New Delhi: With corporate governance practices of Indian companies coming under scanner, global consultancy KPMG believes industry bodies such as Nasscom, CII and regulators like Sebi should have a more unified approach for developing benchmarks in good governance practices.
“The industry bodies like CII, Nasscom and regulators like Sebi should look at a more unified approach towards handling corporate misgovernance and at developing benchmarks in good governance practices,” KPMG director (Governance Risk and Compliance Services) Ganesh Ramamurthy said.
According to a survey of KPMG on the state of corporate governance in India, majority of respondents believe that while corporate governance should be practiced through principle-based standards and moderate regulations, there is a need for stronger regulatory review and exemplary enforcement.
The survey said that Indian companies believe that the spirit and practice of governance regulations and practices need to be intertwined.
One of the key concerns related to corporate governance is risk management, with nearly three-fourth survey respondents saying these practices need to be improved.
“Indian companies have some way to go when it comes to risk management measures. Also important to consider is impact of changes to strategies and priorities on risk profile,” Ramamurthy said.