Governance
OUTLINE
What is meant by corporate governance?
What regulation says about it?
How to achieve good corporate
governance?
Based on the real case
What happen if we not comply the
corporate governance?
Conclusion
What?
Unlimited Definitions
“… process and structure used to direct and
manage the business and affairs of the
company towards enhancing business
prosperity an corporate accountability with
the ultimate objective of realizing long term
shareholder’ value, whilst taking into
account the interest of stakeholders”
Directors
Audit Committee
Senior management
What
regulation
says?
Overview of the Malaysian Code for Corporate
Governance
BOD, BOD bal, supp.info,
A.Directors appmt, reelection.
PART 1
PRINCIPLES B.Dir.remuntn Lvl rem.,procdr,disc
D.Acc/aud
Fin.reptg, int.contrl,
r/shp w audtrs
CODE
PART 2 AA.Directors 6 prin.responsibility
BEST
PRACTICES BB.Acc/aud Aud commtee n intrl aud
CC.S/holder
r/shp bet s/hdr n BOD
PART 3
OTHER PARTICIPANT
PART 4
EXPLANATORY NOTES
AVAILABILITY OF
TIMELY
& ACCURATE www.orac.com.my
REPORTING
How to
achieved good
Corporate
Governance?
Effective audit
•Company operation
committee
•Technology Procedures to deal
•Safety on people with disaster
•Financial statement •Accounting challenges
•Risk management •Compliance requirements
•Internal control •Impact to audit requirements
•Compliance audit •Impact to reporting requirement section404
•Oversight the management
•Relationship with external
auditor
•Resources and special
investigation
•Committee composition
•Training
•Meetings
•Charter evaluation
Balance director
•Companies Act
Section
132A,132B,132C,132D,132E,132G,
133,133A-Focus on Directors
•Securities Commission
•Listing requirement
•etc
REAL CASE
IN
MALAYSIA
Public Bank Berhad
Malaysian Business
Corporate Governance
Award Survey Report
since 2002-2004
Overview of the Malaysian Code for Corporate
Governance
BOD, BOD bal, supp.info,
A.Directors appmt, reelection.
PART 1
PRINCIPLES B.Dir.remuntn Lvl rem.,procdr,disc
D.Acc/aud
Fin.reptg, int.contrl,
r/shp w audtrs
CODE
PART 2 AA.Directors 6 prin.responsibility
BEST
PRACTICES BB.Acc/aud Aud commtee n intrl aud
CC.S/holder
r/shp bet s/hdr n BOD
PART 3
OTHER PARTICIPANT
PART 4
EXPLANATORY NOTES
WORLD
DAIWA
BANKCOLLAPSE COM
BCCI BARINGS
BANK EMPIRE
CONCLUSION
The system of companies is direct and control.
All people have their own roles within the company
Directors-Responsible the governance
Shareholder-Appoint appoint director and auditor and
satisfy the appropriate governance.
Auditors-Provide the external check of Financial
statement.
Audit committee -Provide independent evaluation on
Finacial reporting and business ethic.
Cont’d
The critical part are decision making and
the compliance together with the
reliability of Financial statement.
Whatever rules provided by Company
and must bring to practical, if not, it isl
just a waste.
The end
Thank you