Organization For Economic Cooperation And Development Principles Research Articles

Governance in the La Plata River Basin and OECD principles: an opinion survey of transboundary water professionals

ABSTRACT This article analyses how La Plata River Basin experts perceive the process of setting up the governance of transboundary waters and determines whether the principles of good governance are adhered to, as established by the Organization for Economic Co-operation and Development (OECD). A questionnaire was developed and submitted to experts with demonstrated expertise in the field. The results suggest that transboundary water governance needs to be strengthened. Critical issues include principles related to policy coherence and coordination among sectors, integrity and transparency, stakeholder engagement, and balanced commitments between consumers, rural and urban regions, and generations.

Exploratory analysis of the water governance frameworks regarding the OECD principles in two river basins in Brazil and Portugal

Water is essential for human and economic development, and ecosystem services. Water crises are primarily governance crises, requiring consideration of multiple scales and actors. This article aims to discuss water governance principles proposed by the Organization for Economic Co-operation and Development (OECD) in 2015 and 2018, in Brazil and Portugal, including an exploratory analysis of the OECD indicators’ framework and those used in the Protocol of the Water Management Observatory (OGA) in Brazil in 2019. The main objective was to identify critical dimensions for an adequate assessment of water governance, and drivers for water policy improvement in both countries.

How to facilitate the implementation of 3D models in China by applying good in vitro method practice for regulatory use.

The Organization for Economic Co-operation and Development (OECD) Guidance Document No. 34 and No. 286 on Good In Vitro Method Practices (GIVIMPs) for the development and implementation of in vitro methods for regulatory use in human safety assessment have been endorsed. Considering that China is accelerating the development of alternative approaches in both research and acceptance, early application of these principles is beneficial to the implementation and acceptance of in vitro alternative methods in China. To promote the replacement of animal testing for regulatory use, L'Oréal initiated the EpiSkin™ skin irritation test (SIT) implementation program in China. More than 50 external scientists participated, and the method has been established in 34 organizations including authorities, industries, and testing service laboratories. Taking two collaborations with Guangdong CDC and Shanghai SGS for in vitro SIT as examples, we demonstrated a method implementation process in good alignment with the OECD principles. The current study illustrated the practical way in which both OECD Guidance documents assisted in the transfer and establishment of in vitro approaches and further promoted the future scientific recognition and acceptance of new OECD-accepted alternative testing methodologies in China.

Transparency in Modeling through Careful Application of OECD's QSAR/QSPR Principles via a Curated Water Solubility Data Set.

The need for careful assembly, training, and validation of quantitative structure-activity/property models (QSAR/QSPR) is more significant than ever as data sets become larger and sophisticated machine learning tools become increasingly ubiquitous and accessible to the scientific community. Regulatory agencies such as the United States Environmental Protection Agency must carefully scrutinize each aspect of a resulting QSAR/QSPR model to determine its potential use in environmental exposure and hazard assessment. Herein, we revisit the goals of the Organisation for Economic Cooperation and Development (OECD) in our application and discuss the validation principles for structure-activity models. We apply these principles to a model for predicting water solubility of organic compounds derived using random forest regression, a common machine learning approach in the QSA/PR literature. Using public sources, we carefully assembled and curated a data set consisting of 10,200 unique chemical structures with associated water solubility measurements. This data set was then used as a focal narrative to methodically consider the OECD's QSA/PR principles and how they can be applied to random forests. Despite some expert, mechanistically informed supervision of descriptor selection to enhance model interpretability, we achieved a model of water solubility with comparable performance to previously published models (5-fold cross validated performance 0.81 R2 and 0.98 RMSE). We hope this work will catalyze a necessary conversation around the importance of cautiously modernizing and explicitly leveraging OECD principles while pursuing state-of-the-art machine learning approaches to derive QSA/PR models suitable for regulatory consideration.

The State as a Driver for Good Corporate Governance of State-Owned Enterprises

Abstract The state, represented by the legislature and the executive power, is committed to create a pattern for good corporate governance of state-owned enterprises (SOEs). First attempt to formulate such principles for private companies listed in the stock exchange emerged in the UK. Considering the size and importance of state sector, the Organization for Economic Co-operation and Development (OECD) gradually adopted and recommended similar principles for SOEs. They are the most commonly recognized and accepted pattern for good corporate governance of SOEs throughout the world. The study aims to evaluate the current level of compliance with these principles in Bulgaria (2016–2018) by state authorities and to find the gaps in their implementation. To achieve this aim, an original methodology has been developed derived on OECD principles and the use of expert assessment. The study found that the state (Parliament and Council of Ministers) has established in relatively high degree compliant with OECD principles of good corporate governance of SOEs pattern, while the ministries-principals of SOEs have insufficiently complied with these principles. They need to devote a lot of attention and endeavors to fill the gaps in complying with these principles and to create a modern corporate governance pattern for SOEs.

Water policy reform in the Nigeria water governance system: assessment of water resources management based on OECD Principles on Water Governance

Abstract Conflicts of interest due to cultural, political, and social oversights have threatened effective and efficient corporate water governance in Nigeria. This has affected the inclusive participation of stakeholders, policy makers and the relevant agencies of the water resources management, thus hampering good water governance. Assessing the water governance impacts based on frameworks proposed for effective, efficient and inclusive governance was aimed. Information contributing to the governance input was highlighted by analyzing hydrological units that characterized Nigerian watersheds. Toxicological index (Ti) values were presented as a practical guideline to assessing water policy outcomes. The (Ti) ≥ 1.0 dominated; signifying the water resources exposed to toxic environments. High pollutant loads associated with public health deterioration across Nigeria are considered as impacts indicating lagged water governance. While the lagged governance output manifested in some diseases relating to deficient access to potable water supply/poor sanitation services like Blue Baby syndrome, Renal/liver/lung diseases and blood cancer, the outcome showed an absence of health and social wellbeing. These indicators demonstrate the need for incorporating Organization for Economic Co-operation and Development (OECD) Principles on Water Governance in the Nigerian water governance system. Notably, flexibility across all governance levels can enable shared responsibility to balance economic activities and the ecological wellbeing.

Towards Good Water Governance: An Analysis of Jordan's National Water Strategy.

Jordan is considered one of the most water-scarce countries in the world. As a result, Jordan took several steps toward good water governance by setting goals, policies, strategies, and plans. However, several research studies show that it should be strengthened and improved. Research has shown that good water governance is necessary to achieve water security, and several frameworks have been developed to research these challenges (e.g., Organization for Economic Cooperation and Development (OECD) framework). This study aims to evaluate water security governance in Jordan and identify gaps and challenges for good water governance. To achieve the research objective, various qualitative methods and analytical frameworks were used. A two-level framework was followed by combing the OECD Principles on Water Governance (2015) and the OECD Water Governance Indicator Framework (2018) to analyze Jordan's National Water Strategy 2016-2025 (NWS) through direct content analysis. The study findings showed that Jordan's NWS managed to capture to some extent, good water governance principles for Policy Framework, but failed to provide Governance Mechanisms for implementation. Furthermore, the study showed that the water governance Institutional Setup is relatively well established. Regarding the implementation and functionality of the principles analyzed, the performance of each of the principles tended to vary. The study revealed that Jordan should take serious steps toward a water governance reform that puts good water governance principles and practices in the center, to achieve water security.

Thematic analysis of the responsibilities of the board of directors in OECD, BCBS, and IFSB principles

At the center of this ongoing debate is the board of directors’ responsibilities, nevertheless, there are differences and similarities among the principles and guidelines of corporate governance worldwide when it comes to responsibilities of the board of directors. The interest in corporate governance and, specifically, the focus on bank governance have received increased attention from academics and policymakers after the global financial crisis of 2007–2009 (Pathan & Faff, 2013). Given the gap in the literature investigating these differences and similarities, this theoretical article aims to conduct a thematic analysis of the principles and guidelines of the Organisation for Economic Co-operation and Development (OECD), Basel Committee on Banking Supervision (BCBS), and Islamic Financial Services Board (IFSB), on board of directors’ responsibilities. This article provides a reference thematic analysis for policymakers, regulators, and researchers in developing national corporate governance principles and guidelines. The article highlights the shares themes between the principles of OECD, BCBS, and IFSB, and concludes with recommendations for future research in the area of the board of directors’ responsibilities.

O CAMINHO DA COLÔMBIA PARA A OCDE: POR QUE, PARA QUE E COMO FOI FEITO

Brazil's accession to the Organisation for Economic Cooperation and Development (OECD) indicates that an important step has been taken to strengthen the OECD's principles and the practices of regional cooperation in Latin America. In order to provide some insights about the accession process, this article aims to share the Colombian experience in joining the organization. To this end, we will present a chronological overview of the process encompassing the shifts in the foreign policy guidelines of Juan Manuel Santos' government, the main reforms that have been carried out, and other sensitive aspects. The article concludes that is still too recent to measure the impact on issues such as international openness, domestic and foreign investments, market access, and economic growth since Colombia's accession to the OECD. However, it highlights that the decision to join the organization represents the will to move forward in adopting public policies regarding the organization's principles and to make them more transparent and submitted to international scrutiny.

Regulation and ethics in artificial intelligence and machine learning technologies: Where are we now? Who is responsible? Can the information professional play a role?

Artificial intelligence (AI) and machine learning (ML) technologies are rapidly maturing and proliferating through all public and private sectors. The potential for these technologies to do good and to help us in our everyday lives is immense. But there is a risk that unless managed and controlled AI can also cause us harm. Questions about regulation, what form it takes and who is responsible for governance are only just beginning to be answered. In May 2019, 42 countries came together to support a global governance framework for AI. The Organisation for Economic Co-operation and Development (OECD) Principles on Artificial Intelligence (OECD (2019) OECD principles on AI. Available at: https://www.oecd.org/going-digital/ai/principles/ (accessed 2 March 2020)) saw like-minded democracies of the world commit to common AI values of trust and respect. In Europe, the European Commission’s (EC) new president, Ursula von der Leyen has made calls for a General Data Protection Regulation style. As a first step the EC has published a white paper: ‘On Artificial Intelligence – A European Approach to Excellence and Trust’ (European Commission (2020) Report, Europa, February). In February 2020, the UK government has published a report on ‘Artificial Intelligence in the Public Sector’ (The Committee on Standards in Public Life (2020) Artificial intelligence and public standards. Report, UK Government, February). This article discusses some of the potential threats AI may hold if left unregulated. It provides a brief overview of the regulatory activities for AI worldwide, and in more detail the current UK AI regulatory landscape. Finally, the article looks at the role that the information professional might play in AI and ML.

Corporate Governance and Protection of Stakeholders Rights and Interests

The paper takes a holistic view of corporate governance (CG) and protection of stakeholders’ rights and interests. It analyzes whether effective boards of directors in addressing shareholders’ interests prove to be effective in guaranteeing the interests of the rest of the firm’s stakeholders. It discusses how corporate governance should be shaped in relation to existing firms, according in particular to some subjective criteria of fairness and fair play. It defines CG and explains the concept by stating its principles and codes as contained in the Organization for Economic Cooperation and Development (OECD). It states that countries such as Nigeria, the United States and the United Kingdom have developed their CG principles with corporate social responsibility (CSR) intent by using as a guideline the OECD principles and other sources of rules and principles of CG which includes the Companies and Allied Matters Act, Investment and Securities Act and a host of others. It states that the concept of CG applies to corporate businesses across the globe by highlighting the importance and specifying the distribution of rights and responsibilities among various corporate stakeholders such as board members, managers, shareholders and outlining the rules and procedures for making decisions. In doing so, it also provides the mechanism by which the company’s objectives are set, ways to achieve these and monitoring performance. The paper acknowledges that CG is a vital issue where a corporate organization is concerned but asserts that it is impossible for an organization to satisfy all stakeholders hence it is best to create a balance between meeting organizational objectives and that of its stakeholders.

Drivers of convergence/divergence of corporate governance codes of MENA countries

This study aims to fill an existing gap in the regional corporate governance research by investigating the extent of and the drivers behind the convergence/divergence of the corporate governance codes among Middle Eastern and North African (MENA) countries comparing to the globally known Organization for Economic Cooperation and Development (OECD) principles of corporate governance. The results of the study revealed that the convergence level of the codes among the countries and compared to OECD principles significantly varies among countries, ranging from 31% to 73%. The results show that the adopted governance principles in the codes are 'decoupled' from legitimation concerns and focus on efficiency goals. The macroeconomic factors of MENA countries do not consistently reflect the convergence score of the codes with the OECD principles. The institutional quality factors of MENA countries are not aligned with their codes. The study provides several important implications for regulators, firms and other stakeholders.

Assessment and Reproducibility of Quantitative Structure-Activity Relationship Models by the Nonexpert.

Model reliability is generally assessed and reported as an intrinsic component of quantitative structure-activity relationship (QSAR) publications; it can be evaluated using defined quality criteria such as the Organisation for Economic Cooperation and Development (OECD) principles for the validation of QSARs. However, less emphasis is afforded to the assessment of model reproducibility, particularly by users who may wish to use model outcomes for decision making, but who are not QSAR experts. In this study we identified a range of QSARs in the area of absorption, distribution, metabolism, and elimination (ADME) prediction and assessed their adherence to the OECD principles, as well as investigating their reproducibility by scientists without expertise in QSAR. Here, 85 papers were reviewed, reporting over 80 models for 31 ADME-related endpoints. Of these, 12 models were identified that fulfilled at least 4 of the 5 OECD principles and 3 of these 12 could be readily reproduced. Published QSAR models should aim to meet a standard level of quality and be clearly communicated, ensuring their reproducibility, to progress the uptake of the models in both research and regulatory landscapes. A pragmatic workflow for implementing published QSAR models and recommendations to modellers, for publishing models with greater usability, are presented herein.

Genetically modified organisms regulatory challenges and science: a Canadian perspective

The organization for economic cooperation and development (OECD) was among the first to articulate some of the core principles for Genetically Modified Organism (GMO) environmental risk assessment in the Blue Book in 1986 (OECD Recombinant DNA safety considerations: safety considerations for industrial, agricultural and environmental applications of organisms derived by recombinant DNA techniques, 1986). In Canada, consultations with the scientific community endorsed the OECD principles as an approach to the environmental risk assessment of a GMO, then went further to say that the method used to produce a plant with a novel trait was not as important as the consequences of the introduction of a novel trait to a species. This input from scientists has resulted in the unique Canadian product based “plant with novel trait” approach that despite the wider scope, effectively addresses regulatory issues such as how to deal with some of the emerging techniques for plant breeding that do not meet the regulatory definitions in more process based regulations yet may still result in plants with novel traits that a competent authority wishes to regulate. Using the early consultations on biotechnology as a model, Canada has actively sought to incorporate science in improving risk assessment methodologies for products that do not fit easily into conventional approaches such as the cultivation of modified native grasses or ornamental species for biofuel production, the use of plants as platforms for the production of industrial or immunotherapeutic products and the deployment of modified perennial species such as trees that may have more complex environmental interactions. Science remains the foundation for addressing not only new GM products but also the mass of information generated through the advances in genomics.

Development and validation of a quantitative structure–activity relationship for chronic narcosis to fish

Vertebrate testing under the European Union's regulation on Registration, Evaluation, Authorisation and Restriction of Chemical substances (REACH) is discouraged, and the use of alternative nontesting approaches such as quantitative structure-activity relationships (QSARs) is encouraged. However, robust QSARs predicting chronic ecotoxicity of organic compounds to fish are not available. The Ecological Structure Activity Relationships (ECOSAR) Class Program is a computerized predictive system that estimates the acute and chronic toxicity of organic compounds for several chemical classes based on their log octanol-water partition coefficient (K(OW)). For those chemical classes for which chronic training data sets are lacking, acute to chronic ratios are used to predict chronic toxicity to aquatic organisms. Although ECOSAR reaches a high score against the Organisation for Economic Co-operation and Development (OECD) principles for QSAR validation, the chronic QSARs in ECOSAR are not fully compliant with OECD criteria in the framework of REACH or CLP (classification, labeling, and packaging) regulation. The objective of the present study was to develop a chronic ecotoxicity QSAR for fish for compounds acting via nonpolar and polar narcosis. These QSARs were built using a database of quality screened toxicity values, considering only chronic exposure durations and relevant end points. After statistical multivariate diagnostic analysis, literature-based, mechanistically relevant descriptors were selected to develop a multivariate regression model. Finally, these QSARs were tested for their acceptance for regulatory purposes and were found to be compliant with the OECD principles for the validation of a QSAR.

A comparison of proposed legislative data privacy protections in the United States

The use of online consumer tracking methods has raised significant privacy concerns for consumers and policymakers for decades. Advertisers using these methods analyze web-viewing habits to predict consumer preferences and actions. The advertising industry in the United States has promoted self-regulatory principles to respond to these concerns. However, in December 2010, the U.S. Federal Trade Commission reported that these efforts “have been too slow and up to now have failed to provide adequate and meaningful protection.” President Barack Obama's administration has supported broader legislation for comprehensive protection of individuals' private data. The leading model for data privacy protection is the 1980 Organization for Economic Cooperation and Development (OECD) Guidelines on the Protection of Privacy and Transborder Flows of Personal Data. This article examines two leading legislative privacy proposals in the context of the OECD principles. This examination concludes that, although the proposals do not provide sufficient comprehensive privacy protections, they do fill significant gaps in current U.S. privacy laws.

Corporate Governance Practice of Indian Companies – An Assessment of OECD Principles at Global Perspective

The corporate governance plays a major role in the integrity of businesses and markets and helps in maintaining vitality, growth and stability and leads to increase in economic efficiency. In India SEBI under its listing agreement clause 49 has laid down rules and regulations for effective corporate governance and lot of research has been carried out to evaluate the corporate governance practices of the Indian corporate. At global level Organization for Economic Cooperation and Development (OECD) has also framed principles of corporate governance which are non-binding and intended to assist member and non-member government to evaluate and improve the legal, institutional and regulatory framework of corporate governance. The principles of corporate governance as laid down by OECD can lead to examine the level of disclosure practices to corporate governance at global level of the Indian corporate. Hence, in this study an attempt has been made to examine and evaluate the level of the fulfillment towards the various principles of 30 BSE Sensex companies for the year 2010-11.The analysis reveals that the disclosure practice made by Indian company as per Clause – 49 are to a certain extent capable of meeting the various principles of OECD on Corporate Governance. The Study depicts that the principle on Role of Stakeholders in Corporate Governance has attained greater significance. The principle on Board Responsibilities and Disclosure and Transparency needs to be more emphasised by Indian companies for effective Corporate Governance practice at global level.

OECD Principles of Corporate Governance: A Critical Evaluation

The Organization for Economic Co-operation and Development (OECD) Principles of Corporate Governance comprises of certain elements of corporate governance significant for the purpose of managing a corporation. It ensures good corporate governance in the OECD as well as the non-OECD countries. It came into existence for the reconstruction of a devastated market system by application of US-financed Marshall Plan after World War II. The first set of OECD principles on good corporate governance were published in 1999 and revised in 2004. It includes the rights and treatment of shareholders, the role of stakeholders in corporate governance and their rights and responsibility of the board for disclosures and maintenance of transparency. These principles have been used extensively for framing a policy dialogue for the purpose of promoting regional corporate governance reforms and roundtables in non- OECD member countries as well. Since 1995, India has been associated with OECD, as non-member economy. The corporate governance code of India has major provisions in compliance with the OECD principles. These principles can be criticized on the basis of certain issues such as its convergence towards the anglo-American way of corporate governance, the share-holder’s primacy form of governance which negates the stakeholders’ interest. But on the other hand, these principles alter the corporate governance systems of the countries to attract and suit foreign investors. Besides its adoption, proper implementation is essential, which includes having a proper corporate governance code, an audit committee, principle of accountability and director’s responsibility of acting with due diligence and proper care.

First report on development of quantitative interspecies structure–carcinogenicity relationship models and exploring discriminatory features for rodent carcinogenicity of diverse organic chemicals using OECD guidelines

Different regulatory agencies in food and drug administration and environmental protection worldwide are employing quantitative structure–activity relationship (QSAR) models to fill the data gaps related with properties of chemicals affecting the environment and human health. Carcinogenicity is a toxicity endpoint of major concern in recent times. Interspecies toxicity correlations may provide a tool for estimating sensitivity towards toxic chemical exposure with known levels of uncertainty for a diversity of wildlife species. In this background, we have developed quantitative interspecies structure–carcinogenicity correlation models for rat and mouse [rodent species according to the Organization for Economic Cooperation and Development (OECD) guidelines] based on the carcinogenic potential of 166 organic chemicals with wide diversity of molecular structures, spanning a large number of chemical classes and biological mechanisms. All the developed models have been assessed according to the OECD principles for the validation of QSAR models. Consensus predictions for carcinogenicity of the individual compounds are presented here for any one species when the data for the other species are available. Informative illustrations of the contributing structural fragments of chemicals which are responsible for specific carcinogenicity endpoints are identified by the developed models. The models have also been used to predict mouse carcinogenicities of 247 organic chemicals (for which rat carcinogenicities are present) and rat carcinogenicities of 150 chemicals (for which mouse carcinogenicities are present). Discriminatory features for rat and mouse carcinogenicity values have also been explored.

Applicability of the OECD Principles of Corporate Governance to Italian Non-Listed Companies

In 2004 the Organization for Economic Co-operation and Development (OECD) issued a reviewed version of the Principles of Corporate Governance (hereunder the “OECD Principles”), first endorsed in 1999 .As stated in their Preamble, “The Principles focus on publicly traded companies, both financial and non-financial. However, to the extent they are deemed applicable, they might also be a useful tool to improve corporate governance in non-traded companies, for example, privately held and state-owned enterprises.” Furthermore, the Preamble, after declaring that the OECD Principles “…focus on governance problems that result from the separation of ownership and control.”, recognizes that “…this is not simply an issue of the relationship between shareholders and management, although that is indeed the central element. In some jurisdictions, governance issues also arise from the power of certain controlling shareholders over minority shareholders.” Acknowledging that the OECD Principles were meant for listed companies and for their governance issues, this research aims to find out whether they are applicable also to non-listed companies (NLCs), and to what extent. Particularly, whether the OECD Principles also address the peculiar corporate governance issues arising in NLCs and, to the extent they do not – but without striving for completeness – how they can be implemented. There is an increasing need to lay out a framework of corporate governance tailored to NLCs is an increasingly necessity. Not only has the OECD directed its attention to this matter, but also some governments, agencies and organizations have, in fact, already issued principles and recommendations concerning the corporate governance of their domestic NLCs. Furthermore, from an economic point of view, the close NLCs are the prevalent business in a worldwide comparison. For instance, limited companies represent about 55 per cent of registered businesses and 90 per cent of output in OECD countries .