Mumias Sugar orders staff to reapply for jobs

Mumias Sugar Company (MSC) has started restructuring operations in a turnaround strategy aimed at returning the firm to profitability. Board Chairman Dan Ameyo revealed yesterday that the new system of operation will eliminate corruption and mess that had threatened the closure of the company.

He explained that the new management changes will see all managers and heads of department apply afresh for their positions. The move is expected to inject new personnel and ideas into the company. “A new structure at the top has been worked out and advertised so that it may be filled competitively by able Kenyans willing to drive the company to new levels,” he observed.

The new structure is composed of five key departments that focus on the business. “What we are doing at corporate level is clean up. As a company, we are going through a challenging period and the challenges require us to re-look at our strategic vision, corporate structure, how we do business and whether our structure is well geared to respond to challenges,’’ said Ameyo.

The changes touch on human resource, audit, commercial, finance, agriculture, information technology, supply chain and corporate functions, among others.  “As a board, we have come to a conclusion that time is ripe for the company to shift gear and re-look at a new model of dealing with current challenges in the industry. Management has been looking for ways to respond to challenges.

Reputation issues

The MSC chairman disclosed that the company’s reputation has been put to doubt over the last few years. He adds that there were doubts in certain quarters whether the company will reopen following its closure for annual maintenance.

Mr Ameyo, who was accompanied by Managing Director Coutts Otolo, explained that payment priorities will also change to ensure farmers are paid first.

Mr Ameyo also issued a warning to former and current managers implicated in various corruption scandals that appropriate and swift legal action will be taken against them, if found guilty.

“Investigation in the agriculture department was done last year, especially with officers who deal with our farmers. Malpractices and efficiencies were noticed and we would like our farms to be properly managed and avoid practices that have denied our farmers decent returns for their produce,’’ he added.

The board chairman said the factory services department will focus on availability and quality of timely cane, which is critical for the company’s survival. “Once cane arrives here, our key priority is to mill it professionally and efficiently,” said Ameyo.

“Factory operation is important with this new model. The route for our products, namely sugar, ethanol, water and electricity, to the market, has also been re-looked by the commercial department.”