Corporate Governance
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Governance mechanisms are considered to be effective if they meet the needs of all stakeholders, including shareholders. Governance mechanisms are also an important way to ensure that strategic decisions are made effectively. As a potential employee, how would you go about investigating a firm’s governance structure? Would that investigation weigh in your decision to become an employee?
First, address the following item:
Identify a firm that you would like to join or one that you just find interesting. Complete the following research on your target firm:
Find a copy of the company’s most recent proxy statement and 10-K. Proxy statements are mailed to shareholders prior to each year’s annual meeting and contain detailed information about the company’s governance and present issues on which a shareholder vote might be held. Proxy statements are typically available from a firm’s website (look for an “Investors” submenu). You can also access proxy statements and other government filings such as the 10-K from the SEC’s EDGAR database.
Sample Solution
I recently became interested in joining the firm Netflix, Inc. as it is a leading provider of streaming media and video-on-demand online and on DVD. The company operates under a strong governance structure that includes board members from diverse backgrounds and expertise, including specialists in film production, business administration, technology and more. To investigate Netflix’s governance structure further I accessed their proxy statement for the 2021 fiscal year available at their website which gave insight into how they monitor performance of executives as well as ensure compliance with legal regulations . Additionally , I also searched EDGAR database where I was able to find copy company’s 10-K which provided further information about topics like strategy/risk management plans plus annual financial reports (Securities & Exchange Commission ).
From my research there were several items stood out most notably Netflix’s commitment corporate accountability such implementing rigorous procedures designed minimize potential conflicts interest while taking proactive approach towards addressing issues faced by shareholders —allowing them cast votes electronic format rather than physical ballots during meeting.
Overall then, although this analysis only scratched surface regarding what constitutes effective governance structures within firms today one thing clear that Netflix takes these matters seriously hence why believe should be taken into consideration when deciding whether join organization not given impact has upon decision making processes inside out.
