The Problems and Countermeasures of Independent Director's System in Listed Firms
LI Su-ping · Journal of Huaihai Inscitute of Technology · 2003
The independent director's system is an effective mechanism through which companies conduct management. The introduction of it into our country is of profound practical significance. Under the modern corporate system, the decentralization of shareholding ownership makes it hard to have effective supervision over the managerial staffs. Besides, moral risk and internal regulation turn out to be the core in the administration of modem companies. In view of the current situation of director system in foreign countries, we should pay great attention to the following in the promotion of director system in our country: making clear the rights and duties of board directors through legislation and perfecting the information publishing and transmitting systems.