The Institute of Directors-Ghana (IoD-Ghana) president, Rockson Kwesi Dogbegah, has said that corporate governance training should be made mandatory for both the public and private sectors so that they function effectively in their various institutions.
He noted that the tussle often observed between the Chief Executive Officers (CEOs) and Board Chairman, especially in state-owned institutions, result from a lack of good orientation toward board business.
“It is however important to say that most people on our State Own Enterprises (SOEs) and public sector boards lack appropriate training to function effectively in the boardroom. In July 2021, when the finance minister disclosed that SOEs were not demonstrating good corporate governance, some 47 of those SOEs since 2016 have failed to submit their outstanding financial statements in blatant contravention of the law,” Mr. Dogbegah bemoaned.
Speaking at a virtual induction ceremony for new members of the IoD-Ghana, the president described the situation as unacceptable and said the blame should not be in the bosoms of CEOs of these SOEs but the boards of these SOEs, because it is a clear demonstration of poor corporate governance.
He highlighted the need to therefore appoint qualified, knowledgeable and result-oriented people in the boardrooms of these SOEs to provide appropriate oversight and leadership.
“For organisations to achieve their objectives in both the public and private sectors, board positions cannot be for family and friends; neither should they be a compensation for foot-soldiers. The key consideration for such positions must be competence and industry experience, among others,” he emphasised.
The induction ceremony increased their membership by 36, bringing total membership to 1,198. The inductees included of 4 fellows and 32 members. The 4 fellows are the current Acting Inspector General of Police (IGP), Dr. George Akuffo Dampare; Prof. Samuel Nii Odai; Frederick Aryeetey; and Peter Claver Nibepwo Sangber-Derry.
He urged them to be good ambassadors of corporate governance, take their duties seriously and help promote the culture of good corporate governance wherever they find themselves.
Meanwhile, Dr. George Akufo Dampare on behalf of fellows and members thanked the IoD-Ghana for the opportunity and called for support to help them live up to expectations, adding that the institute will help them to become better in terms of professional competence and capabilities.
Meanwhile, IoD-Ghana and IoD-Zimbabwe have signed a Memorandum of Understanding (MoU) to deepen relationships across the continent.