versus disciplined organisers, of gobbledegook versus plain English, and of the inadequate use of intellect versus a clear focus on the commercial issues in hand.

Read the full story…

Report suggests fraud and bribery on the up

Ernst and Young’s twelfth annual Global Fraud Survey has revealed that one in five of almost 3,500 staff in 36 nations confirmed manipulation in their firms. Unethical conduct including fraud, bribery and corruption are becoming more prevalent as large firms struggle to meet projections.

Read the full story…

‘Lack of clarity’ in UAE corporate governance

The study, by compliance consultancy firm The Red Flag Group, looked at information released by UAE listed companies and scrutinised how they adhered to generally held corporate governance standards. These included the publication of codes of conduct and information on compliance officers. According to the findings, 61 percent of companies in the UAE polled had failed to mention whether they had a designated Chief Compliance Officer, while only one in ten companies had committees that took care of compliance issues.

Read the full story…

SASB set ambitious targets for reforming sustainability reporting

Plans to improve the way the financial services industry report on their sustainability practices in the US were discussed last week at a conference in New York.

Read the full story…

EU outlines new disclosure guidelines for extractive industries

EU negotiations have resulted in the implementation of progressive and stringent laws requiring for extractive industries to disclose tax payments made to foreign governments. European Commissioner Michel Barnier, charged with heading regulatory policies, said of the deal that it would bring “a new era of transparency to an industry which is far too often shrouded in secrecy”.

Read the full story…

Attitudes shift towards sustainability reporting

Once seen as a “monstrous imposition”, corporate managers are now starting to embrace sustainability reporting as a consequence of the heightened scrutiny from investors, according to research firm Oekom Research AG.

Read the full story…

Germany rejects EU transparency plans

The EU’s plans for increasing transparency and requiring companies to offer much more detailed information on how they carry out social, environmental and employee strategies has suffered a crucial blow after being rejected by Germany’s four leading industry bodies.

Read the full story…

Report failure fuels Pescanova insolvency

One of the world’s leading fishing groups, Pescanova has been forcibly required to seek insolvency amid ongoing accounting failures, suspected corruption and general shareholder discontent.

Read the full story…

ASIC pushes ahead with annual report reforms

Regulators around the world have been looking at tightening rules that require publicly listed companies to clearly identify the strategies employed over the course of the year and their subsequent success.

Read the full story…

The many faces of auditing

Both mandatory and discretionary, auditing comes in many guises

1 Integrated

A necessary undertaking for public companies, an integrated audit entails the auditing of both financial statements and internal control over financial reporting. Necessarily conducted by an external auditor, integrated audits are advantageous in that they encourage a holistic approach to the internal auditing process.

2 Performance

Conducted by either an asset manager or an outside firm, a performance audit verifies performance figures with those demonstrated to the public. Beneficial in that a performance audit allows an accurate insight into a firm’s returns.

3 Quality

Quality audits entail the systematic examination of a quality system, undertaken by either an internal or external quality auditor. Quality audits are integral in determining compliance with a defined quality system process and are a necessary requirement in maintaining the ISO quality system standard.

4 Regular health checks

Regular health check audits are carried out for purposes in understanding the present state of a specific project. Primarily conducted by an independent party, regular health checks are intended to further increase productivity or otherwise effectiveness.

5 Energy

Energy audits consist of an inspection, survey and analysis of energy consumption. Largely intended for the bettering of energy conservation, input is often sought to be reduced though without the hindering of subsequent output. Energy audits are largely meant for reducing overheads.

6 Regulatory

Otherwise termed financial, regulatory audits are intended for assessing the legality of processes pertaining to financial operations. Encompassing management, collections and expenditure, regulatory audits seek to determine a true and fair representation of policy and financial management.

Community spirit

Research has shown that companies giving back to the communities in which they work tend to enjoy better long-term results

1 IBM

An organisation famed for valuing innovation and entrepreneurship, IBM helps its employees to give back to the community in the way they best see fit. IBM distributes Activity Kits, each one designed around different volunteering opportunities. For those who want to use their expertise to help educate others, there are kits advising on how to conduct workshops for adults who want to get into the industries IBM operates in. Employees wanting to inspire future generation can use kits to engage children in workshops that see students make anything from paper dog houses to solar-powered model cars. Or those who prefer a more hands-on approach they can volunteer to help in disaster zones.

2 Ford

According to Henry Ford, “A business that makes nothing but money is a poor business”. This inspired Ford’s Accelerated Action Day in 2012, which saw more than 600 employees in American branches step away from their desks to work in local community projects, supported by various charities. Volunteers were dispatched to shelters, schools and family centres, helping to clean, paint and build in their on-going renovation missions. Projects included renovating shelter rooms for the Salvation Army’s centre in Detroit, building houses with Habitat for Humanity and creating therapy rooms for children with the First Step Domestic Violence Program.

3 JP Morgan

JP Morgan engages in many community projects globally, but recent years have seen emphasise focused on improving education on both sides of the Atlantic. Last year they helped to fund Achieve Together, a drive to recruit and inspire good teachers in disadvantaged areas of the UK. The first phase of the programme will roll out later this year, estimating to help 8,000 pupils. 2010 saw the firm launch a $325m initiative to support publically-funded schools in the US. The company granted $50m to community-development financial institutions to support new schools, as well as helping to tackle the financial problems of schools that already have a strong academic track record to keep them afloat.

4 Coca-Cola

5by20 is Coca-Cola’s initiative to empower five million female entrepreneurs worldwide by 2020. The multinational aims to focus its efforts on the small businesses across the world, currently focusing on Brazil, South Africa, the Philippines and India, by providing training with financial resources and mentors to women looking to get ahead in business. Since launching the program in 2010, Coca-Cola claim to have economically enabled more than 131,000 women. As part of the program, a new initiative in Kenya has helped female farmers grow mangoes for locally sold fruit juices, which has in turn helped create sustainable livelihoods around the farms.

5 Johnson and Johnson

As part of Johnson and Johnson’s No More Tears brand’s 50th anniversary, its Clean Water Initiative was launched as a combined effort with non-profit charity Water for People. Operating under the slogan “Because every baby deserves clean water”, the program has aided small, rural communities in ten of world’s poorest countries, including Malawi and West Bengal to tackle water contamination. The charity not only educates communities but also installs sanitation facilities in schools to provide clean water to hundreds of thousands of children.

Corporate Governance Report interviews international migration expert Sophie Barrett-Brown on the value of immigrants to UK corporations

Keeping up with UK immigration rules | Sophie Barrett-Brown| Video

Corporate Governance Report interviews international migration expert Sophie Barrett-Brown on the value of immigrants to UK corporations

Corporate Governance Report interviews international migration expert Sophie Barrett-Brown on the value of immigrants to UK corporations

The value of immigrants to the UK economy | Video

Corporate Governance Report interviews international migration expert Sophie Barrett-Brown on the value of immigrants to UK corporations

Corporate Governance Report interviews CapitaLand CFO Arthur Lang on the impact of corporate governance on Asia's real estate industry and investment

Arthur Lang: How corporate governance has affected Asia’s real estate market | CapitaLand | Video

Corporate Governance Report interviews CapitaLand CFO Arthur Lang on the impact of corporate governance on Asia’s real estate industry and investment

News

Deutsche ordered to improve internal controls

Imminent order by German regulator is likely to lead to Deutsche Bank reaching a settlement over Libor scandal

Redefining corporate responsibility: award winners 2013

Organisations are seeking to correct past workplace models, taking stock and embarking upon a new age of responsibility. Here, the Corporate Governance Report celebrates those firms carrying the governance torch

Court rules “unenforceable” arbitration

US courts find arbitration agreements signed by employees are ‘unconscionable’

New union group pledges to ‘tackle corporate responsibility’

The Trade Union Share Owners group will put union values at the heart of corporate governance through the Trade Union Voting and Engagement Guidelines

Legal world “requires categorisation”

As the legal industry continues to boom, it’s becoming ever more challenging for firms to choose where to seek council. Corporate Governance Report spoke to World Finance Editor Alexander Redcliffe about the magazine’s legal awards

Italian banks to “change corporate governance”

Banks with more out-dated corporate governance structures were hit hardest by crisis, according to Fitch statement

IASB chairman defends stance on prudence

Despite criticism, accountancy regulator’s chairman says the downgrading of prudence from a fundamental concept is justified

Poor governance: a tax on Russia’s innovative companies

Recent reports reveal the extent to which investment is hindered by poor governance in Russia, and outlines the ways in which it can be combated

Reducing annual report clutter

The presence of clutter in an annual report actively detracts from its usefulness to both shareholder and investor alike

Wal-Mart review compliance amidst bribery allegations in Mexico

Following bribery allegations that cost the company over $157m, retail giant reviews compliance operations

ASIC pushes ahead with annual report reforms

Australian regulator demands more information on strategy from public companies in their annual financial statements