 Now, we are coming to the concluding part of the video on unit 2 on business and society. It is a part 3 of the video on unit 2. This is all about business and society. As I have told you, all these videos are based on the learning objectives. So, in this video, we shall mainly take up these two learning objectives and these are the fifth and sixth learning objectives of your unit, SLM, self-learning material. To describe the concept of corporate governance, it is also a very important emerging concept, corporate governance. We shall discuss about this. Then we shall discuss about the various benefits of corporate governance. As I have told you, it is a very important emerging concept in today's concept, context. You know, if you open a newspaper, you will find different malpractices, unfair practices, the companies are violating the disclosure norms, profits are inflated. In the share market, some doubtful practices are conducted, different kinds of practices which basically destroy the image of the good organizations, bad practices. So, this should not be there. And to take care of this corporate governance, how the corporate is governed has come into being. Corporate governance includes the processes through which corporations objectives are set and pursued in the context of the social, regulatory and market and all that. See this definition, we shall try to understand it in some simple language. Say an organization exists in the society, an organization comprises of the shareholders. Suppose the majority of the shareholders will decide about the courses of action of an organization. Now for enabling the majority of the shareholders to decide about the future courses of an corporation, the annual general meetings have to be conducted. The board of directors meetings need to be conducted. And while preparing the board of directors meetings, the organization is supposed to put up the agenda note. And in the agenda note, the organization is supposed to put up all the details in a very transparent and credible manner. So the board of directors going to the agenda note, they can take a decision which needs to be recorded, which needs to be communicated to the other members. That is what transparency is ensured, credibility is ensured, participation is ensured, democratization is ensured and all these are part of corporate governance. So this in, suppose, standarding, procurement of goods, how the tenders were plotted, notices were given or not, whether those notices were processed, which basically includes the processes through which corporations objectives are set and pursued in the context of the social, regulatory and market environment. So currently the vigilance awareness week is going on. At the end of October or beginning of November, that goes on, that is a public sector organizations. So this vigilance is what? So that the good practices prevail in an organization. So it is basically in terms of meeting the requirements of the regulatory environment. It is also to meeting the requirements of the market environment, say tax. Many times we will find some organizations evade taxes. They do not pay the taxes. They do the wrong things in order to avoid taxes, but in a market environment one is supposed to earn profit by paying all the legal dues. At the same time, an organization cannot achieve its objectives without meeting the social obligations. So corporate governance includes the processes through which corporations objectives are set, goals are set and how those goals are pursued in the context of social, regulatory and market environment. So in order to make these things happen, an organization is supposed to cultivate good corporate governance. So in order to cultivate good corporate governance, an organization is supposed to take certain measures. What are those measures? Distribution of rights and responsibilities to participants. Like say board of management. What will be the responsibilities of board of management? They will be responsible for this set of decisions. For the suppliers, they will have to meet the requirements of this, this, this only. Employees also, there could be some code of conducts. Employees also, there could be some rules, some service rules. So these are all part of corporate governance. They will have to have the rights and responsibilities. They will have to have the various rights and responsibilities to the various participants like the members of the board of management, the sharemen come managing director, the general manager, the suppliers, the employees that is basically all about corporate governance. So as it appears, corporate governance is an organization-wide approach. It's not something that the sharemen come managing director only will do. It's an entire organization which will adopt the approach of achieving corporate governance. So it's basically balancing the interest of stakeholders. So who are the stakeholders of an organization? Customers, employees, bankers, immediate community, local community, employees. These are all stakeholders. So corporate governance implies that how to strike the balance, the interest of all the stakeholders so that no interests are compromised. Everyone's interest is taken into account and that's why it encompasses an entire sphere of management. It calls for taking the right kind of action plan. It calls for taking the right kind of internal control mechanism. Many organizations have got their own internal audit systems. Why this internal audit? Why is the maintenance of the accounts in a very transparent and credible manner? This is corporate governance. And after maintaining all these accounts at the end of the year, the balance sheet will be prepared, the profit and loss account will be prepared, the financial statement will be prepared and this should not be kept confidential. It should be disclosed because disclosure will give larger credibility, larger acceptability. So it's basically an organization-wide approach. It will try to balance the interest of the stakeholders and it will encompass every sphere of management including action plan, internal control and corporate disclosure. So benefits, it ensures corporate success. At the same time, it also helps in economic growth because you are doing the things legally. You are not supposed to pay any penalty. You are doing the things legally. You are earning profit legitimately. So it's likely to stimulate your own thinking, stimulate your own activities, sustain your own activities. It also helps in improving, increasing the investor's confidence. They would like to invest more because the organization is managed well. Good practices are there. Reduce cost of capital. They would be interested in investing at a lower rate of interest. It is likely to influence in good practices like, say, reduction of waste stages, corruption will not be there, risk and mismanagement will be less. So that's why corporate governance is emerging as a very desirable practice in today's organizations. So this is all about your unit on business and society. Thank you.