| Abstract | Regardless of corporate governance or national governance, a separation between
"ownership" (Principal) and "management rights" (Agent) shall apply "governance".
Because if not applicable management control mechanisms, will inevitably lead to the
"abuse of rights", "autocratic" and "profiteering" by the manager (Trung, Gian Tu, leader
of PACE – Institute of Leadership and Management).
Good corporate governance is very important in promoting healthy economic growth;
create the harmony of a series of relationships between the board of directors, managers,
shareholders, customers and related parties, which created the direction and control of the
company. Good corporate governance will promote and enhance the company's ability to
access external resources, contributing to the enhancement of the value of the company,
reduce risk, increase investment and sustainable development for company and the
economy.
With the above requirements, require leaders to have long-term strategic vision. Also need
to get a consensus on the parties involved. It is the art of leadership. Warren Bennis had
been said that “Managers are people who do things right, while leaders are people who do the right thing”. |