Corporate GovernanceModule Details

The rationale behind every module is to offer the student all possible knowledge in each module of the course, in order to be able to deepen their understanding and render them capable of practically applying it. Corporate Governance offers an explanation of the term itself and the diverse corporate governance systems and their characteristics, while discussing corporate governance reform and its effectiveness. The module explains to the students the importance of the monitoring role by institutional investors in corporate governance and in encouraging a broader corporate accountability.

After completion of the course students are expected to be able to:
Discuss the range of definitions of corporate governance. Appreciate the historical development of corporate governance. Compare and contrast the theories that help to explain corporate governance.
Discuss the corporate governance reform. Explain the “comply or explain” approach to corporate governance. Demonstrate the link between corporate governance and financial performance.
Explain the initiatives introduced in the in order to improve the effectiveness of boards of directors.
Explain the important monitoring role played by institutional investors. Discuss the complex ownership web that is created from institutional investment. Demonstrate ways in which institutional investors are becoming more active in corporate governance and what is the impact of this activism on company performance.
Discuss the role played by financial accounting and internal control systems in corporate governance. Explain the importance of audit in relation to corporate governance.

Discuss the diversity of corporate governance systems and discuss the characteristics of insider versus outsider oriented corporate governance systems. Demonstrate the influence of legal systems and understand the concept of corporate governance convergence.
Discuss the growth of corporate social responsibility and its impact on stakeholders. Demonstrate the importance of a positive relationship between corporate social responsibility and corporate
financial performance. Explain the concept of sustainability reporting.
Demonstrate the important role that institutional investors play in encouraging greater corporate social responsibility. Discuss the growth of socially responsible investment and its impact on companies.