Institute for Excellence in Corporate Governance
Position the Institute for Excellence in Corporate Governance (“IECG”) as a leading global resource in developing and communicating thought leadership on governance issues for boards and C-level executives of public, private, governmental and nonprofit organizations, and positively impact how governance is carried out.
Identify and research important current and emerging governance challenges and develop and communicate effective solutions that enhance the abilities of board members and C-level executives to protect and promote the interests of their stakeholders. We pursue this mission by:
- Attracting thought leaders and governance professionals who educate our audiences through conferences, seminars, in-house programs and meetings.
- Sponsoring or collaborating with Transformational Roundtables comprised of governance thought leaders, board members and C-level executives who focus on important current and emerging governance issues.
- Seeking input from, sponsoring and/or collaborating with alliance partners, which include thought leaders from a variety of disciplines, as well as organizations focused on governance.
- Identifying how qualitative issues such as communications, behavioral styles, board composition, board focus, and the development of anticipatory organizations may impact execution of “good governance” and strategy in the boardroom.
- Conducting research based on issues raised and communicating the results of research through books, white papers, articles in relevant publications, radio, television and internet, and specific feedback to board members, C-level executives and others who will benefit from this knowledge and research.
Failures of high profile companies such as Enron and WorldCom led to Sarbanes-Oxley in 2002. The law encouraged directors to do a better job in fulfilling their fiduciary duties especially in the area of financial reporting. Abuses by Wall Street and mortgage bankers and poorly designed incentives for credit rating agencies, among other reasons, led to the credit crisis of 2008 to which the government responded with the Dodd-Frank Act of 2010. Dodd-Frank encouraged shareholders to be more active and hold directors more accountable.
The federal government over the past 50 years has also failed to exercise its fiduciary responsibilities to its shareholders (today’s and tomorrow’s citizens). In particular the last two CEOs have increased the direct federal debt from 5 trillion to over 16 trillion. Some of the country’s directors (congressmen) have been replaced and given a mandate by some shareholders (Tea Party and other activists) to exercise better governance.
The IECG believes that corporate and government fiscal and governance failures have resulted largely from poor governance practices which include:
As a result of these many failures, the United States of America finds itself with a fiscal mess, monetary policy which operates in uncharted waters and debts and deficits which are, to say the least, unsustainable. Corporate America is ever more resilient but too many corporations seem to believe that the primary source of capital is political. In a nation where the revolving door of corporate executives and political appointees is ever turning, there is a growing sense that trust in our basic institutions is perhaps irreparably eroded.
It is within this context that IECG finds itself in the roles of assisting board members to understand and perform their fiduciary duties and provide direction to their companies, but also in encouraging business leaders to assure that government leaders do the same.