Monday, March 9, 2009

SABC’s corporate governance under review

As if public broadcaster SABC didn’t have enough problems to contend with (ie. its R784m deficit), a new report commissioned by Communications Minister Ivy Matsepe-Casaburri reveals that the overall effectiveness of the institution’s governance had been compromised by the many months of infighting between the SABC board and executive management.

Compiled by Deloitte & Touche, the report noted that the bad relationship had resulted in “a culture of mistrust of others’ actions”. This had led to board members becoming operationally involved in the SABC. Interviewees said that the board tends to operate “in crisis mode” and that its actual board duties had been over-ridden in its camppaign to suspend and dismiss former Group CEO Dali Mpofu.

Included in the recommendations made to the Minister was the holding of a workshop in which the board’s role and responsibilities could be clearly defined.

(Source: Business Day)

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