Corporate Governance

I recently studied the Australian Bureau of Statistics figures regarding businesses in the ACT, and while the figures are a little old, they tell an important and consistent story. At any given time, there are approximately 25,000 businesses in Canberra - each year approximately 4,000 start and 4,000 exit. Assuming Canberra is similar to other jurisdictions in Australia, you can...

In late 2013, The Australian Institute of Company Directors released its Directors Social Impact Study which explored governance issues across the not-for-profit sector. The disability sector received specific attention with the major changes occurring in this area. From 1 July 2014, the National Disability Insurance Scheme (NDIS) trial will commence in the ACT, and many organisations are gearing up for...

When positioning and preparing your business for sale, whether you are a privately-owned growing business or a listed corporate, there can be many strategic options which need to be considered at any one time including options such as divestments, capital raisings, takeovers, mergers and acquisitions in order to maximise your value. Prior to considering these options it is crucial the...

Whether you are a Director, Chair, or reporting to the board of an organisation, one of the questions you may consider is how effective is your board in helping the organisation achieve its objectives. Many a discussion is had around the coffee station or water cooler about how effective the executive team is in dealing with the big strategic issues...

Directors of Australia's sports boards have rated the effectiveness of their boards below the average not-for-profit (NFP), the 2013 Directors Social Impact Study, has revealed. The Director Social Impact Study (DSIS), sponsored by Commonwealth Bank and conducted by Curtin University on behalf of the Australian Institute of Company Directors, indicates that sports boards need to do more to improve their...

The confidence of Australian directors about the outlook for business and the future of the economy has dramatically improved since the election of the Coalition, but they see increasing red tape and the burden of regulation as Australia's greatest economic challenges, according to the latest Director Sentiment Index (DSI) which is published by the Australian Institute of Company Directors ....

The recently released Directors Social Impact Study again provided fascinating insights into the governance of the Not for Profit ( NFP) sector. One of the key findings was that there was no evidence that NFP boards are not any more or less effective than for-profit boards. This finding is important, as there has been much anecdotal commentary that governance of...

In my last column, I reflected on the need to take action on regulation. In July, we also released our final policy position paper titled 'Towards better regulation.' We believe deregulation - stemming the growth in regulation and actually cutting back existing red tape - is a key element of the agenda for boosting national productivity and a crucial policy...

The Australian Institute of Company Directors has issued a new policy priorities paper calling on the next government of Australia to take action on key issues for directors, including a new approach to regulation and better consultation with business. The paper, Governing for a More Prosperous Australia: Key Issues for Directors in the 2013 Election, calls on the Federal Government...

As part of our commitment to the NFP Sector and its directors the Australian Institute of Company Directors has developed the Good Governance Principles and Guidelines for Not for Profit Organisations. The Principles are designed to assist boards in determining what constitutes good governance practice for their particular organisation and to achieve better outcomes through good governance. It was recognised...

A fascinating interview with Jac Nasser in this month's Company Director magazine explored the world of succession planning. A quote that stood out was on how they approach succession planning for the board and senior executive team "we look out 10 years and project the skills and experiences the board will need and identify the gaps". For many small businesses,...

Another start to a sporting year, and the headlines have been mostly negative, whether it relates to the major football codes, cricket or indeed Olympic sports. The reviews undertaken after the Olympics and recently announced by the Australian Sports Commission have clearly focuses on improving corporate governance. A couple of quotes from a recent statement affirms this view: "While good...

A recent report out of Canada is again highlighting the importance of good governance of organisations by highlighting the connection between better corporate boards and financial results. At the Australian Institute of Company Directors, we have long argued the importance of good governance and that diversity in the boardroom is critically important in achieving good governance. Most recently, there has...

I wrote in a column in 2012 about the benefits that advisory boards can offer to smaller businesses. In this first column of 2013, I am revisiting this theme but on a broader scale, by looking at the importance of good governance for any type of organisation, including Not For Profit, Private and Public Sector organisations. There has long been...