19 November CALL TO ACTION: DIGITISE THE GOVERNANCE FRAMEWORK ACROSS ALL STATE ORGANISATIONS (2024-11-19) November 19, 2024 Board of Directors, Ethics, General, Governance Framework, Stakeholders, Strategy President, governance framework, board, governance, ethical, stakeholders, strategic By Terrance M. Booysen (CGF Research Institute: CEO) Dear President Ramaphosa South Africa’s state organisation’s require a modern overhaul that embraces digital solutions to enhance transparency, accountability and efficiency. Digitising the governance frameworks in each State-Owned Entity (SOE) and State Owned Company (SOC) can serve as a catalyst for change, enabling the government to tackle the myriad governance challenges facing these organisations and pave the way for a stronger, more resilient nation. Some simple but critical benefits include: 1. Accurate governance reporting and data-driven decision-making Digital tools and systems can enable real-time, accurate reporting on governance, performance and risk across all departments. This transparency ensures that decision-makers, including yourself, have up-to-date information, which is essential for effective oversight and the formulation of well-informed policies. 2. Optimised resource allocation A digitised governance framework allows for more effective resource management, ensuring that critical departments --such as governance, risk, compliance and audit -- are adequately equipped to carry out their mandates. The ability to track resource allocation and performance in real time will help prevent misallocation and ensure that public funds are used efficiently and effectively to support national priorities. 3. Improving employee engagement and retention By adopting digital governance tools, the government can create a more collaborative, transparent, and rewarding environment for public servants. Engaged employees are key to effective governance, and digital platforms can facilitate clearer communication, goal setting and career development, helping to improve morale and reduce turnover. 4. Restoring national reputation and attracting investment A government that is proactive in adopting digitised governance practices signals to the international community that South Africa is committed to transparency, accountability and sound management. Strengthening our country’s global reputation will help make it more attractive to investors, partners and tourists. By addressing governance shortcomings head-on, we can mitigate reputational damage and restore trust in South Africa’s leadership. 5. Rebuilding Stakeholder Trust A transparent and efficient governance system fosters robust relationships with key stakeholders, from citizens and businesses to international allies. By taking the lead on good governance and using data-driven approaches, trust can be restored, and citizens are more likely to support national initiatives. Call for leadership: Mr. President, the need for effective governance reform in South Africa is urgent. By championing the digitisation of governance frameworks across all SOE/Cs, you can lead South Africa into a new era of transparency, accountability and sustainable growth. Such reforms will not only improve the government’s ability to serve its citizens but also cement the foundations for long-term prosperity and global respect. Make South Africa an example of good governance in the 21st century. With your leadership, South Africa can take the bold steps necessary to embed a governance system that serves all South Africans equitably and effectively. Sincerely, Terry Booysen Chief Executive Officer CGF Research Institute (Pty) Ltd Words: 472 For further information contact: Terrance M. Booysen (CGF: Chief Executive Officer) - Cell: +27 (0)82 373 2249 / E-mail: [email protected] Jené Palmer (CGF: Director)) - Cell: +27 (0)82 903 6757 / E-mail: [email protected] CGF Research Institute (Pty) Ltd - Tel: +27 (0)11 476 8261 / Web: www.cgfresearch.co.za Follow CGF on Twitter: @CGFResearch Click below to read more... Attached Files call-to-action-cgf-20241119.pdf 127.37 KB Related Articles TANGIBLE BENEFITS OF A CORPORATE GOVERNANCE FRAMEWORK® Article by Jene’ Palmer Forward-thinking organisations have realised that corporate governance does not merely fall into the portfolio of the Company Secretary. Indeed, the draft King IV Report on Corporate Governance for South Africa 2016 (‘King IV’), describes corporate governance as “the exercise of ethical and effective leadership by the governing body” of an organisation. Why then is corporate governance still viewed by many organisations as a process which increases bureaucracy and drives a ‘tick box’ exercise? Perhaps the explanation lies in not understanding and appreciating the value which can be unlocked by implementing a purpose-built Corporate Governance Framework® which is tailored to the organisation. Empirical research supports the fact that good corporate governance translates into tangible and sustainable benefits for the organisation. Some of these benefits are set out below. A DIGITISED GOVERNANCE FRAMEWORK SUPPORTS A DECENTRALISED AUTONOMOUS ORGANISATION (DAO) (2024-04-10) 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. SOUTH AFRICA’S PATH TO DIGITAL GOVERNANCE: A GOVERNANCE FRAMEWORK FOR CHANGE IN THE GLOBAL SOUTH (2025-01-27) Confronting the challenges at home South Africa finds itself at a critical crossroads, grappling with deep-rooted governance challenges, corruption, and a lack of accountability in its state entities. Notwithstanding these frustrating challenges there is an opportunity for President Ramaphosa to leverage South Africa’s G20 presidency to demonstrate how governance reform -- driven by digital tools -- can create a more inclusive, accountable, and efficient system of directing and controlling organisations - especially within state managed entities. FAILED GOVERNANCE IN STATE ORGANISATIONS IS NOT A SIMPLE BAILOUT! (2023-08-10) 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. SURVIVING DISRUPTIONS IN BUSINESS CALLS FOR MORE AGILE BOARDS AND A ROBUST GOVERNANCE FRAMEWORK (2020-07-23) Even prior to the Covid-19 pandemic, the ease of doing business in South Africa was already under great pressure. According to the World Bank’s annual ratings, South Africa’s ranking had deteriorated from 82nd position amongst 190 economies to 84th position in 2019. The Covid-19 saga has clearly made matters far worse for businesses to survive in South Africa, hence requiring greater board agility to weather and beat the socio-economic tsunami we are now facing. COVID-19: ADDRESSING DEBILITATING RISKS REQUIRES A ROBUST GOVERNANCE FRAMEWORK (2020-04-17) The times we are currently living in are unprecedented. Covid-19 has once again highlighted the reasons why governance -- good governance -- is a critical function in a democratic country. Comments are closed.