Journal of Business & Economic Policy

Corporate Governance in Shipping Logistics Industry: A Practitioner’s Perspectives
Simon S.M Yuen, Ph.D; Annie H.C. Ko, Ph.D

Abstract
Recently, the international liner shipping companies Hanjin bankruptcy incident more fully prove the importance of corporate governance in shipping logistics industry. Good practice of CG implementation not only well monitor and alert the company performance (i.e. profit warning), but also enhance business & management efficiency and competitive advantages. Although corporate governance is vital to achieve the company’s best practices, it only has limited numbers of research and literature in related discipline. This study aims to investigate the governance compliance level; the strengths and weaknesses of the industry in terms of governance practices in Hong Kong maritime logistics industry. An in-depth semi-structured interview with five practitioners was conducted to identify the importance and values of CG practices. The study confirmed that the CG practices not only improve her business performance, but also enhance company’s sustainable development in different aspects: (1) Rights of Shareholders; (2) Equitable Treatment of Shareholders; (3) Role of Stakeholders; (4) Disclosure and Transparency, and (5) Board Responsibilities. In general, this study arouse the awareness of CG in shipping logistics industry in Hong Kong and Asia; contributes to the both managerial understanding and enrich academic knowledge for further studies of other related fields such as freight forwarding and aviation sector.

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