Promoting Good Corporate Governance

1

• Promoting Good Corporate Governance -
• Role of Managers
• Hussain Qemzi
• CEO- Sharjah Islamic Bank

2
Our Guiding Principle
Corporate Governance is not new to Islam ...
???? ?????? (??? ???? ???? ????) ???? ??? ?????
????? ?? ?????, ?????? ??? ?? ???? ?????? ??
????? .. ???? ???? Each one of you is guardian
and each guardian is accountable to everything
under his care. Corporate Governance should
be practiced in the form of actions it is not
just a document.
3

• Key Requirements and
• Challenges

4

• Well defined and Documented Corporate Strategy
  
• Corporate Philosophy
• Mission
• Vision
• Strategic Objectives and Values etc.
• Empowerment and Accountability
• Proper delegation of authority
• Exception and Escalation Process
• Ownership of process
• 
  
  (Cont.)

5

• Identify and monitor conflicts of interest
• List of Dos and Donts
• Reporting of Conflict of interest
• Performance drive should be balanced and aligned
  with risk and reward.
• 
  (Cont.)

6

• Controls
• Properly documented Policy and
  Procedures
• Segregation of Duties Clear and
  defined accountability.
• Monitoring and reporting of Compliance
  Timely correction of exceptions.
• Open Communication
• Listen to complaints Opportunity
  for staff suggestions
• 
  (Cont.)

7

• Corporate Values and Standards
• Communicate Mission and Vision statements.
• Conflict of Interest and Ethical standards.
• Transparency
• Adherence to core values at all levels
• Lead by example

8
Our Journey start with

• Commitment from the TOP
• Establishment of Risk Management function
• Documented HR Policy
• Improved internal Communication
• Empowerment and Delegation
• Senior level monitoring through sub committees

9
What to avoid

• Concentration of Authority
• Lack of Accountability
• Conflict of interest
• Lack of Communication Transparency
• Fear Culture
• Lack of Trust

10
To Conclude...

• Corporate Governance should be practiced in the
  form of actions- it is not just a document.
• Effective corporate Governance arrangements are
  those through which an organization directs and
  controls itself and its people.