The Fish Rots From The Head: The Crisis in our Boardrooms: Developing the Crucial Skills of the Competent Director

by Bob Garratt

A modest manifesto for the future of effective corporate governance Any effective process of corporate governance must start at the national level and depends on the legislators ensuring: a law of property a law of contract effective courts of law a process of speedy legal redress. The main recommendations I am making from this book are as follows: Government Be modest, thoughtful and consult widely on your proposed legislation. Do not assume that the government always understands corporate governance. Ensure that the directors’ legal duties described in company law apply to all organizations across the private, public and not-for-profit sectors. Ensure that secondary legislation, including all codes concerning corporate governance, is incorporated into company law. Enforce the laws on the use and abuse of the term ‘director’. Ensure that triple bottom line reporting is written into national legislation for all organizations to encourage responsible investing. Ensure that all governmental agencies are legal entities so that their boards can operate under company law rather than at the whim of government ministers. Pass legislation so that the roles of ministers and public-sector directors are clearly defined. Create a separate national oversight and conduct regulator for corporate governance. Public sector Conduct your business under the relevant company law and corporate governance code as best practice. Adopt triple bottom line reporting. Ensure that the accountable offi...