KPMG Corporate Governance Survey in Sri Lanka 2007 released
KPMG Ford, Rhodes, Thornton & Co. released the findings of a recently
conducted Corporate Governance Survey in Sri Lanka, which was directed
towards providing the member firm’s clients, stakeholders and the
general community with interesting insights into current practices &
developments of Corporate Governance across various industries in the
country and involved feedback from a large number of corporate across a
range of sectors.
Recent corporate collapses at global level, increased regulatory
requirements and stronger stakeholder interest in companies has created
a positive and proactive interest in Corporate Governance practices
across the globe.
The survey examined the local context where many companies are seen
to be improving transparency, stakeholder accountability and even
extending towards community development and justification of social
costs.
The main areas of coverage in the survey included:
* General importance of corporate governance
* Corporate governance structure
* Corporate governance practices
* Corporate governance development
* Critical success factors for improved corporate governance
* Regulatory impact on corporate governance
* General impact of corporate governance
* Alternate approaches to promote corporate governance & other issues
The key findings included mixed views on the independence of
directors; director succession becoming a challenge for many companies;
board involvement in strategy and goal setting is at a high level, but
could be higher; performance measurement of the board and directors may
require further enhancement and the audit committee with greater power
to investigate financial reporting is considered as an important
principle to ensure good corporate governance.
The improvement of corporate citizenship is considered to create both
quantifiable and non-quantifiable benefits for the corporate institution
as well as the various communities with which they interact and thus
facilitate business improvement and sustainability.
The Corporate Governance survey document can be downloaded from
www.lk.kpmg.com
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