Corporate Governance: Aspects, Disclosures, and Challenges

Running head: CORPORATE GOVERNANCE
Corporate Governance
Name of the Student
Name of the University
Author note

1CORPORATE GOVERNANCE
Table of Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................3
Purpose............................................................................................................................................3
Discussion........................................................................................................................................4
 The application of the aspects of Corporate Governance.....................................................4
 Disclosures of Corporate Governance..................................................................................4
 Disclosure of the fact where a recommendation is followed................................................5
 Major sources of Corporate Governance..............................................................................5
 Challenges faced by the Australia Securities Exchange.......................................................6
 Rights and powers of the stakeholders in the management of corporate governance..........6
 Role of employees in corporate governance.........................................................................7
 Disclosure and Transparency................................................................................................7
 Requirement of corporate governance related to disclosures...............................................7
 Responsibilities of corporate governance.............................................................................8
 Rights of the security holders...............................................................................................9
Conclusion.......................................................................................................................................9
References......................................................................................................................................11

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Executive Summary
The intention of the report is to highlight the aspects of corporate governance. The basic purpose
of the report is to inform the members of Council about the academic research relating to the
aspects of corporate governance. It also emphasizes on the significance of ethics in corporate
governance. This report intends to emphasize on the theoretical aspects of corporate governance
that highlights the stakeholders, board of directors and management. It also discusses on the
external aspects of corporate governance in the business world. Finally, the report is
commissioned to examine that the members of the Council must be aware of all the existing
aspects of corporate governance.

3CORPORATE GOVERNANCE
Introduction
The rules, practices and processes by which a company is monitored and directed is
defined as the concept of corporate governance. The interests of stakeholders includes in the
process of corporate governance. It is known as the driver of the performance for the company. It
has plenty of ingredients and aspects of corporate governance (Larcker and Tayan 2015). The
common goals of such organizations are to have a framework of effective governance where the
circumstances and needs of the individuals are met. An effective evaluation of Board helps in
reviewing the basic incorporate reflection on the governance of the organization from various
perspectives. However, corporate governance in Australia has developed over the recent years.
The aim of this corporate governance was to protect the companies and individuals associated
with them (Beekes, Brown and Zhang 2015). Although, the companies of Australia have faced
certain difficulties during the development of corporate governance.
Purpose
The basic purpose and objective of corporate governance is to focus on the practices for
the entities that are related to the ASX so that the Council can view and are likely to accomplish
outcomes of governance and accomplish the rational potential of the major investors. Therefore,
the Council will be able to identify the various entities that should adopt the government
practices (Tricker and Tricker 2015). It will not request to lay down the practice of corporate
governance where a proper listed entity should adopt. Hence, demonstrably good corporate
governance practices are required in Australia and are significant in establishing the cost of
capital in a global market (Lama and Anderson 2015).