Reference no: EM133505954 , Length: word count:3000

Corporate Governance

Learning Outcome 1: Demonstrate advanced understanding of contemporary corporate governance theory, frameworks and practice.

Learning Outcome 2: Critically evaluate and effectively communicate complex concepts to recommend improvements relating to corporate governance and organisational issues.

Learning Outcome 3: Apply corporate governance laws, theory and techniques to professional practice in an ethical manner.

 

Write a 3,000-word Appraisal Report where you will evaluate an organisation's risk governance and corporate social responsibility (CSR) practices, against relevant legislation, theories and principles (or guidelines). You will also provide constructive suggestions for improvement in the risk governance and CSR practices.

Task

Step 1

Select a company of your choice (preferably a publicly listed company due to data availability) and retrieve relevant corporate governance information.

As explained in Module 1 (i.e. Activity 1.2), you will find corporate governance information disclosed in the company's most recent annual report (Australian companies), proxy statement (US companies), management proxy circular (Canadian companies), company website or any other company statements.

Step 2
Based on the disclosed information and relevant governance legislation, principles, guidelines and theories, evaluate your selected organisation's governance practices according to the following perspectives:

Part A. Governance of Corporate Risk

1. Investigate and discuss your selected organisation's current risk framework, including a discussion of the board committee responsible for risk management.

2. Identify at least 7 risks (i.e. at least one from each of the strategic, management-level and operational areas) for your chosen organisation using any method we learned in Module 5. Assess and evaluate the recognised risks by their impact and probability (allocating a level from 1 to 5) and use the tool provided in Activity 5.2: Risk recognition, evaluation and mapping to map the risks into a risk matrix. Finally, discuss appropriate risk management policies for four of the seven identified risks. Hint: see Corporate Governance in Action 8.2: Levels of risk management policy in a London finance house, pages 214-215 of the textbook.

Part B. Corporate Social Responsibility (CSR) and Sustainability

1. Discuss the relevant board committee and the conformance and performance functions of your selected organisation's board in its CSR and sustainability.

2. Critically evaluate and discuss the CSR and sustainability practices at your selected organisation and how such practices affect its short-term and long-term performance/goals.

In discussing the risk governance and CSR practices, discuss relevant corporate governance principles and theories that are applicable. Where possible, draw out and discuss the implications of your findings for the conformance and performance functions of the board.

Part C. Board recommendations
Provide constructive suggestions for improvement in risk governance and CSR to the board of the chosen organisation.
Example report structure
The following is a suggested structure only.
Cover Page
Executive summary (ES)
Table of Contents (TOC)
1. Introduction (about 150 words)
2. Risk governance (about 1200 words)
3. Corporate social responsibility (about 1200 words)
4. Board recommendations: (about 300 words)
5. Conclusions (about 150 words)

References