A CRITICAL ANALYSIS ON CORPORATE GOVERNANCE AS A STRATEGIC ENABLER IN CRISIS MANAGEMENT

AUTHOR – SHAKTHI BHARATHEE. S* & PROF. DR. LALITH KUMAR J**

* STUDENT AT VELLORE INSTITUTE OF TECHNOLOGY, CHENNAI. EMAIL – SHAKTHIBHARATHEE.S2021@VITSTUDENT.AC.IN

** ASSISTANT PROFESSOR AT VELLORE INSTITUTE OF TECHNOLOGY, CHENNAI. EMAIL –  LALITHKUMAR.J@VIT.AC.IN

BEST CITATION – SHAKTHI BHARATHEE. S & PROF. DR. LALITH KUMAR J, A CRITICAL ANALYSIS ON CORPORATE GOVERNANCE AS A STRATEGIC ENABLER IN CRISIS MANAGEMENT, CHALLENGES AND FUTURE TRENDS, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (5) OF 2025, PG. 432-441, APIS – 3920 – 0001 & ISSN – 2583-2344

Abstract

This paper highlights the role of corporate governance in crisis management, which lies in mitigating risks, strengthening organizational resilience, and supporting recovery. Corporate governance provides an organizational structure for proactively addressing crises through preparedness, accountability, transparency, adaptability, and stakeholder engagement. These then allow organizations to predict and prevent risks to such an extent that they can recover effectively after the disruptions while keeping short-term responses in sync with sustainability goals. The study bridges this gap from the theoretical principles to the practical use of governance frameworks in diverse industries by using a qualitative approach integrating a comprehensive literature review with semi-structured interviews. Findings from the practitioners disclose how governance frameworks are applied to manage crises-from maintaining operational resilience and fostering transparent communication toward utilizing adaptability in changing situations. Industry-specific approaches include contingency planning in construction, data-driven marketing, and proactive trust-building in education, which further illustrate how governance principles are adapted to diverse organizational contexts. This paper determines challenges and best practice associated with governance-led crisis management and offers recommendations for strengthening the framework of governance for better preparedness in crises and effective response. The research suggests a glimpse of how corporate governance can be a strategic enabler for innovation, stakeholder confidence, and sustainable growth by transcending damage control. This research emphasizes how embedding robust governance mechanisms within the organization is transformative, equipping the organization to navigate an increasingly uncertain and complex global environment with resilience and integrity.

Keywords: Corporate governance; Crisis Management; Post-crisis Evaluation; Stakeholders, Strategy.