Corporate governance

Corporate governance defines how powers and responsibilities are allocated among shareholders, the board, management, auditors and other stakeholders. In Switzerland it includes mandatory company-law duties, articles of association, organizational regulations, listing requirements, remuneration rules, risk management and internal controls. Good governance aims to promote lawful decision-making, transparency, long-term value and protection of shareholders and creditors. The practical design depends on company form, ownership structure, listing status, group organization and regulatory sector, with special attention to conflicts of interest and delegation.