A strong corporate culture, underpinned by effective governance practices, is more important than ever in this pandemic and post-pandemic era. Companies and their people, struggling to survive and recover, are at risk of a breakdown in good governance, leading to long term financial and reputational damage.
Further, company culture and governance practices need to be reconsidered in the changed business environment.
Employees are variously dealing with issues such as making budget, assuring supply chains and managing creditors, often under extreme financial pressure. Directors are dealing with more profound issues of solvency and the strategic direction for their companies. They are often doing so from home, remote from colleagues and only able to communicate electronically. Even as government measures to contain the virus ease, work practices will not return to the old “normal”, requiring directors and employees to adjust in ways that had not previously been considered.
This situation leaves companies exposed to uncertainty, miscommunication, misunderstanding and even rogue elements.