Posts Tagged ‘corporate governance’
COSO Yanks Draft Governance Framework
COSO has withdrawn its proposed corporate governance framework barely six weeks after unveiling it, saying that a “shifting regulatory and economic landscape for U.S. businesses” plus recent passage of Republicans’ tax-and-spending bill warrants going back to the drawing board for a fresh start. COSO announced the withdrawal of the draft framework on Wednesday, in a…
Read MoreCOSO’s Draft Corporate Governance Framework
Executives and board directors are always searching for a better way to manage their organizations — and rightly so, considering how messy and bewildering corporate governance can be at large organizations. Now COSO is trying to remedy that situation with a proposed framework for corporate governance, and we should all take a close look. COSO…
Read MoreAnother Example of Weak Governance
Brace yourselves, ethics and compliance officers! Today we revisit another example of corporate leadership gone wrong: Vince McMahon, the long-time (and now former) CEO of World Wrestling Entertainment, accused sexual predator, and overall blowhard. McMahon agreed last week to pay $1.7 million to settle charges from the Securities and Exchange Commission that he failed to…
Read MoreMaking a Compliance Charter Work
Compliance officers are always looking for ways to help the board of directors oversee the ethics and compliance function, so today let’s explore one way to do that by adapting an idea from the internal audit function: a charter that spells out board oversight duties. Specifically, the audit committee of the board is charged with…
Read MoreAn Internal Governance Basket Case
Talk about the gang that couldn’t shoot straight: One of the largest online gun marketplaces in the United States just filed its latest annual report, and the thing is an internal controls and corporate governance catastrophe. If you’ve ever needed an example of how not to manage your governance operations, read onward. The company in…
Read MoreGetting Started on Governing AI Issues
Today we are going to keep looking at artificial intelligence and how corporations can get ahead of the risks thereof. Our previous post on AI was primarily a list of potential risks that could run rings around your company if you’re not careful; so what steps can the board and senior executives take to prevent…
Read More‘Our Boss Is a Jerk’ Risk
Well here’s something you don’t see every day: a company declaring that one of its top leaders is so notorious for misconduct that his very presence at the business qualifies as a material risk to corporate success that investors should know about. So said World Wrestling Entertainment last week about its longtime and larger-than-life leader,…
Read MoreDuty of Oversight, Part II
Today let’s take a closer look at that Delaware Chancery Court decision from last week that established a “duty of oversight” for corporate officers. It’s another evolutionary step in the oversight of corporate culture, which is always something corporate compliance and audit professionals need to watch closely. The decision involved the former head of HR…
Read MoreMore Compliance Lessons From Elon
Elon Musk is the gift that keeps on giving, providing one example after another of how an executive can blunder forward without considering — or maybe just ignoring, who really knows — the ethics and compliance implications of his or her decisions. What lesson does the chief twit offer now? Read on. The immediate news…
Read MoreThe One Super-Big Lesson of FTX
People keep asking me what lessons the compliance and audit community might learn from the spectacular collapse of cryptocurrency platform FTX Corp. The more I contemplate FTX’s shortcomings, however, the more I believe the answer to that question is simply “all of them.” Just read the bankruptcy petition filed on Nov. 17 by newly named…
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