Corporate Governance and Organisational Performance: A Comparison between Public and Private Sector Banks

Authors

Saroj Kumar Swain, Research Scholar P.G
Department of Business Management, Fakir Mohan University, Vyasa Vihar, Balasore, Odisha, India.
Dr. Rabindra Kumar Sahu, Ex-Associate Professor
Commerce, F. M. Autonomous College, Balasore, Odisha, India.

Abstract

Corporate governance is of decent ramification for business sectors all around the world. This is regularly because of fiscal and financial improvement rotates around sensible organization administration rehearses. It was found that in the presence of many rules, weak governance was a tributary issue to the poor performance underlying the subprime crisis in the banking sector. In Odisha, it’s significant that banks powerfully influence economic development and therefore the economical allocation of funds leading to a lower value of capital to companies, a lift in capital formations, and a rise in overall productivity. Poor corporate administration practices can result into bank disappointments. These mean critical expenses to all partners and furthermore the economy all in all. In this specific situation, corporate administration has come to possess a conspicuous position in balancing the direct of the banks who raise assets through value showcase. This article provides an insight into the relationship between corporate governance and organisational performance in two leading banks in public and private sector. Governance variables that are scientifically proven to contribute to the performance of the organisation are identified and its impact is assessed. They may provide guidance for business as usual practices that will help remediate key challenges.