The importance of adopting good corporate governance practices for operational efficiency and the company's own concept and longevity

Before addressing the aspects involving the importance of good practices related to corporate governance it is interesting to note, from the outset, that in general these are applicable to companies and/or organizations of different sizes, sectors or legal nature, obviously varying its structure and scale of scope according to the characteristics and needs of the company. In fact, they are healthy principles and practices that apply to any organization aimed at their efficiency and safeguard, and in some cases they are required by legal force and/or specific regulation, for example: public companies and mixed economy societies (Law no. 13.303/2016), open companies (CVM standards), health operators (ANS standards), etc.

We transcribe the conceptualization emanating from the Brazilian Institute of Corporate Governance - IBGC about corporate governance, as well as the basic principles of this:

“Corporate governance is the system by which companies and other organizations are directed, monitored and encouraged, involving relationships between partners, board of directors, board, inspection and control bodies and other stakeholders.”

Objectively, corporate governance comprises a structure with practices, rules and processes governing the company to achieve its goals efficiently and its business are successful.

“Good corporate governance practices convert basic principles into objective recommendations, aligning interests to preserve and optimize the organization's long -term economic value, facilitating their access to resources and contributing to The quality of management of the organization, its longevity and the common good. ”

“The basic principles of corporate governance permeate, to a greater or lesser extent, all practices of the Code of Best Practices of Corporate Governance ( edited and made available by IBGC ) , and its adequate adoption results in a climate of trust both internally and in relations with third parties. They are:

• Transparency - It consists of the desire to make available to stakeholders the information that is of interest to you and not just that imposed by law or regulatory provisions. Should not be restricted to economic and financial performance, also contemplating the other (including intangible) factors that guide management action and lead to the preservation and optimization of the value of the organization;

• Equity -It is characterized by the fair and isonomic treatment of all partners and other stakeholders (stakeholders), taking into account their rights, duties, needs, interests and expectations;

• Accountability ( accountability ) - Governance agents must account for its performance in a concise, understandable and timely manner, fully assuming the consequences of their acts and omissions and acting with diligence and responsibility within their roles;

• Corporate Responsibility -Governance agents should ensure the economic and financial viability of organizations, reduce the negative externalities of their business and their operations and increase positive, taking into account, in their model Business, the various capitals (financial, manufactured, intellectual, human, social, environmental, reputational, etc.) in the short, medium and long term. ”

As it turns out, it is very important for the quality of organization management, including for reliability purposes and to contribute to business success, maintaining an adequate internal governance structure that ensures the observance of good practices advocated in the code of best corporate governance practices.

To evaluate whether or not it has a structure and/or environment that meets your needs involving the observance of good governance practices, the organization can resort to the services of a qualified audit/consulting company that proceeds such evaluation and the East in relation to the implementation of what is necessary.

Roberto P. Neves - Audilink Consultant