adminemerging trends, challenges and opportunities in the leadership and corporate governance arena.
At the launch a typical discussion was conducted to give those who had attended a feel of what Zimleaf was trying to achieve. Respected lawyer and business executive Canaan Farirai Dube is the chairman of Zimleaf and led the discussion, which attracted business executives from various backgrounds.
Initially, I thought it was just one of those forums that are sprouting in our economy, but I was later convinced probably because of the reason why we need such a forum in the current economic environment.
Zimleaf managing consultant, Tsitsi Mutasa said the forum had been founded on the premise of nurturing relationships and being close to the emerging trends affecting most organisations as they develop their business.
Against this background of unsound corporate governance issues in our country, I am of the opinion that Zimleaf should deal with executives who are leaders by the virtue of being managers to adhere to principles of corporate governance.
Zimbabwe is on a recovery path and issues of corporate governance are critical in rebuilding trust and confidence back into the economy.
Zimleaf should target sticking points in corporate governance that have led to corporate failures.
While the country is in the process of coming with a National Code on Corporate Governance, organisations like Zimleaf should set the tone and engage the executives.
Tsitsi said Zimleaf understands the importance of the company director’s role in shaping the strategic direction of the organisation, fulfiling fiduciary and governance responsibilities and ensuring that the right leadership team is in place.
Resultantly, Zimleaf has developed proprietary approaches to evaluating and supporting the design of boards.
According to Tsitsi, Zimleaf’s approach takes into account the needs of the business and corporate governance to deliver regulatory effective and compliant boards.
An effective and well-balanced board can lead an organisation through uncertain economic times, rapid technological advancements, and geographical or political change.
A poorly appointed or contentious board can devastate an organisation in many ways. Zimbabwe as an economy had its own fair share of compensation scandals involving executive directors who over compensated themselves for services rendered to the companies they served at the expense of creating shareholder value and wealth.
Back in 2003, the banking sector was hit by a spate of scandals involving allegations of insider loans and some banks indulging in non-banking business using depositors’ funds.
This was a clear indication of lack of corporate governance and this should not be allowed to happen again.
Some analysts indicated that the regulatory authorities were sleeping on the wheel as no or limited checks and balances were being implemented.
Given this background I think it is noble for Zimleaf to come with packages on how companies ought to be governed and directed, including the selection, nomination and election of directors to boards and to offer director search services.
There are a number of corporate failures that can be attributed to the quality of people sitting on the board.
Some board nominations are done on political grounds while others are done professionally, but more are those based on the “old boys club” approach.
A couple of weeks ago I raised a question on the appointment of executive and non-executive directors and the selection process of directors.
Maybe these are some of the issues Zimleaf should assist the market with so that they know how company boards are structured and constituted, as this would assist them in making investment decisions.
For now this is what Zimleaf said they will offer:
- Promoting and monitoring compliance with principals of good governance through training, research and evaluation and advocacy programmes.
- Creating a database of retired, active and potential directors and their businesses and family profiles for the director search traced as far back as possible.
- Adopting an all-inclusive approach, which demands that its stakeholders act responsibly for the economic and sustainable development and social transformation of societies.
- Developing and promoting interconnected systems, which deliver business leaders of character and competence including providing leadership resources that engage and inform such leaders.
- Networking and net weaving with corporates, government and individuals with similar goals.
- Packaging knowledge and experience into tools for business leaders in critical areas such as self-assessment, innovation and measuring results.
- Developing a system of valuation to judge systematic integration of core business leadership competencies including the ability to ask appropriate questions at board and other meetings and to connect different ideas in continuous innovation.
l Mobilising resources for literature creation and reach on business leadership, corporate governance and sustainability.
l Email: [email protected]
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