Leadership and Governance

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Leadership and governance

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Table of Contents
Introduction......................................................................................................................................3
Responsibilities of Board of Governors to monitor CEOs..............................................................3
How CEOs should be leading by example?....................................................................................5
How CEOs can leverage the loyalty of their employees?...............................................................6
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

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Introduction
The report will be providing aspects in relation to leadership and governance. In this, there is a
case study which has been provided in relation to the CEO who has performed in an unethical
manner. There will be consideration of the same and then the responsibilities of the board in this
respect will be discussed. The process undertaken for the carrying out of the audit to manage the
risk is to be accounted for. The manner in which the CEO shall perform the operations will be
discussed from the perspective of various stakeholders. In that, all the employees, managers,
owners and society will be considered. The CEO shall maintain the loyalty of the customers and
the manner in which it is possible will be covered. The organizational effectiveness will be taken
into account and with that, the importance of the politics and ethical diversity shall be involved
in the process.
Responsibilities of the Board of Governors to monitor CEOs
The CEO has the main responsibility in relation to the maintenance of the operations and other
aspects of the business. For that, they are required to behave in an ethical manner. In the current
case, there are various issues, which have been noted, and it is identified that the CEO is not
behaving in an ethical manner (Klettner, Clarke and Boersma, 2014). In such situations, it is the
responsibility of the board to take the required action to resolve the issue and make the CEO to
perform in an effective manner. The bad behavior of the CEO can be prevented by making him
adopt the correct policies and procedures. There will be consideration of the leadership style,
which shall be followed by him and in that, all the required attributes shall be given the due
importance.
A leader is accountable for all the actions that are taken by him and for that the responsibility lies
on him. They should perform in such a manner that all of the operations provide the best results,
which will be in the overall interest of all. In such processes, the involvement of the employees
shall be made and they shall be considered as part of decision-making. There will be the
adoption of the democratic style of leadership and in that; all of the involved parties will be
having the right to participate in the business (Voegtlin, Patzer and Scherer, 2012). They will be
given the authority to present their views and ideas and by this importance will be given to them,