Community Interest is influenced by citizens as consumers of goods and services, but the greater community interest also provides a profound influence on the operations of the entity in the community. Corporate governance includes ways to take into account the prevailing community mores. Likewise, the appropriate relationship between Government and those that may peddle influence on behalf of suppliers or trades unions could be explored. How the entity interacts with the community and how the community influences the entity's operations. These are some of the interesting questions that can be explored using a model of corporate governance as a framework.
Corporate governance is a set of relationships and stakeholders.
The essence of corporate governance is to protect these stakeholder interests in such a way as to achieve some balance that satisfies all interests. In transforming the organization, a map of important strategic relationships is a key to success. Using a model such as the Governance Loop ensures that all significant interests will be considered in the strategic plan.