Internal and External Corporate Governance

Corporate Governance
Knowledge Center

Corporate Governance > Best Practices

Sign up

Jaap de Jonge
Editor, Netherlands
Corporate Governance (CG) can be viewed as the system by which companies are directed and controlled. Also companies can be held accountable by CG, limiting managerial discretion in order to protect the interests of outsiders in the corporation. These 'outsiders' can be shareholders, stakeholders, other interested parties or even society as a whole. Any CG 'system' consist of a large number of mechanisms. We can broadly categorize CG mechanisms into two groups: 1. Internal Corporate Governance Internal corporate governance encompasses the controlling mechanisms between various actors inside the firm: the company’s management, its board and the shareholders. In this form, the shareholders and other constituents 'delegate' the controlling function to internal entities or mechanisms, such as the Supervisory Board (in case of two-tier board) or the Board of Directors (one-tier) and/or special committees. Examples of internal corporate governance mechanisms: The Corporate Charter (...) Read more? Sign up for free

  Ashok Asthana
Consultant, India

Corporate Governance - The Role of the Customer

I feel customers play a very important role in inf (...)

  Hazem Yassin
Manager, Saudi Arabia

Keep Corporate Governance as Simple as Possible

Dear Jaap your article was very good, concentrated (...)

Strategy Consultant, India

Internal and External Corporate Governance

The effectiveness in counterbalancing internal and (...)

  alim sale
Strategy Consultant, Kenya

Corporate Governance Mechanisms (Intern and Extern)

Thanks for the interesting analysis of all element (...)

Consultant, Sweden

Are Sub-consulting Firms part of Internal Governance?

Your examples of external governance mechanisms se (...)

  Adam Mohammed Baba
Director, Ghana

Corporate Governance and Local Government Service

As an employee of local government (LG) service, y (...)

  Madan Gopal Agarwal
Business Consultant, India

Corporate Governance

Excellent articulation and perspective, Jaap. The (...)

  Douglas Ferguson

Corporate Governance and Joint Ventures

How might this structure be applied in joint ventu (...)

  Adam Mohammed Baba
Director, Ghana

Corporate Governance and Local Government Service

@Adam Mohammed Baba : Thank you Jaap for the excel (...)

Consultant, Sweden

External Influences and CG Mechanisms

I'd appreciate clarification of some of the extern (...)


Transparency in Internal and External CG

@D P Babu: I agree with your opinion... I believe (...)

  Suleiman C. Muttani
Consultant, Tanzania

Corporate Governance is More of Internal Value Than for External Control

I would thank the Mr de Jonge for this interesting (...)

Student (MBA), Sao Tome and Principe

Good Ethics in Internal and External Corporate Governance

@Madan Gopal Agarwal: I agree with you Madan, I al (...)


More on Corporate Governance
Corporate Culture Vis-a-vis Societal Culture
🔥CEO Duality
HR Involvement in CG
How to Evaluate and Measure the Effectiveness of Corporate Governance Systems?
Corporate Governance and Strategy
Corporate Governance Aims
Culture and Corporate Governance
Gender Diversity (Women) in the Board of Directors
A Global Corporate Governance Body is Needed
Challenges in Corporate Governance in Africa
Corporate Governance Rules and Ethics
Why Should a Firm have Procedures and Policies?
Governance versus Management
Maintaining Creativity and Flexibility Despite of Corporate Governance Mechanisms
Corporate Governance and Compliance
Best Practices
Internal and External Corporate Governance
Agency Theory: Principal-Agent Problems
Corporate Governance: One-tier versus Two-tier Boards
Dealing with non-profit Board of Directors
Europe Reaches Agreement on Banking Supervisor: Curse or Blessing?
Corporate Governance in Family Businesses
Governance in Public Sector Organisations
How Corporate Governance Affects the Financial Performance of Companies
Why the Interest in Corporate Governance Today?
Special Interest Group

Are you interested in Corporate Governance? Sign up for free

Notify your students

Copy this into your study materials:

and add a hyperlink to:

Link to this discussion

Copy this HTML code to your web site:

Corporate Governance
Knowledge Center


About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
© 2021 12manage - The Executive Fast Track. V15.7 - Last updated: 21-1-2021. All names ™ of their owners.