CSR for Small Businesses

🌿 Appointing Nature to the Board: Modernising Corporate Governance 🌿 To avoid biodiversity becoming a buzzword in the boardroom and to fully address the combined climate and biodiversity emergencies, the full benefits of nature need to be recognised and its protection and recovery needs to become a business imperative. This is beginning to happen in the UK, as we’re witnessing a growing trend of ‘appointing nature to the board’ of directors. This innovative approach, pioneered by companies like Faith In Nature and House of Hackney symbolises a bold leap forward, embedding nature stewardship at the heart of corporate decision-making. 🚀 What’s Happening? Faith in Nature set the precedent by introducing a “Nature Guardian” role to its board, a concept aimed at ensuring the company’s operations positively impact the environment. This move, followed by others, reflects a growing commitment among businesses to prioritise the planet alongside profits. 🔍 Why It Matters? This initiative is more than a symbolic gesture; it’s about operationalising “nature-positive corporate governance.” By formally integrating environmental considerations into their business models, these companies are not just aligning with consumer and investor expectations but are also setting a new standard for corporate responsibility. 📈 Challenges & Opportunities While innovative, the concept faces challenges around enforceability, longevity, and the practicality of representing nature’s interests in corporate governance. Yet, it offers a promising avenue for incorporating specialised and traditional knowledge about nature into board decisions, potentially influencing broader and sustainability led industry practices. 🌱 Looking Forward The appointment of nature to the board signifies an opportunity for businesses to reevaluate their relationship with the environment. It’s a call to action for companies and I think we should applaud the trailblazers and encourage more businesses to consider how they can integrate such thinking and practices into their governance structures. Here’s some more detail relating to the pioneers: https://lnkd.in/epRasq3K #naturepositive #sustainability #corporategovernance #innovation #natureontheboard

In the aftermath of corporate scandals, we often hear a familiar refrain; "The board was either ignorant or complicit." But this oversimplification masks a deeper, more systemic issue in corporate governance. 🔍 The Reality is both— ➡️ Ignorance: Boards "asleep at the wheel," missing glaring red flags. ➡️ Complicity: Directors turning a blind eye to misconduct for personal gain or misplaced loyalty. But here's the truth. Neither is acceptable, and both stem from the same root causes. We need a paradigm shift in how we approach board responsibilities.  It's not enough to simply avoid being ignorant or complicit. We must actively cultivate: 1️⃣ Vigilance. Boards must develop robust systems for detecting and addressing issues early. 2️⃣ Ethical Leadership. Directors should set the tone from the top, fostering a culture of integrity. 3️⃣ Stakeholder Consideration. Decisions must balance the needs of all stakeholders, not just shareholders. 4️⃣ Continuous Learning.  Regular training and education on emerging risks and best practices. 5️⃣ Independence. Structures that allow and encourage board members to challenge management. The stakes are too high for anything less. Each corporate failure ripples through our economy, affecting workers, investors, and communities. By raising the bar for board performance, we can build more resilient, ethical, and successful companies. What steps have you seen work in improving board effectiveness? Share your thoughts and experiences in the comments. #CorporateGovernance #BoardAccountability #EthicalLeadership #BusinessEthics

In just one year, youth offences on the remote Groote Eylandt plummeted from 346 to merely 17. This isn't statistical noise, it's a 95% reduction achieved not through increased policing or harsher penalties, but through something far more powerful: community ownership and cultural connection. At the heart of this transformation is the Anindilyakwa Groote Peacemakers Program, where local Elders mediate disputes before they escalate into criminal matters. Elder Elaine Mamarika explains: "We have to tell stories about their country, which kinship they belong to, like a family tree. These are the sorts of things that we talk to young people about so they understand and see where they belong within the families." This deceptively simple approach, reconnecting youth with identity, purpose, and community has generated extraordinary outcomes. What makes this story so powerful is its grassroots foundation. The shift began in 2018 when Local Decision-Making agreements empowered communities with control over housing, education, economic development, health, and justice. Cultural knowledge and community leadership, resources that already existed were finally recognised as assets rather than obstacles. The Gebie Gang program evolved from supporting justice-involved youth to a comprehensive mentoring initiative offering practical skills from cooking to driving licenses. Young people disconnected from work and education found pathways back to community and purpose. 🚩 The Opportunity Before Us As we witness communities across Australia struggling with similar challenges, Groote Eylandt demonstrates that solutions may be closer than we imagine they exist within the wisdom, relationships, and cultural strengths of our communities. How might your organisation, community, or leadership approach shift if you centred this wisdom? What untapped expertise and leadership exists within the communities you serve? When we move beyond "fixing problems" to nurturing strengths, remarkable transformations become possible. #IndigenousLeadership #JusticeHub #CommunityEmpowerment

The Gensol-BluSmart Saga: A Blueprint for Rebuilding Trust in India’s Corporate Ecosystem The collapse of Gensol Engineering and BluSmart Mobility isn’t just a corporate scandal—it’s a clarion call for systemic reform. With ₹978 crore in diverted loans, an 85% stock plunge, and 6,000+ EVs grounded, this case exposes critical gaps in governance. But within every crisis lies an opportunity to learn. Let’s transform lessons into action. The Problem: Governance Failures in Numbers ₹262 crore unaccounted: Funds meant for EVs diverted to luxury apartments (₹42.94 crore) and promoter-linked entities. 45% of Nifty 500 independent directors have promoter ties (SEBI, 2024), enabling unchecked decisions. 32% of large corporate loans (>₹100 crore) show fund diversion (RBI, 2024). Result: Investors lost ₹4,300 crore in market cap. Employees faced operational paralysis. Public trust eroded. The Solution: Two Innovations for Accountability and stronger corporate governance 1️⃣ Independent Directors Appointed by an Independent Body Issue: Promoter-influenced boards lack objectivity. Fix: A SEBI-regulated panel to allocate directors via sector expertise + randomized selection. Impact: Could have flagged Gensol’s ₹262 crore gap early. 2️⃣ Mandatory Nominee Directors for PSU Loans >₹100 Crore Issue: IREDA/PFC loans misused without oversight. Fix: Nominees with veto power to block suspicious spends (e.g., ₹50 crore routed to shell firms). Impact: IIM-A study shows nominee directors cut fraud by 27%. The Bigger Picture Investors: Lost ₹4,300 crore in market cap in Gensol. Employees: BluSmart’s operational collapse left thousands stranded. Public Trust: Every diverted rupee undermines India’s growth narrative. “Corporate governance is not a compliance exercise – it is the foundation of sustainable value creation.” Let’s transform this moment into a movement for stronger, ethical governance. 💼✨ Your thoughts? How can we collectively drive these reforms forward? ______________________________ CAGlobal - Corporate चाणक्य Professionals: Advocate for ethical frameworks, to embed governance into corporate DNA Integrity is everything, join us in ~50k growing entrepreneurs' community RisingIndia उभरता भारत

Lessons from Qantas: Governance Must Respond to Stakeholder Expectations The Qantas board report has highlighted several actionable governance lessons that can benefit other boards facing similar challenges: 1 - Enhanced Stakeholder Engagement – Boards need to be well-informed on customer and employee metrics to preempt crises and guide better decision-making. 2 - Remuneration Reforms – Boards should align executive incentives with long-term performance to foster trust and align stakeholder interests; short term profit or share price are not enough. 3 - Stricter Oversight on Major Decisions – Involving the board in high-impact decisions—especially around reputational risks—strengthens accountability and transparency and avoids myopic analysis based on only executive perspectives. Directors are supposed to be independent for very good reasons. By proactively addressing these 3 areas, all boards can create robust frameworks that safeguard and elevate the long term best interests of our companies. We might not end up on the front page of national newspapers; but that doesn't mean we can afford to fall into bad governance habits. (Oh - and never let me do your jet engine maintenance; I can only enhance board performance, not engine performance) #BoardGovernance #StakeholderEngagement #CorporateGovernance #Leadership

India is taking corporate governance more seriously than ever, from tighter SEBI oversight to growing investor expectations, it’s clear — governance is no longer optional. It’s foundational.   Despite this national shift, many companies — even well-established ones — continue to delay audits, defer accountability, and underestimate the long-term cost of weak internal systems.   As a founder, watching this unfold pushed me to ask: How can we do better — and do it early?   At EndureAir Systems Pvt. Ltd., our journey has been a steep learning curve:   📌 FY 22-23: It took us 6 months to close the books. 📌 FY 23-24: We brought it down to 3 months. 📌 This year? We completed our audit and closed the books in just 15 days.   Not because we rushed, but because we were ready.   That’s what happens when you invest in internal structures that are on par with the external controls expected of you.   Here’s what I’ve learned along the way:   1️⃣ Start early Build your governance muscle before you're forced to. It saves a lot of pain later. 2️⃣ Embed it in your culture Governance isn’t a department — it’s a mindset that should run across every function. 3️⃣ Get the right advisors The right voices in the room bring clarity, checks, and much-needed perspective. 4️⃣ Strong governance gives you back your time For founders especially, it removes the burden of a 6-month audit cycle and frees you to focus on product, people, growth, and scale.   We’re still learning, but this year felt like a true shift — not just in process but in mindset. #CorporateGovernance #ESG #AuditReady #StartupIndia #FounderJourney #GovernanceMatters #Leadership #Transparency #BuildInIndia #BusinessEthics #ScalingRight #IndiaInc #StartupLeadership #SustainableBusiness #InternalControls #EthicalLeadership #SEBI #InvestorTrust #StartupCompliance #GrowthWithGovernance Startup Incubation and Innovation Centre, IIT Kanpur (incubatoriitk) Startup India Entrepreneur India  

Proper governance is an ever-evolving effort for private companies. In my latest article, I delve into how private and family-owned enterprises are revolutionizing their governance frameworks. Traditionally focused on accountability, board meetings are now evolving to address external and existential threats, bolder strategic opportunities, and unique value creation considerations. Here are some key takeaways for consideration: • Evolve Board Capacity: Enhance governance by training board members on AI and adopting forward-thinking strategies. • Focus on Talent: Prioritize hiring and retaining talent, and balance in-person, hybrid, and remote work. • Independent Oversight: Family enterprises should leverage independent directors for fresh perspectives and strategic guidance. • Diverse Boards: Equip boards with diverse skills to tackle macro risks like climate change, competition, and regulatory shifts. Discover how these insights can help your organization navigate external threats, seize strategic opportunities, and drive value creation.

𝗜𝗕𝗖 𝟮.𝟬 – 𝗙𝗿𝗼𝗺 𝗥𝗲𝘀𝗼𝗹𝘂𝘁𝗶𝗼𝗻 𝘁𝗼 𝗚𝗼𝘃𝗲𝗿𝗻𝗮𝗻𝗰𝗲 When the Insolvency and Bankruptcy Code (IBC) was introduced in 2016, it reshaped India’s financial landscape by shifting the balance from debtor-in-possession to creditor-in-control. Nearly a decade later, the IBC Amendment Bill, 2025 – widely seen as IBC 2.0 – aims to take this framework to its next stage: from being a recovery tool to becoming a pillar of corporate governance. 𝗪𝗵𝗮𝘁’𝘀 𝗻𝗲𝘄? Several structural upgrades: • Pre-packaged insolvency now extends beyond MSMEs, enabling faster resolution for larger corporates. • A cross-border insolvency framework, aligned with UNCITRAL norms, allows recognition of foreign proceedings – critical for global businesses. • Group insolvency provisions bring interconnected companies under one holistic restructuring framework. • Personal guarantors and promoters face sharper accountability, ensuring skin in the game. • Stricter deadlines curb litigation-driven delays. • A fairer claims waterfall balances both financial and operational creditors. • Greater reliance on digital case management and AI tools promises transparency and efficiency. The 𝗶𝗺𝗽𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻𝘀 𝗴𝗼 𝗯𝗲𝘆𝗼𝗻𝗱 𝗶𝗻𝘀𝗼𝗹𝘃𝗲𝗻𝗰𝘆. We are looking at: • Boards held to higher standards of accountability. • Stronger creditor confidence with faster and more predictable outcomes. • Transparent digital oversight raising compliance benchmarks. • Alignment with global insolvency practices, boosting investor trust. If IBC 2016 built the foundation, then IBC 2.0 raises the edifice - embedding discipline, transparency, and governance at the heart of India’s corporate ecosystem.

Top 5 Cases of Corporate Governance in Indian Industry: Learnings & Recommendations. Corporate Governance isn't just a checkbox—it defines the soul of any business. Over the years, India has seen some significant cases that shaped boardroom ethics and investor trust. The need for appointment of Independent Directors to help companies independently to ensure implementation of corporate governance. 📌 Top 5 Noteworthy Cases: Satyam Computers (2009) – A ₹7,000 Cr accounting fraud exposed the need for audit independence and board vigilance. IL&FS Crisis (2018) – Collapse due to reckless lending and poor risk oversight. Yes Bank (2020) – Governance lapses in credit decisions led to financial instability. Infosys (2019) – Whistleblower allegations raised questions on transparency and executive compensation. Vedanta’s Sterlite Plant (Thoothukudi) – Environmental and governance failures led to closure amid public outrage. 📌 Top 5 Governance Recommendations: ✅ Strengthen independent director roles with clear accountability. ✅ Institutionalize whistleblower protections and rapid-response ethics committees. ✅ Mandate real-time disclosure of financial red flags to regulators. ✅ Invest in board-level ESG literacy to align profit with purpose. ✅ Ensure auditor independence with frequent rotation and public audit scorecards. 🔎 As we move into a more transparent economy, the role of governance in sustainable business is critical. Are our corporate boards ready to lead ethically? 👇 What are your views on improving governance practices in Indian corporations? #CorporateGovernance #EthicalLeadership #BoardroomEthics #IndiaInc #BusinessIntegrity #Satyam #ILFS #YesBank #Infosys #Vedanta #ESG #IndependentDirector #Transparency #IOD

As the business world evolves and becomes increasingly complex, the role of the Board of Directors and its members continues to grow in importance. The appointment of Independent Directors and the process of Board evaluation are two critical components in ensuring the effective functioning of the Board and the success of the organization. The appointment of Independent Directors is essential for maintaining a healthy balance of power within the organization. Independent Directors are those who do not have any direct or indirect financial or personal relationships with the management or other stakeholders of the company. Their primary objective is to act in the best interests of the shareholders and ensure that the company operates ethically and transparently. The process of Board evaluation is another crucial component in ensuring the effectiveness of the Board. This involves assessing the performance of the Board members, their decision-making, and their ability to fulfill their fiduciary responsibilities. The evaluation process typically includes the following steps: 1. Setting clear objectives: The Board should establish a clear set of goals and performance indicators that will be used to evaluate the effectiveness of the Board and its members. 2. Collecting data: The organization should gather information on the performance of the Board, its members, and the company as a whole. This may include financial performance, stakeholder satisfaction, and employee engagement. 3. Analyzing the data: The collected data should be analyzed to identify areas of strength and areas that need improvement. This may involve comparing the company's performance with industry benchmarks and competitors. 4. Providing feedback: Based on the analysis, the Board should provide constructive feedback to its members, highlighting their strengths and areas for improvement. 5. Implementing changes: The Board should work together to implement changes and improvements in areas that have been identified as needing improvement. This may involve adjusting the Board's structure, processes, or governance practices. 6. Monitoring progress: The organization should regularly monitor the progress of the implemented changes and evaluate the effectiveness of the Board members. 7. Continuous improvement: The Board should commit to a continuous improvement process, regularly reviewing and refining its performance and governance practices to ensure that it remains effective and relevant in the face of an ever-changing business environment. In conclusion, the appointment of Independent Directors and the process of Board evaluation are critical. By regularly assessing, analyzing, and implementing changes based on the evaluation results, the Board can continuously improve its performance and contribute to the long-term success of the organization. #boardmember #boardmembers #boarddirector #boardofdirectors #boardroom #percyvaid