Monday, November 23, 2015

Corporate Governance and Boards, System and Behaviour, Developing Board Effectiveness in Malaysia

VAN de LOO Erik , KAMARUDIN Maszuin, WINTER Jaap 
Corporate Governance and Boards, System and Behaviour, Developing Board Effectiveness in Malaysia, Universiti Tun Abdul Razak (UNIRAZAK) (2015) 246 p.

The Board of Directors is a high impact entity. It represents the highest authority and the ultimate leadership of organizations and institutions. The recent series of financial and economic crises situations have deeply challenged traditional ways of perceiving and dealing with risks. As a consequence, expectations and pressure have increased that “Boards deliver”.

One cannot “fix” this by merely imposing more rules and regulations. Boards will also need to behave differently. This book strongly advocates a multi-disciplinary focus on corporate governance and boards, on the interaction between system and behavior. It provides a series of new concepts and frameworks that help to open the black box of board reality, like Board on Task, Board GPS and The Matrix of Board Interaction.

Boards are about the interaction between executives and non-executives. One should not only focus on traps and derailment factors, it is equally important to identify positive core conditions for evaluating and developing boards: creating reflective space, building trust, humility and the courage to speak the truth.

This book also aims to compare and learn from corporate governance and board practices across Malaysia and other countries around the world. It describes the development of the governance landscape in Malaysia and the challenges boards face today. This is also based on a series of interviews with Malaysian Chairmen, Directors and Corporate Governance policy makers as well as on a pilot study on aspects of the practice of board evaluation in Malaysia.