Cleaning up the governance act
UK business has made “great strides” in corporate governance, but recent events at BHS and Sports Direct have prompted questions about the behaviour of some directors. David Doughty argues that business needs to clean up its act.
It is 24 years since the publication of the Cadbury Report, one of the most significant milestones in the history of Corporate Governance; and it is 43 years since Edward Heath referred to Tiny Rowland’s Lonrho as "the unpleasant and unacceptable face of capitalism".
Yet, as we have seen recently with Sir Philip Green, Mike Ashley and Sir Martin Sorrell, there is still something rotten in the state of UK boardrooms.
It had felt as if we were making great strides in tidying up the acts of the UK's listed companies with the UK Corpora
For thoughtful journalism, expert insights on corporate governance and an extensive library of reports, guides and tools to help boards and directors navigate the complexities of their roles, subscribe to Board Agenda
Related Stories
-
What would a Biden–Harris victory mean for US corporate governance?
Joe Biden says shareholder primacy must end; Kamala Harris has spoken out on diversity and equal pay. US businesses should be prepared for change.
-
Industrial strategy calls for improved reporting of capital allocation
Better reporting is needed to support "long-term" investment, says the UK government, but it is criticised for failing to mention human capital in its long-anticipated Industrial Strategy.
-
Should chairmen become CEO within the same company?
Corporate governance restricts opportunities for chief executives to take on a dual role as chair. But is there any evidence to suggest the CEO-to-chairman move is a problem?
