Sr. No.

Behavioural Perspective

Manu-Smriti Based Behavioural System

Current Corporate Governance Framework



Despite prevalent societal, legal and organizational interpretation of what is ethical, individuals have their own values and a sense of what is right or wrong. It is imperative that society gradually develops morally under guidance of ruler/administrator or their appointed teachers.

An individual ought to behave morally even without aid of any norms. The position of Independent director can be understood in this individualist behavioural perspective. They should be morally and technically alert and guide the boards to reach at effective and efficient decisions



A Rules/administrator or council of decision making body should follow the standards that govern how members of a society are to deal with each other on issues of fairness, justice, poverty and individual rights

The Board or decision making body should ensure that their decision are transparent, aligned to the stakeholders objectives with fairness and voice of all are to be considered. All to ensure that the decision are not creating any negative externality, which ultimately leads loss of credibility and trust by investors and stakeholders



The ruler nominated/appointed teachers should provide guidance by defining ethical and unethical behaviours

The corporate governance norms ought to define the norms to be followed by entire body of decision making. Training and development programs to be conducted and ethical dimensions to be cultivated and developed



A Rules/administrator or council of decision making body should bear upon the collective responsibility of following society’s values and standards that are enforceable in the courts

All corporate governance norms are legally enforceable by law