Contents Of The Code Of Conduct Of Microsoft Company


The selected company is Microsoft

Specifically, you must evaluate the following aspects:

  • Composition of the BOD. Internal directors vs. external directors and the qualifications and independence of the latter. Are external directors appropriately qualified and independent? Is there some conflict of interest? Further, what is the nature of shareholding that is, individual (check also for family ownership) vs. institutional shareholders. Is there proportionate representation of institutional shareholders in the BOD?

2       Examine thoroughly the contents of the code of conduct of the company selected and check policies of the company in relation to different stakeholders such as customers, employees, the community, shareholders, government, etc. Does the company have an Audit Committee, a Corporate Governance Committee, does it produce an annual financial report, does it disclose financial information publicly, etc. Check also whether the company exhibits environmental and social responsibility as well as whether the company upholds human rights.

It is relatively easy to describe what the company selected does or does not. However, you are expected to adopt a critical eye and evaluate the company’s corporate government practices and not simply repeat what is found on its webpages. Remember, there are instances when companies may claim one thing but do quite another.

Thus, it is the evaluation of the effectiveness of corporate governance practices of the company selected that will decide the grade and not just copy-pasting practices as found on the company’s website.

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