THE IMPORTANCE OF A WELL DEFINED CORPORATE GOVERNANCE

Present day discussions of corporate governance are mainly centred on finance related issues, stakeholder management, and leadership. In a broader view the definition of Governance varies nowadays and is used in several meanings as e.g. corporate governance, organizational governance or business governance. The objective of the paper is to identify and discuss the key criteria to ensure a well-defined corporate governance. The methodology used involves interviews with 40 managers and company leaders from global acting medium sized manufacturing and service companies in order to gather information about the key elements of a corporate governance and the issues they are facing on an operating level with their corporate governance. The key elements are applied in a case study in order to understand which the main components to define the corporate governance are. The results show that the principles for corporate governance are the right one, the implementation, monitoring and review is more than important to have a stable and well defines corporate governance in place.