A recent\u00a0study published by Nelson Mandela Metropolitan University’s Business School examined conscious corporate governance in South Africa and revealed that the country’s bosses have a tough choice between\u00a0creating a friendly work environment and making money.<\/p>\n
The results were\u00a0based on a sample of 371 senior executives from 167 JSE-listed, and 54 unlisted companies in South Africa who participated in a study focused on the role of conscious leadership in the achievement of sustainable business practices.<\/p>\n
\u201cConscious leadership is a powerful but relatively new and understudied area in leadership studies. It is a form of leadership which draws on holism, creativity and inspiration to allow companies to solve business issues in a more ethical way through increased leadership consciousness,\u201d said Professor Cecil Arnold, Graduate School Director at NMMU Business School.<\/p>\n
\u201cIt differs from traditional leadership where leaders manage their firms through authority structures and relationships through the use of force, intimidation, manipulation and political-power relationships.”<\/p>\n
“Conscious leadership, employs inspiration, evocation of greatness, mutual trust and truth-telling where leaders have strong levels of trust in themselves and in their followers,” said Arnold.<\/p>\n
According to the study’s findings,\u00a0conscious corporate governance was positively related to healthy employee relations<\/strong> and the achievement of equal opportunities and workforce diversity. However, the study also found that conscious corporate governance was also directly negatively related to profitability<\/strong>.<\/p>\n While these traditional roles of leadership still exist across the world and South Africa, Arnold noted that they were becoming increasingly unsustainable.<\/p>\n “The expense of employee relations, and the achievement of equal opportunities and workforce diversity, meant not leading consciously was\u00a0not a viable option in any firm – especially in a South African context,” he said.<\/p>\n
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