Corporate governance and the implications of the business judgement rule
- Authors: Masondo, Ntombenhle Candice
- Date: 2021
- Subjects: Corporate governance , Business enterprises - Law and legislation
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/475452 , uj:42890
- Description: Abstract: The business judgment rule originated from the United States of America and was codified in the Companies Act 2008 under section 76(4). This rule relates directly to the duty to act in the best interest of the company and the duty to act with care, skill and diligence. The rule provides protection to directors for their decisions which have an undesirable result, provided the director was compliant with the requirement to take reasonable steps to becoming informed on the matter, had no conflict of interest and rationally believed he acted in the best interest of the company. The recommendation that the business judgment rule should be codified into South African law was criticized by various academic authors who deemed the codification unnecessary. Regardless, the rule has been codified and it is important to evaluate the requirements and operation of the rule... , LL.M. (Corporate Law)
- Full Text:
- Authors: Masondo, Ntombenhle Candice
- Date: 2021
- Subjects: Corporate governance , Business enterprises - Law and legislation
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/475452 , uj:42890
- Description: Abstract: The business judgment rule originated from the United States of America and was codified in the Companies Act 2008 under section 76(4). This rule relates directly to the duty to act in the best interest of the company and the duty to act with care, skill and diligence. The rule provides protection to directors for their decisions which have an undesirable result, provided the director was compliant with the requirement to take reasonable steps to becoming informed on the matter, had no conflict of interest and rationally believed he acted in the best interest of the company. The recommendation that the business judgment rule should be codified into South African law was criticized by various academic authors who deemed the codification unnecessary. Regardless, the rule has been codified and it is important to evaluate the requirements and operation of the rule... , LL.M. (Corporate Law)
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Corporate governance disclosures in the annual reports of Nigerian banks
- Olowosegun, Oladipo Solomon, Moloi, Tankiso
- Authors: Olowosegun, Oladipo Solomon , Moloi, Tankiso
- Date: 2021
- Subjects: Annual reports , Content analysis , Corporate governance
- Language: English
- Type: Journal article
- Identifier: http://hdl.handle.net/10210/493755 , uj:44781 , Citation: Olowosegun, O. & Moloi, T., 2021, ‘Corporate governance disclosures in the annual reports of Nigerian banks’, Acta Commercii 21(1), a857. https://doi.org/10.4102/ ac.v21i1.857
- Description: Abstract: Orientation: Several breaches continue to occur in Nigeria’s banking sector even with the litany of regulation put in place. These regulations require that banks disclose certain types of information, for accountability and transparency. Research purpose: To determine the extent of corporate governance disclosures in annual reports of Nigerian banks taking into cognisance the provisions of laws and codes applicable to Nigerian banks as well as acclaimed national codes and international guiding principles on corporate governance. Motivation for the study: Disclosures of corporate governance practices in the annual reports are a subtle indication of the level of compliance with provisions of relevant laws and codes. Research design, approach, and method: The study employed the qualitative content analysis that included a checklist based on the provisions of the Central Bank of Nigeria (CBN) code and acclaimed national codes and guiding principles to test the level of compliance disclosed by commercial banks in their annual reports. Main findings: The results show substantial corporate governance disclosures by all the banks except for two corporate governance pillar scores rights and functions of shareholders and engagement with shareholders’ associations that received little or no attention in the annual reports of the assessed banks. Practical/managerial implications: Disclosures do not necessarily imply that preparers comply with the spirit of corporate governance. A governance code that is based on ethics as a foundation should be considered rather than the current comply or else regime. Contribution/value-add: The article identifies the gap that the comply or else regimes do not necessarily succeed as preparers of report tend to tick the box to comply with the regulation rather than buying into the spirit of that regulation.
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- Authors: Olowosegun, Oladipo Solomon , Moloi, Tankiso
- Date: 2021
- Subjects: Annual reports , Content analysis , Corporate governance
- Language: English
- Type: Journal article
- Identifier: http://hdl.handle.net/10210/493755 , uj:44781 , Citation: Olowosegun, O. & Moloi, T., 2021, ‘Corporate governance disclosures in the annual reports of Nigerian banks’, Acta Commercii 21(1), a857. https://doi.org/10.4102/ ac.v21i1.857
- Description: Abstract: Orientation: Several breaches continue to occur in Nigeria’s banking sector even with the litany of regulation put in place. These regulations require that banks disclose certain types of information, for accountability and transparency. Research purpose: To determine the extent of corporate governance disclosures in annual reports of Nigerian banks taking into cognisance the provisions of laws and codes applicable to Nigerian banks as well as acclaimed national codes and international guiding principles on corporate governance. Motivation for the study: Disclosures of corporate governance practices in the annual reports are a subtle indication of the level of compliance with provisions of relevant laws and codes. Research design, approach, and method: The study employed the qualitative content analysis that included a checklist based on the provisions of the Central Bank of Nigeria (CBN) code and acclaimed national codes and guiding principles to test the level of compliance disclosed by commercial banks in their annual reports. Main findings: The results show substantial corporate governance disclosures by all the banks except for two corporate governance pillar scores rights and functions of shareholders and engagement with shareholders’ associations that received little or no attention in the annual reports of the assessed banks. Practical/managerial implications: Disclosures do not necessarily imply that preparers comply with the spirit of corporate governance. A governance code that is based on ethics as a foundation should be considered rather than the current comply or else regime. Contribution/value-add: The article identifies the gap that the comply or else regimes do not necessarily succeed as preparers of report tend to tick the box to comply with the regulation rather than buying into the spirit of that regulation.
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Cyber-attacks and IT governance disclosures of JSE listed financial institutions
- Authors: Hill, Callyn
- Date: 2021
- Subjects: Johannesburg Stock Exchange , Corporate governance , Cyberterrorism , Financial institutions
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/478360 , uj:43230
- Description: Abstract: Financial institutions worldwide are under constant pressure in the current financial climate to maintain technological safeguards that help combat cyber-attacks’ ever-prevalent risk. It is increasingly significant for financial institutions to identify and address their Information Technology (IT) weaknesses in IT security and governance to protect their financial holding and, most importantly, their stakeholders’ financial interests. The methods of identifying and mitigating IT weaknesses partially fall under the banner of the corporate governance of a company. In a South African context, the financial institutions listed on the Johannesburg Stock Exchange (JSE) are required to ensure that they are in compliance with the KING IV Code for all financial year ends starting on or after 1 April 2017. The KING IV Code requires all listed companies on the JSE to apply and explain all the principles of KING IV and report all required disclosures, such as the disclosures included in principle 12 relating to IT governance... , M.Com. (Computer Auditing)
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- Authors: Hill, Callyn
- Date: 2021
- Subjects: Johannesburg Stock Exchange , Corporate governance , Cyberterrorism , Financial institutions
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/478360 , uj:43230
- Description: Abstract: Financial institutions worldwide are under constant pressure in the current financial climate to maintain technological safeguards that help combat cyber-attacks’ ever-prevalent risk. It is increasingly significant for financial institutions to identify and address their Information Technology (IT) weaknesses in IT security and governance to protect their financial holding and, most importantly, their stakeholders’ financial interests. The methods of identifying and mitigating IT weaknesses partially fall under the banner of the corporate governance of a company. In a South African context, the financial institutions listed on the Johannesburg Stock Exchange (JSE) are required to ensure that they are in compliance with the KING IV Code for all financial year ends starting on or after 1 April 2017. The KING IV Code requires all listed companies on the JSE to apply and explain all the principles of KING IV and report all required disclosures, such as the disclosures included in principle 12 relating to IT governance... , M.Com. (Computer Auditing)
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Auditor independence and professional scepticism in South Africa : is regulatory reform needed?
- Authors: Harber, Michael , Marx, Ben
- Date: 2020
- Subjects: Auditing , Corporate governance , Audit quality
- Language: English
- Type: Article
- Identifier: http://hdl.handle.net/10210/415809 , uj:35148 , Citation: Michael, H., Marx, B. Auditor independence and professional scepticism in South Africa : is regulatory reform needed?
- Description: Abstract: , Background: Quality financial reporting, which requires high quality auditing outcomes, aids the smooth functioning of capital markets. Setting: The South African audit regulator argues that the key auditor attributes of independence and scepticism are dangerously compromised in South Africa, resulting in impaired audit quality. The regulator responded in June 2017 with the issuance of mandatory audit firm rotation (MAFR) regulations, effective April 2023. This ruling has caused considerable debate and opposing views in the audit industry. Aim: This study explores the state of auditor independence and the degree to which professional scepticism is being exercised by South African auditors of exchange-listed companies through an analysis of the perceptions of experienced key stakeholders. The findings contribute to the rationale behind the regulator’s argument for the necessity and efficacy of MAFR. Method: The study uses a survey methodology across four key stakeholder groups experienced in matters concerning the audit process, auditor appointment and reliance on the audit outcome on the Johannesburg Stock Exchange. Results: Respondents do not believe that auditor independence and professional scepticism are impaired, nor that existing regulations and codes of practice need amendment. In addition, audit failures and corporate financial scandals are not believed to be a result of compromised auditor independence and professional scepticism, nor do longer audit firm tenures impair independence and professional scepticism. Conclusion: These perceptions provide evidence against the rationale for MAFR adoption and indicate that it may not be necessary or effective. The study contributes to the South African audit profession in its objective to maintain audit quality. As such, it is relevant to regulators, standard-setters and stakeholders in South African capital markets.
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- Authors: Harber, Michael , Marx, Ben
- Date: 2020
- Subjects: Auditing , Corporate governance , Audit quality
- Language: English
- Type: Article
- Identifier: http://hdl.handle.net/10210/415809 , uj:35148 , Citation: Michael, H., Marx, B. Auditor independence and professional scepticism in South Africa : is regulatory reform needed?
- Description: Abstract: , Background: Quality financial reporting, which requires high quality auditing outcomes, aids the smooth functioning of capital markets. Setting: The South African audit regulator argues that the key auditor attributes of independence and scepticism are dangerously compromised in South Africa, resulting in impaired audit quality. The regulator responded in June 2017 with the issuance of mandatory audit firm rotation (MAFR) regulations, effective April 2023. This ruling has caused considerable debate and opposing views in the audit industry. Aim: This study explores the state of auditor independence and the degree to which professional scepticism is being exercised by South African auditors of exchange-listed companies through an analysis of the perceptions of experienced key stakeholders. The findings contribute to the rationale behind the regulator’s argument for the necessity and efficacy of MAFR. Method: The study uses a survey methodology across four key stakeholder groups experienced in matters concerning the audit process, auditor appointment and reliance on the audit outcome on the Johannesburg Stock Exchange. Results: Respondents do not believe that auditor independence and professional scepticism are impaired, nor that existing regulations and codes of practice need amendment. In addition, audit failures and corporate financial scandals are not believed to be a result of compromised auditor independence and professional scepticism, nor do longer audit firm tenures impair independence and professional scepticism. Conclusion: These perceptions provide evidence against the rationale for MAFR adoption and indicate that it may not be necessary or effective. The study contributes to the South African audit profession in its objective to maintain audit quality. As such, it is relevant to regulators, standard-setters and stakeholders in South African capital markets.
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The relationship between corporate governance board characteristics and financial performance of South African JSE listed companies in the construction and building materials sector
- Authors: Jingura, Netsayi Landie
- Date: 2019
- Subjects: Corporate governance , Corporations - Finance , Johannesburg Stock Exchange
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/403161 , uj:33770
- Description: Abstract : The relationship between corporate performance and governance practices goes back for centuries yet is still relevant today, in the modern corporate environment. While corporate governance is argued to be an agency cost, as it curbs managers’ self-interest, it is believed to increase company performance as it inspires group effort from all stakeholders. Corporate governance describes the mechanisms in place to ensure that management is taking appropriate steps, policies and procedures to protect every stakeholder’s interest in the company. The study is an investigation on the relationship between corporate governance board of directors and company performance. Board of directors’ characteristics were represented by board size, board independence, Chief Executive Officer (CEO) tenure, CEO compensation and CEO duality while company performance measures were represented by Return on Equity (ROE), Return on Assets (ROA) and Net Profit Margin (NPM). The study used panel regression analysis to estimate a sample of 12 South African public companies in the construction and building materials sector of the Johannesburg Stock Exchange for the period of 2011 to 2016. The size and leverage of a company were considered as control variables. The findings indicated no significant relationship between board independence, board size and CEO duality but did find a direct significant relationship between CEO tenure and CEO remuneration and company performance. The research also found a statistically significant inverse relationship between leverage and company size and performance of the company. This research is a useful aid to the comprehension of board characteristics affecting company performance in South Africa and improving corporate governance principles to eliminate corporate scandals that are crippling economies globally. , M.Com. (Finance)
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- Authors: Jingura, Netsayi Landie
- Date: 2019
- Subjects: Corporate governance , Corporations - Finance , Johannesburg Stock Exchange
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/403161 , uj:33770
- Description: Abstract : The relationship between corporate performance and governance practices goes back for centuries yet is still relevant today, in the modern corporate environment. While corporate governance is argued to be an agency cost, as it curbs managers’ self-interest, it is believed to increase company performance as it inspires group effort from all stakeholders. Corporate governance describes the mechanisms in place to ensure that management is taking appropriate steps, policies and procedures to protect every stakeholder’s interest in the company. The study is an investigation on the relationship between corporate governance board of directors and company performance. Board of directors’ characteristics were represented by board size, board independence, Chief Executive Officer (CEO) tenure, CEO compensation and CEO duality while company performance measures were represented by Return on Equity (ROE), Return on Assets (ROA) and Net Profit Margin (NPM). The study used panel regression analysis to estimate a sample of 12 South African public companies in the construction and building materials sector of the Johannesburg Stock Exchange for the period of 2011 to 2016. The size and leverage of a company were considered as control variables. The findings indicated no significant relationship between board independence, board size and CEO duality but did find a direct significant relationship between CEO tenure and CEO remuneration and company performance. The research also found a statistically significant inverse relationship between leverage and company size and performance of the company. This research is a useful aid to the comprehension of board characteristics affecting company performance in South Africa and improving corporate governance principles to eliminate corporate scandals that are crippling economies globally. , M.Com. (Finance)
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An analysis and assessment of integrated reporting disclosure : a millennials’ perspective
- Authors: Dama, Aziza
- Date: 2018
- Subjects: Corporation reports , Sustainable development reports , Social responsibility of business , Corporate governance , Employees - Reporting to , Disclosure of information , Disclosure in accounting
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/295793 , uj:32218
- Description: Abstract: The general public, and in particular, the millennial generation a new generation of stakeholders is becoming more aware of environmental and social issues and are demanding greater social responsibility from companies. Millennials are interested in sustainability, environmental and social responsibility and corporate governance issues and they expect companies ‘to improve society’. Although there has been a recent shift to better sustainability and integrated reporting, it appears that the current reporting practices of companies may not meet the expectations of the millennial generation, seeing that millennials still have negative perceptions about companies. While sustainability and integrated reporting have been studied widely, very little assessment has been made of whether companies are providing sufficient disclosure that is relevant to millennials. The objective of this research is to analyse disclosures of sustainability, environmental and social responsibility practices and goals and corporate governance practices and the manner in which these disclosures were presented in order to assess whether adequate disclosure, relevant to millennials’ expectations of companies, has been provided. A qualitative research strategy was followed. A systematic, empirical review was conducted by means of a content analysis using a basic checklist. The most recent financial years’ integrated reports of the companies in the sample were examined, as well as their websites and social media accounts. The results indicate that there are areas for improvement in all the disclosure categories examined and that companies’ use of their websites and social media is inadequate to cater for millennials’ information requirements. Only approximately one third of the companies studied are expected to attract millennials as investors, consumers, or potential employees (i.e. both shareholders and stakeholders) and therefore integrated reporting disclosure needs to be improved in order to make companies more appealing to them. This study offers a new perspective on current integrated reporting practices and provides guidance on integrated reporting and the preparation of integrated reports going forward. , M.Com. (International Accounting)
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- Authors: Dama, Aziza
- Date: 2018
- Subjects: Corporation reports , Sustainable development reports , Social responsibility of business , Corporate governance , Employees - Reporting to , Disclosure of information , Disclosure in accounting
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/295793 , uj:32218
- Description: Abstract: The general public, and in particular, the millennial generation a new generation of stakeholders is becoming more aware of environmental and social issues and are demanding greater social responsibility from companies. Millennials are interested in sustainability, environmental and social responsibility and corporate governance issues and they expect companies ‘to improve society’. Although there has been a recent shift to better sustainability and integrated reporting, it appears that the current reporting practices of companies may not meet the expectations of the millennial generation, seeing that millennials still have negative perceptions about companies. While sustainability and integrated reporting have been studied widely, very little assessment has been made of whether companies are providing sufficient disclosure that is relevant to millennials. The objective of this research is to analyse disclosures of sustainability, environmental and social responsibility practices and goals and corporate governance practices and the manner in which these disclosures were presented in order to assess whether adequate disclosure, relevant to millennials’ expectations of companies, has been provided. A qualitative research strategy was followed. A systematic, empirical review was conducted by means of a content analysis using a basic checklist. The most recent financial years’ integrated reports of the companies in the sample were examined, as well as their websites and social media accounts. The results indicate that there are areas for improvement in all the disclosure categories examined and that companies’ use of their websites and social media is inadequate to cater for millennials’ information requirements. Only approximately one third of the companies studied are expected to attract millennials as investors, consumers, or potential employees (i.e. both shareholders and stakeholders) and therefore integrated reporting disclosure needs to be improved in order to make companies more appealing to them. This study offers a new perspective on current integrated reporting practices and provides guidance on integrated reporting and the preparation of integrated reports going forward. , M.Com. (International Accounting)
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Sharia disclosures : a comparative study of a South African and Nigerian Islamic Bank
- Authors: Moosa, Riyad
- Date: 2018
- Subjects: Sharia governance , Sharia supervisory board , Corporate governance
- Language: English
- Type: Conference proceeding
- Identifier: http://hdl.handle.net/10210/290221 , uj:31503 , Citation: Moosa, R. 2018. Sharia disclosures : a comparative study of a South African and Nigerian Islamic Bank.
- Description: Abstract: The aim of this paper was to determine the extent of sharia disclosures made in the 2017 annual reports for an Islamic Bank in South Africa, hereafter referred to as ‘Bank A’, and an Islamic Bank in Nigeria, hereafter referred to as ‘Bank B’. The study is qualitative in nature using a case study method, content analysis and disclosure index. The findings indicate that for the Sharia Supervisory Board (SSB) report, the disclosures for Bank A are assessed to be 82% compliant versus Bank B whose disclosures are assessed as being 45% compliant. The results, in so far as the sharia report is concerned, shows that Bank A is 94% compliant while Bank B is 81% compliant.
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- Authors: Moosa, Riyad
- Date: 2018
- Subjects: Sharia governance , Sharia supervisory board , Corporate governance
- Language: English
- Type: Conference proceeding
- Identifier: http://hdl.handle.net/10210/290221 , uj:31503 , Citation: Moosa, R. 2018. Sharia disclosures : a comparative study of a South African and Nigerian Islamic Bank.
- Description: Abstract: The aim of this paper was to determine the extent of sharia disclosures made in the 2017 annual reports for an Islamic Bank in South Africa, hereafter referred to as ‘Bank A’, and an Islamic Bank in Nigeria, hereafter referred to as ‘Bank B’. The study is qualitative in nature using a case study method, content analysis and disclosure index. The findings indicate that for the Sharia Supervisory Board (SSB) report, the disclosures for Bank A are assessed to be 82% compliant versus Bank B whose disclosures are assessed as being 45% compliant. The results, in so far as the sharia report is concerned, shows that Bank A is 94% compliant while Bank B is 81% compliant.
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The influence of corporate social responsibility on organisational commitment
- Authors: Baloyi, Rhulani Luther
- Date: 2018
- Subjects: Social responsibility of business , Corporate governance
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/478250 , uj:43216
- Description: Abstract: The primary research objective was to investigate the influence of Corporate Social Responsibility (CSR) on organisational commitment. The study used job satisfaction, intrinsic motivation and organisational trust as mediating factors to understand the relationship between CSR and organisational commitment. This was a quantitative study. A self-administered questionnaire involving convenience sampling was distributed to the research respondents, at work, malls and social gatherings within Gauteng. The target population for the study was people who were employed (excluding entrepreneurs) in an organisation that has CSR initiatives. A total of 648 questionnaires were distributed to potential respondents with 426 questionnaires being completed. The response rate of the study was therefore 65.74%. This study made use of descriptive statistics, correlation analysis, regression analysis, one-way ANOVA, t-test and post hoc tests to analyse the data. Cronbach’s alpha coefficients were used to test the reliability of the constructs, which were all found to be reliable... , M.Com. (Business Management)
- Full Text:
- Authors: Baloyi, Rhulani Luther
- Date: 2018
- Subjects: Social responsibility of business , Corporate governance
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/478250 , uj:43216
- Description: Abstract: The primary research objective was to investigate the influence of Corporate Social Responsibility (CSR) on organisational commitment. The study used job satisfaction, intrinsic motivation and organisational trust as mediating factors to understand the relationship between CSR and organisational commitment. This was a quantitative study. A self-administered questionnaire involving convenience sampling was distributed to the research respondents, at work, malls and social gatherings within Gauteng. The target population for the study was people who were employed (excluding entrepreneurs) in an organisation that has CSR initiatives. A total of 648 questionnaires were distributed to potential respondents with 426 questionnaires being completed. The response rate of the study was therefore 65.74%. This study made use of descriptive statistics, correlation analysis, regression analysis, one-way ANOVA, t-test and post hoc tests to analyse the data. Cronbach’s alpha coefficients were used to test the reliability of the constructs, which were all found to be reliable... , M.Com. (Business Management)
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Integrated reporting practices of state-owned entitites
- Authors: Morake, Kabelo Modise
- Date: 2017
- Subjects: Financial statements , Corporate governance , Corporation reports
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/245905 , uj:25479
- Description: M.Com. , Abstract: The publication of the King III report on Corporate Governance for South Africa (King III) in March 2010 and the release of the Integrated Reporting Framework (IR Framework ) in 2013, played a very important role and exerted a significant influence in sanctioning for South African entities to incorporate and champion the idea of integrated reporting (IR) whereby they must report on the strategies, corporate governance, risk management functions, financial sustainability and performance as well as the ability of the entity to create value and sustain it over time. Many significant decisions are made by the stakeholders or users of the current annual reports insofar as they help them to understand an entity’s potential to create value and operate sustainably in the foreseeable future. As a result, the information that is published in these reports is important in enabling users to make informed decisions. However, the same stakeholders also question the relevance and reliability of such reports in imparting adequate information to make sound investment decisions. These corporate reporting challenges, amongst many others, have highlighted the need for a significantly more comprehensive and more integrated corporate reporting model which would merge both financial and non-financial information in a meaningful manner. With the advent of democracy in South Africa in 1994, regulatory reforms such as the Public Finance Management Act (PFMA, 1999), the new Companies Act No 71 of 2008 and King III were instituted in order to improve decision-making processes and corporate governance requirements for all entities, including state-owned entities (SOEs). SOEs primarily assist the state to fulfil the mandate of growing the economy by providing efficient, reliable and affordable services in critical sectors, such as electricity supply, water, health services, transport infrastructure and school facilities. They also make infrastructure improvements that are economically and socially critical to the welfare of the nation. Against this background, and considering the impact that SOEs have on the South African economy, there is a strategic need for an integrated way of reporting the performance and results of SOEs to meet the information requirements of all stakeholders in order to make them understand what drives...
- Full Text:
- Authors: Morake, Kabelo Modise
- Date: 2017
- Subjects: Financial statements , Corporate governance , Corporation reports
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/245905 , uj:25479
- Description: M.Com. , Abstract: The publication of the King III report on Corporate Governance for South Africa (King III) in March 2010 and the release of the Integrated Reporting Framework (IR Framework ) in 2013, played a very important role and exerted a significant influence in sanctioning for South African entities to incorporate and champion the idea of integrated reporting (IR) whereby they must report on the strategies, corporate governance, risk management functions, financial sustainability and performance as well as the ability of the entity to create value and sustain it over time. Many significant decisions are made by the stakeholders or users of the current annual reports insofar as they help them to understand an entity’s potential to create value and operate sustainably in the foreseeable future. As a result, the information that is published in these reports is important in enabling users to make informed decisions. However, the same stakeholders also question the relevance and reliability of such reports in imparting adequate information to make sound investment decisions. These corporate reporting challenges, amongst many others, have highlighted the need for a significantly more comprehensive and more integrated corporate reporting model which would merge both financial and non-financial information in a meaningful manner. With the advent of democracy in South Africa in 1994, regulatory reforms such as the Public Finance Management Act (PFMA, 1999), the new Companies Act No 71 of 2008 and King III were instituted in order to improve decision-making processes and corporate governance requirements for all entities, including state-owned entities (SOEs). SOEs primarily assist the state to fulfil the mandate of growing the economy by providing efficient, reliable and affordable services in critical sectors, such as electricity supply, water, health services, transport infrastructure and school facilities. They also make infrastructure improvements that are economically and socially critical to the welfare of the nation. Against this background, and considering the impact that SOEs have on the South African economy, there is a strategic need for an integrated way of reporting the performance and results of SOEs to meet the information requirements of all stakeholders in order to make them understand what drives...
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Risk management best practices in the Department of Trade and Industry
- Authors: Joel, Carmen
- Date: 2016
- Subjects: Risk management , Corporate governance
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/225695 , uj:22801
- Description: M.A. , Abstract: This study focused on best practice risk management frameworks (RMFs) for the sustainable implementation of risk management in the public sector, with specific reference to the role of the Department of Trade and Industry (dti). Risk management entails resources, planning, arranging, and controlling to reduce the impact of possible risks to a manageable level. The main research question addressed by this study is: What is the nature of the risk management process and which practical actions can be taken to improve risk management in the dti in order to ensure sustainable service delivery? The goal of this best practice approach to risk management as a higher-order management function is to create an industry that will reflect on how events may influence organisational objectives through the process of identifying, assessing reducing, eliminating or mitigating and monitoring the impact and likelihood of actual or prospective risks through implementing new or improved assessment practices and internal controls. As organisations increasingly focus on establishing or maturing their risk management applications, risk managers experience a range of challenges – from the start of the risk management process to ensure that the right decisions and processes are carried out, to managing the complex involvement of many different functional stakeholders to fulfil an organisation’s mission, achieve its objectives, and to add value. Many of the problems encountered while establishing or maturing a risk management approach can be prevented by using a sound risk management methodology and by compliance with the regulatory and policy frameworks. This study focused on the improvement of risk management in general and the dti in particular, and made proposals for best practice methodologies and mechanisms for effective and efficient risk management systems to develop resilience against unforeseen risks. The proposed best practice mechanisms can be applied as good governance mechanisms to mitigate risk. A qualitative research methodology was followed, whereby conceptual and documentary content analyses and benchmarking were applied as research techniques. It was based on primary and secondary sources of information which covered a wide spectrum of themes, including core regulatory and policy frameworks, concepts, theories, approaches, and the variables which influence risk management in both international and South African contexts...
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- Authors: Joel, Carmen
- Date: 2016
- Subjects: Risk management , Corporate governance
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/225695 , uj:22801
- Description: M.A. , Abstract: This study focused on best practice risk management frameworks (RMFs) for the sustainable implementation of risk management in the public sector, with specific reference to the role of the Department of Trade and Industry (dti). Risk management entails resources, planning, arranging, and controlling to reduce the impact of possible risks to a manageable level. The main research question addressed by this study is: What is the nature of the risk management process and which practical actions can be taken to improve risk management in the dti in order to ensure sustainable service delivery? The goal of this best practice approach to risk management as a higher-order management function is to create an industry that will reflect on how events may influence organisational objectives through the process of identifying, assessing reducing, eliminating or mitigating and monitoring the impact and likelihood of actual or prospective risks through implementing new or improved assessment practices and internal controls. As organisations increasingly focus on establishing or maturing their risk management applications, risk managers experience a range of challenges – from the start of the risk management process to ensure that the right decisions and processes are carried out, to managing the complex involvement of many different functional stakeholders to fulfil an organisation’s mission, achieve its objectives, and to add value. Many of the problems encountered while establishing or maturing a risk management approach can be prevented by using a sound risk management methodology and by compliance with the regulatory and policy frameworks. This study focused on the improvement of risk management in general and the dti in particular, and made proposals for best practice methodologies and mechanisms for effective and efficient risk management systems to develop resilience against unforeseen risks. The proposed best practice mechanisms can be applied as good governance mechanisms to mitigate risk. A qualitative research methodology was followed, whereby conceptual and documentary content analyses and benchmarking were applied as research techniques. It was based on primary and secondary sources of information which covered a wide spectrum of themes, including core regulatory and policy frameworks, concepts, theories, approaches, and the variables which influence risk management in both international and South African contexts...
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Die integrering van die finansiële bestuursfunksie in 'n groot maatskappy
- Authors: Van der Merwe, S.R.
- Date: 2015-09-28
- Subjects: Corporations - Finance , Corporate governance
- Type: Thesis
- Identifier: uj:14205 , http://hdl.handle.net/10210/14651
- Description: M.Com. , Please refer to full text to view abstract
- Full Text:
- Authors: Van der Merwe, S.R.
- Date: 2015-09-28
- Subjects: Corporations - Finance , Corporate governance
- Type: Thesis
- Identifier: uj:14205 , http://hdl.handle.net/10210/14651
- Description: M.Com. , Please refer to full text to view abstract
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A critical analysis of the capacity of South African non-executive directors : a model for best practice in South Africa
- Authors: Vandiar, Theroshen
- Date: 2015
- Subjects: Auditing , Corporate governance , Business ethics
- Language: English
- Type: Doctoral (Thesis)
- Identifier: http://hdl.handle.net/10210/54643 , uj:16243
- Description: Abstract: Over the last century, significant events have occurred in commerce that shaped the way in which business is conducted and companies managed. The well-known global scandals of the 21st century reopened the debate about mechanisms of responsibility, accountability and governance in business. Specifically, focus shifted to non-executive directors with an expectation for them to represent the best interest of the stakeholders. Research emphasised that the shareholders and individuals, who are potential investors, look to non-executive directors to restore confidence in a troubled market environment. This is also applicable in the South African context, specifically since the country is in a unique era after introducing majority rule democracy in 1994. South Africa needs strong economic growth to address the imbalance in wealth distribution and alleviate poverty. Economic growth is a prerequisite for political and social stability. A prerequisite for economic growth is improved performance of a strong, healthy and sound business sector. Good business is premised on optimal governance performance of the boards of directors of companies. This study therefore investigates the profile of non-executive directors in South Africa, since the majority of the board of directors is constituted by them. It takes into account the added dimension of BEE policies and the requirements of the King III report on corporate governance. The objective of the study is to develop a model of an ideal non-executive director in South Africa. This was done through a comprehensive literature study of directors and empirical testing at large listed companies in South Africa. The outcome of this study is a model that identifies and quantifies the importance of attributes constituting the ideal non-executive director in South Africa. It also makes recommendations relating to best practice non-executive directorships in South Africa. The findings make a valuable contribution to the existing body of knowledge, since it is the first dedicated analysis of the requirements and attributes of South African non-executive directors. This will allow for a means upon which companies can assess potential candidates for non-executive directorships and identify potential shortcomings of existing non-executive directors, which could be addressed by means of training/orientation programs. , D.Phil. (Auditing)
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- Authors: Vandiar, Theroshen
- Date: 2015
- Subjects: Auditing , Corporate governance , Business ethics
- Language: English
- Type: Doctoral (Thesis)
- Identifier: http://hdl.handle.net/10210/54643 , uj:16243
- Description: Abstract: Over the last century, significant events have occurred in commerce that shaped the way in which business is conducted and companies managed. The well-known global scandals of the 21st century reopened the debate about mechanisms of responsibility, accountability and governance in business. Specifically, focus shifted to non-executive directors with an expectation for them to represent the best interest of the stakeholders. Research emphasised that the shareholders and individuals, who are potential investors, look to non-executive directors to restore confidence in a troubled market environment. This is also applicable in the South African context, specifically since the country is in a unique era after introducing majority rule democracy in 1994. South Africa needs strong economic growth to address the imbalance in wealth distribution and alleviate poverty. Economic growth is a prerequisite for political and social stability. A prerequisite for economic growth is improved performance of a strong, healthy and sound business sector. Good business is premised on optimal governance performance of the boards of directors of companies. This study therefore investigates the profile of non-executive directors in South Africa, since the majority of the board of directors is constituted by them. It takes into account the added dimension of BEE policies and the requirements of the King III report on corporate governance. The objective of the study is to develop a model of an ideal non-executive director in South Africa. This was done through a comprehensive literature study of directors and empirical testing at large listed companies in South Africa. The outcome of this study is a model that identifies and quantifies the importance of attributes constituting the ideal non-executive director in South Africa. It also makes recommendations relating to best practice non-executive directorships in South Africa. The findings make a valuable contribution to the existing body of knowledge, since it is the first dedicated analysis of the requirements and attributes of South African non-executive directors. This will allow for a means upon which companies can assess potential candidates for non-executive directorships and identify potential shortcomings of existing non-executive directors, which could be addressed by means of training/orientation programs. , D.Phil. (Auditing)
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The relationship between firm size and performance
- Mazhinduka, Tinodiwanashe Adrian
- Authors: Mazhinduka, Tinodiwanashe Adrian
- Date: 2015
- Subjects: Business enterprises - Size , Performance - Management , Risk , Financial leverage , Corporate governance
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/54656 , uj:16244
- Description: Abstract: The impact of firm size on performance of a firm has been widely debated. There is the view that large firms are able to outperform smaller competitors because of economies of scale. Harsh economic conditions have, however, led to a number of large firms collapsing. Advocates of small firms have noted that the knowledge of niche markets and unique offerings have allowed small firms to remain competitive. This study investigates whether there exists a relationship between firm size and return on assets. To supplement the size variable, the study also considered control variables associated with firm size to determine how they influence the relationship between firm size and return on assets. The study considered a sample of firms in the Industrial Goods and Services sector listed on the JSE to examine the nature of the relationship between firm size and performance, during the period 2004 to 2013. Market capitalisation was used as measure for firm size and return on assets as a measure of firm performance. The study data was analysed by means of a comparative analysis applying descriptive statistics, correlation analysis and a regression analysis. The findings from the correlation and regression analyses indicate that firm size has no influence on firm performance when the combined sample was investigated. However, the results indicate that for small listed firms, firm size has a moderate positive influence on firm performance. For large firms, firm size has no influence on firm performance. The results of the study will be useful for management to focus their efforts on significant variables that influence return on assets. , M.Com. (Financial Management)
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- Authors: Mazhinduka, Tinodiwanashe Adrian
- Date: 2015
- Subjects: Business enterprises - Size , Performance - Management , Risk , Financial leverage , Corporate governance
- Language: English
- Type: Masters (Thesis)
- Identifier: http://hdl.handle.net/10210/54656 , uj:16244
- Description: Abstract: The impact of firm size on performance of a firm has been widely debated. There is the view that large firms are able to outperform smaller competitors because of economies of scale. Harsh economic conditions have, however, led to a number of large firms collapsing. Advocates of small firms have noted that the knowledge of niche markets and unique offerings have allowed small firms to remain competitive. This study investigates whether there exists a relationship between firm size and return on assets. To supplement the size variable, the study also considered control variables associated with firm size to determine how they influence the relationship between firm size and return on assets. The study considered a sample of firms in the Industrial Goods and Services sector listed on the JSE to examine the nature of the relationship between firm size and performance, during the period 2004 to 2013. Market capitalisation was used as measure for firm size and return on assets as a measure of firm performance. The study data was analysed by means of a comparative analysis applying descriptive statistics, correlation analysis and a regression analysis. The findings from the correlation and regression analyses indicate that firm size has no influence on firm performance when the combined sample was investigated. However, the results indicate that for small listed firms, firm size has a moderate positive influence on firm performance. For large firms, firm size has no influence on firm performance. The results of the study will be useful for management to focus their efforts on significant variables that influence return on assets. , M.Com. (Financial Management)
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Governing IT programmes through the lens of corporate governance
- Nyandongo, Kwete, Marnewick, Carl
- Authors: Nyandongo, Kwete , Marnewick, Carl
- Date: 2014
- Subjects: IT programme management , IT programme governance , Corporate governance
- Language: English
- Type: Conference proceedings
- Identifier: http://hdl.handle.net/10210/474476 , uj:42769 , Citation: Nyandongo, K. & Marnewick, C. 2014. Governing IT programmes through the lens of corporate governance.
- Description: Abstract: Stakeholders invest in organisations, expecting a return on their investment. These organisations, in turn, invest their revenue streams in productivity or in growth strategies leading to, among other things, an increase in information technology (IT) business initiatives. Given that effective management of a single project is no longer sufficient, organisations are leaning more towards a coordinated way of managing their initiatives to deliver benefits which could not be obtained if these initiatives were managed separately. Programme management has been perceived as the strategy implementation vehicle that links the overall strategy of the organisation with the portfolio of projects. While the use of programmes and programme management has grown, their capability to secure the investment of organisations has not been proven. Numerous failure stories with dramatic consequences for the organisation as a whole have been reported. Over the past decade, research conducted on the performance of IT initiatives has revealed that failure to deliver the benefits from most projects and programmes can be traced to inadequate governance mechanisms, thus prompting the need for an effective mechanism of overseeing these investments. Further to this, the recent series of corporate scandals, meltdowns, fraud and other catastrophic events and the consequent publication of relevant legislation and corporate governance standards have forced top management to become more interested in how their organisational IT initiatives are managed. This paper focuses on establishing a mechanism of overseeing investment made in IT programmes from a corporate governance point of view. Two governance frameworks are considered: one from a developed economy (Sarbanes-Oxley - United States of America) and the other from a developing economy (King Report III - South Africa). An exploratory qualitative approach within a cross-sectional design, combined with a comparative design, was adopted. Qualitative content analysis and document analysis were used for both data collection and analysis. Data were collected from secondary sources to deductively extend the governance mechanism to the temporary aspect of IT programmes. Implications for programme governance from the Sarbanes-Oxley Act and King III Report were identified. The outcome of this research is a set of governance mandates that pertain to the temporary aspect of IT programmes. Corporate governance requirements are extended and contextualised to IT programme management. This entails the open, accountable and controlled management of financial and non-financial programme outcomes, which will remain responsive and responsible to the board and key stakeholders.
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- Authors: Nyandongo, Kwete , Marnewick, Carl
- Date: 2014
- Subjects: IT programme management , IT programme governance , Corporate governance
- Language: English
- Type: Conference proceedings
- Identifier: http://hdl.handle.net/10210/474476 , uj:42769 , Citation: Nyandongo, K. & Marnewick, C. 2014. Governing IT programmes through the lens of corporate governance.
- Description: Abstract: Stakeholders invest in organisations, expecting a return on their investment. These organisations, in turn, invest their revenue streams in productivity or in growth strategies leading to, among other things, an increase in information technology (IT) business initiatives. Given that effective management of a single project is no longer sufficient, organisations are leaning more towards a coordinated way of managing their initiatives to deliver benefits which could not be obtained if these initiatives were managed separately. Programme management has been perceived as the strategy implementation vehicle that links the overall strategy of the organisation with the portfolio of projects. While the use of programmes and programme management has grown, their capability to secure the investment of organisations has not been proven. Numerous failure stories with dramatic consequences for the organisation as a whole have been reported. Over the past decade, research conducted on the performance of IT initiatives has revealed that failure to deliver the benefits from most projects and programmes can be traced to inadequate governance mechanisms, thus prompting the need for an effective mechanism of overseeing these investments. Further to this, the recent series of corporate scandals, meltdowns, fraud and other catastrophic events and the consequent publication of relevant legislation and corporate governance standards have forced top management to become more interested in how their organisational IT initiatives are managed. This paper focuses on establishing a mechanism of overseeing investment made in IT programmes from a corporate governance point of view. Two governance frameworks are considered: one from a developed economy (Sarbanes-Oxley - United States of America) and the other from a developing economy (King Report III - South Africa). An exploratory qualitative approach within a cross-sectional design, combined with a comparative design, was adopted. Qualitative content analysis and document analysis were used for both data collection and analysis. Data were collected from secondary sources to deductively extend the governance mechanism to the temporary aspect of IT programmes. Implications for programme governance from the Sarbanes-Oxley Act and King III Report were identified. The outcome of this research is a set of governance mandates that pertain to the temporary aspect of IT programmes. Corporate governance requirements are extended and contextualised to IT programme management. This entails the open, accountable and controlled management of financial and non-financial programme outcomes, which will remain responsive and responsible to the board and key stakeholders.
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Media-reported corporate governance transgressions in broad-based black economic empowerment deals in the South African mining sector
- Authors: Thomas, Adèle
- Date: 2014
- Subjects: Corporate governance , Business ethics , Mining sector - South Africa , Black economic empowerment - South Africa , Mining industry - Corrupt practices - South Africa
- Type: Article
- Identifier: uj:5501 , ISSN 09763600 , http://hdl.handle.net/10210/13665
- Description: The study explored the nature of publically identified corporate governance transgressions relating to deals designed to promote black economic empowerment (BEE) at 22 South African mining companies. A review of South African English language newspaper articles was undertaken for the period 1 January 2010 to 31 December 2011. Reported transgressions were assessed against a framework developed from relevant codes and legislation. Political interference/nepotism/fronting was the most-cited category of behaviour promoting governance transgressions, followed by fraud/ structuring of controversial BEE deals, and mismanagement/negligence. Public concern about governance of BEE deals in the mining sector and, accordingly, about the contribution of BEE to the broad socio-economic upliftment of historically disadvantaged South Africans, is highlighted.
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- Authors: Thomas, Adèle
- Date: 2014
- Subjects: Corporate governance , Business ethics , Mining sector - South Africa , Black economic empowerment - South Africa , Mining industry - Corrupt practices - South Africa
- Type: Article
- Identifier: uj:5501 , ISSN 09763600 , http://hdl.handle.net/10210/13665
- Description: The study explored the nature of publically identified corporate governance transgressions relating to deals designed to promote black economic empowerment (BEE) at 22 South African mining companies. A review of South African English language newspaper articles was undertaken for the period 1 January 2010 to 31 December 2011. Reported transgressions were assessed against a framework developed from relevant codes and legislation. Political interference/nepotism/fronting was the most-cited category of behaviour promoting governance transgressions, followed by fraud/ structuring of controversial BEE deals, and mismanagement/negligence. Public concern about governance of BEE deals in the mining sector and, accordingly, about the contribution of BEE to the broad socio-economic upliftment of historically disadvantaged South Africans, is highlighted.
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The relation between sustainability performance and the structure and composition of the board of directors in the JSE top companies
- Authors: Fourie, Saretha Sara
- Date: 2013-12-09
- Subjects: Corporate governance , JSE Securities Exchange South Africa , Quality control
- Type: Thesis
- Identifier: uj:7832 , http://hdl.handle.net/10210/8725
- Description: M.Comm. (Financial Management) , Our planet is getting smaller and older because the population is growing by the second and our resources and means of sustaining life are getting depleted. Companies need to rethink their strategy and business models to do no harm to the environment and society. The board of directors, as custodians of corporate governance, are responsible to direct their corporations towards sustainability performance. This has implications for the manner in which the board act and organise themselves. This study explores whether the board characteristics of sustainability performing companies differs from non-performing companies in terms of the gender; ethnicity; age; affiliation and the background of the directors at specified points in time namely 2004, 2007 and 2010 and how these board characteristics evolved over the specified period. The results should contribute to obtaining an understanding of how boards in South Africa are organising themselves in practice to enhance the sustainability performance of their companies. A comparative analysis using cross sectional data found that companies embracing sustainability performance have significantly more directors with non-traditional backgrounds on their board. A trend analysis using longitudinal data found that sustainability performing as well as nonperforming companies is becoming more diverse. Findings from this study provides practical guidance to companies wishing to integrate sustainability into their governance structures in that companies should consider recruiting directors with non-traditional backgrounds.
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- Authors: Fourie, Saretha Sara
- Date: 2013-12-09
- Subjects: Corporate governance , JSE Securities Exchange South Africa , Quality control
- Type: Thesis
- Identifier: uj:7832 , http://hdl.handle.net/10210/8725
- Description: M.Comm. (Financial Management) , Our planet is getting smaller and older because the population is growing by the second and our resources and means of sustaining life are getting depleted. Companies need to rethink their strategy and business models to do no harm to the environment and society. The board of directors, as custodians of corporate governance, are responsible to direct their corporations towards sustainability performance. This has implications for the manner in which the board act and organise themselves. This study explores whether the board characteristics of sustainability performing companies differs from non-performing companies in terms of the gender; ethnicity; age; affiliation and the background of the directors at specified points in time namely 2004, 2007 and 2010 and how these board characteristics evolved over the specified period. The results should contribute to obtaining an understanding of how boards in South Africa are organising themselves in practice to enhance the sustainability performance of their companies. A comparative analysis using cross sectional data found that companies embracing sustainability performance have significantly more directors with non-traditional backgrounds on their board. A trend analysis using longitudinal data found that sustainability performing as well as nonperforming companies is becoming more diverse. Findings from this study provides practical guidance to companies wishing to integrate sustainability into their governance structures in that companies should consider recruiting directors with non-traditional backgrounds.
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Adherence to the spirit of corporate governance : the ethics of executive remuneration
- Authors: Gevers, Elke
- Date: 2013-07-11
- Subjects: Executives - Professional ethics , Corporate governance , Executives - Salaries, etc.
- Type: Thesis
- Identifier: uj:7611 , http://hdl.handle.net/10210/8477
- Description: M.Comm. (Industrial Psychology) , With the implementation of King III in 2010 and the promulgation of the new Companies Act in 2011, the corporate governance landscape in South Africa was irrevocably changed. Simultaneously, there was an increase in the protestations against the perceived excesses of executive1 remuneration packages. The question posed in this research study was what does adherence to the spirit of corporate governance with regard to executive remuneration entail? The literature study explores the perceived separation between ownership and control, as well as attempts at controlling this separation via structured executive remuneration packages. It further provides an overview of the relative efficacy of voluntary codes and compulsory codes. Various methods of determining executive remuneration are investigated and the possible shortcomings of each are identified. Sixteen semi-structured, in-depth interviews, equally divided amongst four interest groups in the field of executive remuneration, were conducted. A content analysis of the qualitative data that emerged from the interviews resulted in 39 first-order themes that were then iterated to 11 second-order themes. These second-order themes were categorised into two sets, namely five that are indicative of behaviour in support of adherence to the spirit of corporate governance with regard to executive remuneration, and six that are indicative of behaviour that undermines the spirit of corporate governance in this regard. The five themes indicative of behaviour in support of adherence to the spirit of corporate governance were: problem recognition, sustainable development, embracing governance, remuneration management competence, and ethical intent. The six themes found to indicate behaviour that undermines adherence to the spirit of corporate governance with regard to executive remuneration were: shareholder appeasement, misrepresentation, elitism, justification, arrogance, and intentional amorality. It emanated from the findings that greater social debate should be stimulated on how ethics can be brought into the domain of executive remuneration. A potentially important facilitator of such debate could be tertiary education institutions responsible for management education integrating the ethics of executive remuneration in curricula. It is further recommended boards, who are tasked with the governance of their organisations, be made aware of the behavioural manifestations that support or undermine adherence to the spirit of governance as it relates to executive remuneration. Remuneration consultants could also benefit from these findings, and could assist organisations to design fair and responsible systems of remuneration for executives and senior employees.
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- Authors: Gevers, Elke
- Date: 2013-07-11
- Subjects: Executives - Professional ethics , Corporate governance , Executives - Salaries, etc.
- Type: Thesis
- Identifier: uj:7611 , http://hdl.handle.net/10210/8477
- Description: M.Comm. (Industrial Psychology) , With the implementation of King III in 2010 and the promulgation of the new Companies Act in 2011, the corporate governance landscape in South Africa was irrevocably changed. Simultaneously, there was an increase in the protestations against the perceived excesses of executive1 remuneration packages. The question posed in this research study was what does adherence to the spirit of corporate governance with regard to executive remuneration entail? The literature study explores the perceived separation between ownership and control, as well as attempts at controlling this separation via structured executive remuneration packages. It further provides an overview of the relative efficacy of voluntary codes and compulsory codes. Various methods of determining executive remuneration are investigated and the possible shortcomings of each are identified. Sixteen semi-structured, in-depth interviews, equally divided amongst four interest groups in the field of executive remuneration, were conducted. A content analysis of the qualitative data that emerged from the interviews resulted in 39 first-order themes that were then iterated to 11 second-order themes. These second-order themes were categorised into two sets, namely five that are indicative of behaviour in support of adherence to the spirit of corporate governance with regard to executive remuneration, and six that are indicative of behaviour that undermines the spirit of corporate governance in this regard. The five themes indicative of behaviour in support of adherence to the spirit of corporate governance were: problem recognition, sustainable development, embracing governance, remuneration management competence, and ethical intent. The six themes found to indicate behaviour that undermines adherence to the spirit of corporate governance with regard to executive remuneration were: shareholder appeasement, misrepresentation, elitism, justification, arrogance, and intentional amorality. It emanated from the findings that greater social debate should be stimulated on how ethics can be brought into the domain of executive remuneration. A potentially important facilitator of such debate could be tertiary education institutions responsible for management education integrating the ethics of executive remuneration in curricula. It is further recommended boards, who are tasked with the governance of their organisations, be made aware of the behavioural manifestations that support or undermine adherence to the spirit of governance as it relates to executive remuneration. Remuneration consultants could also benefit from these findings, and could assist organisations to design fair and responsible systems of remuneration for executives and senior employees.
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A holistic approach to information technology project management auditing
- Authors: Mukendi, John Nyabadi
- Date: 2012-10-25
- Subjects: Project management , Information technology projects - Management , Corporate governance
- Type: Thesis
- Identifier: uj:10446 , http://hdl.handle.net/10210/7911
- Description: M.Tech. (Information Technology) , Increasingly, more now than before, the corporate world has been paying more attention to the prominent topic of “governance”. The absence of governance in an organisation or ineffective governance has become synonymous with all that is wrong. It is regarded to be the root cause of all evils – not only in the corporate environment, but also in society. Following corporate scandals of recent years that have exposed corporate malpractices and mismanagement, corporate governance is increasingly being recognised worldwide as a best practice and an effective mechanism that not only promotes corporate efficiency, competitiveness and sustainability, but is also a tool for combating corporate corruption. The audit function is considered one of the main supporting pillars of corporate governance, as it plays an important role in helping management attain its business goals and strategic objectives. This is realised through a systematic and disciplined approach to evaluating and improving the effectiveness of the organisation’s system of internal control, risk management and governance processes. The failure of the audit function is said to have been one of the critical contributors to recent global corporate scandals. Robust auditing is believed to be the cornerstone of modern corporate governance. The use of auditing in project management processes increases the probability of project success. Using corporate governance as a best practice and audit as one of its sub-sets, this research study deals with the topical issue of failures in Information Technology (IT) projects. The study strives to address this problem by adopting a holistic approach to IT project management auditing that includes corporate governance principles over and above the traditional principles and processes for auditing IT projects. Over the past 15 to 20 years, the rate of failure of IT projects has changed little in continual surveys, showing that more than half of all IT projects overrun their schedules and budgets. This situation has continued in spite of new technologies, innovative methods, tools and different management methods. Although most organisations heavily rely on IT-enabled projects for competitive advantage, it is estimated that worldwide over $6.2 trillion is being wasted annually on IT project failures. One of the reasons for this situation has allegedly been the failure of project governance. Thus, the importance and added value of this research study lies in adopting a holistic approach to IT project management auditing. The study involves corporations and not government agencies or other institutions. The study adopts a qualitative research approach and uses semi-structured face-to-face interviews as the primary method for data collection. It is intended that this study fills a gap in the research literature on the topic.
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- Authors: Mukendi, John Nyabadi
- Date: 2012-10-25
- Subjects: Project management , Information technology projects - Management , Corporate governance
- Type: Thesis
- Identifier: uj:10446 , http://hdl.handle.net/10210/7911
- Description: M.Tech. (Information Technology) , Increasingly, more now than before, the corporate world has been paying more attention to the prominent topic of “governance”. The absence of governance in an organisation or ineffective governance has become synonymous with all that is wrong. It is regarded to be the root cause of all evils – not only in the corporate environment, but also in society. Following corporate scandals of recent years that have exposed corporate malpractices and mismanagement, corporate governance is increasingly being recognised worldwide as a best practice and an effective mechanism that not only promotes corporate efficiency, competitiveness and sustainability, but is also a tool for combating corporate corruption. The audit function is considered one of the main supporting pillars of corporate governance, as it plays an important role in helping management attain its business goals and strategic objectives. This is realised through a systematic and disciplined approach to evaluating and improving the effectiveness of the organisation’s system of internal control, risk management and governance processes. The failure of the audit function is said to have been one of the critical contributors to recent global corporate scandals. Robust auditing is believed to be the cornerstone of modern corporate governance. The use of auditing in project management processes increases the probability of project success. Using corporate governance as a best practice and audit as one of its sub-sets, this research study deals with the topical issue of failures in Information Technology (IT) projects. The study strives to address this problem by adopting a holistic approach to IT project management auditing that includes corporate governance principles over and above the traditional principles and processes for auditing IT projects. Over the past 15 to 20 years, the rate of failure of IT projects has changed little in continual surveys, showing that more than half of all IT projects overrun their schedules and budgets. This situation has continued in spite of new technologies, innovative methods, tools and different management methods. Although most organisations heavily rely on IT-enabled projects for competitive advantage, it is estimated that worldwide over $6.2 trillion is being wasted annually on IT project failures. One of the reasons for this situation has allegedly been the failure of project governance. Thus, the importance and added value of this research study lies in adopting a holistic approach to IT project management auditing. The study involves corporations and not government agencies or other institutions. The study adopts a qualitative research approach and uses semi-structured face-to-face interviews as the primary method for data collection. It is intended that this study fills a gap in the research literature on the topic.
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The governance of ethics in the profession of industrial psychology in South Africa : the roles of regulatory bodies and professional associations
- Baloyi, Patricia Gaongalelwe
- Authors: Baloyi, Patricia Gaongalelwe
- Date: 2012-10-25
- Subjects: Corporate governance , Industrial psychology , Industrial psychologists - Professional ethics , Professional ethics , Trade associations
- Type: Mini-Dissertation
- Identifier: uj:10445 , http://hdl.handle.net/10210/7910
- Description: M.Phil. , Governance comprises different interrelated functions and activities which are to be clearly defined and allocated towards a responsible person / entity. The aim of the study was to explore the perceptions of the Professional Board for Psychology of the Health Professions Council of South Africa and the two professional associations (Psychological Society of South Africa and Society for Industrial and Organisational Psychology of South Africa) on how they define their different roles in governing ethics in the profession of industrial psychology. Qualitative content analysis was used to analyse data collected through semi-structured interviews from nine participants with three members from each of these organisations who were considered to be experts in the area of ethics governance. The outcome of this study suggests that the regulatory body which is the Professional Board for Psychology, the two professional associations together with other identified role players have a role to play in governing ethics of industrial psychologists. The results also highlighted the need for these parties to collaborate in advancing their roles in striving towards higher levels of ethics within the profession of industrial psychology.
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- Authors: Baloyi, Patricia Gaongalelwe
- Date: 2012-10-25
- Subjects: Corporate governance , Industrial psychology , Industrial psychologists - Professional ethics , Professional ethics , Trade associations
- Type: Mini-Dissertation
- Identifier: uj:10445 , http://hdl.handle.net/10210/7910
- Description: M.Phil. , Governance comprises different interrelated functions and activities which are to be clearly defined and allocated towards a responsible person / entity. The aim of the study was to explore the perceptions of the Professional Board for Psychology of the Health Professions Council of South Africa and the two professional associations (Psychological Society of South Africa and Society for Industrial and Organisational Psychology of South Africa) on how they define their different roles in governing ethics in the profession of industrial psychology. Qualitative content analysis was used to analyse data collected through semi-structured interviews from nine participants with three members from each of these organisations who were considered to be experts in the area of ethics governance. The outcome of this study suggests that the regulatory body which is the Professional Board for Psychology, the two professional associations together with other identified role players have a role to play in governing ethics of industrial psychologists. The results also highlighted the need for these parties to collaborate in advancing their roles in striving towards higher levels of ethics within the profession of industrial psychology.
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The importance of effective strategic leadership in organisations
- Authors: Van Eeden, Cornelia Maria
- Date: 2012-09-06
- Subjects: Leadership , Human capital , Corporate culture , Strategic planning , Business ethics , Corporate governance
- Type: Mini-Dissertation
- Identifier: uj:9666 , http://hdl.handle.net/10210/7081
- Description: M.Comm. , This research is intended to describe the elements that underline and compromise strategic leadership. Having strategic leaders with substantive expertise in the firm's core functions and businesses is important to the effectiveness of a management team. A heterogenic management team is associated positively with innovation and strategic change and may force them to "think outside of the box" (Hitt et al.,2001:493). Key elements of strategic leadership is used to identify weaknesses and strengths within the organisation and explored. The type of effective strategic leadership that results in the successful implementation of strategies is exemplified by developing human capital through training to establish a strategic direction, fostering an effective culture, exploiting core competencies, using effective organisational control systems and establish ethical practices (Hitt et al., 2001: 509).
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- Authors: Van Eeden, Cornelia Maria
- Date: 2012-09-06
- Subjects: Leadership , Human capital , Corporate culture , Strategic planning , Business ethics , Corporate governance
- Type: Mini-Dissertation
- Identifier: uj:9666 , http://hdl.handle.net/10210/7081
- Description: M.Comm. , This research is intended to describe the elements that underline and compromise strategic leadership. Having strategic leaders with substantive expertise in the firm's core functions and businesses is important to the effectiveness of a management team. A heterogenic management team is associated positively with innovation and strategic change and may force them to "think outside of the box" (Hitt et al.,2001:493). Key elements of strategic leadership is used to identify weaknesses and strengths within the organisation and explored. The type of effective strategic leadership that results in the successful implementation of strategies is exemplified by developing human capital through training to establish a strategic direction, fostering an effective culture, exploiting core competencies, using effective organisational control systems and establish ethical practices (Hitt et al., 2001: 509).
- Full Text: