OECD Corporate Governance Working Papers No. 2 - Enhancing the Role of the Boards of Directors of State-Owned Enterprises

This paper focuses on how to enhance the role of the board of directors in state-owned enterprises (SOEs). This document was produced based off survey responses from various board members in SOEs in various OECD countries. It is an effort to continue to develop the best practices for OECD countries to develop SOE boards. A functioning board of directors is essential to exemplary SOE performance. To increase the functionality of SOE boards, governments may consider giving greater powers and autonomy to board members. The private sector is seen as the best practice standard for SOE governance, particularly regarding company leadership from the board of directors. The paper details differences in board performance between countries, as well as what can be done to more closely emulate the private sector.