Yesterday, Robert Kennedy College (RKC) Dean, Dr David Costa, conducted a live session introducing our 100% online master’s and bachelor’s degree programmes. This interactive session was held online and was packed with essential facts and information about the college, the universities RKC has partnerships with, and the master’s and bachelor’s programmes we offer. The session received an overwhelming response and participation from all the attendees.
As the session began, Prof. David Costa gave a brief presentation about the history of Robert Kennedy College. He also provided information about the University of Cumbria, the University of Salford and York St John University. The presentation also showed the participant’s sample degrees certificates and transcripts from all three universities.
Prof. Costa also explained the reasons that make RKC’s degrees unique. The factors include (but are not limited to):
a practical and flexible online programme
minimum duration of one year
100% online, contemporary courses
no formal examination system, assessment based on assignments
British degrees that are recognized worldwide
Prof. Costa also discussed the fee information and the discounts being currently offered. He also introduced our “ask the Ambassador” initiative, which allows you to chat with either a current student or alumni and ask any programme related questions or about their experience studying at RKC.
After the presentation, Prof. Costa opened the floor to questions from the interested candidates. He answered queries ranging from fee information, assessment method, eligibility requirements, referral discounts, course delivery methods, and more.
Does this look like something you wanted to attend and get information first-hand from the Dean himself? Do not worry. You can watch the live session recording and find answers to your questions. And if you still have questions or feel confident to apply right away, talk to one of our advisors in real-time on WhatsApp.
As a former Education advisor, if I had to pick one of the most frequently asked questions by prospective students, it would be “How many hours do I need to study?”
The vast majority (if not all) of our students are working and leading hectic professional lives. Some are motivated and have already decided to undertake a master’s, while others contemplate the unknowns of an online programme. In my experience, two things affect their decision the most.
First – finances, and second, being able to strike the perfect work, study, and life balance. While I cannot completely help you with the finances (partially yes – check out the discount offers currently being offered on our online MBA, MSc, and LL.M programmes), I thought what I could do to help was to bring some facts to light about the other unknowns – what does a typical day in the life of an online master’s student look like?
Today, we’re looking at Guochang Li’s typical study days. Guochang, an RKC & York St. John University graduate, offered us these answers:
Vidhi Kapoor (VK): Which programme did you choose and why?
Guochang Li(GL): Innovation Leadership and Consulting. In my opinion, innovation is the vitality for an enterprise to survive and develop. Individuals with innovation leadership have more substantial competitive advantages in their career development. Innovation requires individuals to keep an open mind, which is beneficial for a good communication between individuals and society.
The Study Plan
VK : How did you plan to study each module, and what was the reality? How many hours did/do you have to put in each day/or in a week?
GL: I planned to put 2-3 hours per day into studying the module. But the reality is – that is not enough. Especially for the amount of reading that is required. So I ended up setting about 3-4 hours per day eventually.
VK: What part of the day did/do you find most suitable to study? (e.g. early mornings, lunch break, evenings, weekends?)
GL: Early mornings were the most suitable time to study for me.
VK: How much time did you devote for each assignment?
GL: About 2 weeks for the mid-assignment, and 4 weeks for the final assignment.
Travelling and Communication
VK: Did you travel for work? How did travelling impact your ability to study?
GL: Travelling (especially the business travelling) do impact the study. I need to pur more time before or after travelling to catch up on my study plan.
VK: How were you able to interact with peers and/or professors given the time differences?
GL: The forum and email were the best way for me to interact with professors and peers. I also joined the study group of my classmates in the same time zone. We helped each other and discussed for studies together.
A typical day as a master’s student
VK: What does a typical day as an Online Masters’ student look like for you?
GL: I divided my day as follows: Early morning(2 hours): read the recommended material to understand the courses, and make reading notes. Lunch break or afternoon(1 hour): go through the new courses, and make notes. Evening (1 hour): reading. Weekend Morning: Reading, or writing the assignment.
VK:Any advice you have for students to better plan their studies.
GL: 1. Reading the recommended material is very important for understanding the courses. In my experience reading at least 1-2 study material of each course comes helpful in the module study and in writing the assignment. 2. Planning module study and assignment writing, and following the plan 3. Keep the deadlines in your mind to complete the plan, and allow yourself 2-3 days to review and revise the assignments. 4. Use reading tools, as Acrobat for reading, Zotero for notes.
All right, so this was a sneak peek of a typical day in Guochang’s life as a master’s student. I hope you find it insightful and informative and that it gives you an idea of what to expect when you enrol for our master’s programmes. Watch this space as we have many more interesting insights coming up!
We asked some of our past and current students to share their thoughts and opinions, to give their feedback on how they handled the challenges of online learning. Hopefully, this will help you to make an informed decision.
There is no better way but to learn from those who came before and see if what worked for them will help you become a better student!
Who are you, really?
I am Anicet.
Which Uni are you studying with?
University of Cumbria
Which programme did you choose and why?
Energy & Sustainability. Chose this to acquire skills and knowledge in environment impact assessments and protection.
The Study Plan
How did you plan to study each module, and what was the reality? How many hours did/do you have to put in each day/or in a week?
I took one module at a time. Depending on the volume of reading and assignments, spent on average 2 hours a day
What part of the day did/do you find most suitable to study? (e.g. early mornings, lunch break, evenings, weekends?)
Early morning and lunch break
How much time did you devote to each assignment?
Research, book/articles selection and reading, writing and reviewing took a lot of time. I would say on average 40 hours per week.
Travelling and Communication
How did travelling impact your ability to study?
Except the time seating on the plane, no major impact as long as I was connected to the Internet
How were you able to interact with peers and/or professors given the time differences?
It was not a big deal since I spent most of the time in Kinshasa, DR Congo.
A typical day as a master’s student
What does a typical day as an Online Masters’ student look like for you?
Wake-up at 5:00 AM. Meditation, Gym and toilets till 6:40 AM. Breakfast at 7AM. Arrive at office at 8:30 AM. Stay at work till 6:00PM. Arrive at home at 6:25 PM. Diner at 8:00 PM and bed at 10:00PM
Any advice you have for students to better plan their studies.
Prepare and start reading materials/books ahead of time. Do not wait until last minute to work on your assignment. Avoid overloading oneself with many modules at a time.
I hope this blog has answered some of your questions, and please watch this place for similar blogs. So, if you have been thinking about doing a master’s degree and now understand how to study better for an online programme, look at our programmes and see if anything interests you.
Henrik Johan Ibsen, the Norwegian playwright and theatre director, once said, “A thousand words leave not the same deep impression as does a single deed.” Unfortunately, after his death, this quote was plagiarized and para-phrased into what we know today.
A picture is worth a thousand words.
But motion picture has completely changed the way we consume data. Not only does it enable us to take in more information in a short time, but it also makes the information more credible. Hearing it straight from the source makes a difference.
Robert Kennedy College (RKC) is pleased to share with you, our readers, students, alumni, and potential students a series of video interviews with some of our graduates, sharing their challenges and tips and tricks for successful studies. It does not matter the programme or the university these students graduated from, they were all students of RKC, they all faced similar challenges in doing a master’s programme online, they all faced a decision – to do or not to do an online master’s degree.
Here is your chance to hear directly from our students and hopefully help you make an informed decision, to help you study better, or simply to motivate you to live your dreams and to achieve your goals.
Meet Christina, RKC alumni and graduate of York St John University, as she shares her thoughts and decision-making process on why she choose to get back to studying and the challenges she faced.
Hopefully this interview has answered some your questions about RKC and doing a master’s programme online, and please watch this place for more similar blogs. You can also chat LIVE on WhatsApp with one of our Education Advisors for a more personalised discussion of your needs and best match with the programmes we offer, and the application process.
In the global economy that we live in today, everything and everyone is connected and inter-dependent. The demand for companies to grow multi-nationally has grown exponentially since the pandemic started last year. Internet boom in the late ’90s and 2000s had been instrumental in the dramatic rise in international business. Now, it seems to have exploded manifold.
The scale and scope of business operations are not limited to one country. While the raw material is procured in one country, it is manufactured or assembled in a different country and marketed and sold in yet another. Businesses have crossed boundaries set by a country’s borders. They operate and thrive on foreign land. It is however not the same as operating in the homeland. Before setting foot on the foreign land and expanding, a business must familiarise itself with the land’s laws, legal system, social and economic conditions, political system, and culture. All these factors have a significant impact on the running of the business and its bottom-line.
Laws affect every business, whether it is being operated as a ‘brick and mortar store or selling goods/services online. Different countries have different legal systems established to protect the country’s economy and trade and preserve their social, economic, cultural, political environment.
National governments have an important relationship with global businesses. Governments tend to control and manage their trade relationships with an array of policies like taxation laws, tariffs, subsidies, currency controls, import-export policies, free-trade zones, and so on. For instance, China is a Communists government, and the government formulates and strictly controls all business sector laws.
On the other hand, India has a democratic government, and business laws are made to protect small businesses and consumers.
There are three types of legal systems: 1. Civil law, 2. Common law and 3. Religious law. Countries like the United States, India, and Australia use common law systems; Germany, France, and Russia use civil law systems and countries like Pakistan, Middle Eastern countries, Saudi Arabia and Iran operate on Islamic laws. Therefore, it is imperative for any business to fully understand the legal system that it is going to operate in and abide by its rules and regulations for conducting a business.
Here are four ways in which international business law affects trade and things every business must research well before venturing into the country or region to avoid any failures:
Taxes take a major cut out of a company’s profits. When it comes to taxes, companies should do their homework well. From how much taxes are levied on the goods and services, manufacturing or selling, to how the taxes should be charged, i.e., either include taxes in the sale price or charge extra tax, the businesses must follow the standards set by the law. Companies like to operate in countries that offer attractive tax regimes with low tax rates on income, capital gains, and dividend income. Singapore, for these reasons, has been one of the most popular locations for companies to set up offices in the country and enjoy its lowest corporate tax rates.
2. Intellectual property
Legalities around intellectual property can be complicated and expensive. Trademarks, copyright, and patents are intellectual properties that every business needs to guard and protect. Countries take extra measures to attract international business by establishing stringent IP protection laws and reducing piracy. Governments across the world have established several acts and international conventions to protect international businesses and resolve issues if any arise. The Paris Convention for the protection of Industrial property, the United Nations Convention on contracts for International Sale of Goods, the Foreign Corrupt Practices Act, the Madrid Protocol, the Singapore Treaty, the Nice Agreement, the Patent Law Treaty and the Hague agreement are a few of the many international treaties formed to protect international business and trade.
3. Supply Chain and Infrastructure
Establishing an effective and efficient infrastructure is the backbone of any successful business. Cheap sources of raw material can help companies to have huge profit margins. International business laws exist that regulate international shipping, export and import duties.
4. Labour Laws
While cheap labour attracts foreign investment into a country, labour laws exist to protect human resources from any exploitation. The textile and footwear industry are among the many industries that have shifted their manufacturing operations to Asian countries that offer cheap labour. The Rana Plaza collapse, an incident in a Bangladeshi factory, happened in 2013 but is still fresh in the memory of many who lost their near and dear ones in this event. The plaza collapsed, killing thousands of its workers due to large structural cracks and poor labour protection laws. The incident stirred up an international movement and led to the establishment of International Labour Law (ILO). The ILO is the source of international labour law that is embodied in its Conventions, recommendations and the documents that emanate from the supervisory mechanism responsible for applying those international labour standards.
These are a few of the things that any organization should take into account before venturing out into international business. If these legalities are correctly taken care of, legal counsels suggest that companies can maximise their bottom lines and enjoy huge revenues and profits. If International business law interests you or you would like to understand it better, join our one-year Online Master of Laws programme specialising in International Business Law.
I could not agree more with the world-renowned Hungarian-born Romanian American gymnastics coach, who transformed gymnastics coaching in the US and was responsible for bringing home numerous international laurels. His words are not only applicable in sports but are equally fitting in the business world as well.
Businesses do not operate in isolation. Gone are the days of monopoly where companies could dominate a market or industry. Today, in the fast-moving-digital-world, every business, big or small, faces stiff competition to hold a fair share of the market.
When formulating a business plan, it is essential to analyse the company’s competitive environment. The competitive environment is the intricate external system in which the business operates and comprises of several factors or elements that affect and shape the industry. These elements include, and are not limited to:
1. Competitors – Direct and Indirect
2. Government regulations and laws
5. Technological trends
6. Demographic Composition
7. Network of Distribution
8. Corporate culture
Industrialists, innovators, and entrepreneurs need to think critically about these factors that affect the company’s profitability and success. (Also, check out our blog on 7 ways to improve critical thinking). It is imperative to understand the competition landscape and scope. This is necessary to prepare the kind of resources, investment, and technology required to build a sustainable and profitable business. In the good ol’ days, companies could thrive with little or no competition. In comparison, companies now must adopt new and innovative means to compete with other firms in the business environment and to have a competitive advantage over them. Strategic forecasting, planning, and implementation can lead to success in competition. Various strategies can help businesses build undefeatable and sustainable products and services.
Here are 4 strategies that can help build competitive advantages for your business:
1. Cost Leadership
Businesses run for profit. By definition, profit is a financial gain realised due to the difference between the amount earned and the amount spent on buying, operating, or producing a product or a service. It is one of the oldest tricks in the (business) book to be a cost-leader. When a business decides to pursue the cost-leadership strategy, it vows to provide the goods or services at a competitively lower price than any of its rivals can ever offer.
Such firms operate on the lowest cost structure, have reasonable control over the entire supply chain, suppliers, and raw materials, and have tight controls on the whole value chain activities. Walmart, IKEA, McDonald’s, Primark, and RyanAir are a few examples of firms that attribute their business success to a cost-leadership strategy.
“You can’t look at the competition and say you’re going to do it better. You have to look at the competition and say you’re going to do it differently”.
Offering a low-cost product is not always an option in a competitive environment. Different consumers have different demands. Companies, by providing high-end quality products, also influence many customers’ buying decisions, who would otherwise choose the cheaper alternative. Even though companies always intend to keep their costs low, they are willing to spend on research and development costs, marketing, customer service, or innovation to develop a niche product or service, for which consumers are willing to pay a premium price. Apple, Starbucks, Tesla, Tiffany & Co., Emirates, and Hermes are examples of companies whose thoughtful approach to differentiation and compelling storytelling strategy makes millions of consumers spend premium prices for their products and services.
This strategy is quite different from the above two strategies. Business here focuses its primary strategy, i.e., operating at a lower cost or adding value but on a limited market, much narrower in scope than the broader cost leader or differentiator. The company intends to make concentrated efforts based on either a particular buyer group, geographic uniqueness, a unique product line, or a special attribute appealing to a niche customer class to cater to the specific demand of a limited number of customers. Gucci, Rolls Royce, Diet Coke, NetJets, and DC Design are a few examples of companies that have successfully adopted the focus strategy.
4. Strategic group
“Anytime you find someone more successful than you, especially when you’re both in the same business, you know they are doing something that you aren’t”.
Groups of businesses of comparable size and range that operate in the same industry and follow the same strategies to build competitive advantages are termed strategic groups. The competition is so closely knit in such environments that even a small movement by the competitor affects the others’ market position. It helps build a strategic group map to identify businesses’ closest competitors and evaluate how your company is positioned in the industry. Common examples of strategic groups are the restaurants, retailers, cosmetic brands, and the aviation industry.
These are four strategies, more commonly known as Michael Porter’s ‘generic’ business-level strategies as these can be applied to any business, by any firm in any industry.
Which strategy do you think is the most powerful in building a competitive business advantage in your own context? Share your thoughts and ideas in the comments below.
When I was in school, let’s just say a decade ago.. okay two decades ago, I remember being taught the principles of economics – theory of demand and supply, demand and supply curve, market equilibrium, price ceilings and floors, so on and so forth. Later as a business student at university, I learned about economic models and even more complex financial terms about running a business, such as behavioural economics, macro and microeconomic policies, government policies, international trade and its impact. I have no recollection of ever being asked to or being taught to ‘think out of the box’ (the economics book in this case).
The businesses, usually large traditional corporations, family-owned companies big and small, ran on the business theories and principles established many years ago.
Fast forward to the 21st century; I see a new world around me. The businesses are no longer just large corporations run on an old-school of thought. There has been a paradigm shift in the way the companies are run and how they are conceptualized in the first place. I am sure everyone remembers the time of late 90s and early 00s – ‘the infamous dot com/bubble era’ that vowed to change the world and as a matter of fact, it did change the world!
The bubble era engendered a trend of entrepreneurship of a scope like never before. The entrepreneurs – the new gurus of the business world – worked on very different business principles and business plans. Business plans were mainly driven by the strategy of growing big fast, being ubiquitous, insanely high stock market valuations, and focusing on branding and marketing to gain market share. And to establish a new trend, the essential ingredient was innovation.
Hence, the birth and rise of entrepreneurship and innovation.
In today’s evolving business environment, entrepreneurship and innovation have become increasingly popular. There has been a notable rise in the entrepreneurial activities around the globe in the last decade. Even the corporations are paying heed to the increasing value of innovation and the entrepreneurial mindset in the workplace. It is now believed to correlate to organisation’s profitability and growth directly.
There are several forms of entrepreneurship, such as Innovative entrepreneurship, social, scalable start-up business entrepreneurship, big and small entrepreneurship. To give some real-life examples, Tesla aimed to innovate the automobile industry by introducing luxurious yet affordable and efficient electric cars. On the hand, Uber, a scalable start-up business entrepreneurship, started with an idea to disrupt the taxi industry and attracted various capitalists’ interest and bagged millions of dollars in investment, scaling the business to an otherwise inconceivable level, growing the company worldwide.
And all the entrepreneurs (and their companies) like Bill Gates, Steve Jobs, Jack Ma, Elon Musk, Mark Zuckerberg, Walt Disney, J.K Rowling, Jeff Bezos (the list cannot be exhaustive), have one thing in common – Innovation. Microsoft, Apple, Alibaba, Tesla, Facebook, and Amazon witnessed tremendous business success through innovation by triggering a paradigm shift or evolving an old product with new technology.
The benefits and increasing importance of innovation and entrepreneurship are manifold. As mentioned earlier, corporations are also realising their impact on their success. A study by Microsoft and McKinsey states that organisations show a direct correlation between employee retention and innovation, and innovative firms are more likely to retain employees. The study also reveals that companies that were assessed as having ‘innovative cultures’ were twice as likely to expect double-digit growth.
So, the question remains if someone is a born Entrepreneur, is naturally innovative, or such attributes can be learnt, and whether individuals can be adequately trained to be innovative entrepreneurs.
“Profound growth requires innovation and, to foster innovation, you need people to feel trusted and supported to experiment and learn. There can be real returns for leaders who learn to let go and coach teams to constantly improve.”
To answer the question, yes, entrepreneurship and innovation can be taught, and with proper education, these skills can be mastered. By studying entrepreneurship and innovation, you can learn the underlying principles of starting a business, how to avoid common pitfalls, pitch ideas effectively, validate your product, develop a solid business model, and how to set yourself up for success in a field where failure is common. A good entrepreneurship and innovation programme will expose you to the challenges, contexts, and implications of entrepreneurship and provide you with a sense of the difficulties inherent in starting up and running a new enterprise. You will develop a critical understanding of contemporary discourses surrounding entrepreneurs and entrepreneurship as they are found in a range of national cultures and organisational contexts. The programme brings together relevant contemporary academic theory and research with a practical understanding of activities.
We offer an online MBA Entrepreneurship and Innovation programme specifically designed to foster entrepreneurial and innovation skills to enable you to have a career managing innovation in existing firms and found new ventures. You will learn how organisations build value by applying entrepreneurial practices, the challenges and opportunities typically facing new and existing businesses, and the ability to design and implement creative strategies. Talk to one of advisors to find out more about the programme.
Phew! It is 2021! 2020 is finally over and behind us. After having an incredibly unique (and for many a traumatic) 2020, I am a little sceptical and at the same time joyous and hopeful of welcoming the new year.
Well, let me first extend my warmest wishes to you, our readers, happy new year! One of the greatest joys of this season is the opportunity to say thank you and to wish you the very best for the New Year.
‘Tis the season…
So, what do you think 2021 will look like? Are you ready to embrace the new year as it still encapsulates certain uncertainties? Have you set any personal goals, professional goals, or academic goals for yourself? Because it is that time of the year when we sulk on unfinished resolutions or celebrate their achievement (I fall more in the former category than the latter 🙁) and look forward to new ones!
In my opinion, it will be much more than just resolutions this year. People are frustrated with unfulfilled wish-lists, lockdowns, and fear of the pandemic. Emotions are running high; there will be no holding back, it could turn out to be a year where you tick off all the boxes (or most of).
Here are the five trends you must watch out for in 2021:
1. Shoppable TV and social media influencers
With worldwide lockdowns, the retail industry saw a categorical change with the brick-and-mortar stores shutting down. Shoppers had to move online, and the businesses capitalised on every opportunity to grab consumer’s attention. Consumers will be able to buy anything they like, on the go, instantly, as they watch the advertisement on their favourite streaming channels, or a product recommended by their favourite social media influencer. I have personally experienced this; a tik-tok video made the CeraVe skincare products fly off the shelves within days. That is a powerful sales tool.
2. Big data becomes bigger
As we rely more and more on online platforms for almost everything, from groceries to banking, to buying cars to education, the data is building up exponentially and is inexhaustible. There will be an increasing new need for data analysis and customer personalisation.
3. Artificial Intelligence (AI)
AI is predominantly the most significant trend to watch out for in 2021. With bigger data, better interpretations will be required to understand the world and the changing patterns of the consumers. In 2021, we are likely to see further sophistication in machine learning algorithms and tools.
Gaming is one of the sectors that was positively impacted by COVID-19. While other industries suffered losses, gaming has been trending and is in line to become a multi-billion-dollar industry by 2023. It is one of the top entertainment activities that people engage in, kids and adults alike.
With the sudden closure of schools and universities owing to social distancing and self-isolation requirements in an attempt to flatten the COVID-19 curve, online learning became a necessity overnight and is here to stay. There are several benefits of online education, such as flexible learning and quality education offered at affordable prices.
Robert Kennedy College has been a pioneer in online education since 1998. When you decide to study with us, we promise you an excellent course curriculum, British education, Swiss quality, highly qualified faculty and a variety of Online master’s programmes to choose from. Start early and talk to our education advisors to find out how you can make the most of the new year 2021 though learning.
2020 has been nothing but challenging for everyone in one way or another. Some people experienced greater difficulties than others. Nevertheless, everyone’s life, career, family, ambitions, dreams, and expectations from this year were affected. And as if matters were not bad enough, the world witnessed and was torn apart by numerous natural and man-made calamities: floods, wildfires, earthquakes, hurricanes, civil unrest, humanitarian and refugee crises.
Now I do not want to sound all negative. There is another side to the coin too, a side that we very often fail to recognise and acknowledge. It’s the positives, no matter how small, that happened in our lives amidst this mayhem. We should acknowledge every little moment of happiness, joy, and success we received in the past one year and be grateful for it. Someone might have a new job (even in the pandemic), got a raise, bought a new house, started a family, explored local places (as it is advisable not to travel), got healthier and fitter, had time to be with family during quarantine, enrolled for that online master’s programme that was put on the back-burner, something that positively impacted one’s life.
Let’s reflect and be thankful for everything!
For me personally, the holiday season brings a sense of joy and happiness. I forget my worries and enjoy the holiday cheer and bright lights that are all around. It humbles me in many ways.
Expressing gratitude may sound easier than it actually is, because humans are prone to complaining, blaming, finding fault, and making comparisons with others. However, I would urge you to take a moment and instead understand your own shortcomings and if you do compare, compare yourself with the less fortunate. You might come to realise how blessed you actually are!
There are many ways to feel thankful and express gratitude:
1. Introspect: self-introspection can be very powerful to analyse one’s true self.
2. Have faith: it pays off to be patient and trust that everything happening is part of the bigger picture and it will help in developing you in better ways.
3. Give back to society: you can make your contribution and give back to society in various ways by volunteering, providing food, shelter, clothing to the needy, providing financial or emotional support. It will make you feel better and useful.
4. Maintain a gratitude journal: as it is said, a man is but the product of his thoughts. The more you write about positive happenings and events in your life, more your thoughts become positive.
5. Express yourself: It’s important not only to feel grateful but also to express your gratitude and spread the cheer to your near and dear ones.
Gratitude plays a very powerful role in transforming lives. Express your gratitude towards your family, peers, friends, colleagues, bosses, teachers and professors. I am grateful to all our readers who have enjoyed reading and have benefited from our blogs.
What is corporate governance? Well, corporate governance can simply be defined as the systems by which companies are defined, directed and controlled. As the name suggests, it is the practice that governs the corporates to comply with legal, regulatory and risk requirements and meet the business demands. And it is mainly the responsibility of the Board of directors. It is important that the board takes on board (pun intended) the intertwined roles, relationships, and interests of the company’s various stakeholders.
A corporate has both internal and external stakeholders. The internal stakeholders include the company owners, management, executives, board of directors, shareholders, and employees. And the external governance stakeholders include the society and community, customers, suppliers, vendors, and debt holders.
Because the corporates ( with the exception of s non-profit organizations) operate for profit, one of the main focus areas of corporate governance is to make the business leaders manage the finances in the most effective way, and in the best interest of their internal and external stakeholders. There are several laws and external regulations that monitor this aspect of corporate governance. However, many companies establish their own internal framework and regulations to ensure smooth and ethical operations of the organisation.
Regardless of how big or small a company, it is important to have an established set of practices that dictates good corporate governance. It also looks good on the part of the company that their finances are well accounted for, and they have done some good deeds for society.
Now many argue that corporate governance does not affect the bottom line of the business and is not ‘necessary’ for running the business, as it does not affect the operational or financial performance of the company. It is difficult to put together and implement a customised corporate governance plan. The additional practices cost a lot of money and time going through the administrative procedures of organization’s bureaucracy.
The other side of these arguments, however, stresses the importance of corporate governance practices and the impact they have on the successful running of a business in the long term.
How corporate governance benefits a company
Corporate governance is the foundational stone of any good business. There is a direct correlation between good corporate governance and enhanced shareholder value in the long term. It is an important tool in managing the business in an ethical way, and leading to its growth.
Some of the key benefits of good corporate governance are as follows:
1. Power packed board of directors
As I mentioned above, the board of directors are responsible to oversee how the corporation runs. Good corporate governance focuses on establishing a strong board for the company, comprising of directors who are knowledgeable, competent, qualified, matter-expert and who hold strong ethical values. The board will then be able to provide strong and dedicated leadership, and vision to the company.
2. Promoting ethical culture and corporate integrity
Good corporate governance practices lay much emphasis on integrity in all business dealings and ensuring the company is socially responsible. They ensure compliance with the law, and an ethical business code of conduct.
3. Enhanced public image
In todays competitive business environment, having good corporate governance can prove to be a differentiating factor working in favor of the company. Being socially responsible, contributing towards the environment, implementing sustainable practices, and other societal benefits, paints a good image for the company and builds confidence for both the internal and external stakeholders of the company.
4. Boosts new investment
The venture capitalists and investors feel more confident in investing in a company with good corporate governance practices. They ensure good return on investment for the investor. Increased investments mean expansion of business, and create more employment opportunities.
5. Effective risk management
A board of directors with a strategic vision is imperative in identifying potential risks faced by the company, such as industry specific risks, global markets, operational, legal, and financial risks. By evaluating risks, and implementing timely plans, good corporate governance practices can help mitigate risks for the company.
If you are looking to advance your career specializing in Corporate Governance, we have got just the Master’s programme for you. Robert Kennedy College offers a 100% online LL.M Corporate Governance in an exclusive partnership with the University of Cumbria.
You can chat LIVE on WhatsApp with one of our Education Advisors for more information on the programme, the application process, and for information on discounts we might be offering at this time.