By Our Reporter
It was a display of glitz and glam as the Institute of Corporate Governance of Uganda-ICGU unveiled the winners of the second Corporate Awards 2022.
The event took place at Mestil Hotel Nsambya on Wednesday, sponsored by different companies including Diamond Trust Bank, Vision Group, and Grant Thornton Ltd, among others.
According to Micheal Mugabi, the President of ICGU, the aim is to build national capacity in corporate governance, maintenance laws of the country, and membership development.
“As the council and stewards of corporate governance; we would like to have legislation in entities as they embrace internationally developed standards of good governance practices. That way we will have leverage in promoting sustainable enterprises,” Mugabi said.
The highlights of the event were the top six companies that won under the different categories that included: SMEs, Large Private Sector, banks, Insurance, Public sector, and NGOs.
Milton Obote Foundation emerged as the winner from the SMEs category, Compassion International Company was the winner from the NGO category, and Jubilee Life Insurance emerged as the award winner in the Insurance Category.
The other winners were: Electricity Regulatory Authority emerged the Winner from the Public Sector Category, Stanbic Holdings Limited won from the large private category and NCBA Bank won the award from the Bank Category.
Geoffrey Kihuguru, the Chairman Awards, and Recognition Committee said many enterprises that picked up after the pandemic effects were because they had adhered to good corporate governance practices.
“Great nations are built by great institutions which are managed by people who embrace good corporate practices. It is important to note that this year the institute resolved to introduce a modern trend of organization self-assessments as opposed to expert business assessments.
He noted that over 350 organizations were reached out to, presenting assessment opportunities.
“The rankings indicated the level of implementation of CGP principles but there is still room for improvement,” sKihuguru.”
All distinguished companies that voluntarily participated were assessed on their operations specifically in accountability, transparency, integrity, responsibility, compliance, and excellence. On governance (board processes, board contributions, board independence. Board diversity, environmental, social, Governance-ESG strategy, and the board oversight role).
DTB and several companies that engaged in this initiative were rewarded with certificates of appreciation for embracing and taking part.
However, Mugabi noted that there the level of acceptance by companies to be assessed is still very low. He implored entities to come on board next year to gain experience and knowledge of operating better.
Patrick Ocayire, who spoke on behalf of Parliament and the Ministry of Finance and Economic Development, commended ICGU for bringing a platform that allows both the public and private sectors to be assessed, benchmarked, and ranked on compliance and adherence to international best practices of corporate governance.
“In this economy, corporate governance is a big role in turning entities into high-income earners. Records from Uganda’s Success view show that up to 60% of registered companies do not survive their second birthday and this is mainly attributed to poor governance,” Ocayire said.
The annual corporate governance Awards normally present an opportunity for different organizations to be assessed on the best practices of good governance and ensure the sustainability of entity operations in Uganda.
These awards were launched under the theme: “Corporate Governance; Recognizing Adherence to Best Practices.”
Mugabi thanked all the organizations that joined ICGU in support for the operations.