Exploring the Corporate Governance in Lloyd’s and the Co-operative Bank: the Role of the Board

Abstract

Corporate Governance is a complex process through which the companies are directed and controlled. The purpose of corporate governance is to facilitate effective, entrepreneurial and prudent management that can deliver the long-term success of the company. Moreover the overall success and failure of the banking system depends upon the corporate governance principles and procedures applied in the banks. There are various guidelines which together make up the combine code for the corporate governance policies in the bank. The fact that the corporate governance is different in financial sectors than that of the non-financial sectors is because that the financial firms pose greater risk to the economy than that of the non-financial firms. This study aims to present the corporate governance principles and policies in the banking organisations in UK with special emphasis on the role of the board in these banks. For this purpose the two banks selected as a case study are the Lloyd's bank and the Cooperative bank. The role and responsibilities of the board and the committees are explored and discussed in this research.

A non-parametric framework for evaluating governance–efficiency–productivity associations in commercial banking

“…While the literature on the governance–efficiency–productivity nexus has grown leaps and bounds over the past few decades (see, inter alia , Ahmed, 2015; Love and Rachinsky, 2015; Tarchouna et al , 2017; Andrieş et al , 2018), most of these studies focus on the advanced economies. Relatively few studies assess these associations in emerging market economies (EMEs).…”

“…Fifth, many studies that examine the link between governance and bank performance limit themselves to non-financial firms. At this juncture, it is critical to note that commercial banks face a unique governance framework that is distinct from non-financial firms (Ahmed, 2015). This can be established by the fact that most papers studying the nexus leave financial firms from their sample.…”