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Improving public sector performance: the power of implementing corporate governance

Author

Listed:
  • Daniela Corina Oprea (Bîrlă)

    (West University of Timisoara, Timisoara, Romania)

  • Cristina-Elena Voicu

    (West University of Timisoara, Timisoara, Romania)

  • Komalpreet Kaur

    (“Aurel Vlaicu” University of Arad, Arad, Romania)

Abstract

The concept of corporate governance of public entities is evolving. Corporate governance in public institutions, as a method of management and control, requires clear rules and principles of integrity, transparency and accountability, well-defined risk management and control mechanisms, elements that are essential for achieving public entities’ goal, which means meeting public needs. Corporate governance is a process through which management monitors and maintains a corporation’s compliance with laws and regulations. Is it necessary to use corporate governance in public entities? Can it reduce expenditure or budget deficits, ensuring an efficient use of public funds? Can it eliminate corruption and improve the performance of public entities? The purpose of this study is to carry out an academic analysis of the evolution of the corporate governance in public entities and to highlight its effectiveness, through principles that encourage better decision-making and resource efficiency. The applied methodology involves focusing on the in-depth study of the subject using the analytical method. Moreover, the study draws comparisons of different models on the aspects researched, using comparative analysis. In conclusion, good corporate governance is essential for any organization to ensure the sustainability of its resources and operations, with a direct effect on the entity’s performance.

Suggested Citation

  • Daniela Corina Oprea (Bîrlă) & Cristina-Elena Voicu & Komalpreet Kaur, 2023. "Improving public sector performance: the power of implementing corporate governance," Journal of Financial Studies, Institute of Financial Studies, vol. 8(14), pages 98-109, May.
    • Handle: RePEc:fst:rfsisf:v:8:y:2023:i:14:p:98-109
    DOI: 10.55654/JFS.2023.8.14.7
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    References listed on IDEAS

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    1. Adelina DUMITRESCU, 2014. "The Role and Importance of Governance for the Public Sector. Case Study for Romania," REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 15(4), pages 505-513, October.
    2. Thanh Tiep Le & Van Kha Nguyen, 2022. "The impact of corporate governance on firms’ value in an emerging country: The mediating role of corporate social responsibility and organisational identification," Cogent Business & Management, Taylor & Francis Journals, vol. 9(1), pages 2018907-201, December.
    3. Robert M. Bushman & Abbie Smith, 2003. "Transparency, financial accounting information, and corporate governance," Economic Policy Review, Federal Reserve Bank of New York, vol. 9(Apr), pages 65-87.
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    5. Monica-Violeta Achim & Sorin-Nicolae Borlea & Codruţa Mare, 2016. "Corporate Governance and Business Performance: Evidence for the Romanian Economy," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 17(3), pages 458-474, June.
    6. Lin Dong & Zuobao Wang & Yuxiang Zhou, 2023. "Public Participation and the Effect of Environmental Governance in China: A Systematic Review and Meta-Analysis," Sustainability, MDPI, vol. 15(5), pages 1-16, March.
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    More about this item

    Keywords

    corporate governance; public sector; public entities; performance.;
    All these keywords.

    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • H83 - Public Economics - - Miscellaneous Issues - - - Public Administration
    • L32 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Enterprises; Public-Private Enterprises
    • M48 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Government Policy and Regulation

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