The Corporate Governance Handbook best practices is not intended to replace good corporate legislation but to supplement legislation such as the Companies Act. The Companies Act is statutory law whereas corporate governance best practices including governance codes of conduct is procedural law how to implement corporate governance best practices.
Corporate governance is defined as follows:
The manner in which board of directors and senior management oversee the business and affairs of companies. It encompasses the means by which they are held accountable and responsible for their actions. It includes corporate discipline, transparency, independence, accountability, responsibility, fairness and social responsibility. Timely and accurate disclosure on all material matters regarding the insurer, including the financial situation, performance ownership and governance arrangements is part of such a framework. Corporate governance also includes compliance with legal and regulatory requirements.
The purpose of this third edition is not to make it King IV compliant, but to contribute to enhanced corporate governance best practices. It is not the panacea for business or corporate success but can be used as the practical toolkit for directors, commissioners and trustees to effectively govern and direct the strategic decision of the entity and to lead, manage, and control the CEO and executive management.