“Women make up 51.2% of the population. But, they only make up 20.7% of board members in companies listed on the Johannesburg Stock Exchange.”
“Over 80% of women directors are non-executive directors. The absence of female executive directors indicates that there are not enough female senior managers in South African companies.”
The quotes above are from the document, “Women on South African boards – facts, fiction and forward thinking”, published by the University of Stellenbosch’s Business School.
In this blog post, you will explore the concepts above through “a South African female non-executive director’s journey from zero to 6+ board appointments in JSE-listed companies”.
First things first, what exactly is a non-executive director? Here’s a quick explanation adapted from RSM.
What is a non-executive director?
- Non-executive directors are members of a board of an organisation.
- They play an important role in providing independent and objective judgement on issues facing a company.
- They contribute to the development of organizational strategies and monitor the activities of executive directors (e.g. chief executive directors, chief financial directors and chief marketing directors).
- A non-executive director’s remuneration is referred to as directors fees.
Note: Non-executive directors are not employees. Thus, they are not involved in the day-to-day operations of the company. Moreover, they do not receive a salary.
Here is a review of a female non-executive director’s board appointments in South Africa, including the director’s fees paid to her over the years.
Dr Judy Dlamini’s Career as a Non-Executive Director in South Africa
Dr Judy Dlamini is a successful business woman in South Africa and she has served on many boards as an independent non-executive director. If you’ve never heard of her, you can read her profile here.
After completing her MBA in 1999, Dr Judy Dlamini served as a non-executive director at various organisations, including Northam Platinum (9 years), Gijima (5 years) and Aspen (10 years). Her board appointments and investments have helped her to increase her net worth over time.
Dr Judy Dlamini’s net worth was estimated at R124 million in 2012.
Dr Judy Dlamni was a non-executive director at Northam Platinum for nine years
In November 2004, Northam Platinum appointed Dr Judy Dlamini as a non-executive director, a position she resigned from on 30 September 2013. She served as a director for nine years at Northam Platinum.
Her director’s fees ranged from R79,000 to R512,000 per annum.
Dr Judy Dlamni was a non-executive director at Gijima AST Group Limited for five years
In 2005, Northam Platinum appointed Dr Judy Dlamini as a non-executive director, a position she resigned from on 31 August 2010. She was a member of the transformation committee and chairperson of the nomination committee. She also guided the establishment of the Gijima Woman Forum.
Her director’s fees at Gijima ranged from R5,000 to R239,000 per annum.
Dr Judy Dlamni was a non-executive director and chairman at Aspen Pharmacare Limited about ten years
In July 2005, Aspen Pharmacare Limited (“Aspen”) appointed Dr Judy Dlamini to its board of director after a R376.8m investment into Aspen from Imithi Investments (Pty) Limited, a company where Judy Dlamini was a shareholder and non-executive director. She played an important role in the creation of Imithi Investment and led the negotiating team through the Aspen investment.
Imithi Investments (Pty) Limited was a grouping of various black economic empowerment (BEE) entities, which included a subsidiary of CEPPWAWU Investments, owned by the CEPPWAWU Development Trust. The trust is part of the Chemical, Energy, Paper, Printing, Wood and Allied Workers Union (CEPPWAWU).
“I am humbled to have this wonderful opportunity [as chairman of the board at Aspen] to advance the position of black women in corporate South Africa.” – Dr Judy Dlamini
She spent a decade at Aspen, before resigning from her positions as chairman and director in December 2015. During her tenure as chairman, she was also a member of the remuneration & nomination and social & ethics committees. According to Aspen, Judy Dlamini’s extensive experience in areas like as socio-economic development and the healthcare industry was beneficial to Aspen during her ten-year tenure.
Her director’s fees ranged from R190,000 to R922,000.
|Years||Director’s Fees |
Dr Judy Dlamni was a non-executive director at Discovery Holdings
Discovery Holdings appointed Dr Judy Dlamini as an independent non-executive director, a position she resigned from on 30 November 2008. She served as a member and chairman of the remuneration committee and as chairman of the transformation committee.
Her director’s fees ranged from R166,000 to R312,000 per year.
Dr Judy Dlamni was a non-executive director in South Africa at Woolworths Holdings for about a year
In July 2007, Woolworths Holdings appointed Dr Judy Dlamini as an independent non-executive director, a position she resigned from on 31 July 2008.
She was paid R125,000 per annum in director’s fees.
Dr Judy Dlamni was a non-executive director in South Africa at Anglo American for about two years
In 2014, Anglo American appointed Dr Judy Dlamini as a non-executive director, a position she resigned from on 30 August 2016.
Her director’s fees at Anglo American were R1,839,744 per year.
|2014||£80, 000 |
|2015||£80, 000 |
|2016||£80, 000 |