Improving corporate governance practices

Boards of directors can be powerful decision making bodies, with the discretion to deploy resources and promote value creating projects and activities in the organization. However, present corporate governance practices and mainstream academic research on boards and governance has to a large extent failed to address the importance of peak performing organizations and how boards may contribute to value creation. Rather, the dominant concern has been how boards’ best can protect value by shielding the invested stakes of external shareholders. In this chapter we will meet the above mentioned concerns by presenting recommendations on how boards can increase the value creative potential for peak performing organizations.