Thesis (M.COM. (Accounting)) -- University of Limpopo, 2019 / This study examines the effect of board characteristics on environmental and social sustainability performance. Companies‟ sustainability performance is affected by many factors such as board composition of companies, lack of knowledge, policies and resources of companies, competition from other companies and market trends. The King IV Code of Corporate Governance recommends that the governing body should comprise a balance of diversity being race and gender and independence. Moreover, the Code states that the board of directors of companies should have a balance of both independent members and non-independent members who should act in the best interest of the companies. The study used a quantitative approach, and secondary data from Johannesburg Stock Exchange (JSE), Socially Responsible Index (SRI) listed banking and retail companies for 11 years from 2007-2017. The study tests the relationship between board characteristics (the number of females on board of directors); firm size (market capitalisation); board independence; and environmental (energy usage) and social (skills development expenditure) sustainability of JSE SRI listed firms. Results show that there is a negative and insignificant relationship between females on board and energy usage. A positive and a significant relationship between energy usage and board independence a positive and an insignificant relationship between firm size (market capitalisation) and energy usage. There is also a positive but an insignificant relationship between skills development expenditure and female board members and a positive and significant relationship between skills development expenditure and board independence and a positive and an insignificant relationship between skills development and firm size (market capitalisation). The study suggests that for companies improve their sustainable business practices; they should consider increasing the number of v | P a ge females on their board since they have a positive influence on sustainability performance. / Risk and Vulnerability Science Centre of the University of Limpopo

Thesis M.COM. (Accounting)) -- University of Limpopo, 2019 / The apparent weaknesses in corporate governance of state-owned enterprises and poor audit reports have heightened the concern of investors and the state as the major shareholder of these enterprises returns. Audit committees as a mechanism for good corporate governance plays a major role in enterprise performance. These state-owned enterprises play a vital role in the economy of South Africa. This study examines the effect of audit committee composition (independence, gender diversity, financial expertise and size) on financial performance measured by return on assets using major state-owned enterprises listed on Schedule 2 of PFMA. The results show that the audit committee size, gender diversity and financial expertise has an insignificant positive relationship with ROA, whereas the independence of audit committee members has an insignificant negative association. The result of the study may be beneficial to various stakeholders and boards of enterprises to make some proper decisions on audit committee composition to attract more investors and at the same time safeguarding the investments of shareholders.

A research report submitted to the Faculty of Engineering and the Built Environment, University of the Witwatersrand, Johannesburg, in partial fulfilment of the requirements for the degree of Master of Science in Engineering, 2016 / The purpose of this research is to identify and outline the sustainable funding models for BEE transactions in the South African mining industry. It is proposed that from the early 2000s to 2014 the sustainability of BEE funding models was driven by regulatory pressure. In the absence of regulatory pressure, there would be a need to develop alternative funding models. The study uses a quantitative research methodology by examining the frequency of use of various funding models, the impact of regulatory interventions and use of various funding sources on the sustainability of funding models, regression analysis and significance testing. The research results show that the percentage of third party finance in funding structures has a negative correlation with the success of BEE transactions. Vendor finance shows a positive correlation with the sustainability of transactions, more so above 60% in the funding structures. Equity finance has a positive impact on the success of transactions from as low as 20% in the funding structures. An ideal funding structure would consist of the following funding sources:  Third party: Vendor: Equity = 40%: 20%: 40%, in the case of a BEE company that has equity available and  Third party: Vendor = <40%: > 60%, where no equity is available to BEE entrepreneurs. In the absence of BEE laws third party finance will dominate funding of empowerment transactions. Funding models based on third party finance must rely more on cash flow based payments rather than dividend payments to service debt.

Text in English / This study explores the phenomenon of auditor switching. The purpose of this study is to further contribute to the auditor switching literature by examining the reasons client companies in South Africa switch auditors, where the topic has not previously been studied and following a period of rapid and significant change in the auditing profession. Using previous literature as a foundation, forty-four variables that contribute to auditor switching are presented and tested based on empirical data elicited by means of a questionnaire survey of sample companies that experienced auditor switching during the period 1 January 1998 to 30 June 1999 as obtained from Practitioners in the KwaZulu-Natal Region. The factors motivating auditor switching were based on a questionnaire response of seventy-five companies (response rate 67% ). The empirical study also tested whether or not the switch variables thus identified are statistically related to auditor switching. The findings of this study revealed that audit fees are both the most frequently cited reason for switching auditors and found to be statistically significant at the 0.05 level of significance. Dissatisfaction over the overall quality of services provided by the auditor, lack of communication including the lack of responsiveness to client needs, poor working relationship with audit partner followed as switch factors but were not found to be statistically significant at 0. 05 level. The findings of this study revealed that two other variables, namely, management change and the need for group auditor rationalisation, appear to be significantly related to auditor switching at the 0.05 1evel of significance. / Auditing / M. Comm. (Auditing)

Existing literature and theories related to the separation of ownership and control and its impact on companies' financial performance, including dividend payment have left this subject in state of ambiguity and uncleamess, with various contradictions and inconsistencies being noted. In order to establish whether there is a significant difference in financial performance between owner-controlled and management-controlled companies in South Africa, as a result of the separation of ownership and control, this study has used appropriate mathematical and statistical methods for data processing and analysis. Results obtained from the study have revealed the existence of a significant difference in financial performance between owner-controlled and management-controlled companies in South Africa, as measured in terms of profitability, asset management, liquidity, leverage and dividend payment. The analysis has indicated that management-controlled companies have been more efficient, more mature financially and paying higher dividends, out of earnings available to shareholders, than their owner-controlled counterparts. / Business Management / M. Comm. (Business Management)

Effective corporate governance of boards can become a sustainable competitive advantage for organisations. In the extant literature a number of reasons are cited for dysfunctional boards. Some of the reasons attributed to board failure relate to poor corporate governance, practice and oversight. Some of the reasons for board failure pertain to micromanaging of the organisation, an ineffective nominating committee, size of the board, non-functioning committee structure, absence of strategic plan, no orientation\induction plan and no rotational plan. Poor governance practises across all sectors has negatively tainted economic investment in South Africa consequentially affecting economic growth. Below South Africa’s competitive rating slipped from (52nd) in 2012-2013 to 53rd in 2013-2014 rating is given to show that marked improvement is needed in corporate governance. South Africa’s rating in the Corruption Perceptions Index for 2012 was 43 and slipped to position 69 amongst 176 countries for the Corruption Perception Index, 2013. The trend analysis report of the Public Service Commission reported that In 2006/7, there were 1 042 cases of corruption, amounting to R130.6-million; in 2007/8, there were 868 cases, amounting to R21.7-million; in 2008/9, there were 1 204 cases, amounting to R100.1-million; in 2009/10, there were 1 135 cases, amounting to R346.5-million; in 2010/11, there were 1 035 cases, amounting to R932.3-million; in 2011/12, there were 1 243 cases, amounting to R229.9-million. Good governance frameworks, policies, procedures, processes and practices attract foreign direct investments. Better governance practices are critical for improved economic growth and development that will result in an improvement in the South Africa’s competitiveness and corruption perception index ratings. South Africa’s continued economic growth and development is dependent on attracting foreign direct investment. From 1994 corporate governance regimes were promulgated. Although there are a collection of corporate governance codes and guidelines that have been published, few specifically cover governance practices in public entities. Moreover, with better governance practices state-owned enterprises can significantly contribute to the economic transformation and development in South Africa. The purpose of the study is to establish that improved governance is a function of board structure and board process variables. With the presence of structural and process variables board activism will improve resulting in board decision quality. Independent directors without no conflict of interest, the requisite industry expertise and intelligence (functional area knowledge), the information to make decisions are adequate, accurate and timely (information quality), directors exert the needed effort (effort norms), directors robustly explore all dimensions and options (cognitive conflict) and the board functions optimally (cohesiveness) influence board decision quality. Boards which are configured optimally are able to execute their fiduciary responsibility optimally. In 2012 a budget of R845.5 billion was provisioned for infrastructural development to boost economic development. This budget allocation must be prudently and frugally managed in accordance with good governance practises to achieve economic development. In particular South Africa has to improve its competitiveness rating and corruption perception index to attract investments and continual growth. In terms of the research design, to address the research questions, a mixed research approach was selected for the study. The phenomenological (qualitative) and positivist (quantitative) philosophical paradigms were adopted with the purpose to obtain a greater understanding of board decision quality in the Public Entities in South Africa. The data collection instruments used in the study was in-depth interviews, focus group interviews and administration of a survey. The population for the qualitative research was 19 in-depth interviews and two focus group interviews. For the quantitative study a population of 215 public entity board members were selected for the study. A total of 104 board members of Public Entities completed the survey for the study. In relation to data analysis for the qualitative study Tesch’s coding, thematic analysis was used to analyse the in-depth and focus group interviews. For the quantitative study, SPSS was used to analyse responses from the surveys. The hypothesis was tested using inferential statistics, namely, factor analysis and multiple regression was used.. The findings generated from the first phase, the qualitative study that provided support for the positive relationship between board structure, board process variables and board decision quality. The following five variables are incorporated in a model that seeks to identify the strongest predictor of board decision quality: (1) board independence, (2) effort norms, (3) functional area knowledge and skill, (4) cognitive conflict and (5) information quality. The findings show that information quality is the strongest predictor of board decision quality followed by expert knowledge and skill. As expected, expert knowledge does not only increase the cognitive capacity of the board, but it also positively affects company competitiveness. The findings also show that cognitive conflict has a negative association with decision quality. The study argues that political influence exerted by board political appointees may explain the negative relationship between cognitive conflict and board decision quality. The major contribution of this study is that it provides a 28-item instrument that can be used practically by public entity boards in the reflective process to improve board decision quality. The study concludes by offering avenues for further research. The model suggests that board decision quality is a product of board structure (board independence), board process (functional area knowledge, information quality, and cognitive conflict and effort norms). / Business Management / D.B.L.

Thesis (MBA (Business Management))--University of Stellenbosch, 2009. / ENGLISH ABSTRACT: The King II Report on Corporate Governance reported that the 19th Century saw the foundations laid for modern corporations, this was the century of the entrepreneur. The 20th Century became the century of management and that the 21st Century promises to be a century of governance, as the focus swings to the legitimacy and the effectiveness of the wielding of power over corporate entities worldwide. South Africa has come a long way since the companies reform project was formally launched in 2004 when the Department of Trade and Industry published the guidelines for corporate law reform in South Africa. Most critics believe that the new Companies Act is long overdue and will contribute to South Africa’s economic growth and align us with international standards and practices. The aim of this research report is to educate directors and potential directors on the most significant changes brought by the new Act and the responsibilities and liabilities of directors as set out in The King II Report. / AFRIKAANSE OPSOMMING: Volgens die King II Report is die fondasie vir moderne korporasies gedurende die 19de eeu gelê – die eeu van die entrepreneur. Die 20ste eeu het die eeu van bestuur geword, terwyl die 21ste eeu beloof om ‘n eeu van beheer te wees soos wat die fokus verskuif na die geldigheid en die effektiewe beheer van mag oor korporatiewe entiteite wêreldwyd. Suid-Afrika het ‘n lang pad gestap sedert die Maatskappye-hervormingsprojek formeel geloods is in 2004 met publikasie van die Departement van Handel en Nywerheid se riglyne oor korporatiewe regshervorming in Suid-Afrika. Die nuwe Maatskappye wet is lankverwag en meeste kritici glo dat dit sal bydra tot ekonomiese groei in Suid-Afrika en Suid-Afrika in lyn sal plaas met internasionale standaarde en praktyke. Die doel van hierdie navorsingsverslag is om direkteure en potensiele direkteure in te lig omtrent die mees noemenswaardige veranderinge wat deur die nuwe Maatskappye wet daargestel sal word asook die verantwoordelikhede en aanspreeklikheid van direkteure soos uiteengesit in die King II Report.

The aim of the study was to investigate the impact of the intersection of race, gender and social class on women leaders’ work experience and career progression in order to come up with strategies for gender transformation at leadership level in corporate South Africa. The problem statement of this research study concerns the indication in the annual report of the Commission for Employment Equity (Department of Labour 2012) that there is under-representation of women, especially African and Coloured women, at top management level relative to the economically active population. The Women Empowerment and Gender Equality Bill was published in the Government Gazette No. 37005 of 6 November 2013. This Bill aims to enforce compliance with the stipulated minimum representation of women at senior levels in both the private and public sectors. This study, with its objective of reaching an understanding of the impact of the intersection of race, gender and social class on women’s career progression, is therefore timeous. Getting the perspective of woman CEOs across race and class on how to transform gender at leadership level could add an important voice to transformation and could be of benefit to decision makers in business and in government. Based on this problem statement the following research questions were formulated: - To what extent does the intersection of race, social class and gender impact on women CEOs’ experience in their work roles and career progression? - How might an understanding of women leaders’ experiences in their roles assist with strategies to transform gender at leadership level in corporate South Africa? Qualitative research methodology was chosen as the appropriate methodology and grounded theory was employed. Purposive, snowball and theoretical sampling methods were used to identify fourteen participants (13 CEOs and one chairman).The life story method was employed for in-depth semi-structured interviews from which rich descriptive data was collected and which was analysed using grounded theory. Findings confirmed that the intersection of race, gender, age and class does have an impact on women’s career progression and their life experiences. The dominant social identity was race for blacks and gender whites; class and age were the overlay. In terms of strategies for gender transformation, first-order constructs from the participants were related to abstract second-order constructs from the literature, which led to the formulation of the WHEEL Theoretical Model. The theoretical model is an integration of different elements required for the formulation of strategies for gender transformation at leadership level. The different elements were women themselves; domestic and family support; the organisation; society and government. Despite some limitations that were encountered, the aim of the study was achieved by making a contribution not only to the development of theory related to strategies for gender transformation at leadership level, which other scholars can build from, but also to the gaining of insights into the intersection of multiple social identities and their impact which can be used by business leaders and policymakers to address inequalities in organisations. In addition, this research study made various recommendations for future research / Business Management / DBL

Abstract in English, Afrikaans and Zulu / This study is aimed at investigating the capital structures of the Johannesburg Stock Exchange listed South African IT firms and compare these to the capital structures of NASDAQ listed US IT firms in order to better understand the capital structures that JSE listed South African firms employ. The study made use of secondary data in the form of ratio analysis from public sources, as well as the published annual financial statements of the firms. The Generalised Method of Moments regression analysis technique was used in order to test the data for relationships between certain ratios. The study found positive relationships between the firm’s capital structure and its return on equity; meaning that firms should make use of their capital structures to maximise their return on equity and as a result, returns for its shareholders. / Hierdie studie is daarop gerig om die kapitaalstrukture van Suid-Afrikaanse IT-ondernemings wat op die Johannesburgse Aandelebeurs (JSE) genoteer is te ondersoek, en dit te vergelyk met die kapitaalstrukture van NASDAQ-genoteerde Amerikaanse IT-ondernemings ten einde die kapitaalstrukture wat JSE-genoteerde Suid-Afrikaanse ondernemings gebruik, beter te verstaan. Die studie het sekondêre data in die vorm van verhoudingsontleding uit openbare bronne, asook die gepubliseerde finansiële jaarstate van die ondernemings gebruik. Die Veralgemeende Metode van Momente-regressieanalisetegniek is gebruik ten einde die data vir verwantskappe tussen bepaalde verhoudings te toets. Die studie het positiewe verwantskappe tussen die ondernemings se kapitaalstruktuur en opbrengs op ekwiteit gevind; dit beteken dat ondernemings hul kapitaalstrukture behoort te gebruik om hul opbrengs op ekwiteit en gevolglik ook opbrengste vir hul aandeelhouers te maksimeer. / Lolu cwaningo kuhloswe ngalo ukuhlola izinhlaka ezifaka imali ezinkampanini zobuchwephese bamakhompuyutha ezisohlwini lwe-Johannesburg Stock Exchange (i-JSE), nokuziqhathanisa nezinhlaka ezifaka imali ezinkampanini zase-US zobuchwepheshe bekhompuyutha ezisohlwini lwe-NASDAQ ukuze kuqondakale kangcono izinhlaka ezifaka imali ezinkampanini zaseNingizimu Afrika ezisohlwini lwe-JSE. Lolu cwaningo lusebenzise imininingwane eqoqwe kweminye emayelana nokucwaningwa kwezinombolo etholakala emithonjeni evulelekile emalungwini omphakathi kanye nakwizitatimende zezezimali zonyaka zezinkampani. Kusetshenziswe indlela yokucwaninga ehlawumbiselayo ngokuqhathanisa ubudlelwano neyaziwa ngokuthi yi-Generalised Method of Moments, ukuze kuhlolwe imininingwane eveza ubudlelwano phakathi kwezinombolo ezithile. Ucwaningo luthole ubudlelwano obubonakalayo phakathi kwezinhlaka ezifaka imali enkampanini kanye nenzuzo yayo yamanani amasheya; okusho ukuthi izinkampani kumele zisebenzise izinhlaka zazo ezizifakela imali ukwandisa amathuba enzuzo yamanani amasheya okuyinto ezodala ukuba kuhlomule abanini-bamasheya. / Finance, Risk Management and Banking / M. Com. (Finance)

Development backlogs, in terms of unemployment and poverty, plague many developing countries. Countries have established and implemented various policies and plans to address these challenges. In response to these development backlogs, South Africa has instituted the notion of decentralisation and developmental local government, whereby local governments are largely responsible for initiating and facilitating development in the area under their jurisdiction. Furthermore, the potential role the private sector can play in development is being increasingly recognised by government, politicians, academics and developers alike. Uitenhage has a strong corporate presence and therefore this sector has the potential to contribute towards development in the town. However the concept of using corporate social responsibility (CSR) to promote development in South Africa is relatively new and, as will be revealed in the case study, definitions and underlying motivation for undertaking CSR vary. Local Economic Development (LED) and, more recently, CSR, have been recognised as major drivers of development and are being implemented throughout the country. As this thesis illustrates, they often merge and can work hand-in-hand to promote local development. Although the private sector, through CSR has the potential to contribute to development, they often do not have the available human resources to implement development initiatives. As is evident in the case study, partnerships between the private and public sectors often emerge as a result. Development institutions play a key role in development and often assist in bridging the gap between citizens, the state and the market. The development institutions in Uitenhage often act as instigators and facilitators on behalf of the larger corporations. The case study in Uitenhage, is a locality where there is a strong automotive industrial cluster and several major firms which are active in the development process. Furthermore, development institutions are committed to the socio-economic development of the town and the promotion of small micro medium enterprises (SMMEs), through various support services. The development institutions, often in partnership with the local government and the public sector, have initiated various local developmental projects in the town, of which three will be discussed in the case study. In this thesis, case study research reveals that corporations often do not meet their potential developmental role and their CSR actions are often considered as ‘window-dressing’ aimed at boosting their corporate image. Similarly, with regard to the development institutions, their development and job creation results look impressive at first glance, but further investigation reveals a collapse of a large number of projects. Despite the potential of LED and CSR to be major drivers of local development, there are still a number of hindering factors, which will be revealed in this thesis and lessons to be learnt which can help to inform future local development projects