This archive report was first published on 11 December 2019.
Published on December 11, 2019, Central Bank of Kenya Governor Dr. Patrick Njoroge has expressed concerns about the leadership style of most Kenyan CEOs, stating that they often lack the agility and resilience needed to drive economic development.
According to Dr. Njoroge, most CEOs in Kenya operate in a very rosy environment, which means they remain untested in tough times and would run away if they encountered an overwhelming challenge.
Dr. Njoroge made these remarks in an interview with KPMG, as part of its 2019 CEO Outlook, titled 'Agile or Irrelevant.'
“I would characterize the environment in which our CEO’s operate as an ocean that is as flat as a pancake. Many do not know how to act with agility. They are shepherds who will run away when the wolves come,” Dr. Njoroge said.
He further emphasized that most CEOs in East Africa are not ambitious enough to transform their leadership styles with the sole aim of building resilience.
“Functional leaders must be very good leaders. To build resilience the bar must be much higher – most CEOs are not holding themselves to the same bar,” Dr. Njoroge said.
Dr. Njoroge also believes that CEOs should prioritize innovation and provide relevant solutions to customers, rather than just focusing on technology.
“Innovation is about providing relevant solutions. The key issue is what are you doing for the customer?,” Dr. Njoroge said.
He also emphasized the importance of social responsibility, stating that CEOs must always operate in the best interests of society, even in the face of danger.
“For example, during the violence in a number of flash spots in Nairobi during the 2017 election in Kenya, the banks kept their branches in these flash spots open. If this had not happened, it would have sent the wrong signal that the country was not open for business due to election violence,” Dr. Njoroge said.
