StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...

Best Practice in Corporate Governance - Assignment Example

Comments (0) Cite this document
Summary
The assignment "Best Practice in Corporate Governance"  investigates Texas City oil plant's serious safety management challenges, BP company's decision that triggered Texas City quite vulnerable to a catastrophe, an important role of ethics or virtues within the business fraternity, the ethical standard of M & S used to lay blame…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER94% of users find it useful
Best Practice in Corporate Governance
Read TextPreview

Extract of sample "Best Practice in Corporate Governance"

Download file to see previous pages One decision to which the catastrophe can be attributed to is the 25% fixed on all the BP corporation’s spending. This left Texas City quite vulnerable to a catastrophe. The decision by the key actors in BP’s case was founded on the need to ensure that the issue of non-compliance to public safety and health issues by oil companies was addressed. According to Campbell and Tom (2005, p. 551); Davies (2006, p. 106-120) corporations that do not subscribe to the appropriate business ethics do so because they have egoistic inclinations. It is imperative to note that failure to uphold ethics also amounts to a lack of effective governance within the affected corporations. Ethics and governance issues in corporations lay the foundation upon which virtues within firms are laid.

The action by the Safety and Hazard Investigation Board (CSB) to investigate BP was to audit its safety standards. Hence, this decision was based on the oil fire incident at BP which killed fifteen of its workers and injured a hundred and seventy others. However, the company had ignored this issue for a long time. The report notes that this company was plagued by years of cost-cutting which in turn increased its vulnerability to this catastrophe in its refinery in Texas. According to Portishead, (2005, p. 8); Davies (2006, pp 106-120) the decisions of BP through its management and workers of the company were based on the need to improve its image in the oil industry.

From BP’s case, there is a range of possible consequences based on the report findings. These consequences were changes triggered by the findings in the report. One such consequence is the improvement in the compliance to safety standards by BP and other companies as well. According to Stocker (2005, p. 453-66), in so doing, these oil firms would have to embrace the canons of ethics and governance. In this regard, they shall have to implement fundamental organizational changes to ensure they are virtuous.  ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(Best Practice in Corporate Governance Assignment - 1, n.d.)
Best Practice in Corporate Governance Assignment - 1. Retrieved from https://studentshare.org/management/1560668-ethics-and-governance
(Best Practice in Corporate Governance Assignment - 1)
Best Practice in Corporate Governance Assignment - 1. https://studentshare.org/management/1560668-ethics-and-governance.
“Best Practice in Corporate Governance Assignment - 1”. https://studentshare.org/management/1560668-ethics-and-governance.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Best Practice in Corporate Governance

Corporate Governance

...Task Corporate Governance Introduction For quite some time, businesses or firms have been practicing merging or simply acquiring other businesses. This is achieved by having the acquiring company maintain its name while the other company’s name is eliminated. Likewise, the two companies have to set rules of engagement that will ensure that they both operate in a manner that serves both of them well without any unfairness. The rules may be touching on both the firms themselves or their customers. This may be because of taking over of one company by another, buying out of one company by another or simply taking over another company. This is done with the main of financial gains or even...
4 Pages(1000 words)Essay

Corporate governance

...? CORPORATE GOVERNANCE …………………. and Number …………….. …………. Words- 759 Corporate Governance The way companies are governed determines their success and the role they may play in the economy as well. Companies in recent years started giving greater emphasis on effective governance with a view to ensure competitive position, attract sufficient capital, guarantee sustainability, and combat corruptions. Corporate governance practices are associated with the development of financial markets, because higher level of governance in most countries are related to larger securities...
3 Pages(750 words)Essay

Corporate governance

...shareholders are the key concern for companies located in the Eastern Europe. According to Ali et al. (2007), ownership percentage is 35% in Continental Europe while ownership percentage is 11% in family firms located in Eastern Europe. The best practice of corporate governance in countries like UK, the USA, Australia and Japan can be summarized in the following manner. Various research scholars such as Grandmont et al. (2004), Bhagat and Black (2002), Vafeas (1999) and Oyvind and Odegaard (2011) have pointed out that best practice in corporate governance should focus on financial performance of the...
40 Pages(10000 words)Dissertation

Corporate Governance

... ignored the rule. Private companies are also encouraged to follow these corporate governance guidelines even though it is not a compulsory requirement in private firm accounts. This Code contains a principles-based approach and a rules-based approach; the former provides strategies for best practice while the latter rigidly defines exact practices that have to be adhered to. The collapse of a major UK company named Polly led to the formation of a committee in 1991 to ensure the accuracy of financial accounts. According to the committee recommendations, a company must have separate chairman and CEO. Every board has to possess a minimum of three non-executive directors, and each board must maintain an audit committee. In 1994... be attributed...
6 Pages(1500 words)Coursework

Corporate Governance

...? Corporate Governance of the of the Corporate Governance Q. Enron, Worldcom and Parmalat have generated immense interest in the study of corporate governance and in identifying how board actions can be monitored more effectively. Discuss one way in which you would improve the current scenario in regard to corporate governance. Introduction The corporate world is full of stories and events- some good and some bad, some which make the news and some which never see the light of day. Competition, personal greed, pressure from stakeholders and other sources are some reasons why business...
6 Pages(1500 words)Coursework

Corporate Governance

.... Shareholders are not the only interested parties as far as organizational operations are concerned. Carroll’s focus on the larger society, and in particular all the identified stakeholders, is an accurate highlight on the extent of corporate social responsibility. Part B Good corporate citizens exhibit five specific characteristics, namely: obeying relevant laws and regulations, contributing to the betterment of the community through effective and efficient programs, contributing to the lives of local communities through organizational operations, practicing economic virtues, and involvement in the political process by participating in the development of government...
8 Pages(2000 words)Literature review

CORPORATE GOVERNANCE

...as well as other membership organizations, their shareholders are their members. Corporate governance is a many-sided subject3. One of the most important themes of corporate governance is ensuring the accountability of particular individuals in the corporation. This is achieved through mechanisms aimed at reducing or eliminating altogether the problem of principal-agents. Corporate governance also helps in improving economic efficiency by emphasizing on the welfare of the shareholders. Corporate governance also has encompasses other subjects such as the view of stakeholders and...
10 Pages(2500 words)Essay

Corporate governance

..., the firms are not only motivated by financial benefits but play wider roles in the development of the society as a whole. Various stakeholders ensure that the business is having positive impact on the wider imperatives of social causes like environment, better HR practices, effective CSR practices etc. The analysis of stakeholders also helps the firm to proactively support the community welfare and at the same time, meet the changing preferences of the customers, thereby significantly impacting it productive outcome and improving its image and credibility amongst the stakeholders. Answer 3 The corporate governance gatekeepers are people who are in position to...
2 Pages(500 words)Essay

Corporate Governance

...for growth and development of an organization. The objective of the current report is to understand and evaluate the various internal and external factors that impact in the development of effective corporate governance. It is essential to understand the fundamental concept, theories associated and largely accepted and the governance system followed among different organizations in various parts of the world. Organizational case study with respect to the governance strategies and policies will help in evaluating the current trends and practices. Also the above analytical outcomes have been applied to recommend some key areas which can be developed for...
12 Pages(3000 words)Essay

Corporate Governance

...CORPORATE GOVERNANCE DISCLOSURE PRACTICES AND PROTECTION OF STAKEHOLDERS IN SAUDI ARABIA: RESEARCH FOR A WAY FORWARD A Thesis Submitted for the Degree of Doctor of Philosophy in Law By: () ( Student Number) LLB King Abdul-Aziz University LLM Nottingham Trent University () October 2014 Declaration I declare that, except where acknowledged, this work effort is my own, completed with the direction and advice of my supervisor. Table of Contents Declaration 2 Table of Contents 2 Abbreviations Used 11 Abstract 12 Acknowledgements 13 Chapter One Introduction 14 1.1 Preamble 14 1.2 General Background 15 1.3 Research Significance 16 1.4 Research Problem 17 1.5 Research Methodology 17 1.6...
5 Pages(1250 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Assignment on topic Best Practice in Corporate Governance for FREE!

Contact Us