Abstract

To examine the role of the Board in a company's success, this paper aims to provide a concise overview of relevant corporate scandals and triumphant corporate narratives. A brief inquiry reveals that the deterioration of a company often begins at its core, namely, the Board. While there has long been interest in understanding the connection between Board performance and corporate achievements, this paper advises researchers to learn from past mistakes. These errors include relying solely on assumptions such as ethical erosion within the Board as the cause for corporate failures, as well as using single performance measures to comprehend this relationship. To gain deeper insight into this subject matter, it is suggested that a more purposeful approach be taken. This involves revisiting past corporate scandals and contrasting them with successful stories within corporations. By doing so, we may be able to identify cause-and-effect relationships and shed light on areas that require further focused research. Such endeavours would undoubtedly bring immense value to this crucial field of study. The purpose of this study is to examine the impact of the Board on company performance using real-life examples and information from secondary sources. The prime focus will be on specific corporate scandals and successful corporations that demonstrate good corporate governance practices. A hybrid methodology, combining theoretical and qualitative techniques, will be utilized, relying on information gathered from secondary sources. Upon initial examination, it becomes apparent that it is the Boards themselves that are responsible for failures in adhering to good corporate practices, leading to a decline in overall company performance. Upon closer examination, it becomes evident that there is a deeper layer of complexity to the situation. It appears that external auditors, who are entrusted by the public, have learned from their past errors, and have now made it customary for stakeholders to view their actions of adhering to fines as signs of accountability. Surprisingly, neither regulators nor stakeholders have taken strong action against them in most of the scandals. This study further recommends focussed research on these issues.

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