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    International Corporate Governance Network: Annual conference starts today!

    Conferences Leadership Research
    I have arrived in London ahead of the International Corporate Governance Network conference which starts today. The organisers have prepared a full three-day programme (agenda here), based at Guildhall (an historic building in central London).  Further details are available here.
    I'll post summaries here during the conference. Please contact me if you'd like to meet up during the conference, or if you want to know about a particular presentation.
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    Pausing to celebrate two important milestones

    Governance Phd Research Research Update
    Picture
    May 31 is an important day on our family calendar: This year doubly so. It's our daughter's birthday (our youngest reached the ripe old age of 21 this year). We hosted a luncheon for her and several of her friends. Gifts were given and stories were told. We had a great time together. The 'doubly so' part is that I finished writing up my doctoral thesis! Some three-and-a-quarter years after setting out (to discover how boards influence business performance), the main output of the doctoral research process, the thesis dissertation, is complete and ready to be examined.
    Four copies of the 336-page tome have been printed and bound, and the associated 'submission' paperwork has been signed. Will the thesis dissertation be good enough? I hope so, but only the examiners can answer that question.
    Where to from here? Today I will rest, to start dissipating the intensity of the final ten days of the write-up and to 'change gear' (from writing to meeting people). I am en route to London, ahead of three exciting corporate governance conferences—two of which I have the honour of addressing. Tomorrow I will start preparing presentations and thinking about the future.
    Thank you to everyone who has provided support and offered encouragement in recent weeks. The focus on the write-up process has been total. I appreciate your comments—deeply.
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    EURAM: conference programme now available online

    Conferences Governance Management Phd Research
    The 15th European Academy of Management (EURAM) annual conference will be held in Warsaw, Poland on 17–20 June. The conference programme is now available online. Over 1200 delegates have registered to attend, to hear about the latest developments in management research and the implications for practice.
    I am looking forward to attending what promises to be a very interesting (and busy!) conference. EURAM is the third of three international conferences that I will be attending in June. In addition to listening to as many of the corporate governance papers as possible and meeting with colleagues, I have two formal commitments, as follows:
    • Chair the second corporate governance session, entitled Boards of Directors: Outside/Non-executive directors, on Thu 18 June.
    • Present my paper, entitled Boards, strategy and business performance: Observations from inside the boardroom, in the afternoon session on Thu 18 June.
    If you would like to receive more information about any of the papers, please let me know. I will do my best to attend the appropriate session and write a report.
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    International Corporate Governance Network: Annual Conference

    Conferences Governance Performance Research
    The 2015 edition of the International Corporate Governance Network annual conference is just a week away (3–5 June). This year, ICGN will be celebrating 20 years of governance change and reform. Hosted by the City of London, the conference is being held at the historic Guildhall. The organisers have assembled a fantastic programme. Over 650 delegates have registered to hear 80 speakers discuss a wide range of topics:
    • Sustainable capital market reform: what needs to be done?
    • The board of the future: will it be fit for purpose?
    • Share ownership in a global context—is stewardship working?
    • Human rights: what are investors expected to know and do
    • Driving accountability across the voting chain
    I will be at the conference (as a delegate only this year). Summary reports will be posted here, so please check back next week for updates. If you want to meet up at the conference, contact me to make an arrangement.
    The ICGN annual conference is the first of three conferences that I'm attending in June. I will also be at the International Governance Workshop (11–12th, Barcelona, Spain) and the European Academy of Management conference (17–20th, Warsaw, Poland), to present the latest findings of my research and discuss implications for boards. Copies of my papers are now available.
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    I stand corrected!

    Governance Language
    A muse that I wrote yesterday asked a series of questions about company ownership. It stimulated quite a bit of interest, albeit for reasons other than I expected. Having discussed the matter with several commentators, I now know why. It turns out that one of the underlying assumptions upon which the muse was based—that companies have owners—was wrong. 
    How often have you heard someone say they 'own a portion of <company name>' or that they are 'company owners'? These statements, while plausible, are actually incorrect. People (individuals, groups, other companies) own shares in a company, they don't own the company (or a portion of the company) directly. The company is an entity itself. It issues shares ('bundles of intangible rights') and these can be owned or traded, as is so ably explained here (see clause 2).
    Thank you to those people that contacted me to point out my error. The phrase 'company owner' has been removed from my vocabulary! However, the notion of 'ownership' remains. I hope this brief note goes some way to putting the record straight. Please contact me if you would like to know more.
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    Apparently shareholders do not own corporations!

    Accountability Governance Management Performance
    Please excuse this rather sensationalist title—I have just picked myself up from the floor having read this clause in the recital section of a [draft] directive being prepared in the EU:
    "Although they do not own corporations, which are separate legal entities beyond their full control, shareholders play a relevant role in the governance of those corporations."
    The proposed directive, which encourages long-term engagement and gives voice to shareholders in listed companies and large companies, seems to be well intentioned. However, the statement that shareholders do not own the corporation left me flabbergasted. It raises all sorts of questions:
    • If the shareholders (collectively) do not own the corporation, who does?
    • To whom is the board accountable—the shareholders (who don't own the asset the board is charged with operating); or, the [now unknown] owners; or, some other group?
    • Who benefits from the wealth created by the corporation, the shareholder, the owner or some other party?
    Why anyone would buy an asset if they knew that a condition of purchase was that they did not own what they had just paid for is beyond me. Is this sloppy drafting, or have I missed something in the semantics? Can someone with a legal mind and expertise in this area please elucidate?