"The truth is that there are no good men, or bad men... it is the deeds that have goodness or badness in them. There are good deeds and there are bad deeds."
Iqbal Survé, chairman and CEO of black-controlled investment holding company Sekunjalo, quotes this line almost verbatim from Shantaram, the semi-autobiographical novel by Gregory David Roberts. The line resonates with him as he sees himself as someone with a social conscience who tries to make an impact through deeds, not just words.
Yes, he is in business to make money for Sekunjalo's shareholders - "that is what we are ultimately judged on" - but his belief is that business should not exist just to make money. Business must also make a positive impact on society.
"I am an advocate of the market economy, but to ignore the divides caused by too many poor, too few jobs and too much concentration of wealth will lead to the wrecking of business balance sheets."
It is a message he has repeated for years. But now he adds a measure of urgency: "To not work together to address the social issues in our country is reckless."
Sekunjalo has developed a business model that marries profitability with its efforts to reduce inequality in society. "When I started, people said I was too radical, but now the idea is becoming mainstream - in part thanks to the writings of [economists] Amartya Sen, Jeffrey Sachs and Joseph Stiglitz, from whom I also draw." A practical example is Sekunjalo's investment in the financial services industry, specifically in companies that can develop low-cost medical aid and insurance products. "There are many township entrepreneurs who can be empowered to sell these products."
He sits on at least 23 boards - from the Clinton Global Initiative to the Open for Business Place (a Western Cape organisation that assists township entrepreneurs) and those of the companies that Sekunjalo holds. And about 30% of his time is devoted to social causes. "The trick is to appoint the right people, invest in them and empower them to make decisions - quick, but informed decisions - and support them when things go wrong, as they will."
Just as Survé's approach to business is unconventional, Sekunjalo's focus on the biotech sector has raised a few eyebrows. Biotech is still perceived as a risky investment and few SA investment companies have an appetite for it.
Survé is less conservative. "We looked for a company that was close to commercialisation and which we could take to global markets sooner rather than later. This is a high-growth sector we wanted to get into."
Similarly, Sekunjalo's focus on the IT sector, and business intelligence in particular, was informed by the sense that this is a high-growth market segment. "People haven't understood the importance of business intelligence - particularly in the government sector. The reason municipalities have not delivered is that the information they base decisions on is incoherent."
He has always been optimistic - ever since he was a boy who helped his father in the corner shop or to sell newspapers. And as a CEO, he continued to believe in the Sekunjalo model long after half the board had resigned and the company had lost its reputation and its shirt after LeisureNet and Prosper Packaging went down the tubes. His optimism was what kept Sekunjalo going.
Now he is ready to share some of the reasons for that optimism with investors. With several years of good results behind it, the company is embarking on its first roadshow. "We stayed away from them for a long time [after LeisureNet]."
Survé would like to write a book. "Some of my reasons are a little selfish, but mostly because I believe I've an ability to synthesise lessons from life into leadership. The time has come to give the benefit of that to broader audiences."
