Corporate governance mechanism for academic institutions imparting higher education in India

Abstract

This paper aims to assess the relevance of two models of corporate governance for academic institutions imparting higher education in India. In order to achieve this, the paper draws on theories of 'for-profit governance', particularly the stewardship model, and theories of 'non-profit governance', particularly the stakeholder model. Theoretical insights from these literatures are then combined with the emerging literature on organisations within the educational sector in India. An empirical study has been undertaken to identify the appropriateness of both theories in the governance of Higher Educational Institutions (HEIs). The paper argues that HEIs in India may be more likely to exhibit a hybrid of both stewardship and stakeholder models of governance. Practitioners within HEIs and those operating in advisory roles in the sector may benefit from the study as it may offer a possible governance solution to the distinctive management challenges being faced by educational sector.