26 February 2013

IFAC: Integrating governance throughout an organisation helps achieve sustainable success

The PAIB Committee of the IFAC published a new report that analyses how professional accountants in business can integrate governance into their organisations' drivers of sustainable success.

The ultimate objective of governance is to ensure the creation of sustainable organisational success and stakeholder value; these are the core elements of every organisation that strives to be competitive and sustainable over the long term. Governance in an organisation should, therefore, be about more than a compliance exercise designed with the sole purpose of satisfying regulatory requirements. Instead, good governance affects the entire organisational cycle of strategic planning, resource utilisation, value creation, accountability and assurance. Such a holistic approach ensures that governance is not “bolt on” but “built in”—integrated into all aspects of an organisation.

'Integrating Governance for Sustainable Success', a new report from the PAIB Committee of the IFAC, analyses, through illustrative case studies, how professional accountants in commerce, industry, financial services, education, and the public and not-for-profit sectors support their organisations in integrating governance into the key drivers of sustainable organisational success.

The report uses the key drivers of sustainable organisational success, previously identified in 'Competent and Versatile: How Professional Accountants in Business Drive Sustainable Organisational Success', as the building blocks for integrating governance in all aspects of an organisation. The report also includes illustrative case studies from around the world to provide an analysis of how professional accountants in business support their organisations in integrating governance into these drivers.

Since professional accountants in business are typically involved in the planning, implementation, execution, evaluation and improvement of governance in their organisations, they are critical to integrating governance throughout an organisation. In addition, many professional accountants in business have a responsibility to provide objective and accurate information and analyses to support all of these activities, and may have overall responsibility in governance areas, such as external business reporting. This puts professional accountants in an excellent position to ensure integration of governance throughout an organisation—into its very DNA.

Press release

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