Yesterday, the American Chamber of Commerce held its 5th Corporate Governance Workshop, entitled ‘Corporate Governance Considerations for Non-listed Companies – Lessons for Practice, Research and Education’
The newly released Hungarian version of the ‘Corporate Governance Principles and Guidelines for Unlisted Companies in Europe’, published earlier this year by the European Confederation of Directors Associations (ecoDa), was the focus of the 5th Corporate Governance Workshop held yesterday in Budapest. As there is a strong demand for corporate governance guidance from professors and also from the business community, AmCham supports the presentation and the adoption of Hungarian and international best practice in Hungary. The chamber also aims to create a dialogue with the business community to improve the business transparency and the competitiveness of Hungarian enterprises and of the Hungarian economy as a whole.
“Unlisted companies, typically small and middle enterprises, are the engines of a strong and growing economy in Hungary, as they are in Europe. Yet the corporate governance needs of these companies have not yet been addressed in a summary form in the Hungarian language, along with relevant best practice to share and build on“, said László Czirják, Chairman of AmCham’s Corporate Governance and Business Integrity Committee integrating top experts in the field of economy and law, and founding partner of iEurope Capital. “At the same time, what has been missing is the recognition that best practices can benefit the company, owners and stakeholders even in private non-listed companies,” he added.
The mentioned corporate governance principles and guidelines and the Corporate Governance Workshop are only part of the endeavors of AmCham’s Corporate Governance and Business Integrity Committee. Within the framework of its programs, the Committee provides companies, entrepreneurs and academics with additional tools and resources related to corporate governance, such as the Online Resource Center (currently in a development phase on AmCham’s website), a lecture series titled 'Start Your Own Business,' launched in co-operation with the Hungarian Venture Capital Association (HVCA), the Volunteer Program bringing real life practices to young future leaders with the participation of guest lecturers, and the second edition of AmCham‘s English-Hungarian corporate governance glossary, to be published in early 2011.
Integrity and transparency
Dr. Roger Barker, Head of Corporate Governance at the Institute of Directors (IoD), leading contributor to the original edition of ecoDa‘s publication 'Corporate Governance Principles and Guidelines for Unlisted Companies in Europe,' who also attended the workshop, welcomed AmCham‘s initiative and support for the publication in Hungary. He said, “Experience shows that companies adopting corporate governance principles and guidelines, thus placing emphasis on integrity and transparency in both governance and everyday operations, tend to become more efficient self-regulators, and to make more responsible business decisions, inspiring trust in other market players. Beyond the obvious benefits such as a greater market value, an improved capacity to attract capital or the increased competitiveness of these enterprises, it must be highlighted that, the more companies adopt these practices, the greater the positive effect on the national economy.”
The Hungarian edition of the corporate governance principles and guidelines was released via a wide support from 12 organizations from the areas of education, business, finance, as well as chambers of commerce, company associations and international organizations. Co-operating partners of the 5th Corporate Governance Workshop were the Embassy of the United States, the Embassy of Canada, the Central European University, and the Hungarian Venture Capital Association (HVCA).