Topic: Public/Civil service values and Ethics in Public administration: Status and problems; ethical concerns and dilemmas in government and private institutions; laws, rules, regulations and conscience as sources of ethical guidance; accountability and ethical governance; strengthening of ethical and moral values in governance; ethical issues in international relations and funding; corporate governance.
7) Discuss the various issues associated with Corporate governance in India, also suggest what measures can be taken to overcome these issues.(250 words)
Ethics by Lexicon publications
Why this question:
The question is based on the theme of corporate governance.
Key demand of the question:
One must discuss the significance of corporate ethics, the issues associated with it and way forward to tackle the same.
Discuss – This is an all-encompassing directive – you have to debate on paper by going through the details of the issues concerned by examining each one of them. You have to give reasons for both for and against arguments.
Structure of the answer:
Explain what do you understand by corporate ethics?
In recent times various issues regarding corporate governance have been witnessed in India.
Issues associated are as followed –
Board of directors’ appointments in India are still by way of “word of mouth” or fellow board member recommendations. Lack of effective Performance Evaluation of Directors, lack of true Independence of Directors – Independent directors’ appointment is biggest concern in the corporate governance. The independence of promoter appointed independent directors is questionable as it is unlikely that they will stand-up for minority interests against the promoter. Removal of Independent Directors, Accountability to Stakeholders – Various general duties have been imposed on all directors, directors including independent directors have been complacent due to lack of enforcement action, Executive Compensation, Risk Management – As a key aspect of risk management, privacy and data protection is an important governance issue, but it has been always neglected.
Suggest what can be done to overcome the issue?
Conclude with way forward.