Governance in a Globalizing World

Governance in a Globalizing World

Table of Contents
Introduction......................................................................................................................................3
Part 1 a)............................................................................................................................................3
Part 1 b)............................................................................................................................................5
Part 2................................................................................................................................................6
Conclusion.......................................................................................................................................9
References........................................................................................................................................9

Introduction
Globalization has taken over the world markets and created various changes in the corporate
governance which have negative and positive impact. While, it has created awareness of gender
diversity on boards, but at the same time created group think mentality. In the preceding essay,
we will also discuss agency theory and its risks and benefits, should independent directors be
included on board, Tesla’s future with or without Elon Musk and downsizing the bank’s
employees’ pay the right way to protect from wrong doing.
Part 1 a)
“ASX200 boards near 30pc gender target: AICD”
The gender diversity progress report in Australia is showing marked improvement. The
proportion of women on board in Australia’s biggest 200 companies is substantially increasing
and there has been increase in the number of women on senior leadership positions. The AICD
chairman Proust stated that they are heading steadily and achieving the target of 30% which is a
remarkable achievement as compared to 2009 when only 10% women were on board of major
companies (AICD, 2018).
Proust justifies that a diverse board consisting of both genders facilitates in better
discussions, diverse opinions and better outcomes. It is not just filling numbers but there are
talented women who are being hired. Actually, the pressure from shareholders to have diversity
in boards is creating an impact and the result is that companies like Mirvac, NIB Holdings,
MetCash, Boral group has 50% plus women directors. The Australian council has warned
companies that have no women directors and the result is that women are being hired to fill the