Corporate governance: setting the scene for perioperative practice

doi:10.1017/CBO9780511642135.008

This chapter is part of a book that is no longer available to purchase from Cambridge Core

6 - Corporate governance: setting the scene for perioperative practice

Edited by

Paul Wicker and

Brian Smith: Affiliation:
Edge Hill College of Higher Education, Ormskirk
Paul Rawling: Affiliation:
Edge Hill College of Higher Education, Ormskirk
Paul Wicker: Affiliation:
Edge Hill College of Higher Education, Ormskirk
Chris Jones: Affiliation:
Edge Hill College of Higher Education, Ormskirk

Book contents

Get access

Summary

Key Learning Points

Appreciate the nature of corporate governance
Understand the public policy initiatives that gave rise to corporate governance in healthcare
Appreciate the implications of failing corporate governance

Introduction

Corporate governance is the way in which governing boards direct, control and manage organizations and public bodies. One of the roles of stakeholders is to recognize an organization's obligations to society. Good governance leads to good management, performance and financial management, and ultimately to good outcomes for patients and organizations.

This chapter will identify the core principles of good governance, the underlying corporate governance codes, their application and the roles and responsibilities of all involved. The aim of good governance is to understand accountability for the benefit of all stakeholders, including patients.

Adopting a comprehensive corporate governance framework is the cornerstone of sound business conduct and is fundamental to the success of an organization. Failure in governance is a threat to the future of organizations. This was seen in recent examples of poor corporate governance in healthcare, for example in the organ retention scandals, and in business, for example the events at Enron and Maidstone (discussed later in this chapter).

Information

Type: Chapter
Information: Core Topics in Operating Department Practice
Leadership and Management
, pp. 39 - 48

DOI: https://doi.org/10.1017/CBO9780511642135.008 [Opens in a new window]

Publisher: Cambridge University Press

Print publication year: 2009

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

,Audit Commission (2003). Corporate Governance, Improvement and Trust in Local Public Services. London: Audit Commission; http://www.auditcommission.gov.uk.

Barker, L. [for HM Treasury Public Services Productivity Panel] (2004). Building Effective Boards: Enhancing the Effectiveness of Independent Boards in Executive Non-Departmental Bodies. London: The Stationery Office.Google Scholar

Cadbury, A. (1992). Report of the Committee on the Financial Aspects of Corporate Governance. London: Gee.Google Scholar

,Chief Medical Officer (2001). Report of a Census of Organs and Tissues Retained by Pathology Services in England. London: The Stationery Office.

,CIPFA, JRF & OPM (2005). Good Governance Standard for Public Services. London: CIPFA, JRF & OPM.

Clarke, T. (ed.) (2004). Theories of Corporate Governance. London: Routledge.Google Scholar

,Combined Code (1998). Combined Code, Principles of Corporate Governance. London: Gee.

,Combined Code (2003). The Combined Code of Corporate Governance. London: Gee.

,Department of Health (2001a). The Report of the Public Inquiry into Children's Heart Surgery at the Bristol Royal Infirmary 1984–1995: Learning from Bristol [Cm 5207(II)]. London: The Stationery Office.

,Department of Health (2001b). Royal Liverpool's Children's Inquiry Report. London: The Stationery Office.

,Department of Health (2002). National Health Service Code of Conduct for NHS Managers. London: The Stationery Office.

,Department of Health (2003). The Isaacs Report. The Investigation of Events that Followed the Death of Cyril Mark Isaacs. London: The Stationery Office.

,Department of Health (2005). NHS Audit Committee Handbook. London: Department of Health and the Healthcare Financial Management Association; http://www.library.nhs.uk/healthmanagement.

,Department of Health (2006). Integrated Governance Handbook. A Handbook for Executives and Non-executives in Healthcare Organisations. London: The Stationery Office.

Greenbury, R. (1995). Directors' Remuneration. London: Gee.Google Scholar

Hempel, R. (1998). Committee on Corporate Governance: Final Report. London: Gee.Google Scholar

,Health and Social Care (Community Health and Standards) Act 2003; http://www.opsi.gov.uk/acts/acts2003/ukpga_20030043_en_1.

,Healthcare Commission (2007). Investigation into Outbreaks of Clostridium difficile at Maidstone and Tunbridge Wells NHS Trust. London: Healthcare Commission.

Higgs, D. (2003). Review of the Role and Effectiveness of Non-Executive Directors. London: Department of Trade and Industry.Google Scholar

,Human Tissue Act (2004). Chapter 30; http://www.opsi.gov.uk/acts/acts2004/ukpga_20040030_en_1.

Jones, I. & Pollitt, M. (eds.) (2003). Working Paper No. 277: Understanding How Issues in Corporate Governance Develop: Cadbury Report to Higgs Review. Cambridge, UK: ESRC Centre for Business Research, University of Cambridge; www.cbr.cam.ac.uk/pdf/wp277.pdf (accessed 20 April 2009).Google Scholar

,Monitor (2006). The NHS Foundation Trust Code of Governance. London: Monitor; http://www.monitor-nhsft.gov.uk/home/our-publications/browse-category/guidance-foundation-trusts/mandatory-guidance/code-governance (accessed 20 April 2009).

,NHS Appointments Commission (2003). Governing the NHS, A Guide for NHS Boards. London: NHS Appointments Commission.

,Nolan Committee [Committee on Standards in Public Life] (1995). First Report into Standards in Public Life. London: The Stationery Office.

,Organisation for Economic Co-operation and Development (2004). Principles of Corporate Governance. Paris: OECD.

,Sarbanes–Oxley (SOX) Act (2002). US Legislature.

Shifrin, T. (2002). Public Sector is bound by code. Health Service Journal, 112, 6–7.Google Scholar

Sims, R. & Brinkmann, J. (2003). Enron ethics (or culture matters more than codes). Journal of Business Ethics, 45, 243–255.CrossRef Google Scholar

Smith, R. (2003). Audit Committees Combined Code Guidance. London: Financial Reporting Council.Google Scholar

,The Intelligent Board (2006). The Intelligent Board Point 10: The Intelligent Board for Acute Trusts. London: The Intelligent Board Steering Group; http://www.appointments.org.uk/docs/intelligent_board_report.pdf (accessed 20 April 2009).

,The Intelligent Commissioning Board (2006). The Intelligent Board: Understanding the Information Needs of SHA and PCT Boards. London: The Intelligent Board Steering Group; http://www.appointments.org.uk/docs/intelligent_board_report.pdf (accessed 20 April 2009).

Clarke, T. (ed.) (2004). Theories of Corporate Governance. London: Routledge.Google Scholar

Mallin, C. (2004). Corporate Governance. New York: Oxford University Press.Google Scholar

McLean, B. & Elkind, P. (2004) The Smartest Guys in the Room: The Amazing Rise and Scandalous Fall of Enron. London: Penguin Books.Google Scholar

Accessibility standard: Unknown

Accessibility compliance for the PDF of this book is currently unknown and may be updated in the future.