You've heard of governors and government, and governance is related. It’s the nuts and bolts of how towns or states or countries operate, and it can also apply to companies. Corporate governance is how large companies are organized and run.
Governments use the powers you give it to pass laws and enforce them, fix your roads, collect taxes — all those things you can’t do alone — and the act of doing that is called governance. Corporations have their own sort of government — they're run by boards of directors who tackle issues of governance, making sure the company is run responsibly. Scholars study theories of governance — ideas about how society should be organized to benefit everyone.