The overall picture of governance in the Middle East and North Africa region has changed drastically in the past two decades. The region’s corporate governance laws have been promulgated by regulatory and regulatory authorities to companies restricted in the financial markets, and these laws have already been promoted and improved.<\/p>\n
Its concept: A set of systems governing the relationship between the core parties is staffed, governing board and executive management.<\/p>\n
and other clients, suppliers, lenders, creditors, etc.<\/p>\n
It is defined as: the procedures and rules governing the relationship between all parties of the system or organization, executive and supervisory between the Board of Directors, executive directors, shareholders and stakeholders, by establishing special procedures to facilitate the transparent and fair decision-making process.<\/p>\n
It is also known as: the set of processes, customs, laws, practices, policies and institutions that affect and shape the way in which the company is directed and managed.<\/p>\n
– Corporate governance may be<\/p>\n
External:<\/p>\n
Imposed by sector regulator such as CMA on market companies<\/p>\n
Interior:<\/p>\n
imposed through the General Assembly and the Board of Directors, to regulate the relationship between executive management and other parties.<\/p>\n
Tools to activate the governance system in the Kingdom:<\/p>\n
External input<\/p>\n
o Royal Decrees<\/p>\n
o Regulations and Regulations<\/p>\n
o Kingdom Vision 2030<\/p>\n
Internal input<\/p>\n
o Strategy<\/p>\n
o Organizational Structure<\/p>\n
o Internal oversight report<\/p>\n
The question remains: How is successful governance contributing to a company’s sustainability?<\/p>\n
First: In establishing oversight departments and committees to apply impartiality, impartiality and transparency.<\/p>\n
Second: In the separation of executive functions from oversight.<\/p>\n
Third: In selecting a board of directors competent with objective selection criteria.<\/p>\n
Organizations at the global level that have a long-standing governance portfolio include:<\/p>\n
1\/IFC:<\/p>\n
A non-profit development organization that aims to develop financial transactions in developing countries and drive economic development through the private sector, focusing on system development, exchange of experiences and consulting.<\/p>\n
Governance is defined as: a system through which the Organization’s work is managed and controlled. https:\/\/www.ifc.org\/wps\/wcm\/connect\/corp_ext_content\/ifc_external_corporate_site\/home<\/a><\/p>\n <\/p>\n 2\/Organization for Economic Cooperation and Development (OECD):<\/p>\n Based in Paris, it is a non-profit, aimed at supporting the economy and development of non-developing countries and activating relations between countries.<\/p>\n Governance is known as: a set of relationships between the company’s directors, the board of directors, shareholders and other stakeholders.<\/p>\n \u200f https:\/\/www.oecd.org\/<\/a><\/p>\n <\/p>\n Saudi Governance Center:<\/p>\n The Kingdom’s first specialized consultative centre offers a wide range of value-added advisory services to companies, institutions and government bodies in the field of governance and its application.<\/p>\n \u200f https:\/\/governance.sa\/<\/a><\/p>\n <\/p>\n The CMA is one of the pioneers and legislators of governance in 2003<\/p>\n I defined it as: Rules for the company’s leadership and direction, including mechanisms for regulating the different relationships between the board of directors, executives, shareholders and stakeholders.<\/p>\n <\/p>\n The core reference for corporate governance is the corporate system.<\/p>\n Some questions about corporate governance and answers from the CMA:<\/p>\n https:\/\/cma.org.sa\/Awareness\/Publications\/booklets\/Booklet_13.pdf<\/a><\/p>\n <\/p>\n CMA Corporate Governance Regulation: https:\/\/cma.org.sa\/RulesRegulations\/Consulting\/Documents\/Draft_Amendments_to_the_Corporate_Governance_Regulations_ar.pdf<\/a><\/p>\n <\/p>\n