Summary, Conclusions, and Suggestions

Abstract

This chapter summarizes the results of the present study, which aimed to examine corporate governance practice in Indian industry. It was imperative to conduct a detailed study on corporate governance, due to the worldwide financial scandals and others much closer to home, such as the Satyam case, which have rocked the corporate world across the globe. These have caused severe damage, leading to bankruptcies, unstable stock markets, and shaken investor confidence. Thus, the concept of corporate governance rose to meet these challenges, with due emphasis on accountability, transparency, and fairness in disclosures, as well as identifying the role and responsibilities of the board of directors and management. Therefore, the need arose to check the extent of compliance in terms of corporate governance codes and standards, as framed from time-to-time based on several committee recommendations, which worked to improve the existing practices. The automobile industry and heavy engineering industry were selected as a sample for the present study, as coverage of the entire industrial sector was not possible due to time and resource constraints.