Corporate Culture's Impact on Law and Governance in Australia

This essay discusses the significance of corporate culture in the Australian business environment, highlighting its impact on employee relations, operational tasks, and client satisfaction. It emphasizes how corporate culture, defined by values and behaviors, influences a company's psychological management and internal operations. The essay also touches upon the evolution of corporate culture, incorporating elements like national culture, economic tradition, and international trade. Furthermore, it examines the legal aspects of corporate culture in Australia, referencing the Corporation Act 2001, Fair Work Act, and Australia Securities and Investment Commission Act 2001, and the role of the Australian Securities Exchange in regulating listed companies. The essay concludes by noting the importance of maintaining ethical standards and transparency within companies, supported by governmental regulations and penalties for non-compliance.

Running head: CORPORATION LAW
CORPORATE CULTURE
Name of the Student
Name of the University
Author Note

1CORPORATION LAW
CORPORATE CULTURE
The business culture of Australia has been modernized and certain rules-obligations have
been cropped up in relation to the corporate world. Certain new terms have been formed such as
corporate social responsibility and corporate culture. The term “Corporate Culture” denotes the
environment of the workplace and management interaction with the employees. Corporate
culture helps to identify the resolve process of outside commercial transaction. Therefore, it can
be stated that the term corporate culture plays an important role. There are certain elements of
the company that directly affected by the corporate culture. Considering various cases, it has
been observed that the turnover of the company is depending on the corporate culture. Further,
benefits given to the employees and client satisfaction are depending on the essence of corporate
culture. Standard of a company can be identified by corporate culture. According to Smith
(2017), a corporate culture consists of value and behavior. The psychological management skill
of a company very much depending on the good corporate culture and the core internal session
of the company are regulated by the corporate culture. In the modern world, certain competition
in the field of corporation can be observed. Therefore, it should be the utmost duty of the
companies to maintain a good corporate culture. many companies have maintained good ethical
consideration while operated the daily transaction of a company. As an example, Google has able
to maintain a good employee-friendly environment within its office premises. The reasonable
corporate atmosphere of the company has assisted the company to get a highest position in the
globe. The employees of a company maintain the ethical principle while dealing with the
customers. Considering the effectiveness and application, corporate culture can be divided into
three parts such as employees, operational tasks and clients. This ethical character has acting as a
medium in between the corporate culture and corporate governance.

2CORPORATION LAW
The terms like management strategies, employment relation and working environment has been
inserted in latter stage. The modern approach to the corporate culture involves certain matters
like national culture, economical tradition, international trade and commerce and quantity of the
production. An awareness regarding the corporate culture results into the growth of the company.
According to the statement of Smith (2017), the value and behavior of a company are governed
by the corporate culture. it helps to increase the psychological skills of the corporations and the
stakeholders of the company are able to consider all the commercial approaches for the
betterment of the company. Therefore, it can be stated that every company should have to
maintain certain corporate culture within them. Further, there is certain competitions take place
among various companies and therefore, good corporate culture plays an essential role in these
cases. it is very important to maintain a transparency in the works and corporate culture helps to
establish a fair relationship between the employees. Many companies maintain a good corporate
culture and help to provide the employees a secure working environment. One of such examples
is Google Inc. The process of corporate culture has been grown up in the era of nineties. This
process governs the management system, strategies, employee communication, working attitude
and issues relating to trademark.
Enforcement of corporate culture:
There are many Acts and rules implemented in Australia, which help to establish strong
corporate rules within a company. Some examples regarding the same are Corporation Act 2001,
Fair Work Act, Australia Securities and Investment Commission Act 2001. Further, Australian
securities Exchange has provided certain rules to regulate the operation of listed companies.
Certain guidelines are mentioned in the Corporation Act that regulates the rights and liabilities of
the directors and management bodies regarding the daily operation of a company. The main

3CORPORATION LAW
motive of the enactments are to stop any misbehave within the workplace and maintain peace
and secured working area. Further, according to the principles of the ASX rules, the company is
restricted to provoke or commit any fraud acts. In addition to this, there are certain provisions
that deal with the penalty provisions and there are many cases in Australia where the directors
are penalized for making breach regarding the provisions of the Corporation Act 2001. These are
the benefits provided by the Australian government to maintain an ethical atmosphere within the
company.

4CORPORATION LAW
Reference:
Corporation Act 2001
Fair Work Act 2009
The Australian (2018). [online] Available at: https://www.theaustralian.com.au/...sino-australia-
oil-and-gas...fraud/.../ab757958e67dd... [Accessed 18 May 2018].
The Conversation. (2018). Financial advice reform: have we learned enough from Storm?.
[online] Available at: http://theconversation.com/financial-advice-reform-have-we-learned-
enough-from-storm-5299 [Accessed 18 May 2018].