The Magazine of Corporate Responsibility

Tag Archive for ‘Governance’

Social and Environmental Shareholder Proposals Gain Traction

Shareholder proposals on social and environmental issues constitute about half of all resolutions in the 2011 proxy season and have become a serious strategic consideration for corporate boards and their members, according to a new report from the consulting firm Ernst & Young. “The degree of support for these types of resolutions is growing among mutual funds and other important investors,” the report finds.

Women and Leadership: Roadmaps for the Journey

Acquiring the skills needed for leadership isn’t easy for members of either sex. But for women who pursue careers in companies, there is the daunting reality that unless you start your own business, a leadership role can be hard to come by. Columnist Gael O’Brien speaks with McKinsey consultant and author Joanna Barsh about her research into “centered leadership” and how it might help accelerate the leadership journey for women.

Novartis Pay Plan Encounters Strong Shareholder Opposition

Nearly 39 percent of Novartis shares were voted against the pharmaceutical giant’s executive compensation plan. Shareholder critics had expressed particular concern over the size and structure of payouts for Novartis Chairman Daniel Vasella, who has in recent years been awarded a package with an estimated market value of about $21 million annually.

Investors Press Companies on U.S. Chamber Board Roles

A group of investment organizations with about $43 billion in assets under management has sent letters to 35 major companies represented on the board of the U.S. Chamber of Commerce, urging company managements “to evaluate their role and to assess the risks and benefits of Board membership.”

Crisis Management and Your Board – Five Lessons from BP

No board of directors should feel smug about how well their company has prepared for a crisis, writes Betsy Atkins, an independent director of several publicly-held companies. Instead, she says, a board needs to insure there’s an effective crisis management plan in place – one that can protect shareholder value and the value of the corporate brand.

Women in the Board Room: Change Comes Slowly

Mounting documentation on the extent of gender inequity has brought with it the attendant media attention that opens boardroom doors. As a result, writes columnist Gael O’Brien, the work of Nominating Committees has been moved into the public domain. Politicians, governments, investors, activist groups and others are saying things have to change.

Opinion: U.S. Chamber of Commerce and A Failure in Governance

Many leading companies strive to follow best practices in corporate governance, demonstrating responsiveness to investors and protecting shareowner value in the process. Paradoxically – argues a leading socially responsible investment executive – some of these same companies often appear to leave their commitment to corporate governance at the doorstep when they serve on the board of the U.S. Chamber of Commerce.

Citizens United: Waking a Sleeping Giant

A constitutional law expert says the U.S. Supreme Court ‘s January ruling in the Citizens United campaign spending case raises a host of corporate governance issues that should be addressed by legislation before the 2012 Presidential election. “One of the reasons that this is such an objectionable decision,” she argues, “is it allows corporate managers in publicly traded companies to spend what Justice Brandeis called ‘other people’s money.’”

Johnson & Johnson, Under Investigation, Tops CSR Index

Johnson & Johnson topped a list of companies perceived by American consumers as having the best reputations for corporate social responsibility practices. Months after research for the Index was conducted, the company admitted that it misled regulators and consumers by using contractors to buy defective Motrin painkiller products from store shelves rather than announce a recall.

Men and Women Directors Disagree Sharply on Governance

Women serving on corporate boards are far more likely than their male counterparts to favor increased boardroom diversity, new regulations for executive compensation, proxy access for shareholders and enhanced risk management, according to a new survey of corporate directors.