By Tsholo Nketane, Director at Tuesday Consulting.
South African CEOs have a lot to contend with. Our complex regulatory environment, unique labour laws and challenging economic environment show how adept and resilient business leaders are. They’re not new to turning crisis into opportunity, it’s how we’ve manged to survive headwinds thus far.
Tsholo Nketane, Director at Tuesday Consulting, an Executive Search Firm, says that the context of South Africa’s economic growth and challenges, development and transformation agenda allows CEOs to understand their leadership mandate, to connect with employees, their customers and other stakeholders on a deeper level. They understand socio-economic situations, and all have one thing in common, they believe in South Africa and are invested in its future.
“The CEO coalition working with government through Business Unity South Africa is a prime example of how partnerships can tap into the greatest of business minds to solve problems we’re facing. From logistics to legislative development, a CEO’s network and acumen can be a game changer in guiding the country towards economic transformation. However, this would be a different picture if these consultants were from elsewhere. If you don’t understand the South Africa context, it’s much more difficult to build strategic relationships both with other corporates, and with government officials.” says Nketane.
Mteto Nyathi is a great example of this. An accomplished businessman known for his track record of revitalising numerous South African companies recently took on the role as Eskom Board Chair with shared support of the business community. Mteto was one of the country’s leaders that were asked to come and help at Eskom. He leads a board that is diversified from a skills perspective, understands best practice and cares about the growth and sustainability of the organisation in South Africa.
From a commercial standpoint, CEOs who have grown and trained in corporate South Africa are more likely to have their fingers on the pulse of the South African market. Some have gained international experience and recognise what best practices looks like. They also possess an inherent understanding of trends, competitor strategies and local economic conditions. This allows them to tailor business decisions to the specific needs of the market, ensuring their companies stay relevant and competitive.
Take Woolworths, who appointed South African Roy Bagattini as CEO in early 2020, after Ian Moir’s departure following the troubled acquisition of Australia’s David Jones, which led to two business write-downs. Or the US giant Walmart put South African Jonathan Molapo at the helm to revive the brand’s fortunes; Molapo succeeded US-born Mitchell Slape, and Pick n Pay announced the appointment of Sean Summers as its CEO in January this year.
We have seen time and time again, how hiring local CEOs can be a game-changer beyond the business imperative. With over twenty years of experience in helping organisations find the right leaders for their c-suite and Board, Tuesday Consulting believes that hiring CEOs with an understanding of local context can be hugely strategically advantageous for South African businesses. “It unlocks a deep understanding of the market, promotes trust with stakeholders, and positions the company for sustainable success. By embracing the power of place – this unique, fascinating and exciting place we call home – South African businesses can leverage the unique capabilities of CEOs with understanding of local context to navigate the complexities of the market and set themselves up to thrive”.
