The reasons why you should study corporate governance

Corporate governance covers the mechanisms by which companies are held accountable and entails the structure of rules, relationships, systems and processes through which authority is exercised and controlled in corporations.

Corporate governance determines how the company's goals are defined and achieved, how risk is monitored and evaluated, and how performance is optimised. King IV™ promotes good corporate governance in South Africa, as does the law. The responsibilities of directors are emphasised in King IV™ and an environment of effective and ethical leadership is promoted. Principles associated with ethical leadership include integrity, competence, responsibility, accountability, fairness, and transparency.

The role of the professional in governance

Professionals charged with ensuring good governance practices within an organisation play an important role in enforcing and promoting high standards of ethical behaviour, integrity and compliance. In particular, the person has a significant impact on the level and quality of the organisation's corporate governance and governance culture and often has a pivotal role in assisting the board to achieve the entity's vision and strategy.

The governance professional’s activities encompass legal and regulatory duties and obligations, as well as additional responsibilities assigned by the employer. These professionals perform their administrative roles at an executive level and are the primary source of advice on governance to their board. They are senior professionals trained in law, finance, governance, risk and strategy.

What is a corporate governance professional?

The professional can hold different titles, depending on the organisation’s requirements. You may be called company secretary, risk manager, compliance officer, legal counsel, financial manager or governance adviser. CGISA caters to all types of governance professionals with the choice of two chartered routes namely: