Corporate governance is the system by which companies are directed and controlled and our Integrated Governance Framework lays down the necessary responsibilities and procedures for effective governance of NHS East Midlands.
In effect it is concerned with systems, processes, controls, accountabilities and decision making at the heart of and at the highest level or an organisation. NHS East Midlands Standing Orders and Standing Financial Instructions provide a framework for how we conduct our business.
Corporate governance is about the way in which senior management execute their responsibilities and authority and how they account for that authority in relation to those that have entrusted them with assets and resources. In particular it is concerned with the potential abuse of power and the need for openness, integrity and accountability in the decision making processes of the organisation.
Risk management and assurance form an important part of overall corporate governance responsibilities of the Board. Risk management is defined as 'the culture, processes and structures that are directed towards the effective management of potential opportunities and adverse effects'. The Board regularly reviews risks and monitors governance matters to ensure robust internal control is set in place within the organisation.
Non Executive Directors are governed by the Codes of Conduct and Accountability and Executive Directors by the Code of Conduct for NHS Managers. As part of the Code of Conduct on Accountability, all Board members declare any relevant interests on a public register of Declarations of Interest.
All members of the Board subscribe to the Seven Principles of Conduct in Public Life known as the Nolan Principles:
Selflessness
Holders of public office should take decisions solely in terms of the public interest.
They should not do so in order to gain financial or other material benefits for
themselves, their family, or their friends
Integrity
Holders of public office should not place themselves under any financial or other
obligation to outside individuals or organisations that might influence them in the
performance of their official duties
Objectivity
In carrying out public business, including making public appointments, awarding
contracts, or recommending individuals for rewards and benefits, holders of public
office should make choices on merit
Accountability
Holders of public office are accountable for their decisions and actions to the public
and must submit themselves to whatever scrutiny is appropriate to their office
Openness
Holders of public office should be as open as possible about all the decisions and
actions that they take. They should give reasons for their decisions and restrict
information only when the wider public interest clearly demands
Honesty
Holders of public office have a duty to declare any private interests relating to their
public duties and to take steps to resolve any conflicts arising in a way that protects
the public interest
Leadership
Holders of public office should promote and support these principles by leadership and example.
