Friday, 22 January 2016

CORPORATE SOUTH AFRICA NEEDS A KICK IN THE ASS

Corporate South Africa can be a powerful force for socio-economic change. Historically it has preferred not to cause "trouble" in the political arena when none is welcome. Corporate South Africa's deep seated reluctance to engage in political activity manifested itself during the apartheid era. The apartheid regime dictated the role of business in South Africa in no uncertain terms - conform to its rules, and abstain from political activity. Big business was willing to comply out of ignorance, self-preservation, fear, or a combination of the above. Despite the birth of the new South Africa, business remained on the sidelines dedicated to protecting its interests until politics interfered. December 09, 2015, was a watershed day for the business community when Zuma sacked Nene, and appointed a neophyte in his place. Without realizing it, Zuma's actions woke up a sleeping giant, albeit a discreet one. Discreet in the sense that prominent business leaders, understanding the impact of Zuma's irresponsible decision, prevailed upon the ANC leadership, in closed doors, to withdraw the neophyte's appointment. Zuma, bowing to pressure, subsequently replaced him with Gordhan. There are lessons to be learned from the Nene debacle. One overriding lesson is clear: big business can no longer be faint-hearted, or concerned in not wanting to offend the government. Business is an integral component of the business of politics - the two are inseparable. Clearly big business must publicly assert itself by opening the shades of its boardrooms to the light of political reality. In doing so, it's captains of industry must be in the forefront demanding government accountability. It is no longer acceptable for one prominent CEO of a publicly traded company to posit that he does not discuss politics. Not only must he discuss politics, but meaningfully engage with government, by following the example of other CEOs who engaged the ruling party following Nene's sacking. CEOs can no longer be wallflowers or potted plants. Big business is in a unique position to partner with the government to effect change. It must do so immediately, and when necessary carry a big stick, otherwise the country will continue its path to hell in a handbasket.

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