There was a time when corporate governance wasn't standard practice. But, that was a lifetime ago.
Accéntuate company secretary Wesley Delport says SA's business community appreciates and understands the country's governance laws, particularly medium and large-sized entities. There is still room for improvement at some smaller companies, he says, noting that at times the trick is to strike a balance between an entrepreneurial spirit and what some players perceive as red tape.
"For us, corporate governance is not negotiable. Whatever business we do falls into the King 2 and governance framework," says Delport.
Being compliant with good governance has a down side. But that's no reason to bend the rules. "We've been forced to desist from doing business in the past because of governance concerns. It may be an opportunity missed, but we're uncompromising and proud of it," says Delport, reiterating chief financial officer Ré Voogt's stance on the issue.
For Delport, an IT expert, effective checks and balances should be in place so that compliance can be evaluated and monitored effectively and regularly. "If you claim to be compliant without systems, you're going nowhere fast," he says.
To this end, Accéntuate's governance system includes an audit committee chaired by company nonexecutive deputy chairman Manne Dipico. The committee is tasked with overseeing internal control systems, risk and the results of the external audit.
Included in this committee is a risk subcommittee, under the chairmanship of Delport. The risk sub-committee is responsible for different disciplines within the construction and infrastructure company, including industrial relations, human resources, IT, environment and health and safety issues. As head of Accéntuate's shared services division, Delport is also responsible for cost-cutting by extracting value and introducing economies of scale.
