Governance Strategy Examples
Businesses and other organizations have an overall governance corresponding strategy. There can be different types of sub-governance frameworks within a main governance strategy. For example, IT governance falls within corporate and nonprofit governance, but it has its own structure.
Governance encompasses all the processes of governing by some type of organization which can be a formal or informal organization. Governance refers to how groups or individuals interact and who has the decision-making authority. The term also speaks to the political processes that exist between groups. With any type of governance, external actors that don’t have decision-making authority can influence the governance process. Governance has some type of recognizable structure or framework that has its own rule and it is accountable to a group or individual.
IT Governance
IT governance, or Information Technology, is the governing strategy over the processing of all types of information. An IT governance strategy involves the connections between the business and its management. Organizations are mandated by other authorities to follow regulations that govern the protection of confidential information, financial accountability, data retention, disaster recovery, etc. Organizations are also held accountable by shareholders, stakeholders, vendors, customers, and others and a governance strategy governs those relationships.
Nonprofit Governance
The strategy behind nonprofit governance is to continually work toward achieving the nonprofit’s mission. Nonprofit organizations are governed by a board of directors or board of trustees who are responsible for ensuring that the organization is in compliance with laws and regulations and that the organization is sustainable for the long-term. The governance strategy for nonprofit governance also stands to provide some type of public, social, or community need which is in the organization’s geographical jurisdiction. A nonprofit organization’s governance structure must account for accountability, integrity, and transparency which are essential components to a nonprofit entity.
Corporate Governance
Corporate governance refers to the processes by which businesses interact with other businesses, customers, and other stakeholders. A corporate governance strategy directly relates to the company’s mission. The structures and strategies for corporations are regulated and governed by federal, state, and local governments, as well as other regulatory bodies. A corporate governance strategy outlines the appropriateness of interactions and relationships for how the corporate governing board and management control the interested parties, employees, and other stakeholders connected with the corporation. As part of the corporate governance structure, the board of directors has fiduciary duties to hold them accountable to those they serve and employ.
Environmental Governance
Environmental governance refers to issues related to political ecology that promotes protection for the environment and for sustainable human activity. In essence, environmental principles guide the governance structure. An environmental governance strategy includes a structure that guides the processes for decision-making around the control and management of natural resources. The purpose of environmental governance is to strive toward environmentally sustainable development. Environmental governance often falls within corporate or nonprofit governance structures whereas a sub-governance structure, it contains policies that respond to environment-related demands by stakeholders. It’s better known in some arenas as ESG or environmental, social, and governance.
Project Governance
Project governance is a governance strategy that guides decision-making over projects that are being directed by and overseen by a corporation, nonprofit, or other organization. A project governance strategy outlines the processes, procedures, and authorities that bring a concept through to completion. Projects are usually things that help companies or other organizations to build capital. Project governance outlines the relationships between various groups and individuals that are involved in project management effort.
Internet and Social Media Governance
The World Summit on the Information Society defines internet governance as “the development and application by Governments, the private sector, and civil society, in their respective roles, of shared principles, norms, rules, decision-making procedures, and programs that shape the evolution and use of the Internet.” Internet governance pertains to how governments, regulating bodies, and the general public can determine what type of content is and isn’t acceptable for consumption on the internet. Governance strategies for the internet and social media outline the extent that states should be able to censor content and how to handle sensitive matters such as cyber-bullying, deaths, fraud, and deception.
Private Governance
A private governance strategy is a structure that’s necessary for non-governmental entities, including private organizations, to provide standards and rules that are binding and provide opportunities or benefits for the greater public. Private organizations can sometimes be involved in making public policies such as an insurance company that governs how they reimburse policyholders for claims and the processes they use to indemnify their policyholders for a covered loss. Private, public, or government organizations may be associated with public policy.
Public Governance
It’s common for people to confuse the concepts of governance and politics as public governance structures. Politics involves people and processes where groups develop a consensus of decisions that the group accepts and embraces collectively. The groups’ decisions are considered binding by the group. Public governance involves the administration and processes of governance. There are some groups and individuals who believe that governance and politics both incorporate certain aspects of power and accountability. Public governance structures may involve public-private partnerships or collaboration between community organizations. Public governance also refers to companies or organizations that have governance structures that outline the policies and processes for competitive enterprises that are also governed by one or more levels of government.
Global Governance
According to “Enhancing Global Governance through Regional Integration“, the definition for global governance is “the complex of formal and informal institutions, mechanisms, relationships, and processes between and among states, markets, citizens and organizations, both inter- and non-governmental, through which collective interests on the global plane are articulated, right and obligations are established, and differences are mediated”. Essentially, global governance refers to any regular relationship between a group of free equals such as relationships between independent states.
Regardless of what kind of governance structure and strategy that your organization follows, a BoardEffect board portal system is the modern governance system for storing your organization’s bylaws and other documents that outline the authority of the organization.
