“Culture of fear” is killing Sasol

rpm

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“Culture of fear” is killing a South African giant

Shareholders have turned on Sasol in the aftermath of massive cost overruns and delays at a chemical facility that’s now nearing completion in Louisiana.

The company fired its co-chief executive officers, Stephen Cornell and Bongani Nqwababa, in October, saying a “culture of fear’’ of managers overseeing the Lake Charles project had contributed to its failures.
 

Spectrum1

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Errr
I was of the opinion that he deserted a sinking ship to come to eksdom?
 

Yskasmetnstoof

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"The report showed how employees concealed bad news about the wax plant from the board and made overly optimistic assumptions pertaining to expected profits from the project" - So farkin familiar in this blarry country...
 

Gordon_R

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"The report showed how employees concealed bad news about the wax plant from the board and made overly optimistic assumptions pertaining to expected profits from the project" - So farkin familiar in this blarry country...

Goes back to ancient times. As the saying goes: Kill the bearer of bad news.
 

satanboy

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Bongani was born in Harare, Zimbabwe, and is a South African citizen. He graduated in 1989 and completed his articles with Price Waterhouse. In 1993 he relocated to Durban, South Africa, as Audit Manager with Price Waterhouse. In 1995, Bongani joined Columbus Stainless Steel as Corporate Accountant. He was seconded as Project Finance Manager for the USD 1bn expansion program. After joining FBC Fidelity Bank in 1999, he was seconded to the Treasury Department of Mees Pierson in Rotterdam and Amsterdam, Holland. He was previously Treasurer and CFO of Shell Southern Africa and was jointly awarded the South African Corporate Treasurer of the year in 2001. He was a director of Shell operations in South Africa, Zimbabwe and Kenya. In 2003 he completed a Shell Leadership Development programme at IMD Lausanne in Switzerland. BA Acc Hons (University of Zimbabwe) CA (Zimbabwe) MBA (Universities of Manchester & Wales UK) Non-Executive Director of Old Mutual, Cell-O-Pages Pty Ltd. Director of Mlanjeni Capital (Pty) Ltd Chairperson of SARS Audit committee

Sounds like a BEE appointment. :cautious:

Really? People clutching at straws.
 

grok

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Errr
I was of the opinion that he deserted a sinking ship to come to eksdom?

It isn't like he was the first choice, is it? AFAIK 27 black executives turned the job down before him?
Regardless of his circumstance, this man is a hero doing a job 27 others didn't want.
 

Dlamaqhinga

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Bongani was born in Harare, Zimbabwe, and is a South African citizen. He graduated in 1989 and completed his articles with Price Waterhouse. In 1993 he relocated to Durban, South Africa, as Audit Manager with Price Waterhouse. In 1995, Bongani joined Columbus Stainless Steel as Corporate Accountant. He was seconded as Project Finance Manager for the USD 1bn expansion program. After joining FBC Fidelity Bank in 1999, he was seconded to the Treasury Department of Mees Pierson in Rotterdam and Amsterdam, Holland. He was previously Treasurer and CFO of Shell Southern Africa and was jointly awarded the South African Corporate Treasurer of the year in 2001. He was a director of Shell operations in South Africa, Zimbabwe and Kenya. In 2003 he completed a Shell Leadership Development programme at IMD Lausanne in Switzerland. BA Acc Hons (University of Zimbabwe) CA (Zimbabwe) MBA (Universities of Manchester & Wales UK) Non-Executive Director of Old Mutual, Cell-O-Pages Pty Ltd. Director of Mlanjeni Capital (Pty) Ltd Chairperson of SARS Audit committee

Sounds like a BEE appointment. :cautious:

Really? People clutching at straws.
Here, hiring or contracting a black person / company means incompetence. and hiring or contracting a white person / company means competence.
 

BBSA

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Here, hiring or contracting a black person / company means incompetence. and hiring or contracting a white person / company means competence.
It will always be the case as long as we appoint people based on the colour of their skin and not on merit. These races baced laws and policies are unfair to people of colour who can compete on ability.
 

Okty

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In my opinion, it is still very unfortunate that the board fired Stephen and Bongani over Lake Charles project. That project has been going on for years, long before Stephan and Bongani was hired, but when things go bad, fire the current CEO's to appease investors.

Also, ironically, what is not mentioned in the article, Sasol has so much bureaucracyand red tape when it comes to projects, that it actually creates more problems than it tries to solve/prevent.
 

Dlamaqhinga

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It will always be the case as long as we appoint people based on the colour of their skin and not on merit. These races baced laws and policies are unfair to people of colour who can compete on ability.
So you think government just decided to introduce AA / EE & BBBEE laws for the fun of it? was this not because of the years of blacks being excluded due to the colour of their skins? so according to you what must be done to correct the injustices of the past? in 2020 with all the transformation laws you still get companies that are dominated by white males at Management / Executive layer.
 

c3n0byt3

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In my opinion, it is still very unfortunate that the board fired Stephen and Bongani over Lake Charles project. That project has been going on for years, long before Stephan and Bongani was hired, but when things go bad, fire the current CEO's to appease investors.

Also, ironically, what is not mentioned in the article, Sasol has so much bureaucracyand red tape when it comes to projects, that it actually creates more problems than it tries to solve/prevent.

Well Stephen completely changed Sasol structure and culture.
He was brought in specifically to make Lake Charles happen.
To slowly bring local operations to a close.
 

BBSA

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So you think government just decided to introduce AA / EE & BBBEE laws for the fun of it? was this not because of the years of blacks being excluded due to the colour of their skins? so according to you what must be done to correct the injustices of the past? in 2020 with all the transformation laws you still get companies that are dominated by white males at Management / Executive layer.
You completely missed my point :rolleyes:
 

Gnome

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So you think government just decided to introduce AA / EE & BBBEE laws for the fun of it? was this not because of the years of blacks being excluded due to the colour of their skins? so according to you what must be done to correct the injustices of the past? in 2020 with all the transformation laws you still get companies that are dominated by white males at Management / Executive layer.

I actually don't think BBBEE/AA is the problem with government institutions. I would say the bigger problem is interference by government, so they can bolster support.
Many private companies are able to succeed while implementing BBBEE/AA and I think it is thanks to them that a lot of people have been uplifted.

The interference by government however goes beyond that. They employ people that are otherwise unemployable, make it impossible to fire them. SOEs will practically ONLY employ black people. It therefore amplifies the impression of black = problem.

Employees that are lazy, do the bare minimum (usually less), etc. is something the government is especially good at accommodating. It has nothing to do with race because you get those kinds of people in every race group. Yeah sure there are lot of them that are black in the government and that is for 2 reasons. They basically never employ anyone but black people, thus the useless people HAVE to come from that group. They don't provide a mechanism to trim the herd of useless people. If I put out an ad only hiring white people, then make it impossible to dismiss them no matter what, I'd end up in the same situation.

So is this because of BBBEE/AA, I don't believe that is true. However only hiring one racial group will create that impression.

I'll also add that the general idea of black people being bad at their work (which Malema alluded to) is created by this sort of behavior. You have to trim these useless employees because they poison the well of good employees. Good employees either leave (they just can't bring themselves to be like that) or they themselves become like that.

Want to fix SOEs? Trim the herd and make it clear that incompetence & laziness will not be tolerated. You don't need to drop BBBEE/AA or even hire white people to make that change.

Lastly I should add the people who fit the profile I describe above are parasites. They aren't helping your company nor do they help your community. By uplifting the right kind of people you reward the right behavior. The kind of person that works hard is the kind of person that aspires to more and wants to make things better. A lazy parasite who just earns a paycheck for being there is the same guy that gets drunk and runs people over on the highway on weekends, feels entitled to step on others, etc.
 
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