(Sukuk.net - Arab News) The lack of good corporate governance and business ethics are among the major reasons behind the ongoing global economic crisis, a leading expert said yesterday.

Dr. David Pistrui, managing director, Acumen Dynamics, who is conducting a three-day program in cooperation with the Bahrain Institute of Banking and Finance (BIBF), said good business practices served as a backbone of any business.

"The best business practices and code of corporate governance are vital aspects for a sustainable business model," he said. Pistrui, who conducts professional workshops in britain, the US and other parts of the world, praised the BIBF initiative to host corporate-governance workshops twice a year at its premises.

"Bahrain," Pistrui said, "being the hub of Islamic banks and financial institutions, is playing an important role in offering world-class training for bankers and business entities. Corporate governance can be defined as a system of structures, processes and activities used to monitor, direct and control a company or organization.

"Governance issues are relevant for public companies, family and closely controlled enterprises, government ministries and non-profit organizations. Governance includes such areas as interactions between senior management, boards of directors, shareholders rights and other corporate and community stakeholder needs and interests.

"In today's dynamic and fast changing global business environment there is a call for more formal and transparent governance. Senior management and boards are under greater ethical scrutiny and are being held accountable for results.

"Thus, accessing, revising and improving governance practices are at the forefront of virtually all organizations," Pistrui underlined. This program concentrates on cutting-edge techniques, strategies and action plans for improving board design, maximizing individual contributions to company boards and improving corporate governance.

"Participants acquire valuable know-how for strengthening board performance as well as specific aide as for improving their personal contributions. With over 25 years of business experience, the managing director heads Acumen Dynamics, a strategy-based education, training and research firm that focuses on practical knowledge and skills that help organizations align vision and strategy with execution and performance.

Pistrui has worked in over 50 countries, has extensive experience working throughout the Middle East and served as lead governance advisor on both the private placement and initial public offering of Nass Corporation, the first family business to go public in Bahrain.

He has developed and delivered a series of programs on strategy, governance and family business across the Middle East.

He also serves as director of entrepreneurship at the Illinois Institute of Technology, Chicago, Illinois, USA, and holds the Coleman Foundation chair in entrepreneurship and is industry professor of business at IIT.

He has held a number of scholarly appointments in the US and Europe including service as founding managing director of the Wharton Enterprising Families Initiative, in the Wharton School, at the University of Pennsylvania.


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