The article focused on the effectiveness of implementation of principles and practices of corporate Governance in Defence PSEs, as it is expected by Regulators and stakeholders.
Corporate Governance is an ethical attitude. A questionnaire is developed to elicit the views of key executives functioning in eight DPSEs, to examine whether Board systems and procedures in DPSEs enhanced compliance, transparency and disclosures required under corporate governance guidelines; to study the role of independent directors in DPSEs and To study the effectiveness of implementation of principles and practices of corporate governance in DPSEs.
It is observed that Defence PSEs are adopting core values of corporate governance. They are in line with guidelines of DPE, SEBI and Companies, Act, 1956/2013. The contributions and role of independent directors are effective in DPSEs. In spite, there is room for improvement in the spirit of corporate governance practices in the present day competitive environment, the implementation of Corporate Governance is effective both in letter and spirit in eight DPSEs though individual scores varied due to inherent nature and size of operations.
Corporate failures, Corporate Governance, DPSEs, Regulators, Stakeholders
