From wolf cubs to leadership, via BSE

Author Cristian Tudoran

I am often disturbed (at least once a week if not more often than that) by the calls from “wolf cubs” (wolf cub = descendant of the Wall Street original) from Romania or worldwide (Singapore, Hong Kong, London)… While I cannot blame the latter, I can blame the former… or so I thought!

Without being interested if I know anything about the capital market – in general, they generously offer me access to “trading on the International Stock Exchange”!

At first I was appalled… But then I realized that the truth lies somewhere in between, as the wise Romanian people say.

What if the Romanian capital market needs something to be attractive to investors?

I am a small (very small) shareholder in two companies listed on the Bucharest Stock Exchange (BSE). Twice a year I receive large envelopes from each of the two companies and that is about it… I wondered what I would need to invest more...

The first answer that came to mind: to have access to information presented in a language this is easy to understand! Certainly not similar to the information I used to receive during chemistry classes or, more recently, from the legal experts!

That is why I believe that the launch of the Code of Corporate Governance by the Bucharest Stock Exchange can generate a new perspective on the way organizations will deal with and assume the organizational culture and, hopefully, the leadership behaviour… soon! Thus, the organizations – according to the code – are invited to establish relationships (I believe that “to establish relationships” conveys a continuous and repetitive action) with:

• the shareholders – without whom there would be no money required for setting up an organization;
• the employees – without whom the organization could not exist (and operate); also including the senior executives and the Chairman/CEO;
• the directors – without whom Corporate Governance, as defined by the Anglo-Saxons, is inconceivable and
• the ambient (the personal version for the stakeholders and for the context!).

I also believe that the results expected by the introduction of this Code, namely attracting more investors on the BSE, could generate a similar tendency to implement more and more practices also in unlisted companies, but which need capital.

I wished for this organizational behaviour – I refer to culture and leadership – to have changed around January 1, 2007, upon Romania’s accession to the EU. Not the other way around!

In other words, if we want economic success for the community we belong to, we must “play by the rules” of the EU… The sooner the better for each of us… as professionals, as company, as nation!

October 2015