Module FINN3051: Corporate Governance

Department: Finance

FINN3051: Corporate Governance

Prerequisites

• None

Corequisites

• None

Excluded Combination of Modules

• None

Aims

• The module aims to enable students to develop:
• their understanding of internal and external corporate mechanisms and their impact on principal-agent relationships as well as the efficient use of corporate, social and environmental resources and sustainability. As both internal and external corporate governance mechanisms are explored, the module builds on the student's knowledge gained during their previous studies.
• a critical appreciation of the interdependence between internal and external corporate governance mechanisms.
• skills in the application of institutional economic theories to aid the analysis of corporate governance both at the level of individual organisations and economic systems.
• a critical understanding of reasons for and consequences of international differences in corporate governance systems.

Content

• New Institutional Economic Theory (especially Principal-Agent Theory, Property Rights Theory, Resource Dependence Theory, Stakeholder Theory) as an instrument to analyse corporate governance structures.
• The role of the board of directors, and the shareholders general meeting in the governance of companies.
• The rationale for and impact of codes of best practice for corporate governance.
• The impact of financial markets and investor behaviour on corporate governance.
• International differences in systems of corporate governance

Learning Outcomes

• To have a critical appreciation of the role and the development of corporate governance, including an awareness of international differences in systems of corporate governance.
• To be able to critically analyse the impact of corporate governance structures on principal-agent problems and the efficient use of corporate, social and environmental resources.

• Ability to apply institutional economic theories to the analysis of corporate governance mechanisms.
• Ability to analyse interdependence between corporate governance and corporate finance with the help of institutional economic and financial theories.

• Interpersonal and Written Communication - communicating ideas in seminars as well as the assignment and formative assessments.
• Planning, Organisation and Time Management - by preparing for the assignment and seminars, engaging with continuous summative and formative assessment and managing group work.
• Problem Solving and Analysis - by applying the necessary analytical skills, as well as the ability to apply concepts in corporate governance, in undertaking assessed work.

Modes of Teaching, Learning and Assessment and how these contribute to the learning outcomes of the module

• Teaching is by lectures and workshops. Learning takes place through attendance of lectures, preparation for and participation in workshops, group work and private study.
• Formative assessments guide students in the development of their knowledge and skills. They also support students' continuous engagement in learning throughout the module.
• Continuous summative assessment serves to support students in the development of their knowledge and skills. It provides students with feedback on their learning progress and supports students' continuous engagement in learning throughout the module.
• The summative assessment by assignment will test students' acquisition and articulation of knowledge and their ability to apply what they have learned in a particular context.

Teaching Methods and Learning Hours

Summative Assessment

Formative Assessment:

Formative self-assessment exercises using computer aided assessment and classroom-based exercises involving individual and group analyses of specific corporate governance problems relevant to the learning outcomes of the module. Oral and written feedback will be given on a group and individual basis as appropriate.

■ Attendance at all activities marked with this symbol will be monitored. Students who fail to attend these activities, or to complete the summative or formative assessment specified above, will be subject to the procedures defined in the University's General Regulation V, and may be required to leave the University