Corporate Governance and Financial Delegations in Kogan

Running head: DIPLOMA IN ACCOUNTING
Diploma in Accounting
Name of the Student
Name of the University
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1DIPLOMA IN ACCOUNTING
Table of Contents
Assessment 1..............................................................................................................................3
Corporate Governance...............................................................................................................3
Assessment 2:.............................................................................................................................9
Part 1:.........................................................................................................................................9
Review of financial delegations and accountabilities within the company:..............................9
Expenditure or investment approvals:........................................................................................9
Corporate Governance Requirement:.......................................................................................10
Loan and Lending Approvals:..................................................................................................11
Sign off authorities:..................................................................................................................11
Determination of the timeframes:............................................................................................12
Completion within the agreed-upon timeframes:.....................................................................12
Deadlines complying with the legislative requirements:.........................................................13
Part 2:.......................................................................................................................................13
Need for New Corporate Governance Procedure that could better meet the corporate
governance requirement:..........................................................................................................13
Detailed Internal Control Procedure to meet the corporate governance needs:.......................14
Discussion of effective monitoring of procedures:..................................................................15
Variations of Corporate Governance:......................................................................................16
Assessment 3:...........................................................................................................................17
Purpose of the corporate governance recommendations:.........................................................17

2DIPLOMA IN ACCOUNTING
Discussion of corporate governance and compliance with the principles with
recommendations of promoting ethics in business and accounting:........................................18
Specific examples of Corporate Governance in Kogan:..........................................................19
References:...............................................................................................................................21

3DIPLOMA IN ACCOUNTING
Assessment 1
Corporate Governance
Corporate governance as the word suggests is the procedure, mechanism and the
relations with the help of which the business firms direct, manage and control their
operational activities. The principles and the structure of the companies recognise the
distribution of the accountabilities and the rights among the various kinds of participants in
the organizations. It is even inclusive of the processes and the rules that is used for the
purpose of undertaking decisions in accordance to the corporate affairs. Corporate
governance is even inclusive of the processes with the help of which the objectives of the
organizations are constructed and thereby pursued in the aspect of the regulatory, social and
the market environment1. The process of governance is inclusive of the supervision of the
actions, processes, policies and the decisions that are undertaken by the companies. The
practices that are associated to corporate governance are impacted by the tries to stay in line
with the interests of the stakeholders. The interests that are seen in the practices related to
corporate governance of the current companies specifically in relation to accountability.
It is seen that each and every organization are in need of a corporate governance
structure in order to maintain effective operational activities with the help of which
competitive edge can be maintained. The companies are in the lookout for satisfying their
associated stakeholders as rise in their extent of satisfaction is helpful in the development of
proper and effective operational activities2. Each and every companies and their management
1 Kraakman, Reinier, and Henry Hansmann. "The end of history for corporate
law." Corporate Governance. Gower, 2017. 49-78.
2 Allen, William T. "Our schizophrenic conception of the business corporation." Corporate
Governance. Gower, 2017. 79-99.

4DIPLOMA IN ACCOUNTING
need to address their governance roles with the help of understanding the role of the board,
the structure of the board and the role of the directors and the other management personnel.
The governance is even inclusive of the understanding of the essential functions of the board
and they are inclusive of monitoring, compliance, networking, decision making etc. The
efficiency of the board is even understood with the help of corporate governance. The
enhancement of the process of the board is even understood with the help of corporate
governance process3. It can therefore be said that corporate governance policies are essential
for all the companies and hence these strategies need to be incorporated by the organizations
in order to improve the operational activities and thereby satisfy the associated stakeholders.
The aspects that have been chosen is relevant to the objectives of Kogan as it is seen
that this company has been looking forward to enhance their operational activity with the
help of which the company is able to maintain competitive edge. The company has to
establish several kinds of policies with the help of which they can monitor and take care of
various kinds of actions thereby effectiveness can be maintained. The maintenance of these
strategies is fundamental for the development of the company and therefore Kogan has been
been making extensive strategies in order to enhance their level of corporate governance
structure.
There are eight kinds of principles that are associated to corporate governance and
each one of them would be explained in order to determine the effectiveness of corporate
governance.
3 Laoworapong, Mongkon, Somchai Supattarakul, and Fredric Willian Swierczek. "Corporate
Governance, Board Effectiveness, and Performance of Thai Listed Firms." AU Journal of
Management 13.1 (2018): 25-40.

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Fairness: This refers to the equivalent treatment of all the shareholders and therefore the
companies undertake the action of protect the right of the shareholders. This assists the
shareholders with the opportunity to gain efficient explanation for the violation of their
authorities and rights4.
Accountability: There are several codes that provides accountability for the Board of
Directors towards all the shareholders and thereby acts as a guidance to the shareholders in
order to undertake decisions and thereby supervising the activities of the management5.
Transparency: It is the work of the firms to provide accurate and timely explanation of the
information about all the facts and information that is associated to the operational activities
that is inclusive of the financial scenarios, environmental and social parameters, ownership
framework and free entry to these kind of information to all their stakeholders.
Responsibility: The companies are able to identify the powers and the rights of all the parties
that are interested who are allowed by the applicable individuals or the form for the
development and financial stability of their own6.
4 Kula, Veysel, and Ender Baykut. "Does better corporate governance rating lead to higher
market value?: An empirical investigation of BIST XKURY listed companies." Ejovoc
(Electronic Journal of Vocational Colleges) 5.6 (2015): 47-54.
5 Aguilera, Ruth V., and Rafel Crespi-Cladera. "Global corporate governance: On the
relevance of firms’ ownership structure." Journal of World Business 51.1 (2016): 50-57.
6 Cuomo, Francesca, Christine Mallin, and Alessandro Zattoni. "Corporate governance codes:
A review and research agenda." Corporate governance: an international review 24.3 (2016):
222-241.