obs and paying all dues and taxes without problems or delays. For competitors it is about sharing a marketplace and protecting it from new entrants.A peculiar category of stakeholder which is distinct from companys suppliers in that their relationship with the company is to some extent mandatory. Companies are required by the Companies Act to appoint an auditor and are obliged by custom and practical need to nominate bankers and solicitors. Auditors for long have been looked upon to provide , suggest and develop new custom models of governance as they are seen as one of the highly effective instruments to initiate better governance. The increasing popularity of internal audits ( management audits) , investigation audits clearly highlights the increasing role of auditors in effecting governance . But in reality often the position of stakeholders will not be shared and different stakeholders will make conflicting claims on the company. Once companies realise this the question arises as to how are these conflicts to be handled ? The answer being openness . Openness is the key of dealing with stakeholders. Thus an organisation needs to address the key issues effectively to satisfy the various stakeholders. The key issues which need to be addressed might be :1.Do we have a clear idea of the range of contacts which may be considered to be stakeholders?2.Can we distinguish between real stakeholders and those who wish only to exploit our company?3.Can we identify the trade-offs we should make with each stakeholders?What action am I committing myself to take? __________From the history of corporate governance we can identify the key causes of failure so that they can be addressed and, hopefully, remedied? It would seem that these key causes probably fall under the following headings :A culture of secrecyThis culture leads to governance by discretion rather than by rules. The city of London might be a good example which has been run large...
