A grave threat to local businesses
In an enlightening conversation, three influential business leaders share their insights on the urgent need for collaborative efforts to address the challenges confronting local government infrastructure in South Africa. Alan Mukoki, CEO of the South African Chamber of Commerce and Industry; Richard Gaybba, Chair of the Makana Business Forum; and Ken Clark, CEO of Twizza Beverages Eastern Cape, shed light on the necessity for swift action, consistent maintenance, and efficient service provision. Despite the challenges faced by many municipalities, these leaders discuss their proactive initiatives, including radical collaboration and unity, aimed at driving positive change.
In a recent interview, Alan Mukoki emphasizes the importance of collaborative approaches to enhance local government infrastructure and service delivery in South Africa. The discussion focuses on the vital role of well-maintained localized infrastructure.
Local businesses rely on responsive government services for crucial needs such as water, electricity, waste management, and road upkeep. Effective infrastructure management is crucial for productivity and competitiveness. Mukoki underscores the significance of operational roads, functional traffic systems, and robust governance for fostering successful businesses.
However, many local South African governments are grappling with challenges like a lack of skills and accountability. This situation is further compounded by insufficient incentives for performance and low voter engagement. Instances of inadequate service delivery, such as water shortages in specific areas, have prompted businesses to contemplate relocation.
Business leaders stress that rectifying governmental shortcomings isn’t the sole responsibility of businesses. Instead, collaboration between the private sector and local governments should focus on creating an environment where local governance establishes necessary conditions and service-level agreements for business growth. This involves hiring skilled professionals and cultivating a culture of accountability and high performance.
Mukoki proposes a paradigm shift in local government management to address the issues. This includes reevaluating personnel choices for key positions, like city managers, and ensuring their qualifications match the role’s requirements. Performance evaluation and a robust appraisal process, similar to private sector standards, can help align capable individuals with suitable responsibilities.
Mukoki also emphasizes the need to define and quantify the cultural values within local government entities. This involves setting clear expectations and benchmarks for recruiting individuals who resonate with the desired culture. This approach can help create cohesive and capable teams dedicated to delivering effective service.
Ken Clark, CEO of Twizza Beverages Eastern Cape, shares his experiences dealing with infrastructure challenges in the Queenstown municipality. Power cuts and inadequate infrastructure maintenance have impacted his business, leading to increased costs and decreased productivity.
Richard Gaybba, Chair of the Makana Business Forum, echoes similar challenges, including water supply issues, electrical failures, poor road networks, and inadequate sewage treatment. These challenges have a direct impact on the local economy, particularly the tertiary sector.
Despite the obstacles, Gaybba remains cautiously optimistic due to progress in collaborative efforts and discussions. However, he underscores the importance of holding officials accountable for meaningful change.
Clark emphasizes the need for a national strategy involving businesses, government, and communities to collectively address these challenges. He highlights the importance of acknowledging problems and seeking assistance to find solutions. Clark also calls for accountability among local government officials and involving experts to navigate these challenges.
Both business leaders express concerns about the lack of action and resistance from local municipalities. They emphasize the urgency of collaboration, strategic planning, and financial support to make a significant difference.
In conclusion, the current state of local government infrastructure in South Africa poses significant challenges for businesses and communities. Collaborative efforts and discussions offer promise, but immediate action, accountability, and a national strategy are essential for creating a positive and transformative impact on the future.
SPEAKERS
Alan Mukoki
Alan Mukoki currently serves as the Chief Executive Officer of the South African Chamber of Commerce and Industry (SACCI). He is responsible for policy advocacy, representing the business community’s voice, and facilitating international trade development. SACCI holds a distinguished reputation as the national umbrella organisation encompassing local, town, and regional chambers of commerce.
Richard Gaybba : Richard Gaybba holds the position of Director at Independent Property Consultants. He became a part of IPC in 2005, but in 2009, he ventured into a career in hospitality and retail trade in Stellenbosch. Presently, he continues to work as a full-time agent in Makhanda. Additionally, Gaybba has been certified by the EAAB to be a masters in real estate practice.
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