Corporate Governance aktuell – Is the Code really an instrument of self-regulation?

In the current issue of the Zeitschrift für Corporate Governance (ZCG), Professor Stefan Behringer of the Nordakademie analyses what the terms code and code mean and what the addressees expect of them. The starting point is the fact that 90 percent of all H-DAX companies (i.e. 110) have a corporate code.

Behringer impressively illustrates that a code is a sum of rules that a company gives itself and by which it wants to be measured by employees and external stakeholders. It is therefore a question of the voluntary commitment of an organisation.

Quite different from the German Corporate Governance Code (GCGC): Here, there is no obligation on the part of the company itself, but rather a “third-party obligation”. A small circle of supposed guardians of the Grail, who propose themselves and are appointed by the Federal Ministry of Justice and the Federal Chancellery (!), put on the bridle for companies under the guise of self-regulation.

The term code is therefore wrong. You could also say a deceptive package. We therefore need – among other things – a Code Commission that actually represents business.

Any additions, comments, objections? I look forward to your feedback:

Editorial by Peter H. Dehnen -> About the Person.