Various Aspects of Corporate Governance for ASX Council

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ACC30008 Accounting Theory

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Executive Summary
Australian Securities Exchange (ASX) is emphasizing on developing a strong corporate
governance framework to be implemented within Australian business organizations to ensure
that all the business activities are carried out in an ethical manner. The issues such as corrupt
behavior of managers, increased remuneration of directors, health and safety issues at
workplace, lacks of sustainability integration into business strategy and inefficiencies the
existence corporate governance policies is causing the need to develop a more structured and
efficient system of corporate governance. The report concludes that the presence of an effective
corporate governance framework should be an integral part of the internal control procedures
adopted by a business entity.

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Contents
Introduction & Purpose....................................................................................................................4
Various Aspects of Corporate Governance.....................................................................................4
Recommendations to the ASX Council...........................................................................................7
Conclusion.......................................................................................................................................7
References........................................................................................................................................9

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Introduction & Purpose
The present report is undertaken to develop an in-depth understanding of the various
aspects of corporate governance through the use of quality scholarly journal articles. There is
increasing emphasis placed by business entities on developing an effective corporate governance
framework to promote their sustainable growth and development. The increasing evidences of
the use of fraudulent business practices are causing the government of various countries to
develop strict rules and regulations to promote ethical behavior within the organizations. As
such, ASX has developed a statement of corporate governance principles to be used by business
entities within Australia to ensure that all the business procedures are carried out as ethical
principles.
The main purpose of the present report is to inform the Australian Securities Exchange
Governance Council about the corporate governance aspects. This is based on carrying out
academic research in context of Australia in reference to corporate governance through the use of
real world examples. The various aspects of the corporate governance examined in the report as
selected form the scholarly journal articles available on Australian Business Deans Council
(ABDC).
Various Aspects of Corporate Governance
The presence of effective corporate governance policies is essential within an
organization to ensure ethical decision-making for promoting the long-term growth and
development. In this context, the article ‘Corporate decision-Making, Corporate Collapse and
Inefficiency’ has discussed the importance of corporate governance structure within business