“I had to raise the bar because hey, I’m not running a drama club!”

We sat with Dorothy Ghettuba, founder and CEO of Spielworks media to discuss why she strongly feels that SME’s need boards. Spielworks is a local production company that creates, licenses and markets content with a distinct African aesthetic. During our candid conversation, Dorothy shared the challenges her company faces as an SME and her thoughts on how SME’s can be encouraged to create boards. 

Why led you to start Spielworks Media?

I started Spielworks in 2009. I had just moved back from Canada and I wanted a career change. I previously worked in corporate communications in the financial space and I did not find it fulfilling. I initially wanted to become an actress but decided to go behind the scenes and promote local content. I saw the opportunity in Kenya because local content was increasingly becoming popular.

Ooh are you a part-time actress?

No. I realized I don’t have to be an actress to be a performer. (Smiles mysteriously) Performance manifests in different ways. What I intrinsically enjoy is performance. Whether its speaking on panels, sharing information and other things. Once upon a time performance took the form of acting or singing but now the more I do business, my performance manifests in speaking.

Why did you decide to create a board?

I started the board in 2011 when the company got new shareholders. When people invest in your business, you must ensure that there is an accountability structure in place. As the company was expanding I felt that having a board could provide the company with strategic advice.

How many people are on the board?

The board has 9 members including myself.

What skills were you looking for when you selected members of the board?

I looked for people with experience in either digital media, strategy, finance and people with good networking skills locally and internationally. I am very interested in regional and international networking as that is the direction the business is heading to.

How do you hold the board members accountable? Do you have a board charter?

We are currently working on it. We have an annual general meeting and discuss issues throughout the year.

What are your thoughts on the importance of healthy board relationships?

There should be coherence and harmony. However, harmony does not mean everyone is singing soprano! I think the most harmonious choirs have people with different voices. There is a need for chemistry and congruence but more importantly, it is important to have a dynamic board with different views. The most dangerous thing is to have a board where everyone thinks the same.

How has having a board benefitted your business?

Having a board provides a good accountability system as there are people you must answer to. This led us to create better systems and processes for the company. We now regularly provide management, CEO and financial reports. I had to raise the bar because hey I’m not running a drama club! When you start a company, you think to yourself, yaay I’ll just run it how I want! The moment other people come in the dynamic changes completely. I don’t think a board should strictly meet once or thrice a year. If you have a board, you should be able to give them a call and really make use of their knowledge.

Where did you get information on how to set up and manage a board?

There is very little information on boards and corporate governance in Kenya. Looking online, I get international information. I am lucky to have known Carol Musyoka (corporate governance specialist) but there are others who have zero access to information on setting up a board and good corporate governance practices.

How can SME’s be encouraged to create boards?

We have very many workshops and trainings. The topic of corporate governance, setting up a board etc. is usually brushed over. It is not a headline subject, and it should be!  In addition, perhaps banks lending to SME’s should ensure that SME’s have undergone corporate governance training before they receive a loan. So many times, as SME’s we really mark up because we do not have an accountability system. If many SME’s had boards, things would be run differently.

What dissuades SME’s from creating a board?

The truth is many SMEs are caught trying to survive day to day. They view creating a board as another headache. However, if they are exposed to the advantages of having a board, this could change. If you are an SME with a low budget, you can speak to people about your position. There are people who want to be part of the company growth rather than join the board to get money.

Dorothy speaks with such a clear cut sophisticated tone that I could have sat there listening to her all day. As she discussed her journey of having a board and its benefits, it was clear that she greatly appreciated the support and value her board members brought to the business. With start–ups emerging daily, it would be useful consideration for floundering founders to familiarize themselves with good corporate governance practices. Information such as The Capital Market Authority: Corporate Governance Guidelines 2011 is now easily accessible online. A good corporate governance foundation is an excellent way of preparing your SME business for future equity and debt investors. 

The Inquisitor