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  • Posted in: Open Forum

    Hi Katlego, For me, the circumstances you describe create a fundamental conflict of interest (real/perceived or potential) between the fees earned as a consultant and an independent non-executive director view of the best interests of the company. In the absence of any other context, my approach, assuming ...

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    Hi Katlego, I am not a supporter of non-executive directors (NED) being appointed a consultant and then sitting in meetings with management. I think it blurs the line between the board and management. In a number of state-owned enterprises that I am involved in it is expressly prohibited. I once had ...

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    My personal view is that there is a high risk of conflict of interest for a non executive Board board who also does consultancy services to the same organisation. It is better to stick to one & not both. ------------------------------ Kiliana Bangure ------------------------------

  • Posted in: Open Forum

    Thanks for the interesting question. For me, I would argue that the moment a NED sits in on management meeting they cease to be independent. They immediately become invested in the decisions and the views of those at the meeting. I can see the temptation to involve talented NEDS into the more day to ...

  • Posted in: Open Forum

    Hi Katlego The relationship should be minuted as an agreement at the time of appointment; with this agreement clearly specifying firstly the fees the NED receives as a director and any compensation for consultancy work being undertaken. These would typically be separate contracts for the two roles. It ...

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    Hi everyone. what are your views on non executive directors sitting as consultants in management meetings of the same company ? ------------------------------ Katlego Legalamitloa Secretarial Specialist FirstRand Gauteng ------------------------------

  • Posted in: Open Forum

    For some time now, The Chartered Governance Institute has been a member of the International Integrated Reporting Council. Whilst a number of Divisions within the Institute have engaged with the IIRC in various ways, the global Institute has been on the IIRC's peak advisory body for a number of years. ...

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    A good followup article that discusses 5 areas directors need to ask about cyber security (by no means an exhaustive list, but an excellent starting point for further discussion) The five questions directors need to ask about cyber security (afr.com) Do directors have enough knowledge? Is the ...

  • Posted in: Open Forum

    Recently we saw the 12 m onth anniversary since the first wave of COVID lockdowns . That means a year since the exodus from CBDs, the working from home revolution and a level of disruption that had not been seen for a number of generations. The word 'unprecedented' was used an unprecedented ...

  • Posted in: Open Forum

    In the UK every director who is remunerated (in whatever form that takes, but obviouslty most commonly through money payments) by the director's company is subject to mandatory PAYE (pay as you earn) income tax treatment, whether or not that person is also an employee. That means the company must deduct ...

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  • New Guest Blog added - read now!

    Do you observe a correlation between corporate governance practices and organisational performance – financial and operational? Do you observe that some changes or improvements in corporate governance practices are more impactful than others?

    @Christopher Russell has authored our latest Guest Blog, looking at corporate governance and board composition impacting corporate performance. Whether you work within or advise corporations, read the blog and have your say - share your thoughts with Christopher and your fellow eCommunity!

    Read it HERE.
  • On-Demand Webinar Now Available: 'Women in the boardroom: International Governance Stocktake'

    Following The Chartered Governance Institute's release of its recent thought-provoking report 'Women in the boardroom: international governance stocktake', last week we held a webinar to hear global perspectives from industry leaders discussing the findings of the report. 
    If you weren't able to join us, you can now view the on-demand recording in our library. 

    We also have a dedicated discussion thread where we have identified the key takeaways but also posed some unanswered questions as submitted by attendees. We encourage you to share your thoughts on either the recent report or what our panel talked through in the webinar - help us to continue the conversation!

    1. Read the report
    2. View the webinar on-demand
    3. Join the discussion

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    Set out below is my article published by The European Financial Review on How shareholders, corporations ...

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