According to a recent press release, “Today, Diligent Corporation launched a new category, called modern governance, designed to provide leaders with the missing key to bring governance into the digital age, along with new technology and a summit to support this well-designed system. Modern governance is the practice of empowering leaders with technology, insights, and processes to fuel good governance that organizations require to thrive and endure. Modern governance helps organizations address governance deficits. A governance deficit means an organization lacks the security, foresight, and accountability to withstand the onslaught of contemporary challenges – such as activist investors, cyber risk, regulation, diversity and global uncertainty.”

The release goes on, “Feedback from Diligent’s 16,000 clients and the 600,000 leaders who use its technology – including more than 50% of the Fortune 1000, 70% of the FTSE 100, and 65% of the ASX – sparked the need for rethinking how companies and their boards should approach governance to navigate today’s complex landscape. In fact, new insights revealed by the Diligent Institute identified that governance deficits across more than a dozen public companies have cost shareholders more than $490 billion in value one year after the crises, while good governance has fueled companies to outperform lower-ranking peers by 15%. Regulatory mishaps, cyber-security breaches, or undetected flaws in corporate culture caused by governance deficits carry long-lasting effects; according to the above-mentioned research, companies with governance shortfalls still underperformed their industry sectors two years after the incident by an average of 45%.”

Read more at Business Wire.

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