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Framework for Screening and Evaluating the Competencies and Qualities of the Board of Directors in South Africa’s State-Owned Companies

Author

Listed:
  • Modi Hlobo

    (Department of Accountancy, University of Johannesburg, Johannesburg 2092, South Africa)

  • Tankiso Moloi

    (Department of Accountancy, University of Johannesburg, Johannesburg 2092, South Africa)

  • Benjamin Marx

    (Department of Accountancy, University of Johannesburg, Johannesburg 2092, South Africa)

Abstract

Purpose—This research paper presents a framework for screening and evaluating the competencies and qualities of the board of directors in South African state-owned companies (SOCs). Design/methodology/approach—This study conducted a systematic literature review to gather primary data which was used to prepare a questionnaire for two rounds of the Delphi process, where data was analysed both qualitatively and quantitatively. Findings—The findings from the study revealed the ideal competencies and qualities of individual directors, the optimal collective competencies of directors, and the most appropriate screening and evaluation methods that could be adopted to benefit SOCs. Originality/value—This paper adds to the limited studies investigating the competencies and qualities of directors in SOCs, as most research is focused on listed private companies. Furthermore, there is currently no framework in South Africa that outlines the process for screening and evaluating the competencies and qualities of directors in South Africa’s SOCs. In an effort to support the South African government screen and evaluate the key competencies and qualities of directors in state-owned companies, this team has developed a theoretically informed framework that can be used to screen potential board members’ abilities and capabilities before they are appointed as well as to evaluate the relevance of existing board members.

Suggested Citation

  • Modi Hlobo & Tankiso Moloi & Benjamin Marx, 2022. "Framework for Screening and Evaluating the Competencies and Qualities of the Board of Directors in South Africa’s State-Owned Companies," JRFM, MDPI, vol. 15(11), pages 1-15, October.
  • Handle: RePEc:gam:jjrfmx:v:15:y:2022:i:11:p:492-:d:952616
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    References listed on IDEAS

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    1. Mohamed Belkhir, 2009. "Board of directors' size and performance in the banking industry," International Journal of Managerial Finance, Emerald Group Publishing Limited, vol. 5(2), pages 201-221, April.
    2. William Mbanyele, 2020. "Do Busy Directors Impede or Spur Bank Performance and Bank Risks? Event Study Evidence From Brazil," SAGE Open, , vol. 10(2), pages 21582440209, June.
    3. Jimenez, Emmanuel & Nguyen, Vy & Patrinos, Harry Anthony, 2012. "Stuck in the middle ? human capital development and economic growth in Malaysia and Thailand," Policy Research Working Paper Series 6283, The World Bank.
    4. Robert F. Radin & William B. Stevenson, 2006. "Comparing Mutual Fund Governance and Corporate Governance," Corporate Governance: An International Review, Wiley Blackwell, vol. 14(5), pages 367-376, September.
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    Cited by:

    1. Mayimele, Nsovo & Demana, Patrick & Keele, Mothobi, 2023. "An assessment of positions, perceptions and valued leadership competencies of pharmacists that work in manufacturing pharmaceutical companies (MPCs) in South Africa," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 7(4), pages 66-79.
    2. Mayimele, Nsovo & Demana, Patrick & Keele, Mothobi, 2023. "Perceptions of Board Members on the Presence of Pharmacists as Strategic Leaders of Manufacturing Pharmaceutical Companies Operating in South Africa: A Qualitative Study," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 7(2), pages 87-98.

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