1. GOVERNANCE OF CHURCH HEALTH FACILITIES; CHALLENGES AND CAPACITY BUILDING STRATIGIES BY CHAM SPEKE RESORT, MUNYONYO, KAMPALA, UGANDA, 25 FEBRUARY 2009 Francis Gondwe, ED, CHAM 1

2. STREAMS OF DISCUSSION Governance defined Principles of good corporate governance Challenges faced by CHAM Units Board members – the don’ts Strategies employed by CHAM Conclusion 2

3. Governance defined The system of checks and balances designed to ensure that corporate managers are just as vigilant on behalf of the owners value as they would be if it was their own money at risk. Refers to how companies are governed/controlled Deals with issues of accountability and fiduciary duty Good corporate governance is effective and efficient 3

4. Effective leadership Effective leaders create results, attain goals, realize vision, and other objectives more quickly and at a higher level of quality than ineffective leaders. Effective leaders generate higher productivity, lower costs, and more opportunities than ineffective leaders 4

5. Principles of Good Corporate Governance To avoid conflicts of interest, a company's board of directors should include a substantial majority of independent directors-independent meaning that directors don't have financial or close personal ties to the company or its executives.. A company's audit committee should consist entirely of independent directors. A board should obtain shareholder approval for any actions that could significantly affect the relationship between the board and shareholders 5

6. Challenges faced by CHAM Units re Governance Unclear roles and responsibilities of the board, management and proprietors Decision making process slow No health boards Composition of the boards (no right mix of skills) No code of conduct for the board Linkage between Board and Proprietors Roles of go betweens/agencies Ownership of the Units/supervision of units 6

7. Leadership problems Unqualified leaders? Lack of knowledge of good principles of good corporate governance? Leaders who are not visionary? Not knowing what to do? Lack of information and therefore decisions made are not based on facts/evidence? 7

8. Appointment of Board members Appointed by the Proprietors in recognition of status individuals hold in society Appointment shows trust that Proprietor has in people appointed. Term of office is normally three years but may vary it is only proper that board members live up to the expectations enshrined in this trust In absence of any agreement Proprietor has right to terminate membership 8

9. What Board members should not do Interfere in day to day affairs of the Units Disciplining of staff Gossip with junior members of staff Threaten staff, senior of junior with dismissal or disciplinary action Business dealings with the Units – declare interest and ensure transactions are at arms length 9

10. What Board members should not do 2 Demand privileges especially reserved for members of staff sit back when one Board member is doing wrong things Disclose confidential information to people who are not entitled to receive such information Speak on behalf of the organisation 10

11. Qualities of board members Readily available/time commitment Easily accessible via telephone, e-mail etc Morally upright and good standing in society Professionally qualified – lawyer, accountant, medical doctor, nurse, clergy, engineer, teacher, public affairs, Architect, etc – mix of skills Financially sound Experienced Knowledgeable Minimum educational qualifications???? 11

12. Strategies to overcome challenges Corporate governance trainings Establishment of health boards and committees Board code of conduct Introduction of SOP Guidelines for selecting/appointing board members, composition of the board, qualifications of members. 12

13. Conclusion Good corporate governance is a challenge in most CHAM Units As a result we have seen a number of industrial unrests in the units Appointment of board members, mix of skills in the boards and content of board papers can be improved CHA’s have a role to play in ensuring that good corporate governance is enhanced and therefore transparency and accountability improved. 13