Ethics and Corporate Governance in Al Hilal Bank Term Paper

Ethics and Corporate Governance in Al Hilal Bank - Term Paper theoretical accountResponsibilities of the board should not be taken lightly. The overall responsibility of a bank is with the board including approbative the banking strategies, risk strategies, corporate governance, and corporate values. All the financial soundness of the bank is on the board. The board should preventative the whole strategy of the bank taking into account all the risk and effective planning to squinch the risks and its capacity to cope with risks efficiently.The board must take into account and must know the legitimate touch on of sh atomic number 18holders, stockholders, depositors, and their relevant customers. Also, the effective relationship with the supervisor should also be maintained properly. Board of directors should practice their duties of sell and duties of loyalty followed by keeping up with a change in the banks caper and external environment.A responsible behavior proves to be an e ssential foundation in good governance. So the board should carry its responsibilities effectively maintaining professional standards that ensure integrity for management and early(a) employees.Low-key employees and other workers should be allowed to communicate about illegal and unethical practices as such practices can negatively preserve on banks reputation and profile. Important steps should be taken to communicate end-to-end the bank and professional standers to without any danger report concerns or violation of any particular body. By applicable laws and regulations the board can elect and if necessary can replace the senior management if it sees that they atomic number 18 not performing their required task properly. The senior management actions and activities should be monitored consistently to check whether they are working in their frame. The meeting with senior management should be held regularly. A board should demand full of life explanations and ask questions if f ound necessary related to their assigned tasks.It should make sure that senior management cognitive operation should be consistent with the long-term objective, banking strategies and financial soundness of a bank. Senior management expertise and knowledge should be appropriate given the nature of the bank and its profile.