Press release - 13th March 2012
Organizations urged to join committee and shape good governance
BSI is launching a new governance standard by early 2013, it was announced today.
The standard will be an independent governance standard for the UK and will be developed with input and consensus from a variety of professional bodies, government departments and private businesses.
With governance issues becoming more prominent, BSI and its committee of industry professionals are responding to industry’s request to create a broad based standard that will consolidate existing governance principles.
The standard will provide guidance on how to achieve good governance throughout an organization. It will focus on effective structures, relationships and accountability and provide guidance to outsiders on what pre-requisites an organization should have in order to illustrate good governance.
The standard will also support and reinforce related risk standards such as Collaborative Business Relationships (BS 11000-1), Risk Management (BS ISO 31000) and Business Continuity (BS 25999).
Michael Faber, Committee Chair, and member of the Executive Committee at the Institute of Operational Risk, said:
“Governance issues have shot up organizations’ agenda over the last few years. Whether it’s been the Olympus accounting scandal or financial crash of 2008-09, lack of governance and oversight has been proven to have huge financial and reputational consequences.
“Over the next few months I’ll be working with a number of highly regarded public bodies, private businesses and academia to create the first broad based standard that we believe will emerge as a powerful baseline with which to implement and measure effective governance.
“As the draft standard develops I will be calling on all organizations to consider reviewing and commenting on the development, taking advantage of the public consultation process that will take place later in the year. It’s an excellent opportunity to get involved, and I look forward to receiving feedback towards publication of the new standard.”
Anne Hayes, Head of Market Development at BSI, said: “BSI is working with industry to develop a standard which will enable organizations to demonstrate their good governance and thus enhance their reputation and competitive advantage. It will also encourage those that invest and work in or with the organization to adopt best practice governance activities.
“Standards help by drawing together experience that can and does move industry forward. In the area of governance, standards are not trying to compete with the various schemes and codes already in existence but provide key principles for organizational governance to be effective. BSI welcomes interest from any stakeholders keen to be involved in the committee or simply to comment on the draft as it becomes available.”