Press release - Governance in international groups and their subsidiaries


First ever extensive consolidation of basic good practices by GUBERNA

Brussels 7 may 2015 - Groups of companies are an important economic reality but their governance remains underdeveloped. Nevertheless good basic practices have been identified and can be implemented in this area. These are the main conclusions of years of research by the Centre for Internal Governance set up by GUBERNA, the Belgian Directors’ Institute, in collaboration with Ageas, Deloitte and Laga.

The main findings of that work have now been consolidated in a recently published book (1) in which the authors have developed a series of basic principles of good internal governance  within corporations.

In the absence of  formal “codes of good practice”, the authors have relied on governance literature, governance experts and their own research. These concepts have been further complemented by concrete governance practices. Lutgart Van den Berghe,  lead-author and GUBERNA Executive director, comments :  “the combination of these inputs made it possible to develop a number of best practices and opportunities, and to point out the main challenges and red flags for internal governance”.

During the numerous working sessions discussing the particularities of internal governance over the last years , the need to look more closely into the governance of multinational corporations and their subsidiaries became more than apparent. Luc Sterckx, co-author, specifies : “ Governance in subsidiaries is an especially important topic in Belgium, where we have a very significant amount of these structures and where for example organizational lines do not always follow local legal concepts – that requires special attention”. 

The book discusses in three parts basic concepts, best practices and red flags of internal governance. Examples and quotes from CEO’s, directors and other managers at group or affiliate level complete each section. The work starts with the governance at the company level, moves on to governance at group level and concludes with the affiliate level governance.

(1) Lutgart Van den Berghe, in collaboration with Luc Sterckx & Hnia Ben Salah, GUBERNA Gouvernance Insights: Internal Gouvernance, Intersentia, 2015, 20€,

For further information :  GUBERNA, Institute of Directors, Hnia Ben Salah, hnia.bensalah(at), Tel: 02.518.18.00.