In the high-stakes game of corporate leadership, the moves are seldom straightforward and the strategy is cloaked in layers of complexity. But performance is the usual suspect when executives are being reshuffled in or out of the executive leadership team.
Whispers of a shake-up within Absa’s executive committee, as first reported by Dineo Faku of Business Day’s sister publication Business Times, with Saviour Chibiya’s name floating in the corridors as a potential candidate for reassignment or removal, have raised more than a few eyebrows.
However, one cannot help but question the rationale behind such a decision, especially when Chibiya’s performance at the helm of Absa’s Africa Regions Operations (ARO) since 2021 has been nothing short of stellar.
Let’s consider the facts: under Chibiya’s leadership ARO has been a beacon of growth, with revenue surging 26% in 2023, contributing a lion’s share to the group’s overall revenue growth. This is not a feat achieved by happenstance but through strategic acumen and a deep understanding of the diverse markets in which Absa operates across the continent. To attribute his potential reshuffle to performance would be a bit like questioning the very metrics of success that the corporate world swears by.
In addition, Chibiya’s tenure has been marked by a doubling of earnings to more than R6bn, accounting for nearly one-third of the group’s earnings. In a landscape where financial institutions grapple with the complexities of a post-pandemic recovery, such numbers are exhibit A for a leader who not only navigated the storm but emerged with sails unfurled and flags flying high.
Future strategy
So why would CEO Arrie Rautenbach want to move such a star performer from the executive committee? The answer may not lie in Chibiya’s past performance but, hopefully, in Absa’s future strategy. It’s no secret that Absa has said it has been deliberate about transformation aimed at fostering inclusivity and growing its own timber. Could it be that Chibiya’s reshuffle is part of a larger strategic realignment, one that seeks to redistribute expertise and experience within the group to bolster other areas that may benefit from his Midas touch?
It is also worth noting that Absa’s commitment to transformation and inclusivity isn’t just a matter of internal policy but a reflection of the broader societal shifts that demand representation and diversity at the highest levels of corporate governance. In this light, Chibiya’s potential move could be seen as a strategic play, positioning him as a catalyst for change in another sphere of Absa’s vast operations.
To be sure, Absa has declined to comment on whether Chibiya is being removed or being reassigned elsewhere in the group, citing employer/employee confidentiality. Still, the reshuffle, if it comes to pass, should be a strategic move by Rautenbach, who may want to leverage Chibiya’s proven track record to fortify other fronts within the group. After all, it is not uncommon for the strongest players to be redeployed to where they are most needed.
As we speculate about the reasons behind the move, it’s clear that Chibiya’s performance is not in question. It has been exemplary by all accounts. One can only hope that Rautenbach, who is not lost to the fact agility and foresight are prized in the fast-changing world of finance, is about to make a move that is less about performance culling and more about positioning for the future.
As Absa looks to the future, Chibiya’s role in Absa’s success story is far from over; it may simply be entering a new chapter, one that will undoubtedly be written with the same vigour and vision that he has brought to ARO. Alternatively, the reshuffle risks being viewed through other lenses.
• Motsoeneng is Business Day deputy editor
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