NEW YORK: Hill & Knowlton's annual survey of global management on business reputation issues, Corporate Reputation Watch (CRW), found that less than 10% of executives found corporate governance compliance to be a serious detraction to running a business.
Additionally, 45% called the burden "heavy but manageable" and 48% said it was "reasonable."
Hill & Knowlton and The Economist Intelligence Unit cooperated in this seventh annual survey, which featured 175 senior executive respondents in international businesses throughout North America, Europe, and Asia.
Underscoring the importance of corporate governance, the survey found that reliable financial data and strong corporate governance was the most important criteria for companies' reputations at 66% of responses.
Of the drawbacks to increased corporate-governance scrutiny, executives picked increased administrative complexity and the diversion of management time as the two biggest problems.
The survey found that corporate social responsibility was undervalued, as only 9% listed it as the most important reputation criterion. The three most implemented CSR initiatives were fair and diverse hiring practices (46%), charitable contributions (41%), and environmental practices (37%).