Africa-Press – Namibia. TransNamib has appointed seasoned executive Desmond van Jaarsveld as their new CEO, bringing an end to a recruitment exercise that took over a year to complete.
Since the departure of Johny Smith in March 2023, the rail operator has been without a substantive CEO, with chief human capital executive Webster Gonzo
acting in the capacity until now.
Van Jaarsveld is expected to assume his new role today.
“Van Jaarsveld is an excellent addition to TransNamib… On behalf of the board of directors, I extend my congratulations to him for taking on this important role. TransNamib and rail infrastructure play a critical role in positioning Namibia as a logistics leader in the region, and we are confident that Mr van Jaarsveld will lead TransNamib towards sustainable growth,” TransNamib board chairperson Theo Mberirua said in a statement yesterday.
He added: “He [Van Jaarsveld] proved he is fit for the role for the current time and current challenges that TransNamib faces. He comes with an impressive history of success, leading major national and international companies in demanding times.”
Mberirua then thanked Gonzo for steering the train while the hunt was ongoing.
“His [Gonzo] efforts have been invaluable, and they have positioned our new CEO to lead an organisation that is well-prepared to represent the interests of our shareholder and the Namibian nation,” Mberirua said.
Earlier this month, this paper lifted the veil on TransNamib’s clandestine recruitment process.
At the time, the Namibia Transport and Allied Workers Union (Natau), the union representing employees, had misgivings over the matter. Narina Pollman told New Era that the union was concerned about the secrecy surrounding the CEO’s appointment.
New Era furthermore reported that the interviews for the CEO position were held in February. Among the five candidates interviewed included businessman Brian Nalisa, Gonzo, and Michael Veldman.
The interviews allegedly took place at the Walvis Bay Corridor Group’s offices in the capital.
Commentary
Former board chairperson of TransNamib, advocate Sigrid Tjijorokisa, declined to comment on what the TransNamib
diagnosis is and possible prescriptions are.
During her last days at TransNamib in 2022, Tjijorokisa accused her colleagues of acting contrary to the best interest of the organisation.
“It is regrettable that such a strategic
national asset is being compromised. The total lack of accountability, governance and transparency by the board and the department of public enterprises is regrettable,” she said in her resignation letter. At the time, Smith accused
Tjijorokisa of impeding his duties at the parastatal. In essence, Smith blamed Tjijorokisa for his failure to overturn TransNamib’s fortunes. He was not reachable yesterday.
Dose
This paper reached out to experts to prescribe some medication for the ailing entity. One of them was economist Omu Kakujaha-Matundu, who said TransNamib is very important for the economy.
“Rail has the ability to carry heavy loads, which is impossible to be carried by road. The new CEO, besides restructuring management, should concentrate on rail refurbishment. The government should assist him with appropriating the billions of dollars for rail overhaul, as well as modern rolling stock,” Kakujaha-Matundu advised.
If Namibia is to be a logistics hub, the country needs to serve its land-locked neighbours. For that to happen, the neighbours need to have confidence in Namibia’s rail transport, he added.
Salomo Hei, another economist, noted Namibia is increasingly becoming an important transit hub for the continent.
Thus, the new CEO should focus on building confidence in rail infrastructure.
“Namibia needs an enabling rail infrastructure, given the new emerging sectors like green hydrogen and oil and gas. These sectors will rely heavily on TransNamib,” said Hei. Josef Sheehama, an independent economic and business researcher, voiced that despite its funding constraints and substantial challenges, the new CEO of TransNamib can employ effective corporate governance to turn around the entity. “He needs to change the management structure, and begin a process of shifting the entity’s focus on profitable growth. He
should not allow interference from the government. He must develop his own independent management style and support systems,” advised Sheehama.
Derailed
Van Jaarsveld joins TransNamib at a time when the entity’s financial losses are estimated to be well over N$15 million monthly.
Reports in 2022 indicated that the company was operating at a monthly loss of more than N$10 million. TransNamib largely depends on government subsidies to fund its day-to-day operations, a situation said to be “not a sustainable long-term solution”.
In the face of challenges, TransNamib has been confident to surmount them, if a statement by spokesperson Abigail Raubenheimer about two weeks ago is anything to go by.
According to her, during the 2019/2020 financial year, TransNamib achieved historic revenue growth, with a 10.5% increase in freight revenue. “TransNamib’s property revenue has doubled over the past five years. The company achieved its first unqualified audit in over a decade, along with the annual general meeting for seven years in 2020, signifying efforts to clear historical financials, and has continued to boost its corporate governance efforts with annual AGMs,” Raubenheimer said.
New broom
Born and raised in the coastal town of Walvis Bay, Van Jaarsveld completed his studies at Stellenbosch University.
He joined Namibia Breweries as product development manager, and later served as managing director (MD) for Namibia Dairies and Namibia Breweries between 2005 and 2011. In 2011, Safland Namibia appointed Van Jaarsveld as MD.
His most recent position was MD at DP World. Van Jaarsveld brings extensive experience in business and leadership to his new role at TransNamib, with over 30 years in various industries, including over 25 years which have been at senior executive leadership level within the transportation, logistics and distribution sector within Southern Africa, the company said.
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