By JOSHUA WAMBUA
Promoting and embracing tenets of good governance as advocated for by the Institute of Certified Public Secretaries of Kenya (ICPSK) is a major step in the war against corruption and will contribute towards better and more efficient use and management of resources in both public and private organisations.
Indeed it has been recognised that good governance has an economic payoff.
The Commonwealth has time and again emphasised the pivotal role good governance plays in a country’s development. In a framework for member states on the promotion of good governance and combating corruption, which forms part of the Commonwealth’s 1991 Harare Declaration, the organisation states that “good governance is not a luxury but a basic requirement for development.”
It explains that corruption, which undermines development, is generally an outcome and symptom of poor governance.
Two years ago ICPSK created the “ICPSK Champions of Governance (COG)” Award. The Award is meant to recognise best Practices in good governance.
The aim of this annual Award is to move principles of good governance from theoretical norms to practical deeds, actions and structures within organisations. The award tests to what extent an organisation is applying the principles and practices of good governance.
The award recognises organisations, chairpersons, CEOs and company/board or corporate secretaries, who stand out in upholding principles of good governance. Although ICPSK was created through an Act of Parliament and part of its mandate is to promote good governance, the award is voluntary for public and private organisations.
Through the award, ICPSK seeks to help those who participate to identify and develop homegrown strategies to promote good governance to achieve their vision, mission and mandates. Some of the strategies, however, require strong political will at the highest levels of government, boards, management, and shareholders.
Over the years, studies have proved that good governance has an economic payoff and is expressed through factors like reliability, predictability and accountability.
Through the award, ICPSK also seeks to help individuals and organisations to develop the necessary capacity through the provision of the necessary technical and managerial competence development that promotes and entrenches good practices. The Institute also provides advice on policy and institutional reforms as well as other capacity building mechanisms with the aim of fortifying good practices.
As the professional association of company secretaries, ICPSK recognises the important role it has to play in ensuring that its members and other stakeholders adhere to good governance principles. ICPSK is well aware that achieving good governance must of necessity involve the participation of the entire board, and employees. ICPSK is therefore working with like-minded organisations to promote good governance.
Abuses of power
This year, Ministry of Finance, Ministry of Co-operative Development, Vision 2030, CMA, Kasneb, Insurance Regulatory Authority, KAM, Brand Kenya, Sasra , Institute of Directors, Kenya Institute of Governance, CDSC, Centre for Corporate Governance, Kepsa, Association of Professional Societies in East Africa, and Registration of Certified Public Secretaries Board are partnering with ICPSK in the award.
It is worth noting that the regulatory and compliance institutions, which comprise the bulk of ICPSK’s partners also have an important role in that their mandate is to enforce principles and rules of good governance.
ICPSK recognises that Kenya’s development has largely lagged behind due to poor governance. The lack of governance has in many instances led to corporate failures, dubious accounting practices, and abuses of corporate power, among others.
This has tended to undermine investors’ confidence. As the country moves towards a devolved system of government, the need to embrace, promote and consistently inculcate values of good governance cannot therefore be over emphasised.
It is hoped that as the award enters its third year, more organisations, especially public institutions, will participate in the award so as to gain from the benefits the award offers.
Through the award, ICPSK seeks to promote efficient, effective, responsive, sustainable, legitimate and accountable institutions that are managed with integrity, probity and transparency, that contribute to the welfare of society by creating wealth, employment and solutions to emerging challenges, while at the same time recognising and protecting stakeholder rights.
Globally, good governance has attracted a great deal of public interest because of its apparent importance for the economic health of corporations and society in general.
ICPSK, therefore, hopes for a drive towards better governance in institutions in Kenya to ensure that directors and managers are good and faithful stewards of resources entrusted to them in accordance with good governance norms.
Writer is CEO Institute of Certified Public Secretaries of Kenya (ICPSK).
info@icpsk.com
