What is corporate governance?
Corporate governance is the system of rules, practices, policies and procedures that direct and control an organisation and its behaviour. It usually refers to both the framework and the relationships that define corporate performance and direction. Typically, the board of directors is responsible for a company’s corporate governance, which involves:
- setting the company’s strategy
- putting in place the leadership to implement that strategy
- overseeing the overall management of the business
- reporting back to shareholders.
Why is it important to have good corporate governance?
In today’s complex regulatory landscape, bad corporate governance can make the global marketplace call into question your organisation’s transparency, integrity and reliability. Such doubts can in turn hurt your company’s reputation and financial standing.
Good, responsible corporate governance, on the other hand, tries to balance the interests of all stakeholders, including:
- suppliers and vendors
- the local community
- the global community.
By doing so, the aim of corporate governance is to mitigate conflicts of interest between these stakeholders, drive company performance and cultivate the long-term success of the organisation.
Understandably, it’s in a company’s best interests to practice good corporate governance. In addition to turning a profit, businesses in today’s climate need to be ethical, visible and environmentally conscious, too.
Risk management is an essential element of strong corporate governance, and Lexis Diligence® is likewise an essential tool for a robust risk-management strategy. The tool combines an unrivalled collection of global business intelligence with innovative and user-friendly technology to help mitigate your business risk.
Diligence’s® search capabilities give you access to a wide range of content, including:
- current and archival news dating back four decades
- sanctions lists, watchlists and politically exposed person (PEP) lists
- executive, company and industry data
- in-depth risk analysis reports.
Plus, with the Diligence® integrated Report Builder, you can maintain an auditable and verifiable due diligence trail to help ensure you meet regulatory requirements and stay compliant.
Diligence® helps you better understand your customers, employees, partners, suppliers and competitors so you can manage and mitigate the risks that could negatively impact your business. Ultimately, it improves your decision-making by keeping you well-informed.
BatchNameCheck® is an automated, high-volume entity screening and monitoring tool that will strengthen your risk-management strategy and your overall corporate governance.
It’s a secure, efficient and cost-effective solution for integrated name checking of current and new entities. With companies coming under increases scrutiny as money laundering, bribery and other forms of corruption plague the global market, it’s critical to have such a tool in your arsenal to protect your organisation from third-party risks.
With BatchNameCheck®, you can:
- upload third-party contacts and verify them against a range of data sources, such as PEP databases, global watchlists, sanctions lists and negative news items
- verify any hits and identify potential causes for concern by executing name checks
- refresh your lists daily to make sure you’re running checks against the most up-to-date information
- run detailed global reports to help you understand which concerns you may need to escalate or monitor further.
From its searches, BatchNameCheck® delivers near-real-time results that keep you alert to compliance risk and empower you to make better business decisions so you can move your business forward with confidence.
Corporate governance is more important than ever, as today’s global marketplace expects organisations not only to make money, but also to pay attention to their impact on their communities and the world. Failing to do this can be damaging – both financially and reputationally – to your business.
With this increased focus on responsible corporate governance, companies need robust risk-analysis and risk-management strategies in place. Our supply-chain solution, LexisNexis Entity Insight®, can play a critical role in these strategies.
To help ensure that your corporate governance is above reproach and that your organisation steers clear of the corruption that’s rampant in the business world, Entity Insight® enables you to monitor risk using a PESTLE (political, economic, sociocultural, technological, legal and environment) framework, which gives you comprehensive transparency into potential threats. The tool provides you with the information you need to proactively make decisions and pre-empt problems. You’ll gain invaluable insight into your global supply chain, partners, vendors and other business relationships – all of which expose your company to some degree of risk.
Entity Insight’s® easy-to-use dashboard lets you:
- study a snapshot of risk levels and trending risk areas before it drills down into specific risk profiles
- manage active and pending entities, as well as related RSS feeds
- see news volume for all active entity mentions, colour-coded by PESTLE category
- identify the top 10 news volume trends among active entities and risk topics
- investigate the context of adverse media mentions and mitigate developing risks.
Armed with these insights, you’ll be in a strong position to protect yourself from regulatory, reputational, strategic and financial dangers.