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Guidance on the 8th EU Company Law Directive

Monitoring the effectiveness of internal control, internal audit and risk management systems”

source: www.ferma.eu

Running a business has always been a matter of risk taking. The recent crisis has reinforced the necessity of managing risk, and has enhanced public expectations for economic actors to be more proactive in risk control. What’s new with the 8th EU company law directive is that there is a clear responsibility given to board of directors and there is a clear responsibility given to boards of directors and

to their audit committees. Senior management is expected to be involved in risk management and risk taking. Directors have to give direction depending on the risk appetite of shareholders. A good risk management system is like management systems on a racing car - they help it to go faster, further and more safely.

 

(Peter den Dekker, President of Ferma)

As a registered member you can download the full report with guidelines for boards and audit committees on the 8th EU company law directive.

Filled Under :
Filled Under
Governance,
Risk Management

Published on 10/01/2011

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