Within corporate governance the accountability of the board of directors is identified as a major issue by governments, international bodies, professional associations and academic literature. Boards are given significant power in companies, and as a consequence it is argued that they should be accountable for their actions. Drawing on political science, public administration, accounting, and ethics literature, this book examines the concept of accountability and its meaning in the corporate governance context. It examines the rationale for making boards accountable, and outlines the obstacles and drawbacks involved in providing for accountability.
The book goes on to examine how current mechanisms for ensuring accountability are assessed in terms of fairness, justice, transparency, practicality, effectiveness and efficiency, before discussing the ways that accountability might be improved. Andrew Keay argues that enhanced accountability can provide better corporate governance, helping to reduce the frequency and severity of financial crises, and improve confidence in company practice.
As an in depth study of a key element within the exercise of authority and management in corporate entities, this book will be of great use and interest to researchers and students of corporate governance, business and management, and corporate social responsibility.
"This title will be welcome to both lawyers and researchers for what it is as an in depth study of a key element within the exercise of authority and management in corporate entities- ‘entities’ being the current favourite word of the decade in this area of law. We consider that this book will be of great use and interest to all researchers and students of corporate governance, business and management, and corporate social responsibility as well as practitioners and those curious about the future shape of corporate governance as the 21st century unfolds."
- Phillip Taylor MBE and Elizabeth Taylor of Richmond Green Chambers
1. Introduction 2. What is Accountability? 3. Why Do We Need Accountability? 4. To Whom is the Boards accountable? 5. The Objectives of Accountability 6. For What are Boards to Account? 7. Accountibility Mechanisms 8. Accountability : Limits, Obstacles and Drawbacks 9. Balancing of Accountability and Power/Authority 10. Conclusion
The credit crunch of 2007 and the ensuing financial crises have led to a renewed interest in the place of corporations in the modern world and the role of law and regulation in governing their behaviour. This series looks to survey the current developments within the field of corporate law as well as mapping out future opportunities for change. The series offers a comparative approach to the subject, looking not just at North America and Europe but also at the state of affairs elsewhere in the world. Written by influential scholars, the books offer thought-provoking and often critical analyses of corporate law. The functions and legal obligations and rights of multiple stakeholders including directors, investors, governments and regulators are examined from both empirical and theoretical standpoints. Whilst being grounded in law the series also draws upon research from the disciplines of economics, management studies, sociology and politics in order to explore the implications of corporate law in their wider social and economic context.