The Impact of Organization Leadership on Organization Governance

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Introduction

All organizations and enterprise, both profile and profit conducts their business via respect and involvement for those who work in them to attain superior results. This is achieved through involvement of good leadership. According to Uju (2013), leadership is the vision creation concerning a defined future state that seeks to entangle all organizational setting membership, with an influence that is necessary to the achievement of organization objectives. Leadership is defined as a process in which an individual influences others to attain an objective and guides the organization in a manner that makes it more coherent and cohesive. Corporate governance on the other hand refers to a manner, fact and act of controlling, directing and ruling the affairs of an organization, company, city or a country. It covers the association among different participants in establishing the performance and direction of corporations. According to Carcello (2009) the corporate governance process key players are stakeholders, management, and the board of directors. Shareholders are the corporation owners and expect to have good returns from their investment and commensurate with the investment risk. Good governance is also associated with financial reporting, and thus, the external auditor plays an essential role in the function of governance. This paper evaluates the impact of organization leadership on effective organization governance.

Impact of Leadership

An organization is comprised of different sectors and departments that involve individuals of different professions and abilities. Their work and performance are them pieced together to evaluate the overall performance of an...

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1. Caldwell, C, Hayes, LA, Karri, R & Bernal, P 2008, ‘Ethical stewardship: implications for leadership and trust’, Journal of Business Ethics, vol. 78, pp. 153-164
2. Carcello, JV 2009, 'Governance and the common good', Journal of Business Ethics, vol. 89, pp. 11–18.
3. Schwartz, MS 2013, ‘Developing and sustaining an ethical corporate culture: the core elements’, Business Horizons, vol.56, pp. 39–50.
4. Uju, M 2013, ‘The impact of valued-based leadership and corporate governance on organizational performance: a study of some selected firm in south-east Nigeria’, International Journal of Business and Management Invention, vol. 2 no. 1, pp. 47-55.
5. Walumbwa, FO, Morrison, EW & Christensen, AL 2012, ‘Ethical leadership and group in-role performance: the mediating roles of group conscientiousness and group voice’, Leadership Quarterly, vol. 20, pp. 953–964 .

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