Business ethics and corporate governance: An African socio-cultural framework

Abstract

Lately, there have been various discussions about the values of the African Ubuntu philosophy in many aspects as it relates to issues of human relationships, business ethics and corporate governance. As a governing philosophy, the Ubuntu is inclusive in nature as it considers all members of the community (organisation) as one entity aiming at achieving one purpose. There have been assertions that the ultimate success of any organisation operating in an African environment is premised on this Ubuntu framework. This study aimed at establishing corporate governance approach as practiced by organisations within an African context. Thus, this paper analyses and reports on research findings pertaining to issues of general business ethics and corporate governance approaches within an African context. The study results show that Africa’s socio-cultural framework that is premised on the Ubuntu philosophy resonates with general principles surrounding business ethics and corporate governance. Central to the findings is the revelation that Africa’s socio-cultural framework has a direct impact on business ethics, corporate governance approaches and overall corporate performance of organisations operating in Africa. It is expected that the study findings will influence organisations in Africa to adhere strictly to the provisions and recommendations of the new King III report on good corporate governance.