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Safaricom Restructure or downsizing?
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Mkimwa
#61 Posted : Thursday, March 17, 2011 1:37:49 PM
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Joined: 10/26/2008
Posts: 380
Whenever there is a change of CEO, there will be a restructuring. Remember Bob has been sitting on the board of safaricom since 2006, he has his own ideas on how to run the company. In order to implement these ideas, he needs a structure that will align to his thinking, and he needs his people at the hem. People he can trust to deliver on those ideas.

I have seen it happen where I work, and truth be said, there will be loss of jobs, whether by resignation of persons relocated to other posts, or by outright retrenchment.

This may also be a cost cutting initiative, by streamlining operations, BUT i think it has more to do with putting his strategy in place.
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Hunderwear
#62 Posted : Tuesday, May 17, 2011 1:59:42 PM
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Joined: 4/14/2011
Posts: 639
@Wazuans,now that they are letting the cat out tomorrow and CCK is set to lower the interconnection fees later this year are they likely to go the telkom way by axing part/more of the workforce?
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Cde Monomotapa
#63 Posted : Tuesday, May 17, 2011 3:23:20 PM
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Joined: 1/13/2011
Posts: 5,964
Hunderwear wrote:
@Wazuans,now that they are letting the cat out tomorrow and CCK is set to lower the interconnection fees later this year are they likely to go the telkom way by axing part/more of the workforce?

That will be most prudent. The pain of a few for the benifit of many. (sounds like ICC process, he he)
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PKoli
#64 Posted : Tuesday, May 17, 2011 9:48:16 PM
Rank: Elder

Joined: 2/10/2007
Posts: 1,587
Anyone with numbers about the call rates in other parts of Africa and possibly India compared to Kenya. This should give us a feeling about whether our rates are the lowest. Obviously there are other factors to consider such as the country’s GDP per capita, but we cam leave out the developed countries in the analysis.
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youcan'tstopusnow
#65 Posted : Tuesday, May 17, 2011 10:29:53 PM
Rank: Chief

Joined: 3/24/2010
Posts: 6,779
Location: Black Africa
Cde Monomotapa wrote:
Hunderwear wrote:
@Wazuans,now that they are letting the cat out tomorrow and CCK is set to lower the interconnection fees later this year are they likely to go the telkom way by axing part/more of the workforce?

That will be most prudent. The pain of a few for the benifit of many. (sounds like ICC process, he he)

For the greater good, some would say
GOD BLESS YOUR LIFE
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VituVingiSana
#66 Posted : Tuesday, May 17, 2011 10:44:59 PM
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Joined: 1/3/2007
Posts: 18,356
Location: Nairobi
In many 'developed' countries calling rates are very, very low if you buy 1 month's service.

My cousin in USA tells me he pays $60 [all taxes included] for unlimited calls to any USA network, unlimited SMS to any USA network & 2Gbs of data!!!

Apparently in India, Airtel charges less than Rs1 [KShs 2] per minute so when we pay 3/- we are 50% higher!
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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bird_man
#67 Posted : Tuesday, May 17, 2011 11:59:04 PM
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Joined: 11/2/2006
Posts: 1,206
Location: Nairobi
VVS . . . .maybe you should also compare the population numbers in those 2 countries Vs kenya.You may make 2cents profit but multiply that by the huge huge indian population and you have billions safcom only dreams about.
Formally employed people often live their employers' dream & forget about their own.
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  | | Edit by user: Wednesday, May 18, 2011 12:00 AM | Reason: Not specified
PKoli
#68 Posted : Wednesday, May 18, 2011 12:25:34 AM
Rank: Elder

Joined: 2/10/2007
Posts: 1,587
VituVingiSana wrote:
In many 'developed' countries calling rates are very, very low if you buy 1 month's service.

My cousin in USA tells me he pays $60 [all taxes included] for unlimited calls to any USA network, unlimited SMS to any USA network & 2Gbs of data!!!

Apparently in India, Airtel charges less than Rs1 [KShs 2] per minute so when we pay 3/- we are 50% higher!


It appears we are paying dearly for data. I think after interconnection reductions (which only affects voice), our voice rates are relatively low. I spend about about US$10 in a couple of days when using safcom broadband..
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VituVingiSana
#69 Posted : Wednesday, May 18, 2011 8:55:28 AM
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Joined: 1/3/2007
Posts: 18,356
Location: Nairobi
bird_man wrote:
VVS . . . .maybe you should also compare the population numbers in those 2 countries Vs kenya.You may make 2cents profit but multiply that by the huge huge indian population and you have billions safcom only dreams about.
Not a fair comparison coz Safcom needs to invest substantially less vs USA/India too in infrastructure!

Perhaps, I should use Singapore as an example where a few years ago it was about 8 cents/minute [which was 6/-] when safaricom was a minimum of 12/-.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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bird_man
#70 Posted : Wednesday, May 18, 2011 9:46:15 AM
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Joined: 11/2/2006
Posts: 1,206
Location: Nairobi
VVS true on the infrastructure costs.
However,the mobile industry took off in year 2000 in Kenya's case unlike Singapore where its been in operation for long.Most mobile companies have built on infrastructure from Zero to the current case where we have ,clear calls,sms,mms,3g internet,MPESA,Mpesa agents in your estate,paybill etc.All these costs a lot of money.
I just think they want to recoup their investment money TODAY as opposed to slowly over the next 10yrs.
I think the same goes for Fibre Optic investments in Kenya and why Kenyan ISPs don't want to lower costs today.
Formally employed people often live their employers' dream & forget about their own.
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