18 Questions
What is the primary goal of corporate governance?
To ensure ethical and effective leadership
What is the term for people or groups involved in, impacted by, or having an interest in an organisation?
Stakeholders
Who provides a basic definition of governance?
Sir Cadbury
What is the primary characteristic of effective governance?
Ethical culture and effective control
What is the main difference between corporate governance and organisational governance?
One is concerned with the governance of corporations, while the other is concerned with the governance of organisations
What is the purpose of the King IV Report of Corporate Governance for South Africa?
To provide guidelines for corporate governance in South Africa
What is the primary role of an Executive Director in an organization?
To oversee the overall strategy and direction of the organization
Which of the following is a characteristic of an Independent Non-Executive Director?
Free from any business relationship with the company
Who should not simultaneously hold the positions of CEO and Chairperson of the Board of Directors?
The CEO of the organization
What is the requirement for a retired CEO to become the Chairperson of the Board of Directors?
Three complete years must have passed from the end of the CEO's tenure
What is the primary difference between an Executive Director and a Non-Executive Director?
The level of involvement in the day-to-day running of the organization
Why is it important to have Independent Non-Executive Directors on the Board of Directors?
To provide objective oversight and guidance to the organization
What is the recommended approach for all organisations in the public and private sectors in terms of governance principles and practices?
Apply and explain
What is the ideal composition of the Board of Directors in terms of non-executive directors?
A majority of non-executive directors
What is the minimum requirement for executive officers on the Board of Directors?
At least one executive officer, including the CEO, should be appointed
What is the primary role of the Board of Directors in terms of governance?
To discharge its governance roles and responsibilities objectively and effectively
What is the desired outcome of having a balanced composition of the Board of Directors?
To ensure that the Board of Directors can discharge its governance roles and responsibilities objectively and effectively
What is the key characteristic of independent non-executive directors on the Board of Directors?
They are independent and objective in their decision-making
Test your knowledge on the different stakeholders involved in an organization and the evolution of governance in South Africa, including the KING reports from 1994 to 2016. Learn about the role of shareholders, directors, employees, and more. Understand the impact of the KING reports on business ethics and morality in South Africa.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
