GOOD GOVERNANCE PRACTICE IS ESSENTIAL

Meanwhile, it has commonly been accepted that professional governance is an essential instrument for an organization to be ensured of short term performance and long term health through sustainable economical or social value growth.

However a recent study of “Governance Metric International” proved that Belgium is far behind on a list of 23 industrial countries concerning good governance practice in companies with a score of only 3.76 on 10 points. Only Greece and Japan perform worse, where as the Anglo-Saxon countries score above 7 on 10 points.

A professional governance structure ensures the right balance between entrepreneurial leadership and a sufficient degree of control and risk management covering the whole organization. Shareholders, providers of financial resources and other stakeholders will more and more request that good governance practice is respected in the companies in which they participate.