Framework for Screening and Evaluating the Competencies and Qualities of the Board of Directors in South Africa’s State-Owned Companies

Abstract

Purpose—This research paper presents a framework for screening and evaluating the competencies and qualities of the board of directors in South African state-owned companies (SOCs). Design/methodology/approach—This study conducted a systematic literature review to gather primary data which was used to prepare a questionnaire for two rounds of the Delphi process, where data was analysed both qualitatively and quantitatively. Findings—The findings from the study revealed the ideal competencies and qualities of individual directors, the optimal collective competencies of directors, and the most appropriate screening and evaluation methods that could be adopted to benefit SOCs. Originality/value—This paper adds to the limited studies investigating the competencies and qualities of directors in SOCs, as most research is focused on listed private companies. Furthermore, there is currently no framework in South Africa that outlines the process for screening and evaluating the competencies and qualities of directors in South Africa’s SOCs. In an effort to support the South African government screen and evaluate the key competencies and qualities of directors in state-owned companies, this team has developed a theoretically informed framework that can be used to screen potential board members’ abilities and capabilities before they are appointed as well as to evaluate the relevance of existing board members.

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