This website uses cookies to ensure you have the best experience. Learn more

Corporate Governance In Nokia Essay

1283 words - 6 pages

NOKIA is an organisation which provides sustainability by following many principles. Nokia is a leader in mobile communications, enabling mobility through its different businesses. Nokia Corporation is the world’s biggest manufacturer of mobiles which is mainly based in Finland. Now the company is serving customers in 130 countries and having more than 60,000 employees during 2005 (Nokia 2006), but crossed more than 123 553 at the end of 2009 to 2011.
According to the guideline of NOKIA all the board of directors are committed to follow certain rule and regulations to build good corporate governance. As we all know corporate governance provides the certain balance among the customers, ...view middle of the document...

It has avoided the conflicts and consequences of laws between Finnish regulations and other Non Domestic rules and regulations.

General meeting of share holders

External Audit Board of directors Internal Audit

NOKIA leadership team


Shareholders are having a decision making power along with a right to vote and speak in the general meeting of the shareholders of NOKIA. According to Finnish laws NOKIA have to show their annual report on June 30. As well as in this general meeting they decide who will be the Board of directors and also their remuneration they also decide how the profit can be used that has ben shown in the balance sheets as well as they discharge the CEO and board of directors if they are unable to perform to fulfil the expectation of the share holder and also they determine the external shareholders and their fees.

Board of directors of Nokia are responsible for their actions to the shareholders and also their actions are active not passive they take part in determining the strategic decisions and also the effective utilization of resources and internal policies which the management have to imply in their daily work routine. As Board of directors of NOKIA they have to look after these following facts.
• Monitoring the actions of management from the angle of legal compliances.
• Investment and Capital expenditure decisions
• Risk Management policies
• Appointing and discharging of members of NOKIA leadership team(CEO,CFO)
• Independent directors determine the compensation as well as the remuneration of CEO with the help of Personal committee.
Board of Directors have three integral parts that help them to take decisions by providing them necessary supports.
1. Internal Audit Committee
2. Corporate Governance
3. Nomination Committee


In NOKIA there are 7-12 members have got elected every year in their general shareholder meeting. In NOKIA their leadership structure consist of Chairman and vice chairman and all the independent directors are getting elected by the Corporate Governance and Nomination Committee. Nokia doesn’t have any policy to distinguish the roles of Chairman and CEO but their activities are only in the favour of company needs and shareholder value according to the situation and time. NOKIA has its own code of ethics, code of conduct which is applicable to all the directors , CFO,CEO and all the company employees .


The man roles of audit committee is not only to monitor all the financial activite of NOKIA but also they keep an eye if the Board of Directors oversight
• Quality and integrity of financial activities and their disclosures
• Company’s financial statement
• Interdependence of external and internal...


Issues in corporate governance Essay

3524 words - 14 pages market and tried several last ditch efforts to avoid the crisis, but because of several reasons crashed and resulted into a loss of billions of dollars of small investors and resulted into various businesses shutting shop to avoid litigation because their insurance provider had collapsed, thus resulting in many more billions of combined loss of the stake holders. The resulting evolution in corporate governance principles governing corporate have made

Corporate Governance in Saudi Arabia Essay

661 words - 3 pages improved, and was also supplemented by another royal decree, the Professional Companies Law which was first released and ratified in 1991. The Professional Companies Law is considered to be the main law, which governs all types of businesses in Saudi Arabia nowadays. Finally, we reach the Capital Market Act of 2003, and the Corporate Governance Regulations Act (for capital markets) of 2006, which are the laws that rule the Saudi Arabian financial


2240 words - 9 pages which the frame work for GE was set as governance principles. They also decided to review the frame work on an annual basis and more often if it’s necessary. Role, functions and qualification of board and management Business is been directed by its employees, managers and officers, with the supervision of CEO. The supervision is been done in order to improve the company mission for the benefit of shareholders. The board of directors are

Gender Diversity in Corporate a Governance Report

974 words - 4 pages This report gives the brief overview of the concept of corporate governance, its evolution and its significance in the corporate sector. The report highlights various key issues and concerns that are faced by the organizations while effectively implementing and promoting Corporate Governance. Gender Diversity has been considered a key issue in the Corporate Governance and the details about how the organizations have worked on improving the

The Role of Ethics in Corporate Governance

1743 words - 7 pages JOHN WAMBUA NZIOKI UNIVERSITY OF MARYLAND UNIVERSITY COLLEGE FIN 610 SPRING 2014   Introduction This paper discusses the role of ethics in corporate governance. I seek to show the application of moral and ethical principles in corporate governance. Ethics is a topic that has generated a lot of interest in the last decade especially after high profile scandals. The failures of prominent companies such as WorldCom, Enron, Merrill lynch and

Institutional Investors’ Role in Corporate Governance

1781 words - 8 pages surrounding institutional investors is whether they should be more or less involved in the companies whose shares they own. When looking at the important roles along with the influence over corporate governance, we can see that institutional investors have an overall positive impact on the company and the individuals that trust them with their investments. Before getting into the specific roles of institutional investors, it is important to first

Risks of Non-Compliance in Corporate Governance

2295 words - 9 pages Risks of Noncompliance PAGE \* Arabic 1 Running head: RISKS OF NON-COMPLIANCE IN CORPORATE GOVERNANCERisks of Non-Compliance in Corporate GovernanceRisks of Non-Compliance in Corporate GovernanceCorporate governance describes the broad set the rules, processes, or laws in which mandates controls for select businesses. In some cases, it clearly defines the parameters of businesses' operation, regulation, and control. According to Tech Target

Risks of Noncompliance in Corporate Governance

3796 words - 15 pages follow a No-nonsense Ethics Policy and Stress Corporate Governance MeasuresHugh McBride's communications only touched on ethics, it being underlying notions in his comments on board compensation, company control issues, and creating the illusion of an authentic board. The implications were not honest nor ethical or compliant to regulatory forces. McBride Financial Services needs to follow suit with Walgreens, which has a staunch ethics policy that

The Rising Importance of Corporate Governance in Contemporary Business Environment

1816 words - 7 pages Question 3Why has improved corporate governance become an increasingly important topic in recent years? Consider the cost and benefits of different groups (e.g. shareholders, employees, government etc) of changing rules in corporate governance.INTRODUCTIONThis paper aims to examine why corporate governance has become increasingly important in the contemporary business environment. Additionally, it explores the cost and benefits of applying the

Development Comparison of Corporate Governance in Malaysia and Singapore

1410 words - 6 pages The Asian Financial Crisis which exposed the corporate governance weaknesses was a wake-up call for all the policymakers, standard setters as well as the companies (OECD, 2014). The parties that involved and affected from the crisis started to realize the importance of having strong corporate governance practices in their countries. Consequently, the Asian economies along with the OECD established the Asian Roundtable on Corporate Governance in

Corporate governance and firm performance in Pharmaceutical industry of Pakistan

3362 words - 13 pages AbstractThere has been much discussion recently about whether corporate governance makes a difference in improving company performanceThis study is initiated on "corporate governance and firm performance" with the samples of 8 pharmaceutical companies using the data from their annual reports, representing the periods of 2008 - 2012. Board committee, board meeting and board size including executive directors and non-executive directors were used

Similar Essays

Transparency In Corporate Governance Essay

1428 words - 6 pages in the corporation.Ensuring that corporate governance is being included in all procedures at McBride Financial Services, Hugh McBride has to set the tone by ensuring that the Sarbanes-Oxley Act (SOX) is being upheld, which can be interpreted by stakeholders as strength and stability of the corporation. Because publically held companies have to comply with this law, ensuring that his executive management has a thorough knowledge of this mandate

Transparency In Corporate Governance Essay

1405 words - 6 pages Transparency in Corporate PAGE \* MERGEFORMAT 1 Running head: TRANSPARENCY IN CORPORATE GOVERNANCETransparency in Corporate GovernanceUniversity of PhoenixTransparency in Corporate GovernanceThis paper evaluates the case of McBride Financial Services, Inc (MFSI), evaluating the concept in corporate governance transparency and the relationship between self-interest of management and effective corporate governance. According to Chew and Gillan

Trends In Corporate Governance Essay

5057 words - 20 pages it plays a major role in today's fast growing global economy. As corporate practices and market conditions are different from country to country and businesses are no longer restricted to trade within their own country the issues related to corporate governance gain greater importance that ever.The more effective the corporate governance system a company has the less chance it has to become a troubled entity or go bust except in the

Transparency In Corporate Governance Essay

1625 words - 7 pages PAGE 2 Transparency in Corporate Governance Transparency in Corporate GovernanceTerri GilbertUniversity of PhoenixIntroductionBusinesses in the United States are overcoming the financial corruption and malfeasance of earlier decades. Government intervention of applicable laws and stock exchanges regulations has put a new spin on corporate governance. Corporate governance philosophy has shifted from the agency theory of providing management