Short guide to subsidiary governance

This guidance note is a short guide into the world of subsidiaries and the key topics surrounding them.

This guidance note is a short guide into the world of subsidiaries and the key topics surrounding them. While corporate governance literature often focuses on the parent legal entity, the contemporary landscape is dominated by a wide variety of corporate group structures, involving subsidiary companies managed for diverse purposes. These subsidiaries operate under a range of models, featuring boards and management teams with varying degrees of authority, often subject to regulatory oversight across different global jurisdictions. In this context, corporate governance plays a central role when setting a unified corporate strategy for the group and its day-to-day management.

Within this guidance note, you will find information regarding:

  • What is subsidiary governance?
  • The models of subsidiary governance.
  • Governance blueprints for managing subsidiary risks.
  • Principles and strategies for the effective governance of subsidiaries.
  • Guidance for implementing subsidiary governance frameworks.
  • How subsidiaries can act as a training ground.
  • Relevant case studies.

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