Corporate governance practices are essential for ensuring accountability, fairness, and transparency in a company’s relationship with its stakeholders. Here’s a concise list highlighting the need for effective corporate governance:

1. **Risk Management**: Establishes frameworks to identify and mitigate risks effectively.

2. **Accountability**: Ensures that management is held accountable for their actions and decisions.

3. **Transparency**: Promotes openness in operations and reporting, fostering trust among stakeholders.

4. **Regulatory Compliance**: Helps organizations adhere to laws and regulations, reducing legal risks.

5. **Stakeholder Engagement**: Facilitates better communication with shareholders and other stakeholders, enhancing relationships.

6. **Sustainable Growth**: Encourages long-term strategic planning that benefits both the company and society at large.

Implementing robust corporate governance practices not only enhances organizational integrity but also contributes to overall business success.