Advancing the measurement of governance: The strategic role of ISO 37004

Abstract

Background: The governance of organisations has entered a new era, one that demands demonstrable maturity rather than mere compliance.
Objectives: This study explores the strategic role of ISO 37004:2023 Governance of organisations – Governance maturity model – Guidance, the first international standard designed to measure and enhance governance maturity.
Method: Through a review of literature, policy frameworks, and emerging practice, the article positions ISO 37004 within the global evolution of governance towards one which steers organisations towards value creation and sustainable performance.
Results: It analyses how the standard reframes governance assessment around three governance aspects: governance behaviour, effectiveness, and efficiency. By assessing governance using these aspects, ISO 37004 provides a universal, outcome-based model applicable across sectors, jurisdictions, and organisational sizes, enabling longitudinal measurement and comparability. The findings highlight that governance maturity assessment strengthens accountability, credibility, strategic clarity, continuous improvement, and risk mitigation which are key enablers of organisational resilience and trust.
Conclusion: The study concludes that measuring governance maturity is now a strategic imperative and that ISO 37004 advances governance from a compliance exercise to a dynamic system of evaluation and improvement, embedding governance as a driver of long-term value creation.
Contribution: The article calls on boards, professionals, and regulators to adopt ISO 37004 to ‘measure what matters’ and to institutionalise governance as a cornerstone of sustainable success.