Loss making PSUs: Issue of Corporate Governance

Abstract

The managements of PSUs, have little autonomy and in many cases are encouraged to maintain the status quo in business strategy rather than to risk change. Major decisions are delayed or not taken at all which includes among other things, the appointment of chief executive officers. In other words, most of the basic ingredients for good governance are missing Clarity of responsibility, transparency, checks and liala11ces and accountability. Corporate governance does not seem to exist at all.