Governance (Sport) Literature review Example | Topics and Well Written Essays - 3750 words

Governance (Sport) - Literature review ExampleAccording to the definition provided by World stick formation can be defined as structures, functions, process and organizational traditions that have been put in place within the context of a programs authorizing environment (Du Plessis, Hargovan & Bagaric, 2010). The definition implies that the program essential be created in such a manner which ensures that the objectives of the organization atomic number 18 met in an effective and guileless manner.From these above definition it can be summarized that the primary function of governance is to guarantee that every division related to the organization performs their roles and responsibilities in a coordinated manner that maximizes coherence and accomplishes organizational goals. It is also implied that governance aims to achieve ethical implementation of business functions. Governance aims to provide overall direction to the business by overseeing and supervising actions of steerin g. Governance makes sure that expectations of accountability are satisfied and interest beyond the corporate conclave is regulated.The agency theory of corporate governance emerged in the 1970s and has been cited as the central theory of management behaviour in a number of scholarly articles. The core agency theory does not pass on issues of management, internal and external issues of stakeholders of and the society at large. Agency theory highlights the alignment of interest between the shareholders and wag members. According to researchers like Fama and Jensen (1983) there exists asymmetric information between executive management (who are agents) and claimants (who are principals). Therefore the main focus of the agency theory is to minimize the clash between shareholders and governing bodies of organizations. It has been sight that in agency theory directors or executive management tries to appropriate the value for them and it is extremely fractious for the shareholders to examine whether the directors are