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Heads clashed over strategy for Eskom future  Comments
November 10, 2009

By INGI SALGADO


  • To read former Eskom chairman Bobby Godsell's full resignation statement - click here

  • To read the statement issued by the department of public enterprises following former Eskom chairman Bobby Godsell's resignation - click here

    Two documents submitted last month to Eskom's board by chairman Bobby Godsell - who quit suddenly yesterday - and chief executive Jacob Maroga highlight the pair's conflicting approaches to securing the future of the state-owned enterprise.

    Maroga's analysis of the problems besetting Eskom focused on race problems and organisational transformation, while Godsell's assessment homed in on a host of technical matters and unfulfilled management mandates.

    The board is reported to have considered both documents before backing Godsell, who subsequently said in a memo to staff that Maroga had resigned.

    Maroga's strategy document submitted to the board emphasised racial undertones within the organisation and "technocratic arrogance" - although he made no specific mention of race with regards to Godsell.

    However, the chief executive's aversion to the technical approach outlined by Godsell was apparent in Maroga's call for "a new leadership paradigm and organisational transformation rather than superficial technical problem solving".

    He disclosed that due to the need for a new paradigm, he had eschewed traditional business consultants in favour of advice from US-based Telein Group, experts in "leadership and organisational effectiveness".

    Maroga revealed that last year a group of white former executive directors calling themselves the "sherpas" approached him with the desire to advise him through Eskom's difficult period.

    "While I initially accepted this good gesture at face value, it became clear that their motivation was driven by the mentality of white supervision rather than a genuine desire to support the leadership of Eskom. We have since parted ways," Maroga said, alleging that the former managers had since launched a "campaign of criticism" against Eskom's leadership and the government.

    By comparison, Godsell's notes on the roles of Eskom's shareholder, board and management made no reference to race, but expressed concern at management capacity to respond "effectively and quickly" to Eskom's major challenges.

    "This concern does not arise in any way whatsoever from a sense that management are unwilling to do so. Nor... not working hard enough. Indeed, I have very real concerns on the time, responsibility and stress burden being carried by our chief executive and his executive team," Godsell wrote.

    "The concern arises simply from a sense that we are failing to deal decisively with a number of important issues," he said, calling for the appointment of a chief operating officer to whom Maroga could delegate responsibility.

    Godsell identified 41 outstanding issues that Eskom's executives were late in completing: including a national energy strategy, a business model, a funding model, required government guarantees, a list of customers with which Eskom had engaged about energy savings, the effect on price increases on the economy and the sale of non-core assets.

    Both Maroga and Godsell attempted to provide clarity on the role of Eskom's board.

    Maroga advocated redefining its role to be "more strategic with greater external collaborative leadership".

    In what may have been veiled criticism of Godsell, he said: "The chairman and the board members are appointed on the basis of their extensive networks in these environments and they should use them on behalf of Eskom."
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    Showing page 1 of 2 comment pages, 14 total comments
    12 Weeks ago Wim Kruger - \'Sad SA boykie\' wrote :
    @ Joanna Nkosi: I see it is VERY DIFFICULT for you to stick to the facts. You only have knee-jerk racist terms! Why did the board (with black directors) support Godsell and not Maroga? Can you attempt to answer that simple question without resorting to neo-apartheid terminology
    13 Weeks ago John Smith wrote :
    @ Joanna Nkosi 'culture of white supremacy' my arse! Why can't you stick to the FACTS? Why must you ramble on about racism every time one of your black brothers stuffs up? This is the mentality which has destroyed most of sub-saharan Africa already. Wake up and smell the coffee, or 'be honest' as you put it: blacks do screw up, its happening a lot now that they are given jobs they are not qualified for..
    13 Weeks ago George wrote :
    Just note the difference in a approach by Godsell and Maroga; the one advocating the technical solution of a major problem whereas the other one uses a nebulous transformation strategy to achieve questionable goals. Clearly, the chairman who is experienced and highly respected by, amongst others, both the ANC and COSATU was on the right track where as the CEO had no idea of how to deal with diversity and resolving the problems facing the utility. When the CEO offered to resign the country breathed a sigh of relief. Maroga then realised that it is one thing to be honourable but quite another to give up his lifestyle (read greed). Enter the ANCYL and BMF, and he was thrown a lifeline. The chairman and his board acted within the mandate of the board but the government (read ANC) inappropriately interfered in saving the butt of a BLACK cadre where they had no place or reason to do so. Good governance and vision were thrown to the dogs for the short term objectives of a cabal of parasites. In those circumstances, Mr Godsell did the right thing, and I am sure that no pressure from the WMF or DAYL, or desire for greed, would get him to recant. The world will note that the former chairman is a man of integrity and principle whereas the other side plainly lack any of these decent principles. Now I for one will not leave this country but I'll do my little bit to make it as difficult as possible for the ANC and their sycophants to achieve their nefarious objectives.
    13 Weeks ago  wrote :
    The reductionist and cowardly conclusions in the 9 comments are overwhelming. Why not use your names honestly in your comments rather than such dubious identities as "anonymous," "nguni," "alias," etc. Declare your point of view if you are principled about the convictions you espouse. Then we can have an honest debate about the critical national issues involved. 'Sherpas' really now! The culture of white supremacy is deeply imbeded in South African institutions and society. Pretending they do not exist will not change or improve relationships and systems. Let us be honest and reflective at all points. Joanna Nkosi
    13 Weeks ago Janus wrote :
    What an absolute shambles. Get rid of Godsell after just 15 months as Chairperson. When Moosa (another incompetent political appointed) was replaced by Godsell I for one thought we were at last heading in the right direction. Now the ANC has got rid of the person who could perhaps have guided Eskom through the minefield created by the incompetence of the former and present CEO's and Moosa and his bunch. It is about time a forensic audit is done to see just where our money goes. I'm willing to bet there is plenty to investigate, especially regarding contracts and kick-backs. All these ANC backed "comrades" are getting rich at the taxpayers expense - and wrecking our economy at the same time. It's time for change - but there will have to be some sort of standard introduced for the voting process. We have people who are politically naive voting for the ANC year after year whilst our country goes down the tubes. Solution: Fire Maroga, (who despite his claims to several alleged degrees is obviously not business-orientated) bring back Godsell, or someone who is clued up on business, and stop outside (political) interference.
    13 Weeks ago Anonymous wrote :
    The difference of approach between a top world class executive and a BEE look a like. Godsell I am sure didn't need this job but took it to help his country and it has now been very clearly shown that we needed his expertise and will pay dearly if eskom's failures are put down as a race issue.
    13 Weeks ago alias wrote :
    Let us wait and see what Mr Moroga next step now""""
    13 Weeks ago Anonymous wrote :
    Typical, play the race card when your back is to the wall. Racial undertones make you fail woodwook too?
    13 Weeks ago Mpho wrote :
    Very good going!!! Thanx for resigning Mr. Godsell. You weren't part of the economic destruction that were brought about by Mr. Maroga and his desciples last year, from which the economy still hasn't recovered (long before the world economic crises started). Let the whole world see how incompetent people are that are ONLY appointed because of their skin colour. The masses will rise and destroy these ones, we're tired of being exploited at the cost of a few rich black "comrades". they don't know the meaning of the word. Its not a racist issue. we, your own people, your brothers, will destroy you.
    13 Weeks ago Anonymous wrote :
    YAHOO
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