The 2006 Boards of Directors Study in Australia and New Zealand

Managing governance issues is now part of everyday corporate life. The Sarbanes-Oxley Act, which imposed numerous corporate governance requirements, has been in place since 2002. Similar legislative or regulatory actions have occurred worldwide and the trend towards independent director-dominated boards is global. In the U.S., the New York Stock Exchange (NYSE) and NASDAQ now require listed companies to have boards comprised of a majority of independent directors. The governance changes spurred by the Higgs and Smith Reports in the UK and the Bouton Report in France are also driving companies to increase representation by independent directors. Similarly, in Australia, the Australian Stock Exchange (ASX) in 2003 established the Principles of Good Corporate Governance which have been embraced by most Australian companies.