Quality of Management
CorporateCOOPERATIVE
Governance-
GOVERNANCE
• PROFESSIONAL GOVERNANCE
• IT INTERVENTIONS
Corporate Governance-
GOVERNANCE REQUISITES
TRANSPARENCY PARTICIPATION
ACCOUNTABILITY PREDICTABILITY
Corporate Governance-
Governance 1
Models
ELECT
MGT
Elected
Management
EXECT
MGT Exect. Mgt
Corporate Governance-
Governance Elected
Management
1A
ELECT Models
MGT
2
Elected Executive
Governance
Models
Corporate Governance-
A global context
Research Findings
Cooperative Conflicts
•Members v Boards
•Members/Directors v managers
•Cooperatives v Governments
•Men v women
Corporate Governance-
Member participation
•General consensus on the need for more and better member participation
•The need for further research, knowledge sharing and Good (and bad)
practice case studies
•Strengthening Credibility
Corporate Governance-
COMPANIES COOPERATIVES
1/A
COMPANIES
Role Of Board
Corporate Governance-
•For Shareholders
•Effective Functioning +
Of Bank
BOARD COMPOSITION
PROMOTERS
EXECUTIVE DIRECTORS
NOMINATED DIRECTORS
Corporate Governance-
1/B
COOPERATIVES
Role Of Board
Corporate Governance-
•Raising Funds
•Advancing Loans
Board Powers •Investments
&
Responsibilities •Transfer Of Shares
•Approve Budget
•Supervision Of Societies
•Managing Assets
•Financial Reporting to Members
•Appointing Committees
•Approving Capital Expenditure
•Framing Regulation
•Framing Policies
Corporate Governance-
Composition
•Elected Members including
Reserved For women etc
•Nominated Members
•Co-opted Members
Corporate Governance-
COMPANIES COOPERATIVES
Role Of Committees
2
Corporate Governance-
COMPANIES COOPERATIVES
Audit committee Administrative Committee
Nomination
Committee Grievances Committee
Representing Board
Shareholders Risk Management Committee
Committees
Formation &
Audit Committee Operationalization as per
RBI guidelines
To Strengthen the Internal Control,
Externa lAudit and Take Corrective Action
Corporate Governance-
3 COOPERATIVES
Gaps in Governance
Approach
Corporate Governance-
Code of Governance
Recommendations-mandatory &
non mandatory
Governance Report
Chairman-Executive & non Executive
Gaps In
Independent Directors- pool by RBI
Governance
Type Of Board Committees
Nominated Directors
Disclosure & Transparency
Director’s Qualifications-
(Fit and proper, financial Literacy)
Related Party Transactions-Arm’s Length
Functional Separation-CMD
Corporate Governance-
•
Corporate Governance-
Thanks