Etichal Governance

In a broad sense: Government is an act carried out by Badab ruled that the legislative, executive, and judiciary in suaru countries in achieving the objectives of the country. While in the narrow sense: Government is ruled deeds done by the executive branch and its staff in achieving the objectives of the state.

According to Offe, Government is the result of an administrative action in many fields, not just the result of the implementation of the government's task to implement the legislation but rather the result of joint activities between government agencies with each client.

TYPES OF SYSTEMS OF GOVERNMENT

1. Parliamentary System of Government is dimna parliamentary system of government or legislative bodies have an important role in the government.

Traits or characteristics of parliamentary rule as follows:

1. King, queen or a president as head of state does not have the power of government.
2. The head of government is the prime minister
3. Parliament is the only institution whose members are directly elected people through general elections.
4. The Executive is a cabinet responsible to the legislature or parliament.
5. When the parliament issued a no-confidence motion to the particular minister or all the cabinet ministers must submit his mandate to the head of state.
6. In a two-party system designated to form a cabinet segali gus as prime minister is the chairman of political party election winner.
7. In a multi-party system formation in the coalition cabinet formed a cabinet and got the confidence of parliament.
8. In the event of a dispute between the cabinet to the parliament, the cabinet considers the head of state is right then the parliament was dissolved by the head of state.

2. Cultural Importance of Ethics

The general opinion in the business that the company reflects the personality of its leader. The relationship between the CEO of the company culture is the basis of ethics. If the company should be ethical, top management must be ethical in all actions and words. Top management to lead by example. This behavior is ethical culture.

How to apply ethical culture? The task of top management is to ensure that the ethical concept spread throughout the organization, through all levels and touch all employees. This is achieved through the method of three layers, namely:

• Setting a company credo. Is a concise statement of the ethical values ​​that upheld the company, which informed people and organizations both inside and outside the company.
• Establish an ethics program. A system consisting of a variety of activities designed to direct the employee in performing the first layer. Eg orientation meetings for new staff and auditing ethics.
• Establish a code of conduct. Each company has a code of ethics respectively.Sometimes these codes are adapted from the code of conduct of certain industries.

3. Developing Ethical Corporate Structure

Building a corporate entity and set targets. At that moment need the moral principles of ethics into the overall business activities implemented in both corporate entities, establish business goals, build a network with interested parties (stakeholders) as well as in the process of self-development of the businesses themselves. This implementation is expected to ethics can be the "conscience" in business processes in order to obtain an ethical business activity and have a heart, not just a mere profit-seeking, but also caring for the environment, society, and the interested parties(stakeholders).

4. Code of Corporate Conduct

Code of Conduct is the company's internal guidelines containing Value Systems, Business Ethics, Work Ethics, Commitment, as well as the enforcement of the regulations for the individual companies in conducting business, and other activities and interact with stakeholders. One example of a company that is implementing the code of corporate conduct (corporate code of conduct) are as follows:

Socialization and Workshop. Socialization activities especially for officials has been implemented with the expectation that all employees of PT Nindya Karya (Persero) to know and be aware of the conditions governing the activities of the management level and above based on documents that have been distributed, both at head office, the Division and to the entire region.

To evaluate the initial stage (Diagnostic Assessment) and the preparation of guidelines. Code of Good Corporate Governance drawn up with the guidance of Tim BPKP and was inaugurated on May 30, 2005.

The Principles of Good Corporate Governance in PT Nindya Karya (Persero) is as follows:

• Decision sourced from the corporate culture, ethics, values, systems, corporate work procedures, policies and organizational structure.
• Pushing for the development of the company, managing resources effectively and efficiently.
• Encourage and support corporate accountability to shareholders and other stakeholders.

In implementing the Good Corporate Governance, instruments are needed that support, as follows:

• Code of Corporate Governance (Code of Corporate Governance), guidelines for interaction between the organs of the Company as well as other stakeholders.
• Code of Conduct (Code of Ethical Conduct), guidelines for creating a harmonious working relationship between the Company and its Employees.
• Board Manual, Guidelines for the Commissioners and the Board of Directors that includes Membership, Duties, Obligations, Privileges and Rights, Council, working relationships between the Commissioner with the Board of Directors and Operational Best Practice guides.
• Risk Management System, include Principles of Risk Management and Implementation.
• An Auditing Committee Contract - arranges the Organization and Management of the Auditing Committee along with its Scope of Work.
• Audit Committee Charter, set on Organization and Procedure of the Audit Committee and the Scope of Duties.

5. Evaluation of the Corporate Conduct Code

The evaluation of the code of corporate behavior to do with the evaluation of the initial phase (Diagnostic Assessment) and the preparation of guidelines. Code of Good Corporate Governance drawn up with the guidance of Tim BPKP and was inaugurated on May 30, 2005.