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Hogan searches for CEOs

JOHANNESBURG, SOUTH AFRICA Nov 19 2009 15:03

16 comments | Post your comment

Minister of Public Enterprises Barbara Hogan was working on filling vacant top spots in state-owned enterprises (SOE), her spokesperson said on Thursday.

"The process for the appointment of board members and CEOs for the SOE you mentioned is underway and announcements will be made in due course," said Ayanda Shezi in response to emailed questions.

She explained that Hogan, as the shareholder representative on behalf of government, is responsible for the appointment of the SOE board members, including chairpersons. She recommends appointment of these board members to the Cabinet.

The boards recruit and recommend chief executive officer candidates to Hogan for appointment, after which the preferred candidate is presented to the Cabinet.

"The criteria for appointment will vary depending on the specific needs of the SOE and various factors are considered, including the SOE's mandate, government's strategic intent, skills and demographic composition of the board. The candidate that best meets the criteria and the relevant factors affecting that particular SOE is appointed, and once appointed, is given the required support to best effect the job," Shezi said.

Institute of Security studies director Hennie van Vuuren said the current vacant posts should be filled speedily.

"We do need to see some clarity around the leadership of parastatals given their role in service delivery and the large budgets allocated to them by the state," said Van Vuuren.

Individuals or poorly-performing executive directors who no longer have the trust of their own staff and of the boards who appointed them must be moved out and new individuals should be appointed. There are question marks over the chief executive officer positions at the South African Broadcasting Corporation, Eskom, Transnet Freight Rail, Armscor and South African Airways.

Eskom lost both its chief executive, Jacob Maroga, and its board chairperson, Bobby Godsell, in a week.

CONTINUES BELOW

The Black Management Forum (BMF) believes the vacancies are the result of an "assault on black professionals", driven by a covert anti-transformation and a racist agenda.

But, Van Vuuren said this was "disingenuous" as the primary shareholders represented the black electorate.

"One has to ask if the issue is about race, whether it is a red herring, or whether the BMF members represent vested interests."

He said people in top positions would have complex organisations to run and would almost always have to deal with the results of a legacy of previous leadership, or apartheid.

"One can measure performance in the jobs as to how they respond to those challenges. Some boards are aware of the challenges, but where it is very clear that where they have failed, it is imperative that a signal is sent to all staff in those organisations, where there is failure in governance, that this will not be tolerated."

"The Maroga case represents a potential watershed, because we haven't seen him walking away with a massive golden handshake, and we've seen that happening too often over the last couple of years.

"We shouldn't read [the Eskom developments] as purely negative news. We have to clean out leadership of SOEs that are not performing, and have effective management. We have been seeing the beginning of a different way of doing things. It is going to focus on the competence of individuals."

Lynn McGregor, a senior research fellow at the University of Stellenbosch, said it was vital to fill the senior positions at "infrastructure" companies.

"If any of those parastatals fail, the economy is at risk," she said.

The psychological impact of employees is also influenced.

Said National Union of Mineworkers' spokesperson Lesiba Seshoka: "The effect of course is that people get demoralised because there is no leadership. There is no single entity that can survive without leadership."

Staffers were not worried about potential job losses as a new broom sweeps clean, believing they would be protected by unions.

"If there's anyone who wants to cut jobs of our members, we will meet him on the shop floor."

McGregor added: "I think it's very important that those positions are filled ... you need a CEO who can communicate correctly and relate to government to explain what the real positions are so that they can make sure there is a sensible strategy." - Sapa

TOPICS IN THIS ARTICLE

People

Barbara Hogan

Organisations

Black Management Forum

Comments

PLEASE PLEASE Hogan, pick the best candidate. For gods sake don't screw this up. As for the following comment, "The Black Management Forum (BMF) believes the vacancies are the result of an "assault on black professionals", driven by a covert anti-transformation and a racist agenda." The BMF are bloody right, there is an assault on transformation, its called, corruption, laziness, inept, full of shit etc etc. If you okes from the BMF don't climb out Zuma's ass anytime soon we are all going to be in deep shit. Give Hogan some space to fill the vacancies with people that will be able to turn Eskom into the leading utility it should be.

Apocalypse Now on November 19, 2009, 4:09 pm

I would love to know who the BMF think is behind the "assault on black professionals".

The SOEs are in a pretty sorry state at the moment - I agree with you Apocalypse, we need strong leadership now irrespective of the colour of the skin.

Concerned Citizen on November 19, 2009, 4:22 pm

No white must apply for these posts.

fred sevillano on November 19, 2009, 4:36 pm

fred sevillano: Let the private sector take the same stance, 'no black must apply to work at my company'.

Sinudeity @gmail.com on November 19, 2009, 4:56 pm

No white in charge, no white to blame. I'll make sure I survive.

fred sevillano on November 19, 2009, 5:14 pm

Maybe it's time hogan opened her eyes and did some work. She was still ranting about seeing Godsell last weekend when everybody knew he was overseas.

Doesn't she know about making appointments or are her staff too incompetent?

Pity South Africa- do it for your self -sign the petition

http://www.gopetition.com/petitions/stop-eskom-extortion-now.html

Free speech on November 19, 2009, 5:48 pm

Somebody should suggest she look in another country, certainly not on the Afican continent.

Apocalypse Now on November 19, 2009, 8:35 pm

Hey Zapiro, I have got your next cartoon. The heading is the same as this article with a pic of Hogan holding a flashlight and looking staight up Zumas ass.

Apocalypse Now on November 19, 2009, 9:09 pm

SOE checklist:

ANC: Check
Black:

moloko moloko on November 20, 2009, 10:18 am

"One has to ask if the issue is about race, whether it is a red herring, or whether the BMF members represent vested interests."

They represent vested stupid interests.

Erick Mulaudzi on November 20, 2009, 10:22 am

The WMF accuses the government of opressing the minority by reserving management positions for blacks only. The WMF requests Hogan to ignore the noise made by the BMF and appoint competent, educated, respected managers with morality and applicable experience.

moloko moloko on November 20, 2009, 10:39 am

Apocalypse Now, you are full of Sh*T, your comments are rude, you Pig!!!

African Mzansi on November 20, 2009, 10:44 am

They must make the leadership of the ANCYL to be the CEO's & Chairmen of these boards & see how good they F#&k up.....or they can deploy some cadres.

Cigar & Cognac comrade on November 20, 2009, 12:32 pm

South Africa (black, white, yellow, brown etc)faces pressing & unprecedented need for electricity, transport & efficient communication systems, to support economic growth and the needs of current & future generations. This challenge requires the best brains and seasoned proffesionals, to manage these complex & large organisations prudently. As taxpayers we want to have assurance that our money is spent responsibly and wisely. But in doing this, we need must embrace transformation through skills transfer & development, and equal opportunity. The Minister must appoint individuals on merit, considering the size of the challange we face, in the best interest of South Africa..

David G on November 20, 2009, 4:48 pm

Like looking for a needle in a haystack? Apocalypse now - dead right man !!

on November 21, 2009, 7:17 am

I don't think any decent person would want to lead organisation's that are already riddled with scummy incompetent people .

on November 21, 2009, 7:20 am

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