Monthly Archives: April 2014
Risk oversight is the term that is used to describe the role of the board of directors of an enterprise in the risk management process. This process refers to means and methods by which the board can determine if the company has in working operation an adequate and robust system for identifying, prioritising, sourcing, managing and monitoring the significant risks to that enterprise.
The IFC (International Finance Corporation) has been working towards promoting an increased awareness, commitment and improved practices of stronger corporate governance in the Middle East region over the last few years and to date a significant amount of progress has been made from these efforts.
There are a number of essential elements to a successful CEO succession. Each dimension must be managed to mitigate the risks inherent in a leadership transition effectively. The best outcomes can be achieved by having best practices in place to manage the changes in a continuous process that will ensure that a company leader and board of directors are operating at peak effectiveness and efficiency.
Can greater transparency of the audit committees role & responsibilities increase investor confidence?
Investors and stakeholders in various companies and organisations, across all industries and of all sizes, are increasingly calling for improved audit committee reporting. In particular sentiment has been moving in the direction of bespoke and customised methods of audit reporting.
E-discovery has been growing over the last few years. Themes and tools such as predictive coding and early scenario assessment methods are taking on a more serious and actionable role. E-discovery is increasingly demanding the involvement of additional electronic information disciplines such as records management, cyber security and corporate compliance.
The corporate governance landscape has undergone numerous substantial changes over the last few years and this trend is moving forward progressively. As part of this discussion director pay and remuneration policy have become contentious issues of focus. Shareholder activism has understandably grown rapidly since the financial crisis of 2008.
Across the globe the major risks corporations are facing include service interruptions, cybersecurity attacks, disruptions to supply chain and distribution, natural disasters and political crises amongst others. As an example, the cost of cyber-crime to companies worldwide averaged approximately $5.9 million over 2013 which is an increase of 56% from 2012.
Whistleblowing Programs have been created to provide mechanisms for reporting wrongdoing and reward individuals for the substantial risks taken by coming forward with incriminating information. These programs are being increasingly made a policy priority across the globe for achieving anti-corruption and anti-fraud objectives.
During the proxy season, which is usually in April, numerous companies will hold annual shareholder meetings. The majority of companies tie in the timing of the proxy season to follow the end of their fiscal year so that they may hold the annual meetings to vote on key issues soon after reporting.