Which of these is NOT an element of good corporate governance?

Good corporate governance is characterized by practices that promote accountability, fairness, and transparency in a company’s relationship with its stakeholders. Among the key elements that support effective governance are open communication, transparency in reporting, and defined responsibilities.

Open communication helps ensure that all stakeholders have access to relevant information, facilitating trust and engagement. Transparency in reporting provides stakeholders with honest, clear, and timely information regarding the company's operations and financial performance, which is essential for informed decision-making. Defined responsibilities clarify the roles and expectations of both the board of directors and management, promoting accountability and effective oversight.

Centralized decision-making, on the other hand, can limit collaboration and input from various stakeholders and may hinder agility and responsiveness. While some level of centralized decision-making is necessary for efficiency, overly centralized structures can stifle innovation and reduce the involvement of diverse perspectives that contribute to better decision-making. Therefore, it does not align with the principles of good corporate governance, which emphasize inclusivity and shared responsibility.