Governance for the Greater Good

The roles and expectations of governance are changing. Good governance plays a role in giving back to society by making a positive contribution. Which is exactly why we need more of it…

In modern governance, the ‘greater good’ is coming into play.

Boards are under increased – and growing – scrutiny to govern with mindfulness. They are being called on to lead organisations that behave well by applying an ethical and values-based approach to decision-making and strategy.
At every turn, a conscious board considers:

Stakeholders
The community
The environment
Future ramifications

You’ve just reviewed five case studies that highlight how the governance model is evolving in complexity.

“It is no longer enough for boards and directors to focus solely on organisational structure or profit. “

The next chapter for governance

These days, shareholders expect balance. They are seeing value and investment potential in organisations that do more than offer profits. They want to invest in organisations that match financial performance with an approach that aligns with their own values.

We’re entering an exciting ‘next chapter’ for corporate governance and witnessing a growing trend that current and aspiring directors need to keep pace with.

Governance matters to everyone, every day

Essentially, we all have similar needs.

Everyone has a bank account, a pension fund, uses hospitals or medical services, holds insurance and depends on community services providing water, waste treatment and electricity.

Society relies on the successful coordination of a range of activities undertaken by different kinds of organisations. These range from:

financial operations, like supermarkets…
community activities run by not-for-profits…
through to health services operated by government boards.

No matter the type of organisation or the product or service offered, somewhere along the way:

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Governance decisions will have made an impact on that organisation.

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Those decisions will impact individuals and the community.

Corporate behaviour in the headlines

Unfortunately, not every organisation operates with integrity all the time.

The Royal Commission into banking in Australia clearly illustrates the fallout caused by a disconnect between corporate behaviour and community expectation.

While many cases highlight the unscrupulous actions of the big four banks, countless others showed that, while acting within their rights, the banks encountered community anger for ‘not doing the right thing’ according to their own judgements on ethical conduct.

An ocean of information

We have greater, faster and more comprehensive access to information than ever before.

Through social media communities, cases of unfair treatment that may previously remained isolated and unheard can now join to create a powerful wave of awareness that demands greater board accountability.

You can either stay inside and ignore the growing tide, or you can open the door and be part of the conversation.

It’s the difference between good and great

Good governance separates a good society from a great society.
And it’s for everyone:

Committee members
Directors
CEOs
Company secretaries
Managers
Staff, volunteers
Members
Shareholders
Customers
Auditors
Regulators
Educators
Advisers

Each group contributes to governance in different ways.

A common understanding among stakeholders of the drivers, expectations, values and priorities of an organisation is steering greater levels of transparency now than ever before.

Shaping the now, shaping the future.

Your commitment to governance matters. It’s not just about good, ethical and responsible administration – making a difference and shaping the future is a satisfying pursuit.

Continuing your governance education by keeping pace with leading practices and trends gives you the power to make a difference. In addition to being advantageous to your career, it gives you the opportunity to become part of a movement that contributes to the greater good of society.

Congratulations on starting your governance journey with us – welcome aboard! It’s going to be a great ride…