EVOLVING BOARDS: THRIVING IN THE MIDST OF DISRUPTION (2024-04-15)

By Jené Palmer CA(SA) GCB.D (CGF Research Institute: Director)

There is a Chinese proverb which states: “The wise adapt themselves to circumstances, as water moulds itself to a pitcher”. To ensure that organisations continue to thrive in an evolving business environment, boards and business leaders must embrace and adapt to the challenges being presented by shifting landscapes.

GOOD GOVERNANCE – IS IT RED TAPE OR A CRITICAL BOARD COMPETENCY? (2024-04-11)

By Jené Palmer CA(SA) GCB.D (CGF Research Institute: Director)

Let’s just focus on the business and less on governance! Governance stifles innovation and adds red tape! How often have you heard similar sentiments being expressed?

The reality is that the role of the board has evolved. Global issues and topics such as geopolitics, diversity and inclusivity, climate and nature, and artificial intelligence, have rendered the traditional approach to board oversight as far too narrow. Today, boards must adopt a more stakeholder-inclusive approach and embrace different perspectives when considering strategy development, risk management and operational and ethical oversight. However, good governance has always been a fundamental competency for board members rather than a set of bureaucratic skills which imposes an additional burden on decision-making within the organisation.

A DIGITISED GOVERNANCE FRAMEWORK SUPPORTS A DECENTRALISED AUTONOMOUS ORGANISATION (DAO) (2024-04-10)

By Terrance M. Booysen (CGF Research Institute: CEO)

Traditional governance reporting

With the age of digitalisation firmly entrenched -- and a global economy on the cusp of the Fifth Industrial Revolution -- forward-thinking organisations worldwide have embraced the notion of equipping their workforce for greater meaning and purpose.  Considering how organisations have the technological means to streamline their business processes, which often has negative implications upon mundane and/or highly repetitive job functions, these organisations understand the importance of a more ‘human-centered’ approach to conducting their business which is fundamental to their future and sustainability.  Given the focus on human empowerment -- being one of the 6-capitals cited by the King Report IV™ for Corporate Governance -- the importance of collective governance assessments made by a much broader stakeholder group of the organisation could not be more important.

FAILED GOVERNANCE IN STATE ORGANISATIONS IS NOT A SIMPLE BAILOUT! (2023-08-10)

By Terrance M. Booysen (CGF Research Institute: Chief Executive Officer)

Given the multiple governance failures seen across South Africa, and mostly within the public sector, there is no doubt that this fragile situation is a national disaster.  The costs of these governance failures are far worse than the actual monetary losses reported to date.  Earlier this year the Reserve Bank estimated that the country’s energy crisis alone is causing losses to the SA economy of approximately $51 million (approximately R942 million) every day.

HONESTY AND TRUTHFULNESS - CAN THE CORPORATE GOVERNANCE FRAMEWORK® HELP? (2023-08-07)

By Jené Palmer (CGF Research Institute: Director)

Authentic leaders embrace honesty and truthfulness as core principles of their leadership style.  They strive to build trust, inspire their teams and foster an environment of openness and integrity.  This approach appears to be cut-and-dried.  However, in reality, being honest and truthful can be rather tricky.

THE CORPORATE GOVERNANCE FRAMEWORK® - AN ALTERNATIVE TO WHISTLEBLOWING (2023-07-21)

By Jené Palmer (CGF Research Institute: Director)

Whistleblowing can be a courageous act, but it is not always the best option for everyone due to potential risks and consequences.  It is also true that by the time any whistleblowing mechanisms are used, the damage has already been done to the organisation and its stakeholders.  This begs the question then: what is the alternative?

MEASURING THE ORGANISATION’S GOVERNANCE EFFORTS (2022-04-21)

By Terrance M. Booysen and peer reviewed by Jené Palmer CA(SA)

For many years corporate governance has been a sensitive topic for many boardrooms.  In reality, despite the writing of the various codes of corporate governance, the business and state environments remain littered with examples of failed governance.

Given that the South African business landscape still finds itself in deep trouble, one may argue that the introduction of the latest King IV™ Report on Corporate Governance for South Africa 2016 and its outcomes-based reporting has still not had the desired impact in driving governance change.

USING THE CORPORATE GOVERNANCE FRAMEWORK® IN TIMES OF GREAT UNCERTAINTY (2021-11-17)

By Terrance M. Booysen and peer reviewed by Jené Palmer CA(SA)

Whilst most corporations across the world have had to make drastic changes to their business operations as a result of the Covid19 pandemic, many business leaders believe that the disruptions caused by the pandemic have inadvertently introduced more advantages than disadvantages.  However, are the odds actually stacked against the organisation?

DIRECTORS’ SENTIMENT INDEX™ REPORT: 5TH EDITION – CGF’S OBSERVATIONS FROM A GOVERNANCE PERSPECTIVE (2020-11-12)

By Glen Talbot (CA)SA and Terrance Booysen and peer reviewed by Jené Palmer CA(SA)

A review of the Institute of Directors in South Africa (‘IoDSA’)’s recently released report for 2020 raises some interesting observations from a governance perspective. It should be noted that the study was concluded prior to the nation-wide lockdown and national state of disaster due to the Corona virus (‘Covid-19’) pandemic. It is likely that the sentiments expressed by respondents may have been significantly more pessimistic had the study been concluded in the second half of 2020.

INVIGORATING THE INTERNAL AUDIT PROFESSION THROUGH ROBUST GOVERNANCE AND CONTROLS (2020-08-18)

By Jené Palmer CA(SA) (CGF Lead Independent Consultant) and peer reviewed by Terrance M. Booysen

The recent public censure and financial penalties imposed by the JSE Limited on Tongaat Hulett Ltd and EOH Ltd for non-compliance with the JSE Listing Requirements, again brings the effectiveness of the internal audit profession (and indeed external audit) into question.  Is internal audit adding value?

The question is relevant to both the public and private sector where examples of financial misstatement and the circumvention of internal procurement policies and procedures are increasingly being uncovered.  In these circumstances, questions need to be asked about the future role and stakeholder expectations of internal audit.