GOVERNANCE, LEADERSHIP AND MOTIVATION

Governance, leadership and motivation

Governance, Leadership and Motivation

Introduction

Today, organizations are trying to stay competitive in ever changing environment due to which leaders are forced to act predicatively and react prudently. It has become necessary for organizations to demonstrate good governance. Leadership is a critical ingredient of good governance. Leadership has the ability to bring out best out of individuals for betterment of all. It is the role of the leadership which formulates effective mechanisms and among such mechanism governance also holds a key place (Ghartey, 2002, 29). Currently leadership is seen as demonstration of animal spirits and corporate governance as restraint upon their free expression. Moreover it is stated that corporate governance is self regulation which requires leadership to make it effective. Corporate governance and leadership are at their best when they are symbiotic.

Research claims that organization cannot achieve effective governance if its employees are not motivated. There is strong relationship between governance, leadership and motivation. In this paper we are going to design a training program which an organization. The purpose of this paper is to let readers know about the importance of corporate governance, influences of best practices in effective performance of corporate governance, structure of board of directors, their responsibilities, importance of group cohesiveness and group dynamics in context of motivation and leaders. Readers will also have knowledge about different stakeholders related to this organization.

Corporate governance is a custom and set of principles which is guideline for board of directors. It makes sure that the corporation functions in an ethical and responsible way. Corporate' outline can be determined as: Implicit and Explicit Contracts, Procedures for recononiling, and procedure for supervision. These are some of the activities involving operation management. Explicit and implicit heads are those which include organizational external stakeholders. In order to make sure that the organization is functioning in systematic way and it keeps its employees motivated, this contract is signed (Dess, 2002, 341). According to Boyd, corporate governance can also be explained through financials of a business. The matter of principal agent is occurred in many multinational companies where there is separation between interest of stakeholders and administration. The status of the stakeholders might change due to this situation.

There are several policies made to secure stakeholder's interest. Often Board of Directors can be insulated by stakeholders and is grateful to them. Many time these themes become constant debate points between people of management and stakeholders (Baker and Anderson, 2011). This risk can be occurred but supervised by the management. Board of directors on behalf of stakeholder may turn out to be insulate on or after the stakeholders and indebted to the management. These policies exist in advance in current community debate. Yet there are number of policies to come up in corporate governance. It is suggested by Anderson that it is done particularly in case of responsibility as some companies have collapsed due to this. Most of collapsed companies were involved in accounting ...