Four months into the job the new MD and CEO of SITA, Colin van Schalkwyk, has got the buy-in from Cabinet to make the necessary changes to the structure of SITA and to redefine its role.
SITA will be restructured into three core divisions. The first will be regulatory, while the other two will be "build and operate" entities focused on the military and civilian IT systems of the government, respectively. These last mentioned may, within one to three years, be spun off to complete on an equal basis with private sector companies.
The first phase of the restructuring will see SITA structure its business units into the three functional divisions by the end of May. By the end of 2001, a reassessment of the divisions will determine their role into the future - i.e. whether they will also offer service to the private sector. "IT will be necessary for the two build-and-operate divisions to become self-sufficient and fund the regulatory division", notes Van Schalkwyk. " to do this we will enter into joint ventures and alliances with private sector companies."
In July, a pilot process for procurement will also be instituted in several areas - including the telecommunications arena where it will be necessary to put in place negotiations with current and second fixed network operators, the regulation of licensing agreements, seat management, the appointment of consulting houses and contractors - to leverage pricing and standardise across the board. "By the end of 2001 we aim to have all government departments on board", says Van Schalkwyk.
The Act gives SITA jurisdiction over systems of 33 National Departments and nine Provincial Governments, as well as various other Organs of State. Van Schalkwyk aims to take a layered , horizontal approach to carrying out the mandate of the Act, one which should allay these fears measurably and allow SITA to move toward its goal of leveraging economies of scale, rationalising, optimising and integrating the disparate systems in place within the various Organs of State.
"To deliver a service it is not necessary to own the process", says Van Schalkwyk. "Our initial approach will be to provide an infrastructure framework that all departments must adhere to. It will be the task of the Regulatory arm to ensure that all departments follow these guidelines, ensuring interoperability across all departments, eliminating duplication and leveraging available economies of scale.
"SITA will follow private sector business principles to fulfil its public sector mandate", he adds. Government transformation hinges on the speed of delivery of services. SITA has the critical mass and knowledge base to service government better than the private sector, but the new client-orientated relationship between SITA and the government must be understood by both parties.
"To optimally service government, SITA must understand the business of each of the departments. We will establish an office in each department where services are delivered, and have restructured and realigned executive remuneration packages to depend on customer satisfaction ratings", explains Van Schalkwyk.
Share
Editorial contacts