eGovern is a suite of applications aimed at assisting good corporate governance.
It facilitates presentation of financial accounts, transition to IFRS, adequate
& proper disclosures, consolidation of accounts and regulatory compliance in key
Corporate Governance is a key focus area globally for all stakeholders.
"Corporate governance is about maintaining an appropriate balance of accountability
between three key players : the corporation's owners, the directors whom the owners
elect, and the managers whom the directors select. Accountability requires not only
good transparency, but also an effective means to take action for poor performance
or bad decisions."
'Mary Schapiro-Chairperson, SEC, USA'
Corporate governance is about commitment to values and ethical business conduct.
It is about how an organization is managed. This includes its corporate and other
structures, its culture, policies and the manner in which it deals with various
stakeholders. Accordingly, timely and accurate disclosure of information regarding
the financial situation, performance, ownership and governance of the company is
an important part of corporate governance. This improves public understanding of
the structure, activities and policies of the organization. Consequently, the organization
is able to attract investors, and enhance the trust and confidence of the stakeholders.
Corporate governance guidelines and best practices have evolved over a period of
time. In India, the Confederation of Indian Industry (CII) took the lead in framing
a desirable code of corporate governance in April 1998. This was followed by the
recommendations of the Kumar Mangalam Birla Committee on Corporate Governance. This
committee was appointed by the Securities and Exchange Board of India (SEBI). The
recommendations were accepted by SEBI in December 1999, and are now incorporated
in Clause 49 of the Listing Agreement. The revised clause 49 was made effective
from January 1, 2006.
The Ministry of Corporate Affairs, Government of India, has published the Corporate
Governance Voluntary Guidelines 2009. These guidelines have been published keeping
in view the objective of encouraging the use of better practices through voluntary
adoption, which not only serve as a benchmark for the corporate sector but also
help them in achieving the highest standard of corporate governance. These guidelines
provide corporate India a framework to govern themselves voluntarily as per the
highest standards of ethical and responsible conduct of business. The Ministry hopes
that adoption of these guidelines will also translate into a much higher level of
stakeholders' confidence that is crucial to ensuring long-term sustainability and
value generation by business.
We believe that sound corporate governance is critical to enhancing and retaining
investor trust. Accordingly, we seek to provide companies with tools to attain performance
goals with integrity and the Board exercise its fiduciary responsibilities in the
widest sense of the term.
Our corporate governance philosophy is based on the following principles:
- Satisfy the spirit of the law and not just the letter of the law. Corporate governance
standards should go beyond the law
- Be transparent and maintain a high degree of disclosure levels. When in doubt, disclose
- Make a clear distinction between personal conveniences and corporate resources
- Communicate externally, in a truthful manner, about how the Company is run internally
- Management is the trustee of the shareholders' capital and not the owner.
The eGovern suite is an evolving set of applications assisting companies in their
endeavour of good corporate governance, by ensuring proper compliance, identification
and mitigation of risk.