Governance – Who Makes the Rules around Here?

The number one objective of businesses is a healthy bottom line. The prime aim in business relationships is often to pass the risk to the other side. These inflexible principles are built into the governance policies, processes and procedures and are applied broad-brush. Many attempts to build alliances fail because they are hamstrung by the existing governance arrangements that are not capable of the necessary agility to support a relationship management ethos, and therefore the bottom-line target is often missed – return on investment is disappointing. Thus, the myth here is the way we have always managed has worked for us, so why do we need to change? Normal governance will do. As a Commercial Director told us, We have been working with these people all along, everyone understands the rules and everything is fine, change is a step into the unknown and full of risk .