Business
Firms urged to embrace enterprise governance
Publish Date: Feb 26, 2014
Firms urged to embrace enterprise governance
Keith Kalyegira, the CEO of the Capital Markets Authority (CMA)
  • mail
  • img
newvision

By Billy Rwothungeyo

Companies operating in Uganda have been urged to embrace enterprise governance principles to enhance their reputation and boost their growth.


“There are situations where owners of companies act like the board of directors and management,” said Keith Kalyegira, the CEO of the Capital Markets Authority (CMA).

“Such companies end up defaulting on commercial and statutory obligations such as paying NSSF and taxes. These eventually catch up with them and some end up closing because of poor governance practices,” he added.

Kalyegira was opening the third annual directors and company secretaries’ conference at Protea Hotel in Kampala.

Alison Kibirige, the chair of the Institute of Chartered Secretaries and Administrators (ICSA) Uganda, stressed that there is a difference between corporate governance and enterprise governance.

Kibirige said enterprise governance applies to every kind of organisation, not just companies which is the case with corporate governance. So if you run a school, hospital or faith based organisation, then you better begin thinking about this seriously,”

Patrick Bitature, a businessman, said enterprise governance should be a habit in a firm. “When you put up a logo out there, it does not mean much unless it has got a set of values behind it,” he said.

He alluded to why many businesses in Uganda fail: “The biggest cry I hear in Uganda, especially regarding small and medium enterprises, is that capital is the biggest impediment to success. But it is more about the companies and the structures they have in place.”

Former finance minister, Gerald Sendaula, said the image of an organisation rests on how it goes about its governance issues.

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
RwandAir launches Entebbe-Nairobi flights
Ugandans travelling to the Kenyan capital Nairobi by air now have a wider menu to choose from after RwandAir launched flights between Entebbe and Nairobi....
IGG recovers sh632m from corrupt officials
The Deputy IGG, Mariam Wangadya, says sh632m was recovered from corrupt officials last year and paid on to the IGG asset recovery account....
Cleaner low sulphur fuel diesel on market
Effective February 2, 2015, low Sulphur fuel diesel with 50 parts per million (ppm) sulphur content will be on market....
Electricity tribunal hits snag over absence of energy ministry PS
Hearing at the electricity disputes tribunal in the row between Umeme and ERA hits a snag over the absence of Energy ministry PS Kaliisa Kabagambe....
Honda investigating possible exploding airbag death
Honda is probing a deadly crash in the United States possibly linked to exploding air bags blamed for killing at least five people....
Contradictions cloud pensions liberalization
MAJOR contradictions still exist among the major backers of the impending liberalized pensions sector on which to adapt with the liberalization bill expected on the floor of parliament...
Will a ban on Waragi sold in sachets reduce consumption of Alcohol?
Yes
No
Can't Say
follow us
subscribe to our news letter