Good governance: The cornerstone of organisational success, says Apex Group’s Sonja Suessenbach

“A good governance framework is essential to have, and even if you have a good one in place, you need to continuously review your governance because also of the changes in the industry. So even if you have one, don’t stop improving and looking of enhancing what you have,” Sonja Suessenbach, Country Head Abu Dhabi, Apex Group said in an exclusive interview with Arabian Business.

At its core, good governance is a comprehensive framework that aligns an organisation’s operations with its strategic objectives, legal obligations, and stakeholder expectations. It goes beyond traditional management practices, creating a holistic approach that balances accountability, transparency, fairness, and compliance.

“Part of it [good governance] is of course accountability, transparency, fairness and compliance. I think these are really the key principles that good governance has to have in place all times to create a balance and trustworthy governance structure that aligns the internal goals with the external stakeholder’s expectations and requirements,” she said.

Four pillars of effective governance

Accountability

The first pillar of good governance, according to Suessenbach, is accountability. This principle transforms organisational culture by establishing clear lines of responsibility and ensuring that every team member understands their role in achieving broader organisational objectives. It’s about creating an environment where ownership is not just encouraged, but expected.

“This is really establishing the culture of ownership and responsibility that everyone is aligned of the task and objective the company wants to achieve transparency, obviously, it is about building trust in a company being also credible to have an open communication, and that’s very important with all the different operations,” she explained.

Transparency

Transparency serves as the foundation of stakeholder confidence. By maintaining open communication channels and providing clear, accessible information about organisational operations, companies can build credibility and trust. This approach enables more informed decision-making and demonstrates financial health and operational integrity.

Fairness

Good governance demands a commitment to fairness across all levels of an organisation. This means eliminating discrimination and ensuring that all stakeholders – from board members to entry-level employees – are treated equitably and have equal opportunities for growth and contribution.

Compliance

In an increasingly complex regulatory environment, compliance is more critical than ever. A robust governance framework helps organisations navigate legal and operational risks, protecting the organisation from potential financial and reputational damage.

“I think all these four key principles gives you really the balance and trustworthiness of a good governance to have in place and it allows to align the internal goals with external stakeholder expectations and requirements,” Suessenbach asserted.

The changing landscape of governance

Technological integration

Technology has revolutionised governance practices. From real-time reporting to advanced compliance tools and cybersecurity measures, digital innovations are transforming how organisations approach governance.

“We cannot live without technology anymore, it is an enabler of better practice, improved oversight and long-term organizational success,” Suessenbach said. “We have tools which reduce manual error and improve efficiency, accountability and  legal standards.”

Diversity as a governance strategy

Modern governance increasingly recognises diversity as a key strategic advantage. Recent regulatory changes, such as the UAE’s mandate for women’s representation on corporate boards, reflect a growing understanding that diverse perspectives drive better decision-making.

Research consistently shows that diverse boards lead to improved financial performance and more comprehensive strategic thinking. This goes beyond gender diversity to include diversity of experience, cultural background, and thought.

“I have spent 18 years in the finance world and very often the number of women is very small. I think diversity in general, from gender, but also from experience, really assures also that you reduce the group thinking and you can do even a much better holistic decision when you bring diversity on the board and allows to look at the thinks from different angles. Research diverse leadership is correlated with better financial performance and organizational resilience,” Suessenbach said.

The future of governance

Three key trends are shaping the future of organisational governance:

• Technological automation: Increasing use of AI and real-time decision-making tools
• Sustainability: Growing integration of ESG (Environmental, Social, and Governance) factors
• Inclusive leadership: A shift towards more representative and diverse leadership structures

Continuous improvement: The governance imperative

Good governance is not a static concept but a dynamic process of continuous improvement. Organisations must regularly review and enhance their governance frameworks to remain responsive to changing business environments, technological advances, and stakeholder expectations.

“Even if you have a good governance structure in place, you need to keep improving it,” Suessenbach advised.

Effective governance also requires strategic communication. This means moving beyond routine meetings to create meaningful dialogues that drive organisational alignment and understanding. Quality interactions, whether virtual or in-person, are crucial for maintaining accountability and transparency.

“I very much encourage to have at least four board meetings annually with at least two of these held in person. In-person meetings foster more effective communication by allowing us to better interpret non-verbal cues, such as body language, and encouraging the exchange of diverse thoughts and ideas in a more dynamic setting,” she said.

Governance as a competitive advantage

Good governance is no longer an optional extra but a fundamental requirement for organisational success. It provides a strategic framework that:

• Builds stakeholder trust
• Enhances operational efficiency
• Mitigates risks
• Drives long-term sustainability
• Creates a culture of accountability and innovation

For organisations looking to thrive in an increasingly complex and competitive global marketplace, robust governance is not just a best practice – it is a strategic imperative.

“A strong governance framework can provide a competitive advantage. It’s a long-term aspect of your company’s success,” Suessenbach concluded.