The main aspects of effective corporate governance at the modern level

Abstract

The article outlines the main aspects of effective corporate governance, the formation of corporate relations in Ukraine. The main components of modern corporate enterprise management are studied. The problems of modern corporate management of enterprises related to the implementation of control processes are considered. The international experience in corporate governance is analyzed, which demonstrates a solid basis for creating basic principles and provisions for conducting this type of activity. It is proved that for the reliability and legitimacy of economic relations, for the protection and investment confidence of shareholders and their partners, the corporate governance system is obliged to provide full and timely demonstration of information on financial condition, performance, ownership and management. The directions of development of the corporate governance system for the economy of the country in general are determined, and the necessity of partnership relations between the shareholders in particular is considered. It is investigated that the current conditions require the development of an effective corporate governance policy during the global pandemic. To do this, the main tasks must be solved, such as the formation and implementation of a strategic modern system of corporate governance and the creation of conditions for effective interaction between all participants in the management process. It is considered that there is no generally accepted model of corporate governance, which would be used at the international level. It is noted that the vast majority of Ukrainian enterprises use the national model of corporate governance. This model was formed on the basis of a combination of basic principles of the German and Anglo-American models. According to this model, the main shareholders of companies are its employees, management, banks, the state. At the same time, banks remain the main source of funding, and this is more typical of the German model of corporate governance. The domestic model of corporate governance, which also has common features with the Japanese model, namely, a significant role is given to the state in the management process. It is noted that in Japan, the inclusion of government representatives in the system of corporate governance is not based on the presence of a significant stake in the state, as in Ukraine. In the Japanese model of corporate governance, the interaction between the main participants in the relationship is aimed at establishing new business contacts, rather than obtaining the maximum amount of profit It is determined that corporate governance at the current level is a system of relationships that sets up certain procedures for making management decisions. The effectiveness of corporate governance is to increase the level of profitability of the enterprise through the introduction of proper control, effective management and financial transparency.