Page 47 - 2022 IRMSA Risk Report
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South Africa Top Risks




                                                 EXPERT OPINION

















          Cynthia Stimpel                      Prof. Deon Rossouw                   Michael Davies
          Author, Whistle-blower and           CEO, The Ethics Institute            Co-opted to IRMSA Risk
          Motivational Speaker                                                      Intelligence Committee

          Whilst the portfolio committee has been presented   Ài«œÀÌi` V>Ãið /œ Ài“i`Þ Ì…ˆÃ] œÀ}>˜ˆÃ>̈œ˜Ã ŜՏ`
          ܈̅ > «>˜ ̜ ÃÌi« Õ« Vœ˜ÛˆV̈œ˜Ã] >VVœÕ˜Ì>LˆˆÌÞ ˆÃ Ã̈   >ÃÃiÃà ̅iˆÀ i̅ˆVà ÀˆÃް 菏 ̜œ œvÌi˜] i>`iÀà …>Ûi ̅i
          not spoken about enough at every level. There should   misconception that they know what is going on at all
          be an increased awareness of citizens that are doing   iÛiÃ œv ̅i œÀ}>˜ˆÃ>̈œ˜ ܅i˜] ˆ˜ v>VÌ] ̅iÞ `œ ˜œÌ°
          }œœ` ܜÀŽ q ̅ˆ˜Ž ̅i  ˆvÌ œv ̅i  ˆÛiÀà  œÕ˜`>̈œ˜]    œ>À`ý -œVˆ> >˜`  ̅ˆVà  œ““ˆÌÌiià …>Ûi ̅i «œÜiÀ
          Corruption Watch and OUTA. If there is a shift to more   to identify inadequacies at a systemic and systems
          i̅ˆV>  Li…>ۈœÕÀ  ÀiÃՏ̈˜}  ˆ˜  viÜiÀ  «ÀœÃiVṎœ˜Ã]   level. Leaders of business and the political world
          there is the possibility to channel those funds currently   need to build strong ethical cultures and set the right
          «>ˆ` vœÀ i}> ÃiÀۈVià vœÀ LiÌÌiÀ ÕÃi ̜Ü>À`à …œÃ«ˆÌ>Ã]   ̜˜i >Ì Ì…i ̜«°  À>`ˆV>̈œ˜ œv «œœÀ i}> «Àˆ˜Vˆ«iÃ
          education and municipal services.                   will assist citizens in having fair access to services and
                                                              participating in all economic activity.
          Organisations with strong moral and legal principles
          are those that create awareness. These organisations   "ÛiÀ>] VœÀÀի̈œ˜ ˆÃ ˜iˆÌ…iÀ }iÌ̈˜} LiÌÌiÀ œÀ ܜÀÃi]
          train people and include ethical behaviour criteria in   and appears to have been arrested at this stage as a
          their performance-management systems. The ethical   ÀiÃÕÌ œv ̅i -Ì>Ìi  >«ÌÕÀi  ˜µÕˆÀÞ°  œÀi ÀiVi˜ÌÞ] ̅i
          behaviour score may even override other bonus criteria.   >i}i`  Ã>LœÌ>}i  >Ì   Μ“  LÞ  ˆ˜ÌiÀ˜>  >˜`  iÝÌiÀ˜>
          -" à  >Ài  ˆ“«ÀœÛˆ˜}  ̅iˆÀ  Li…>ۈœÕÀ  LÞ  >ÃÃiÃȘ}   parties has received a lot of media attention due
          their ethics risks and adopting measurements within   to the intermittent increase in loadshedding. The
          their ethical culture. It requires strong leadership to   outcome of this year’s local government elections and
          VœÀÀiVÌ ˆÃÃÕià ˆ˜ ̅i «ÕLˆV ÃiV̜À] ̅ˆÃ LiV>ÕÃi œv ̅i   dwindling support for the ANC may well increase the
          current low staff morale and political interference. An   pressure on improving the current moral and legal
          improvement in overall ethical behaviour by the public   ÈÌÕ>̈œ˜ ˆ˜ -č° /…i œ˜}iÀ‡ÌiÀ“ ۈiÜ ˆÃ “œÀi «œÃˆÌˆÛi]
          sector will lead to the restoration of pride amongst   >à  ̅i  VÕÀÀi˜Ì  À>`ˆV>  ÀivœÀ“  yœÜˆ˜}  ̅ÀœÕ}…  ̅i
          civil servants.                                      >̈œ˜> *ÀœÃiVṎ˜} č}i˜VÞ]  >܎à >˜` -č,- q ܈̅
                                                              the appointment of key people in critical positions –
          Whistleblowing has largely failed as a mechanism to   should drive an ethical principle resurgence.
          Ã̜«  VœÀÀÕ«Ì]  VÀˆ“ˆ˜>  œÀ  vÀ>Õ`Տi˜Ì  >V̈ۈ̈ið  /…iÀi
          >Ài ÃiÛiÀ> Ài>Ü˜Ã Ü…Þ ˆÌ ˆÃ v>ˆˆ˜}° /…i wÀÃÌ ˆÃ ̅>Ì   A general misconception is that the issue can be
          iÃà  ̅>˜  x¯  œv  «iœ«i  Ài«œÀÌ  VœÀÀÕ«Ì]  VÀˆ“ˆ˜>  œÀ   corrected by punitive measures and compliance
          fraudulent activities through formal whistleblowing   «Àœ}À>““ià >œ˜i°  ̅ˆV> œÀ}>˜ˆÃ>̈œ˜Ã >Ài ˜œÌ LՈÌ
          “iV…>˜ˆÃ“ð   œÃÌ  i“«œÞiià  Ài«œÀÌ  ÃÕëiVÌi`     by focusing on what you don’t want. Focus should
          “ˆÃVœ˜`ÕVÌ `ˆÀiVÌÞ Ìœ ̅iˆÀ ÃÕ«iÀۈÜÀà œÀ “>˜>}iÀÃ]   rather be on what you do want. This is the difference
          who frequently are not competent to deal with it (or   between a competent and a corruption-free state.
          Vœ“«ˆVˆÌ ˆ˜ ܓi V>Ãiî] ̅Õà ÀiÃՏ̈˜} ˆ˜ > ÃiÛiÀiÞ    >ÌÕÀi]  ÃÌÀœ˜}  i̅ˆV>  VՏÌÕÀià  >Ài  ˜œÌ  }ÀœÜ˜
          ˜i}>̈Ûi  œÕÌVœ“i  vœÀ  >°  čÃœ]  >à  ˆÕÃÌÀ>Ìi`  LÞ  ̅i   overnight.
          “i`ˆ>] ܅ˆÃ̏i‡LœÜiÀà “>Þ ˜œÌ vii Ã>vi] ܅ˆV… ˆÃ ̅i˜   It is about doing the right thing even when nobody is
          iÝ>ViÀL>Ìi` LÞ Ì…i v>VÌ Ì…>Ì ˜œÌ…ˆ˜} …>««i˜Ã ˆ˜ “œÃÌ
                                                              watching!









                                                                  IRMSA RISK REPORT • SOUTH AFRICA RISKS • EIGHTH EDITION  45
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