what is corporate governance

Corporate governance refers to the system of rules, practices, and processes by which a company is directed and controlled. It involves balancing the interests of a company's stakeholders, including shareholders, senior management, customers, suppliers, lenders, the government, and the community. The board of directors plays a crucial role in corporate governance, and its responsibilities include setting the company's strategic aims, providing leadership, supervising the management of the business, and reporting to shareholders on their stewardship. Good corporate governance is essential for maintaining a company's reputation and involves establishing principles of security, transparency, equity, compliance, reliance, and accountability