meaning of Cadbury Committee

Cadbury Committee meaning in Finance Dictionary

A committee chaired by Adrian Cadbury which produced 1st Code of Best practise on corporate governance, in 1992. Its stated objective was "to greatly help raise the standards of corporate governance therefore the standard of self-confidence in monetary reporting and auditing by aiming demonstrably exactly what it views while the respective obligations of the involved and exactly what it feels is expected of these." It offers since already been accompanied by the Greenbury report on Directors' Remuneration (1995), the Hampel Committee on business Governance (1998), which produced The Combined Code, additionally the Higgs writeup on the part and Effectiveness of Non-Executive Directors (2003), which led to additional changes. The signal lays down rules which the British Listing Authority – part of the Financial Services Authority – needs businesses to adhere to. The rules range from the composition for the board, for instance the ratio of non-executive to executive administrators, board committees, the part of this president as well as the NEDs, administrators' remuneration, relations with investors, and accountability and review.