Marcello Bianchi, Chair of the
OECD Steering Group on Corporate Governance, talks about lessons learned and the challenges ahead
Lessons from the financial crisis
The financial crisis has revealed severe shortcomings in corporate governance. When most needed, they often failed to provide the checks and balances that companies need in order to cultivate sound business practices. Corporate Governance Lessons from the Financial Crisis provides a first overview of these shortcomings and the resulting challenges. A follow-up paper examines in more depth and generality strenghths and weaknesses in four key areas: Corporate Governance and the Financial Crisis: Key Findings and Main Messages.
Mats Isaksson, Head of Corporate Affairs, talks about the corporate governance failures thrown up by the crisis in areas like executive pay and risk management and what needs to be done.
Towards better corporate governance
OECD has launched an ambitious action plan to address weakness in corporate governance. It aims to develop a set of recommendations for improvements in priority areas, such as board practices, implementation of risk-management, governance of the remuneration process and the exercise of shareholder rights. The recommendations will also address how the implementation of already-agreed standards can be improved.
Global consultation
An important part of this initiative is to engage and seek advice from key stakeholders. Representatives from governments, the private sector, trade unions and civil society participated in a consultation on corporate governance and the financial crisis on 18 March 2009 with a view to helping guide OECD’s work in the area of corporate governance and providing input to the recommendations.
An online consultation inviting comments from the public on corporate governance and the financial crisis was conducted between 16 March and 16 April 2009.
