“While good governance does not guarantee success, its absence almost certainly guarantees failure.”
Mr John Wylie AM; Chairman of the Australian Sports Commission (ASC), Canberra, 19 March, 2013
Governance is the system by which organisations are directed and managed. It influences how the objectives of the organisation are set and achieved, spells out the rules and procedures for making organisational decisions, and determines the means of optimising and monitoring performance, including how risk is monitored and assessed.
Governance concerns three key issues:
- how an organisation develops strategic goals and direction
- how the board of an organisation monitors the performance of the organisation to ensure it achieves these strategic goals, has effective systems in place, and complies with its legal and regulatory obligations
- ensuring that the board acts in the best interests of the members.
[source: Sports Governance Principles (PDF – 303 KB). Australian Sports Commission, (March 2012)]
Implementing and maintaining good governance practices leads to more consistent and ethical decision making; promotes confidence and engagement with organisational stakeholders; and ensures the organisation meets its legislative responsibilities.
Governance Principles for South Australian State Sporting Organisations, Office for Recreation, Sport & Racing
Sport Governance Principles, Sport Australia