In its narrowest sense, corporate governance refers to the formal system of accountability of the Board of Directors of an organisation to its shareholders. In its broadest sense, corporate governance refers to the formal and informal relationships between the corporate sector and its stakeholders, and the impact of the corporate sector on society in general. With reference to this:

3.1 Explain how corporate governance is related to the strategy of an organisation. (8) 3.2 Evaluate the benefits of effective corporate governance.