ALLAMA IQBAL OPEN UNIVERSITY, ISLAMABAD
(Department of Business Administration)
WARNING
1. PLAGIARISM OR HIRING OF GHOST WRITER(S) FOR SOLVING
THE ASSIGNMENT(S) WILL DEBAR THE STUDENT FROM
AWARD OF DEGREE/CERTIFICATE, IF FOUND AT ANY STAGE.
2. SUBMITTING ASSIGNMENT(S) BORROWED OR STOLEN FROM
OTHER(S) AS ONE’S OWN, WILL BE PENALIZED AS DEFINED
IN “AIOU PLAGIARISM POLICY”.
Course: Corporate Governance (5017/8225) Semester: Spring, 2025
Level: BBA/MSc Administrative Sciences
Instructions:
a) All written assignments must be well organized, presented in an easy-to-read
format and neat. Moreover, pay particularly close attention to grammar, spelling,
and punctuation understandability. Communication is extremely important in this
course.
b) Documentation is likewise very important. Un-supported statements or opinions
are worth less to the reader, who desires to verify your finding. Complete a specific
documentation is mandatory. Also, your references should be to prima sources,
except in rare unusual situations.
c) Quoting should be kept to an absolute minimum.
Guidelines for Doing Assignments
We expect you to answer each question as per instructions in the assignment. You will
find it useful to keep the following points in mind:
1) Planning: Read the assignments carefully, go through the Units on which they are
based. Make some points regarding each question and then rearrange them in
logical order.
2) Organization: Be a little selective and analytical before drawing up a rough outline
of your answer. Give adequate attention to the question's introduction and
conclusion.
Make sure that:
a) The answer is logical and coherent,
b) It has clear connections between sentences and paragraphs,
c) The presentation is correct in your own expression and style.
3) Presentation: Once you are satisfied with your answer, you can write down the
final version for submission. It is mandatory to write all assignments neatly. If you
desire so, you may underline the points you wish to emphasize. Make sure that the
answer is within the stipulated word limit.
Total Marks: 100 Pass Marks: 50
ASSIGNMENT No. 1
Note: Attempt all questions.
Q. 1 Explain the role of leadership and the board of directors in implementing effective
corporate governance. How do their decisions impact the company's overall
governance structure? (20)
Q. 2 Illustrate the role of corporate governance ethics in preventing corporate scandals
and controversies. How can transparent and ethical decision-making contribute to
the prevention of legal and reputational risks? (20)
Q. 3 Highlight the important monitoring role that institutional investors play in
Pakistan's corporate governance. (20)
Q. 4 In today's dynamic business environment, where companies often diversify their
sources of resources, how might resource dependency theory's original assumptions
be challenged? (20)
Q. 5 Discuss the significance of protecting minority shareholders' rights. What measures
can companies take to ensure that minority shareholders' interests are not
marginalized? (20)
2
Total Marks: 100 Pass Marks: 50
ASSIGNMENT No. 2
(Units: 1–9)
Instructions:
1. This assignment is a research-oriented activity. You are required to develop a term
paper and submit it to the tutor for evaluation prior to the final examination. The
last date of this assignment will be notified separately by our directorate of regional
services and the same will be communicated to you directly as well as through
approved study centers assigned to you.
2. You will have to participate in the activity fully, actively, and practically to be able
to pass the final examination of the course.
3. For the preparation of this assignment, you should first thoroughly review the
literature on the topic and develop a scholarly material of the same giving
references, quotations, and extracts of various scholars and experts. Then study the
relevant practical aspects. Combining the theoretical and practical aspects, develop
a comprehensive paper consisting of at least 20 to 25 typed pages to be submitted
to your tutor.
a) Introduction to the topic
b) Important sub-topics
c) Practical study of the with respect to the topic
d) Review of theoretical and practical situations, merits, de-merits deficiencies
and strengths of the organization with respect to the topic under study.
e) Conclusion and recommendation
f) Annex, if any
4. Prepare a copy of this assignment and submit it to your tutor for your evaluation.
5. You should add any illustrative material/data/tables/analysis for effective submission
6. A number of topics given below are the general aspects of the course and you are
required to select one of the topics according to the last digit of your roll number
for example, if the roll number is N-9337241, you will select topic number 1, and if
the roll number is 0-3427185 then you will select topic number 5 (the last digit).
List of Topics:
0. Board committees
1. Disclosures and Reporting
2. Global best practices of audit committees
3. Indemnity Agreement (Corporate)
4. Recommendations for enhancing financial institution`s transparency
5. Responsibilities and duties of the board
6. Selection, remuneration and evaluation of the board
7. Supervisors and transparency
8. The audit committee of the board of directors
3
9. The role of public disclosure
CORPORATE GOVERNANCE (5017/8225)
COURSE OUTLINE
Block-1: Introduction to Governance
Introduction
Corporate governance
Definitions and importance of corporate governance
Reputation, competition and corporate governance
Corporate ethics
The pillars of corporate governance
Corporate governance and corporate responsibility
Transparency
Equal treatment of stakeholders
Protection of minority shareholders
Accountability
Globalization and corporate governance
Block-2: Employment Laws
Wages and holidays
Workplace safety and protection
Human rights
Harassment
Block-3: Models & Mechanisms
Objectives
Introduction
Models of corporate governance
Mechanisms of corporate governance
Block-4: Shareholders & Stakeholders
Introduction
Shareholder rights
Equitable treatment
Responsibilities of shareholders
Minority shareholders’ protection
Stakeholder protection
Block-5: Board of Directors
Introduction
Structure and independence of the board
Responsibilities and duties of the board
Selection, remuneration and evaluation of the board
Board committees
4
The board and the management
Block-6: Audit Committee
Introduction
Organization of audit committee
Responsibilities of the audit committee
Working with auditors and management
Disclosures and reporting
The audit committee of the board of directors
Global best practices of audit committees
Implementing best practices
Financial Institutions - Corporate Governance
Introduction
Sound corporate governance practices in financial institutions
The role of public disclosure
Supervisors and transparency
Recommendations for enhancing financial institution`s transparency
Supportive environment for corporate governance
Block-7: Corporate Scandals, & Best Practices
Introduction
General Motors
American Express
Enron
WorldCom
Infosys Technologies
Sony
Bad corporate practices
Best corporate practices
Block-8: Reducing the Risks
Before appointment
Avoiding liability
Indemnification
Indemnity Agreement (Corporate)
Indemnity Agreement (Third Party)
Indemnity Bylaw
Insurance
Directors and Officers Liability Policy
Company Reimbursement Policy
Commerce
Overview
Web sites
E-mail
E-business
Secured transactions
5
Copyright
Block-9: Environmental Laws
Overview
Environmental laws
Environmental assessment
Environmental audits
RECOMMENDED BOOKS:
1) Governance Networks in Public Administration and Public Policy / Edition-I by
Christopher Koliba, Jack W. Meek, Asim Zia, Publisher: Taylor & Francis,
latest edition
2) Corporate Governance: International Edition, John R. Nofsinger, Kenneth A. Kim,
ISBN: 013128732X, Publisher: Prentice Hall, latest edition
3) Corporate Governance by Robert A. G. Monks and Nell Minow, ISBN 10:
1405171065, Publisher: Prentice Hall, latest edition
4) Blair, Margaret M., Ownership and Control: Rethinking Corporate Governance for
the Twenty-first Century. Publisher: McGraw Hill, latest edition
5) Charkham, Jonathan, Keeping Good Company: A Study of Corporate Governance
in Five Countries. Publisher: Prentice Hall, latest edition.