Stay out of day-to-day management – President Mahama tells SOE Boards

President John Dramani Mahama has cautioned State-Owned Enterprise (SOE) board chairpersons against micromanaging their respective institutions. In his address at the Governing Board and CEOs Conference in Accra, Mahama emphasized that the role of boards is not ceremonial but pivotal in providing strategic direction for public institutions.

He urged boards to focus on strengthening risk oversight, ensuring financial integrity, and evaluating institutional performance, while maintaining accountability for agreed targets. Mahama clarified that governance responsibilities should be exercised without intervention in the daily operations of the organizations. He emphasized, "Boards govern and management manages," stressing the distinction between the two roles.

Turning to chief executives, Mahama reminded them that executive authority entails measurable responsibility to deliver results. He challenged every CEO to demonstrate the added value their institution brings annually, which could be reflected in profitability, job creation, improved services, infrastructure, or increased national capacity.

Mahama noted that some SOEs have faced persistent losses, mounting liabilities, weak returns, and dependency on government support. He warned that leadership positions must be directly tied to performance and value creation, with strong performance being recognized and persistent underperformance attracting corrective measures, including possible leadership changes.

The President urged boards and CEOs to uphold principles of merit, integrity, and accountability, stressing that public institutions should be managed in the national interest.