New Malaysian Code Of Corporate Governance 2016 – A Comprehensive & Actionable Work Plan
Now listed entities have to “apply or explain an alternative” with a commitment as to how they plan to meet the intended outcome, instead of just explain why they cannot comply. Accordingly, listed issuers now must disclose its policies, targets and measures put in place to meet the intended outcome or goal.
The Securities Commission wants listed companies to appreciate that by complying with the new MCCG benefits their overall control environment in managing Board effectiveness, insightful audit work practices, prudent risk management and internal control monitoring leading to corporate reporting integrity and meaningful stake holders relationship. Directors today are expected to conduct themselves with the highest standards of business integrity, ethics and professionalism in decision-making and the execution of its operational plan activities. Case studies based on global companies like Toshiba, Tesco, Royce Rolls and Enron, which impacted these companies’ reputation and trust with all its stakeholders and more importantly its ability as a going concern moving forward, would be used to demonstrate the importance of sound corporate governance framework.
