governance chap 1

• Governance


  A process whereby elements in society wield power, authority and influence and enact policies and decisions concerning public life and social upliftment
• Governance


  Comprises all the processes of governing whether undertaken by the government of a country, by a market or by a network over a social system and whether through the laws, norms, power or language of an organized society
• Governance


  The process of decision-making and the process by which decisions are implemented (or not implemented) through the exercise of power or authority by leaders of the country and/or organizations
• The focus of this book is on Corporate Governance
• Characteristics of good governance

  • Participation
  • Rule of law
  • Transparency
  • Responsiveness
  • Consensus oriented
• Participation


  • Participation by both men and women is a key cornerstone of good governance
  • Participation could be either direct or through legitimate institutions or representatives
  • Participation needs to be informed and organized
• Rule of law


  • Fair legal frameworks that are enforced impartially
  • Full protection of human rights, particularly those of minorities
  • Impartial enforcement of laws requires an independent judiciary and an impartial and incorruptible police force
• Transparency


  • Decisions taken and their enforcement are done in a manner that follows rules and regulations
  • Information is freely available and directly accessible to those who will be affected by such decisions and their enforcement
  • Enough information is provided and it is provided in easily understandable forms and media
• Responsiveness


  • Institutions and processes try to serve the needs all stakeholders within a reasonable timeframe
• Consensus oriented


  • Mediation of the different interests in society to reach a broad consensus on what is in the best interest of the whole community and how this can be achieved
  • A broad and long-term perspective on what is needed for sustainable human development and how to achieve the goals of such development
  • Understanding of the historical, cultural and social contexts of a given society or community