Last week, I read an article about how Japanese corporate giants like Toyota and Panasonic are undertaking deep governance reforms in response to shifting stakeholder expectations and global best practices. These reforms include reducing board sizes, bringing in more independent directors, and leveraging technology to enable robust board evaluations and oversight. It got me thinking: if even the most mature markets are grappling with the complexities of modern governance, how are boards in emerging markets, particularly here in Africa, responding? More importantly, how can technology help them rise to the occasion?
In Zimbabwe, this is not a theoretical conversation. In January 2025, Tongaat Hulett Zimbabwe, one of the largest employers in the country, announced it would lay off over 1,000 workers due to soaring input costs, currency instability, and persistent economic headwinds. While the public narrative focused on the economic rationale, the governance questions are equally pressing. How are boards preparing their organisations for such volatility? Are they equipped to make decisions that balance short-term survival with long-term sustainability? The Tongaat Hulett case, like many others across the continent, is a stark reminder of why modern governance is no longer optional.
Boards today are navigating an environment that is as complex as it is unforgiving. In addition to traditional oversight duties, directors must respond to the increasing demands of sustainability, digitalisation, regulatory compliance, and shifting stakeholder expectations. The need for agile, informed, and forward-thinking governance has never been greater. And technology is at the centre of this evolution.
The Evolving Landscape of Corporate Governance – Global Lessons, Local Realities
Corporate governance in the 21st century extends far beyond fiduciary responsibility. In Zimbabwe and across Africa, boards everyday deal with a range of issues—from geopolitical instability and economic volatility to climate change and digital disruption. For Zimbabwean state-owned enterprises (SOEs), the stakes are even higher. Persistent governance failures in thse entities have been linked to poor oversight, a lack of accountability, and an absence of transparency. These examples are symptomatic of broader governance challenges facing both public and private sector boards.
The Organisation for Economic Co-operation and Development (OECD) has long advocated for strong governance as a cornerstone of sustainable economic growth. Closer to home, Zimbabwe’s National Code on Corporate Governance (ZIMCODE) seeks to instil governance discipline, but compliance is uneven. While governance codes and regulatory frameworks provide the foundation, technology offers the practical tools for boards to modernise and enforce governance rigorously.
The Imperative for New Skills on the Board
One of the most critical gaps on many African boards is the absence of digital and technological literacy. The demands of modern governance require directors who understand artificial intelligence, data analytics, cybersecurity, and ESG performance management.
The World Economic Forum (WEF) suggests that boards must evolve to include technology-fluent directors who can ask the right questions and challenge management in areas that were once considered too technical. In Zimbabwe, the lag in digital skills on boards has hindered many organisations from fully embracing digital transformation. Without this capability, boards are ill-equipped to navigate critical issues like data governance, digital risk, and cyber resilience.
Boards taking proactive steps to upskill themselves are better positioned to steer their organisations through uncertainty. Technology, when understood and embraced by leadership, becomes a competitive advantage rather than an operational burden.
Technology as a Catalyst for Good Governance
Technology is not just a facilitator—it is a catalyst for stronger governance outcomes. Whether it’s streamlining board processes, improving transparency, or enabling real-time oversight, technology empowers boards to do more and do it better.
1. Streamlining Governance Processes
Traditional governance practices, often reliant on cumbersome paperwork and siloed information flows, are no longer fit for purpose. Digital board portals, such as those provided by modern governance platforms, allow directors to access meeting materials securely from any location, approve resolutions electronically, and collaborate in real time. In markets like Zimbabwe, where infrastructure challenges persist, virtual meetings and cloud-based governance platforms offer solutions that enable inclusivity and efficiency.
2. Enabling Real-Time ESG Oversight
Environmental, Social, and Governance (ESG) issues are now central to boardroom conversations. Investors, regulators, and consumers alike expect organisations to demonstrate measurable commitments to sustainability. Boards are responsible for ensuring ESG priorities are integrated into strategy and operations.
Technology enables boards to monitor ESG data in real time, through dashboards and data-driven analytics. For example, Internet of Things (IoT) devices can provide environmental impact data, while automated reporting platforms ensure compliance with frameworks like the Global Reporting Initiative (GRI) and the UN Sustainable Development Goals (SDGs).
Closer to home, the mining sector in Zimbabwe, a major driver of economic activity, is under increasing scrutiny for its environmental and social practices. Boards that leverage technology to ensure transparent ESG reporting not only mitigate risks but also enhance trust with stakeholders and international investors.
Cybersecurity as a Governance Priority
As boards digitise their operations, cybersecurity becomes a fundamental governance issue. Both the Institute of Directors Zimbabwe and the Institute of Corporate Directors have identified cybersecurity as one of the most significant risks boards face today. In Zimbabwe, cyber threats have increased, with organisations experiencing data breaches and system vulnerabilities.
Boards must play an active role in overseeing cybersecurity frameworks and ensuring that management has implemented robust risk management strategies. Technology solutions like encrypted communications, multi-factor authentication, and compliance with data protection laws (such as GDPR for multinationals) are essential components of a modern governance toolkit.
Leveraging Data for Better Decision-Making
Data is the new oil but only if it is used effectively. Boards need accurate, timely data to inform their decision-making. Big data analytics can help directors identify risks, monitor performance, and evaluate strategic opportunities. In industries like agriculture and manufacturing cornerstones of Zimbabwe’s economy data-driven insights can enhance supply chain efficiency, manage costs, and forecast market trends.
Boards must ensure that their organisations have the tools and talent to collect, analyse, and act on data. At Mugonat Systems, we have seen firsthand how data analytics platforms are helping boards make more informed decisions that align with both shareholder expectations and broader societal interests.
Aligning with Global Standards and Regulatory Expectations
The global governance landscape is shifting towards more stringent oversight. Regulatory bodies are stepping up. The International Financial Reporting Standards (IFRS) Sustainability Standards, and frameworks like the Task Force on Climate-related Financial Disclosures (TCFD) are setting the tone for international best practices.
Zimbabwean boards must align with these global standards, both to ensure regulatory compliance and to attract global capital. Technology can help automate compliance reporting, provide audit trails, and improve disclosure accuracy, aligning local practices with international expectations.
Conclusion: Embracing the Future of Governance
The challenges facing modern boards are complex—but they are not insurmountable. Technology offers a powerful pathway to modernise governance structures, enhance transparency, and build resilience. Boards that fail to adapt risk falling behind, while those that embrace technology can position their organisations for sustainable success.
At Mugonat Systems, we are committed to supporting boards in Zimbabwe and beyond to leverage technology for governance excellence. Whether through secure digital platforms, data analytics solutions, or ESG monitoring tools, we empower directors to lead confidently in this era of rapid change.
The future of corporate governance in Africa will be defined by those who embrace innovation, prioritise sustainability, and lead with purpose—and technology is the catalyst that will get us there.
Footnote:
Mugonat Systems is a leading digital transformation consultancy and software development firm with vested interests and expertise across multiple industries. Having delivered over 400 multisectoral projects, we can confidently say that by building custom software, we have come to understand the majority of the market’s pain points—most of which we’ve been solving over the last decade. Our solutions are tailored, innovative, and designed to equip organisations with the tools they need to thrive in a competitive landscape.
