LETTERS: Risk management key corporate governance tool

The documentation and rollout of the Mwongozo Code of Governance for State Corporations (“Mwongozo”) in 2015 was a key milestone by the Public Service Commission (PSC) and the State Corporations Advisory Committee (SCAC) in the endeavor of creating strong governance frameworks.

The Mwongozo is a pivotal document that can foster a positive momentum in the quality of corporate governance if it is diligently implemented by the Boards in state corporations.

The document provides important guidance on transparency and disclosures, accountability, risk management and internal control, ethical leadership and corporate citizenship, compliance with laws and regulations, among others.

There have been disturbing organizational failures both locally and at the global stage. The recent failures of the Lehman Brothers, WorldCom, Barrings Bank and Enron are all attributable to failures in corporate governance.

In Kenya, there have been failures both at the public and private sectors mainly due…