Carolynn Chalmers is an internationally recognised governance and sustainability leader. She is CEO of the Good Governance Academy, strategy officer of The ESG Exchange, and the co-editor of ISO 37000, the world’s first international standard on the governance of organisations, and editor of ISO 37004, the Governance Maturity Model.
She also chairs the South African Bureau of Standards Technical Committee (TC 309), ensuring that South Africa’s perspectives are embedded in international governance frameworks.
Her work bridges South Africa and the international stage, uniting leaders and communities to advance responsible governance and sustainable value creation.
Chalmers says: “The question of whether companies should face penalties, shareholder activism, or public disclosure for failing to improve representation and equity on their boards goes to the heart of how governance best achieves sustainable change. While penalties may appear to offer a direct solution, there is a real risk that they reduce representation to a box-ticking exercise.
“When companies are required to publish their board diversity policies, measurable targets, and progress reports, the conversation around representation shifts into the public domain.
“Shareholder activism is another powerful lever. Institutional investors have begun using their voting power to influence board composition, often withholding support from nomination committee chairs in companies that show little progress on diversity.
“Initiatives that publish rankings, or scorecards, such as those seen in the UK, create reputational incentives for boards to act. No company wants to be publicly identified as a laggard when competitors are leading the way.
“Penalties should not be the main mechanism for advancing representation. Real change in board culture, composition, and behaviour requires more than rules; it requires leadership, openness, and the influence of stakeholders who expect boards to reflect the societies they serve.”
