Corporation Governance

Corporate governance and risk management involve practices in business that are designed to ensure that all transactions and corporate affairs are handled ethically and are financially sound. By ensuring that all business dealings are done in an appropriate fashion, businesses can help reduce their financial and legal risks.

.Risk Management

Risk management is the general monitoring of financial and business transactions. Before making a business decision, risk management specialists conduct research into the financial aspects of the proposed transaction or deal to ensure that the risk of loss in minimal. While no business dealings are completely without risk, reducing the possibility of making a financial mistake keeps companies from allowing a bad turn of events from becoming catastrophic.

Corporate Governance

Corporate governance is typically the responsibility of a company's board of directors. It involves the oversight of all business operations. The board of directors governs the overall operations and are chiefly responsible for protecting the financial profile of the company. It is their decisions with regard to such things as mergers and purchasing agreements that ultimately affect the corporation's professional identity. Corporate governance is the term applied to the processes a board of directors will use to ensure the fiscal fortitude of a company.

Responsible Personnel

The board of directors is ultimately responsible for all business operations within a corporation. The directors answer to shareholders with regard to the profitability of the company. They safeguard the interests and financial well-being of the entire organization and all employees. Risk management is often conducted by high-ranking executives within the corporate structure. CEOs and CFOs are the main personnel responsible for assessing and evaluating risk. While it is ultimately the board of directors that chooses which opportunities to pursue, CEOs and CFOs are typically the...