The term ‘Corporate Governance’ represents the driving force of companies, as it identifies:
- the processes with which companies are directed and controlled;
- the activities that encourage companies to comply with codes ie, company governance guidelines.
Company governance encompasses a series of rules, relations, company processes and systems, through which fiduciary authority is exercised and controlled. These rules include the laws of the country where the company operates and the company’s internal regulations. Relations refer to all the relations between the parties involved in the company, such as owners, administrators, regulatory authorities, as well as employees and the company in general