Corporate Governance

MBA643- Corporate Governance

1.

Interlink ages among business participants in Nigeria.

MD/CEO: They run the Organization and see to the day to day running of the company. Major decision makers of the business. In Nigeria, they stand has representatives of the board of directors, people who are usually made the Managing directors or Chief executive officers are those who have spent a number of years with the company and have invested a lot for the existence of the business.

Board of Directors: The Board of directors depends on the MD/ CEO for the daily running of the company. They meet regularly to make business decisions and access the company’s performance. The MD gives a report to the board. There usually is no restriction as to the number of people on a board, and the members are referred to as Directors, who are sometimes owners, managers or in most case the people elected or assigned by the owners of the business. The directors who are part of the management team are referred to as Executive directors. The selection and dismissal of any one is done by the shareholders in the general meetings.

Shareholders: They are the owners of the company by signing a memorandum of association but they usually do not get involved in the day to day running of the business. They depend on the BOD and Auditors to make right business decisions and present a true and fair picture of the activities of the company respectively. The shareholders determine the auditors who are outsourced to audit the company for transparency.

General Manager/ GM: Are part of the employees, they are put in such positions in other to carry out actions and activities recommended. They try to do a good job of making the books look right or making genuine profit. They mostly interface with the auditors or consultants, by trying to understand the audit techniques.

Regulators: We have a lot of regulatory bodies that review the company’s accounts/ financial statement on a regular basis. They...