The drivers of ethical culture
Culture has risen up the agenda in recent years for businesses, investors, and regulators alike. Companies are now faced with the challenge of how to measure, monitor, and report on it.
Under the revised UK Corporate Governance Code published by the Financial Reporting Council (FRC), companies with a premium UK listing will be required to comply with new provisions regarding the monitoring and assessment of their company culture — or, if not, to provide an explanation as to the rationale for departure from recommended practice.
The revised Guidance on Board Effectiveness, which accompanies the code, includes some useful advice in this regard for businesses throughout the world, including a list of attributes for a healthy culture, sources of culture insights, and questions for boards to ask.
In the latest issue of Financial Management, our consultant Michael Pollitt explores the challenges this poses and outlines GoodCorporation’s culture measurement programme.
Posted October 2018