Sentech will join the ranks of leaderless state entities tomorrow, as CEO Sebiletso Mokone-Matabane packs up the contents of her desk today.
Mokone-Matabane is the latest top person to leave the state-owned enterprise, as Yvonne Muthien, Deenadayalen Konar and Tau Mashigo have all resigned from the board since the start of the year.
It is not yet clear who will replace Mokone-Matabane at the troubled entity. Polly Modiko, head of corporate communications, did not have any information as to who would take up the top post, or run the company in an acting position until a permanent appointment is made.
“What I know is what I read in the media,” Modiko notes. She says no information has been conveyed to the communications department about an acting CEO, but she did confirm that today was Mokone-Matabane's “last working day”.
However, there is a process under way to appoint a new chief. The post has been advertised in City Press, with the closing date for applications being today.
Mokone-Matabane was initially expected to step down at the end of September, when her contract came to an end. She has been CEO since 2001, having joined the company in 1997.
Many woes
Sentech was recently the subject of a task team investigation, which found it was in a “weak” and “financially thorny position”, and needed to be turned around urgently. National Treasury officials have referred to Sentech as government's “trouble child”.
It was, however, expected that management changes would be made, and the department is expected to appoint a new board next month. The report recommended that leadership and governance in the company needed to be strengthened.
Nyanda hasn't openly criticised the CEO, but trade unions and analysts have noted that Sentech's failures are linked to the board and management's inability to develop and implement a coherent vision and strategy.
Modiko could not say if Mokone-Matabane's resignation has anything to do with the task team findings.
Serious tasks
Sentech provides signal carrier services to the South African Broadcasting Service, e-tv and community radio stations. The bulk of its revenue is gleaned from providing the signal.
However, the company, which has more than 500 staff, made a net loss of R20 million in the year to March 2009, the latest available figure. In 2008, it had a net loss of R7.3 million. Its net loss was despite the company increasing revenue by R44 million, to R766 million.
Sentech has been in financial dire straits for several years, and has battled to source funds from government for major projects, including rolling out a national wholesale broadband network, for which it will not receive funding in the next few years.
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