“Special Lecture on Good Governance” & Observance of Vigilance Awareness 2016 On November 4, 2016
Expert Speaker- Prof. C.L.Bansal Senior Professor (Law & Governance) IMS Ghaziabad
The ongoing “Special Seminar Series”, was initiated by the ‘visionary and learned Director of IMS, Prof. J. P. Sharma. It focuses on issues of contemporary relevance. The prime objective of today’s “Special Seminar” was to highlight the “Good Governance” and also “Observance of Vigilance Awareness 2016” as propagated by Central Vigilance Commission, Govt. of India.
Dr. Anchal Mishra, Chairperson-PPSP, welcomed the distinguished guests on the dais- Prof. J.P.Sharma, Director IMS Ghaziabad, Prof. C.L.Bansal, Sr. Prof (Law & Governance), Dr. Tapan Kumar Nayak, Chairperson- PGDM, Dr. Avadhesh Kumar Gupta- HOD MCA, & Dr. S.K.Dube,Chairperson- Special Seminar Series, and off the dais- faculty members from PGDM & MCA and young IMSians.
In his inaugural address, Prof. J.P. Sharma, who himself is a worldwide acknowledged authority on “Governance”, highlighted the need for “Good Governance”. He also exhorted the need for “Good Governance” in educational institutions. While elaborating further, he quoted two theories, which are accepted world wide- one, Agency Theory, where an institution is governed by the Trustees; and secondly, Stakeholder Theory, which says an organization should be governed by the stakeholders. The Agency theory has already lost its sheen in the developed countries. He further clarified that the institutions belonged to no one and the differentiation among the institutions should be done on the basis of “Governance” and “Good Governance”. The basic tenets of “Good Governance” are: one-commitment to values, second, ethical conduct and third, exercise of power.
After the inaugural address, everybody present in the auditorium took a pledge, for imbibing humane values and being vigilant towards fighting corruption, as suggested by the Central Vigilance Commission, Govt. of India.
In his “Seminal Lecture” on Good Governance’, Prof.C.L.Bansal, a Senior Professor and an authority on Law & Governance, emphasized on ‘self governance’, values and value systems. He opined that ‘Companies’ were earlier known as ‘Fellowship of Merchant Adventurers’. ‘Corporation’ or ‘Company’ was creation of a State. Governments wanted two things from the Corporations: one, creation of wealth and second, jobs creation. He also discussed about shareholders- Promoters Share holders and ordinary shareholders, while there are three categories of Directors - Executive Directors, Non-Executive Directors and Nominees. Board of Directors are expected to control money of shareholders, whereas, expectations of share holders are- capital growth and revenue growth. Prof. Bansal further elaborated that to meet the “Expectation Gap” is “Corporate Governance”. In fact, the entire efforts are to reduce this “Expectation Gap”. He also cited “Co-Determination Act” of Germany, which empowered stakeholders. (ie Employees of a Company ) to take a decision for the benefit of employees. In his lucid style, Prof. Bansal also highlighted the basic guiding principles of a “Good Governance:- Accountability, Fearless, Trusteeship, Transparency, Empowerment and Responsibility. He also quoted “Price Water Cooper “, for highlighting the role of auditors. Prof. Bansal also elaborated ‘Board Architecture’, ‘Board Functioning’ and ‘separation of the position of Chairman and Managing Director’. The World Bank Report 2012 succinctly highlighted the misuse of CMD position in ‘Public Sectors’ in India. He stressed upon the need for Corporate Governance for widely held Corporate.
Mr. Karan Sabharwal, Asst. Prof., expressed “Vote of Thanks”, to all the dignitaries and faculty of PGDM & MCA. He also thanked Staff, IT and administration- for their support. He appreciated students of PGDM & MCA , for being patient listeners and observing discipline.