President of the Institute of Directors of Ghana, Rockson Dogbegah has called for the scrapping of the appointment of CEOs of State Owned Enterprises by the President.
According to him, presidential appointments of heads for such entities have contributed to their decline in performance and contribution towards GDP over the years.
President Akufo-Addo in April 2018 announced plans to implement a robust regime to monitor the activities of state-owned enterprises to ensure transparency and accountability.
He further announced that the government had begun the implementation of a Credit Risk Assessment Framework to determine the ability of SOEs to honor their debt obligations.
However, leaders from various parts of the economy believe that the performance and management of State Owned Enterprises will improve if their respective CEOs are appointed by their boards.
President of the Institute of Directors of Ghana, Rockson Dogbegah who led the call for such a move spoke to Journalists.
“In some cases, they even think that they are more powerful than the board because the appointment did not come from the board and so in terms of performance, they don’t see themselves as having to report to the board and so right from there we lose the fight of good performance and of effective leadership.
“So what happens is that there will not be good performance and controls will not be effective, because in this case whiles even instructing the Chief Executive to do something he doesn’t see you as somebody he reports to and then at the end of the day the whole organization loses trust,” he said.
He further advised boards both in government and private institutions to demand accountability from the management of various companies.
“It is high time boards demand accountability from the CEOs so that at all times they give out their best”.
