Towards A Relational View Of Corporate Governance

The ongoing transformation of corporate governance dominant focus from its traditional toward an integrated multidimensional level denotes actually that the new paradigm is emerging, the one that highlights a holistic governing approach and an augmented, overall corporate responsibility as well as long term corporate success and sustained competitiveness. Within such kind of an extended discipline's domain the conceptualization of more flexible governance models is needed, supported with the continuous improvement of the corporate governance practice. Consequently, a development of new mechanisms able to provide and maintain corporate fitness in contemporary fast changing business reality and an upgraded approach to governance processes design are required. The paper deals with the idea of conceptualizing the relational corporate governance framework suitable for an integrative, corporate governance system self-regulation, therefore assuring corporate fitness. The theoretical part is based on a literature analysis in corporate governance, corporate reputation, strategic management and organizational studies research. The conceptual relational corporate governance framework is designed, grounded on dynamic capability view and stakeholder orientation, sustained by the social system theory. The outcome of the paper contributes to the underlying conceptual work for corporate governance and strategic management. In details, a theoretical relational based corporate governance concept aimed for managing ecosystem's corporate fitness as well as the underlying corporate and board capabilities are developed and proposed.