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Effective Governance at Dell

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Is there evidence of effective governance at Dell in regard to (1) accurate financial reports and controls,
(2) a critical appraisal of strategic action plans, (3) evaluation of the strategic
leadership skills of the CEO, and (4) executive compensation?

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Solution Summary

This solution of 571 words discusses the responsibilities, functions, criteria, standards, duties and independence of Dell's board of directors as well as the committees and their functions. References used are included.

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The board of directors are responsible for overseeing the operations and governance of Dell. Eighty percent (80%) of its board of directors (BOD) are independent. A member is determined as independent when the (BOD) has determined that the director have no direct material relationship with Dell that may affect its ability to make fair judgments.
The BOD has established Dell's set of corporate governance principles that outline a set of core values that serves as the basis of the governance approach. Both the BOD and management are jointly tasked to manage and operate the business with highest standards of ethics and integrity. With that in mind, the BOD expects all the directors and members of senior management to demonstrate the culture that focuses on trust, honesty, integrity, respect and responsibility. They are expected to be ethical in all their decisions and actions, adhere to the company's policies and embrace the spirit of Dell's Code of Conduct.
The primary responsibilities of the BOD are to direct, ...

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