Corporate Governance and Small Businesses

Corporate Governance and Small Businesses

Let’s begin with some review of what varieties of firms primarily drive the US economy. We grasp that there are regarding 16,000 publicly traded companies represented on the NASDAQ, NYSE and the AMEX.  The key economic driver in the US is that the twenty seven million little businesses.  The Tiny Business Administration 2008 Presidential Report on The Tiny Business Economy clearly communicated “the economy generated million internet new jobs in 2007. In the primary quarter of 2007, 74 % of the net new jobs were in tiny companies with fewer than 500 workers and twenty two percent were in companies with fewer than twenty employees.” However, the gross quantity of attention in the media and also the federal forms is around what’s happening in the Markets.  This is often understandable with the volumes of greenbacks transitioning during this public environment. The economic recovery program is not addressing the core of the economy, tiny businesses. More than ever the public market surroundings is being questioned concerning corporate governance.  The new legislation being thought of for public corporations has sections that will terribly well trickle down and need the small businesses to stick to similar if not precise rules on Corporate Governance.

A straightforward definition of Corporate Governance for the tiny business:

Corporate governance merely refers back to the set of internal policies, rules, and procedures that a company follows on a daily basis to ensure that it operates during a truthful, equitable, and acceptable manner for the advantage of the corporate, its management and its shareholders. A corporation typically encompasses a board of directors and a senior “C” level management team. Most little businesses do not have these organizational entities clearly defined and functional.  For private companies that are registered as a company and have investors, the numerous states need these entities to possess a governing board.  Nevertheless several tiny businesses incorporate for tax problems and don’t essentially listen to the concepts of corporate governance.

How does Corporate Governance apply to little businesses?

All businesses ought to have a look at their organizational structure and frequently assess what will allow the company to perform in an optimal way.  The best manner to implement this is often to own an advisory board.  The advisory board is non-paid people that have business or industry specific backgrounds that may contribute ideas or mentor management.  In additional formal and ancient cases a small corporation incorporates a board of administrators comprised of the founders, a spouse, an employee and perhaps – simply maybe an outdoor director.  The point of interest of company governance among little businesses is that every one businesses need to line company strategic goals, offer the leadership to put them into effect, supervise the management of the business, and if the company has stockholders, report to the stockholders on their stewardship.  For those little businesses that do not have the hierarchical structure in place to implement formal corporate governance plans, it is counseled that regular self assessment of the corporate will be the beginning place for accountability, to boost performance, grow the company and be a greater contributing force within the economy.  At the top of the day, if you follow some set of policies and procedures and are reporting your stewardship of the company to somebody whether or not it’s your dog, then you have accountability that’s key to corporate governance practices.

Will the govt. impose its will and definition of Corporate Governance from the general public markets into the small business environment?

This imposition of presidency from the general public market firms to privately held companies is making its approach through the halls of congress.  One plan being tagged onto gift legislation is to increase Sarbanes-Oxley all the way down to privately held companies.  Anyone that is aware of anything about SOX is tuned in to the high cost to implement the documentation processes and therefore the reporting. Pushing this right down to the tiny business atmosphere would be cost prohibitive and stunt economic growth.  The overall politics of mandated corporate governance is to wait and see how new legislation will affect the little businesses driving the US economy.

As a final note, every company, irrespective of what size it’s, will see the positive effects of implementing the principles of company governance.  The facts remain that there are 27 million and small businesses in the US who are the duty creators and the drivers of the economy.  The greatness of US business is that it performs the best when individuals come back along in a free market atmosphere to fulfill the needs of the economy and society.  In the top, best practices of corporate governance can be freely implemented to profit the corporate or company governance will be instituted by the govt., that will price a lot of in resources, planning and profit.  Take the time to assess how your small business views corporate governance and how this can enhance your growth within the market place.

Freelance Writers has been writing articles online for nearly 2 years now. Not only does this author specialize in Small Business, you can also check out his latest website about:

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Corporate Careers Pages Come of Age

Corporate Careers Pages Come of Age

As Bob Dylan once said, “The times they are a-changin.” Twenty years ago the internet was just crawling out of the primordial ooze spawned by higher education and military visionaries.  Before the digital age, job listings were driven by newspaper ads and walk-ins.  As we all know, the computer age has dramatically changed the way companies list their open positions. Where web-based listing pages were once a hypothetical future, today companies have access to a variety of technologies to help post job openings and collect applications.  Advances in applicant tracking software have opened up the available methods and implementations for corporate careers pages.

The advantages of running a careers page on your corporate site are obvious.  The internet provides virtually unlimited exposure for your open positions.  In the first phase of the evolution of web driven job listings, simple HTML pages provided basic descriptions and contact information in the form of phone numbers or email addresses.  These rudimentary pages, offered some impressive improvements over the previous newspaper based system.  With the new pages, hiring professionals had full control over their listings and the distribution channel was essentially free of charge.  Despite the obvious advantages, there were several drawbacks.  With the new method a page update required an understanding of HTML, listings were not uniform and the contact channels were far from optimal.  The first career pages required recruiters to organize all of a candidate’s information with email and offline folders.  This organizational drawback left significant room for error and added unnecessary time to the recruiting process.  Despite these drawbacks, the advent of basic HTML careers pages was a godsend for people in the hiring field.

The internet bubble added fuel to the fire of innovation that was spurning the growth of the web. Major job websites emerged to offer dedicated listings for a variety of positions and companies.  Companies seeking to extend the exposure of their job listings and pull in more candidates had a new outlet.  These new dedicated job sites offered an extension of the corporate careers site.  Recruiters were able to duplicate their listing and reach out to people who otherwise may not be exposed to a company’s open job positions.

Applicant tracking software, also known as recruiting software, followed the development of other hiring technologies.  The software offered a solution to help more effectively organized the hiring process and move away from previous email and spreadsheet methods.  As the variety of online listing channels became ever more important to the hiring process, recruiting software providers developed methods to integrate their candidate database and tracking systems with corporate careers pages and dedicated job listing sites.  Eventually these software packages matured into full management systems for corporate careers pages while offering automatic distribution for the large job listing sites.  To improve compatibility and access, many applicant tracking software providers moved to fully web-based packages.  These web-based systems offered enhance collaboration between hiring personnel while also fixing the previous drawbacks of the first generation of careers sites. With the new software a web developer was no longer needed for new listings, all open listing formats were made uniform and contact channels fed directly into the software’s backend for easy management throughout the recruiting process.

With the maturation of the web, flexibility has become a desired feature for a variety of online software services.  Companies want the ability to setup their careers pages and distribute open positions as they see fit.  Initially, many applicant tracking providers offered careers page hosting via sub-domains.  While not directly hosted through a company’s corporate site, these careers pages provided seamless styling and navigation to mimic the company website.  With the push for more flexibility, select recruiting software providers have begun to leverage RSS and ATOM feeds to offer virtually unlimited distribution and manipulations of a company’s open jobs feed.  These new feeds allow custom integration with a corporate website and enable all positions to be listed directly through the hosted corporate pages.  Once in place, new job feeds can be fully managed via the software’s backend without the need for a web developer.  The new feeds enable a company to list their open positions on as many pages or sites as they see fit.

Hiring remains a very high-touch, people centric field.  Technology is far from effectively replacing the interview process and automating candidate selection. Careers pages, however, have come a long way from the early newspaper advertising methods that dominated the hiring industry only a few decades ago.  With new management software and flexible distribution channels, recruiters have become more effective and hiring manager are able to refocus their efforts on where they add the most value; interviewing candidates to see if they are the right fit for the available position.

I am an aspiring writer who enjoys sharing helpful information with people.  My three favorite topics are business, technology and travel.  I hope my readers enjoy the articles.

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