Corporate governance is the backbone of any successful organization, influencing everything from ethical decision-making to risk management and stakeholder trust. It’s more than just following rules—it’s about creating a culture of transparency, accountability, and strategic alignment. However, as business landscapes change, so must the approaches to governance.
In this dynamic environment, leaders like Parmi Natesan stand out for their commitment to professionalizing directorship and driving impactful governance practices. As the CEO of the Institute of Directors in South Africa (IoDSA), Parmi has dedicated her career to ensuring that boards not only meet regulatory standards but also foster resilience, innovation, and long-term value.
A Journey from Accounting to Ethical Leadership
Parmi Natesan’s career in corporate governance was inspired by her early experiences as a Chartered Accountant, a path that equipped her with a broad and versatile skill set. During her time in the technical department of an auditing firm, she began working with the Companies Act and the King Reports, which ignited her passion for corporate governance. She found herself naturally drawn to the governance aspects of running a successful business, as it represented the ideal intersection of business strategy and the legal and regulatory framework.
Her journey in corporate governance took a significant step forward when she joined the Institute of Directors in Southern Africa (IoDSA), an organization at the forefront of corporate governance. She started as a senior governance specialist, later progressed to executive director at the Centre for Corporate Governance, and has now been serving as CEO for the past five years.
Elevating Governance Standards for a Stronger Future
As the CEO of the Institute of Directors in South Africa (IoDSA), Parmi recognizes several key challenges and opportunities in improving corporate governance standards in the country. South Africa has experienced several high-profile governance failures in recent years, both in the public and private sectors, which have underscored the need for stronger accountability, ethical leadership, and enhanced oversight mechanisms. Despite these challenges, the King IV Report on Corporate Governance remains a world-class standard, and the IoDSA sees an opportunity to further entrench its principles, including stakeholder inclusivity, transparency, and integrated thinking, across all sectors of the economy.
One significant challenge is that not all directors possess the necessary skills or knowledge to effectively fulfil their legal duties. Governance is a specialized field, and there is a growing need to professionalize directorship as a recognized career path. To address this, the IoDSA is driving the professionalization of directorship through SAQA-recognized designations such as Certified Director and Chartered Director South Africa. These initiatives aim to ensure that directors are well-equipped to lead with integrity and responsibility.
A Legacy of Leadership in Reporting and Oversight
Parmi has contributed to a variety of forums and committees, including the King Committee and the Integrated Reporting Committee. She has served on the King Committee for many years, where her role primarily involved managing the committee’s activities. As the IoDSA is the convener and secretariat for the King Committee, Parmi also played a key technical, drafting, and reviewing role in the content issued by the committee.
Regarding the Integrated Reporting Committee, Parmi serves on its board. Integrated Reporting was introduced as a concept in the 4th King Report, and through her involvement, Parmi helps oversee integrated reporting practices. Both committees have played an instrumental role in shaping governance practices in South Africa, with their work having a lasting influence on corporate governance standards across the country.
Leading the Charge for Gender Diversity
Parmi has been a strong advocate for gender diversity on boards, particularly through her involvement with the 30% Club. She believes that enhancing gender diversity and inclusion at the leadership level in South Africa begins with setting clear targets for female representation on boards and in executive roles, along with transparent reporting on progress. However, Parmi emphasizes that meeting quotas is just the beginning. Organizations must focus on building inclusive cultures where diverse voices are truly valued and heard.
She suggests addressing unconscious biases, investing in leadership development programs for women, and creating mentorship and sponsorship opportunities as key steps toward achieving greater gender diversity. Additionally, Parmi stresses the importance of boards and CEOs leading by example, championing gender diversity as a business imperative that fosters innovation, better decision-making, and sustainable performance.
Steering Governance with Vision
As a Chartered Director (SA), Parmi’s professional approach and leadership style at the Institute of Directors in South Africa have been significantly shaped by the robust framework of governance principles, strategic insight, and ethical leadership that the designation provides. It has given her a deep understanding of the duties and responsibilities of directors, ensuring that her decisions are always grounded in accountability, transparency, and long-term value creation.
In her role as CEO of the Institute of Directors, the Chartered Director (SA) designation reinforces her commitment to upholding the highest standards of governance within the organization. It also strengthens her mission of professionalizing directorship across South Africa. Parmi’s designation allows her to lead by example, cultivating a culture of excellence, inclusivity, and continuous improvement in governance practices.
Bridging Boardrooms and Breaking Barriers
Parmi’s experience in both executive and non-executive director roles has provided her with a well-rounded perspective on corporate governance, allowing her to understand the unique dynamics and responsibilities associated with each position. In her role as an executive director, she gained firsthand experience in operational accountability and the critical importance of aligning strategy with execution. On the other hand, her non-executive director roles highlighted the value of independent oversight, objective decision-making, and holding management accountable. These diverse roles have shaped her comprehensive view of governance and its pivotal role in driving organizational success.
Parmi advises young women aspiring to reach leadership roles, especially in industries where women are underrepresented in decision-making positions, to believe in their abilities, embrace continuous learning, and actively seek growth opportunities. She encourages them to not shy away from challenges or environments where women are scarce, as their unique perspective is a strength. Building a strong support network of mentors, sponsors, and peers is essential, as is advocating for oneself. Equipping oneself with the necessary skills and qualifications is crucial, and she emphasizes that leadership is rooted in both character and competence. Above all, she stresses resilience, staying true to one’s values, and the importance of paving the way for others, as one’s success can inspire change and promote diversity and inclusion in the workplace.
Navigating with Ethical Compass
Parmi navigates the challenges of maintaining ethical standards while balancing the demands of business through a steadfast commitment to values, clarity of purpose, and the courage to make difficult decisions. She believes in leading by example, ensuring that her actions consistently reflect the ethical principles she advocates. Creating a culture of integrity within the organization, where transparency, accountability, and open dialogue are encouraged, is also key. When faced with challenges, she asks critical questions like, “Is this the right thing to do?” and “Does this decision align with our values and long-term purpose?” While there may be pressure to prioritize short-term gains, Parmi emphasizes that ethical leadership leads to sustainable success by building trust with stakeholders, mitigating risks, and setting a positive example for others to follow.
Building Governance on Financial Foundations
Parmi believes that financial expertise plays a pivotal role in effective governance, as it allows a board to make informed decisions, assess risks, and ensure the organization’s financial sustainability. As a Chartered Accountant, she has witnessed firsthand how essential financial literacy is for directors, especially in areas such as financial oversight, strategy, and resource allocation. While directors do not need to be financial experts, Parmi emphasizes that they should possess enough understanding to critically evaluate financial statements, ask the right questions, and challenge assumptions when necessary. Strong financial literacy enhances a board’s collective ability to protect value, identify opportunities, and navigate complex challenges, ultimately contributing to good governance and the organization’s success. She stresses that ongoing development in financial acumen should be a priority for all directors.
Charting Governance for a New Era
Parmi believes that South African businesses must prepare for several significant developments in corporate governance. One key trend is the increased regulatory scrutiny and the need for greater transparency in reporting, influenced by both global and local developments. Another important shift is the move towards digital governance, which involves addressing risks related to cybersecurity, data privacy, and artificial intelligence. Additionally, the professionalization of directorship and the growing emphasis on ethical and effective leadership will become even more critical. Parmi stresses that businesses will need to recognize that strong governance is not just about compliance; it’s also about fostering resilience, innovation, and long-term success in an increasingly complex environment.
Illuminating the Path for Women in Leadership
Parmi views her recognition as a finalist for Businesswoman of the Year, along with other prestigious awards, as both humbling and affirming. These accolades, she believes, reflect not only her personal achievements but also the collective efforts of the teams and organizations she has had the privilege to lead. They have strengthened her belief in the power of hard work, resilience, and staying true to one’s values in leadership. Parmi hopes that these recognitions serve as a platform to inspire and amplify the message that women can excel in leadership roles, even in traditionally male-dominated fields. She aims to convey to other women that success is attainable through perseverance, continuous learning, and mutual support. Above all, Parmi encourages women to embrace leadership roles boldly, as their contributions are crucial to driving diversity, innovation, and sustainable success in business and beyond.
Pioneering Tomorrow’s Boardrooms
Looking ahead, Parmi is particularly excited about initiatives that focus on further professionalizing directorship, particularly through the Institute of Directors’ SAQA-recognized director designations. She is also deeply passionate about advancing diversity and inclusion in boardrooms. Additionally, she is enthusiastic about supporting the upcoming launch of the revised King Report, which she believes will provide fresh insights and practical guidance to address emerging governance challenges while reinforcing South Africa’s global leadership in governance excellence.
Parmi envisions leaving a legacy of strengthened governance practices that not only restore trust in leadership but also position South Africa as a global benchmark for governance innovation. She aspires to a future where governance is seen as a driver of long-term value creation and societal progress, and where directors are recognized as professional custodians of good governance.
