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Why State Run Institutions, in Zambia, are Inefficient?

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By Wesley Ngwenya

If you went to a state run institution in Zambia, chances are you are going to have a negative experience. A simple question will not be answered by the person at the front desk. They will refer you to another officer who will also refer you to another officer who will tell you to come tomorrow. It is indeed a nightmare to deal with these institutions. Since oftentimes, I have to “do business” with these institutions I have made some observations why they are inefficient.

Political interference is perhaps the biggest stumbling block in making these institutions economically viable. Most state run companies have managing directors who are hired purely because they are MMD party members, supporters or sympathizers. Institutions such as National Housing Authority, Zambia Revenue Authority, Zambia National Broadcasting Corporation and Citizens Economic Empowerment Commission are just a few of the many institutions, in Zambia, headed by people who are MMD party members or supporters.

As long as government continues to interfere in the running of these institutions, through the appointment of senior management we will continue having third class institutions which will be delivering third class products and services. Political interference is a deadly virus in our economic system. The government needs to leave professionals head these organizations. In addition, they need to let the institutions run independently and become competitive on the marketplace.

Lack of accountability both by management and government is a huge problem facing these institutions in our country. The way resources are managed leaves much to be desired. No one seems to be accountable of anything in these government run institutions. By the way, when I talk about resources, I also mean human resource. There seem to be lack of accountability on how human resource is used in these places. I always wonder why there are so many people who are literally doing nothing. Other resources such as cars, fuel, phones and other benefits are abused. There is so much over-expenditure that needs to be urgently controlled.

Inability to execute and make decisions by senior management is a big problem facing our state run institutions. The decision making structure is complex, unclear and lacks consistency. Senior management is afraid to make both critical and simple decisions because they have to consult with government “just in case”. Therefore, decision making process takes overly long. If it is a company that has competitors, it leaves them lag behind while others forge ahead. Even when decisions are made, there is no execution and adherence to agreed upon plan. Things are just left to sort themselves out.

These institutions need to create a simple decision making process where both senior and junior managers need to be given powers to make decisions. In order to do this, the managers (especially juniors) need to be equipped with necessary information so that the turnaround of making decision is shortened. I look forward to be able to go into an office where I am referred to an officer who is able to help me completely without referring me to another officer.

Position driven not performance driven culture is one other thing destroying our state run institutions. People working for state run institutions seem to be obsessed with titles. It is more important to address them with fancy titles than to look at their performance. That is why oftentimes their job descriptions and key result areas are vague. This is also the reason why they end-up over-employing because it takes two or three to do a job that could otherwise be done by one person.

About a year ago, an officer from a government run institution was offered a job by a Non Governmental Organization (NGO). His contract could not be extended because he could not perform. This person had quite a senior position in the government run institution. He never used to do much in this job. He was offered quite a junior job but of course the pay was good. He could not write reports or meet deadlines.

The danger of having people in positions who are doing little or nothing creates a risk of breeding a workforce that is not performance driven. In fact, it promotes laziness. There is need to create measures in order to monitor and evaluate performance for every personnel in the organization.

High management and operational costs make these institutions less competitive. It is difficult for some of them, such as ZESCO, to make profits or let alone break even because their management costs as well as the operational costs are too high. Even when they continue to raise the price of their products they continue to be dysfunctional. These companies need to come up with cutting edge products and improve on delivery. What more if we had competitors on the market would they survive?

Unskilled and de-motivated employees is also a major factor that makes state run institutions inefficient. Most employees in these institutions are stuck to their old ways of doing things. Even in this era of computers they still cannot tune themselves to starting using them—even when they are right there on their desks. They are slow in delivering and there are no signs of this changing anytime soon. They lack cross-organizational experience having only worked with one employer for 20 to 40 years. They are therefore unable to remain innovative for their employers. These employees are de-motivated because there is no motivation from the top. The working conditions for the employees on the ground are terrible.

Nepotism is one virus that has crept all levels of Zambian society. It is in our schools, churches, workplaces, in our cities, rural areas and just about everywhere. It is worse in government and state run companies. Since many of these senior managers are hired using the same virus, they also tend to use the same methods to hire their own.

There is a classic example in the recent government sold ZAMTEL to LAP Green of Libya. A whole extended family lost their jobs. There were uncles, aunties, fathers, sons, daughters, cousins, and nephews—the whole clan. I feel sorry for them although many of them got an unfair advantage over many other Zambians who were qualified and could have performed their lost jobs better perhaps.

Zambia needs a work culture revolution if it has to meet the Millennium Development Goals by 2015 let alone becoming a middle income country by 2030. It should start with our politicians who are purely financially driven as opposed to service driven. Little wonder why we continue getting poorer and poorer 46 years after independence. It is time we turned tables around by introducing new ideas in the system. We need fresh and vibrant young men and women to run our state institutions. We even need fresh young men and women to run government. Last but not the least we need a fresh and young person lead government. Maybe things will move just for once.

24 COMMENTS

  1. The most annoying and saddest part is that all this talk falls on deaf ears.

    What has happend to the ZWD website? Seems they had their bottom kicked big time. Anyone who has an idea?

  2. do you want charles kakoma to be appointed MD ZNBC or editor times of zambia hell no. should winter kabimba be attorney general or cornelius mwitwa high court judge. should sata be appointed inspector general of police or HH finance minister hell no you appoint pipo who are well qualified and you sure they will work with you not against you. sata hand picks all his cohorts in pf be it MP candidate or MCC, give him chance to rule then you will know what nepotism means

  3. I think there is a need to accept state run institutions have got a major role to play in the development of the nation. They are the only institutions which can deliver services to meet the needs of the people of the Country. They did so in years past when they were funded with funds generated from the Country’s resources. They were then accountable to the people of Zambia. The trouble now is that the institutions are funded with funds from the so-called co-operating partners. We now have a situation were the best brains in the Country and institutions are paid just to write reports in order to satisfy the donors that their money is well spent. I have yet to see a survey in local languages, funded by donors, which shows how Zambians have benefitted from whatever. Resource management!

  4. Man, your article tries very hard to be objective, and I salute you for that. I wish to just add that most of the points you have raised are in fact symptoms of the key problem: unprofessionalism. In these state institutions, you will fine very educated people nowadays. They have recruited graduates left right and centre. However the educated have failed to refuse to be bullied by politicians. If all the professionals of these state institutions acted professionally, politicians would have gotten the message by now, and things will start changing. For instance, the Engineer would refuse to compromise of specifications; the accountant woudl refuse to massage figures, the lawyer would refuse to aquit based on lies, and the list can go on and on and on

  5. Yes there is a lot of intimidation fro leadership, but we all stand to benefit if we could uphold professional ethics, and accept to give people respect, and not to be indimidated. A case in point is that of our judicial decisions of previous weeks, am sure many lawyers are hurting for their profession. Yes there is corruption everywhere, but the level in other countries is negligible; tha which cannot destroy the facbric of society and governance as is the case in Zambia. The starting point to solve this problem is: profesional ethics. It will take generations though, 20 to 30 years to change, but we need to start now.

  6. As long as poverty is not addressed this situation will always continue. What is the use of upholding professional integrity when you cant pay your bills. The public is also to blame for the situation. If it was in countries like france, there would have been demostrations.

  7. This Building (ZRA Revenue House) is an eye soar. It looks horrible and like one situated in the capital of War-tone ungovernable state. This is the Headquarters of a national revenue body which amasses thrillions from every unit: households, businesses, workers etc.
    What are thet telling would-be investors in Zed? That you’re free to build and maintain your stuctures the way you feel like, instead of being role models. This building should be demolished including that newly extended wing. We pay too much tax to have such a stucture in the centre of our capital city

  8. While agree with you on nepotism i totally disagree on government interferance so a large extent ,a case in point is ZESCO for example ,the MMD’s manifesto of 1990 was to embark on rural electrification programme and indeed GRZ does run ZESCO through management and appointments made GRZ was confedent that the pipo appointed will carryout the vision as stated in manifesto lets face it rural electrification programme has achieved some very good results .ZESCO has introduced pre paid meters this is also in bid to become more efficient.When people steal money or time it is not the government sending to do so if you know some of the thieves report them to police ACC or Fred Mmeembe .Time to just criticize is gone lets move forward by been proactive and objective .Zambia belongs to all of us .

  9. #6: I agree with you poverty can be a root cause of many problems. However, poverty is not an excuse for a person to conduct themselves unprofessionally. In fact, you will find that the people who steal are not poor at all, they are rich and have an advantage in many things in society. I once taught in a very poor region of the Bangweulu lagoons, Samfya District. I was astonished how we need not use locks for our houses even if you leff the house for 1 months holidays. People were materially poor, but, they were a great example of accountability and integrity. Todate, they left a great impression in me to just work hard for things. We can change many things at individual level if we, the professionals, can uphold our professional integrity; Zambia first, me second!!

  10. Tough one! Government would want to work with people who are sympathetic to its cause., those that would want to see it succeed. It is highly unlikely that they would appoint somebody who work against their policies. What matters is that people appointed should strive to be professional in the execution of their duties. Late president Mwanawasa appointed Dr. Bwalya Ng’andu from opposition FDD to run DBZ, am not sure what is performance was like. All in all, I think the biggest draw back is nepotism, this what has led to all these inefficiencies that we in some of these public institutions. The family tree of the past government led to further family trees at institution that these people were leading. Even lower positions like that of cleaners were taken up people related to some CEOs.

  11. Is Ngwenya an LT employee or free lance? looks like the sky is the limit for your approach to journalism. I have read a few articles you have written, though you gramma needs some polishing-you are really getting us sharing our sentiments and informed. As an example, i applied for a birth certificate for my daughgter 1 half yrs ago, every time i send for it, they tell me its not yet out? These are magistrates? Its a pity everyone is become as useless as they become in zambia. Infact fwaka@4 u r right, these institutions have taken on boared the learned but there is some sort of indoctrination going on. You will be amazed that,taking finderprints to start work will take almost 2 weeks after paying 12$. People will not respond to you in these institution if you dont carry extra money….!!!!

  12. #10 fwaka i salute you Sir/Madam. you are very right, most people stealing from the national accounts are very rich compared to an average Zambian. i think what people are lucking is patriotism and desire to develop the country. some feel good when others are poor so they show off. Zambian professionals should put the need of the general public before their own. no country can ever develop without its citizens sacrifice. we all have to do something for mother Zambia. and we should refuse to be used the powers that be.

  13. A good article. The big monisters do not find time to read some of these articles.They only have time to steal.How can a serious president take almost a week for consultations in Mozambique?

  14. But naikaba . we have intelligent chaps roaming the streets while empty tins with relatives in high positions are employed….too sad indeed:((

  15. Ahhh bottom power also allows for elevation to CEO….some current sisters intelligent as they are have risen because of thinking legs in air will help..but when people know thats how you got there the respect goes out of the window and no matter what everyone sees you with one set of eyes…

  16. The paragraph “there is a classic example in the recent government sold ZAMTEL to LAP Green of Libya. A whole extended family lost their jobs. There were uncles, aunties, fathers, sons, daughters, cousins, and nephews—the whole clan. I feel sorry for them although many of them got an unfair advantage over many other Zambians who were qualified and could have performed their lost jobs better perhaps.” Why always blame the workers for ZAMTEL’s woes? Check you facts also about the 10 years of lack of reinvestment by the share holder (GRZ). Some of you seem to be bitter that may be you had no chance to fulfill your desires of serving in ZAMTEL. For your information many of these workers were qualified to handle the tasks at hand

  17. Fact is we are the problem.Two months or so ago Ngwenya wrote of the carefree culture of zambian bank workers.Even a road building contract to a private zambian co leaves a bitter taste and you end up awarding the chinese.Ours is not a culture of continous improvement,maintenance,trying new ideas,new frontiers and attention to detail.That ZRA building,the dirty residential areas are symbols of this culture and we built our huts the same way,never improving design/materials for long till outside ideas came.Succees demands exacting,demanding and stringent standards which are to a large extent too much to bear for most.Those asians in our midst who run successful enterprises are doing so in the same unforgiving environment as you and me.Our companies have failed not because they’re gov’t…

  18. contined..
    run but due to our work ethic shortcomings not money.The only time success comes before work is in the dictionary.You have to treat motivation and improvement as food or bathing which you need everyday and have independent evaluators critique you work.This should not be seen as someone to undermine you as success never comes easily.Either way you will experience discomfort.Question is do you want the discomfort that yields success or the discomfort that comes from cowardice.The choice is yours.

  19. Parastatals are always prone to these problem and thats why some countries and schools of thought discourage them. Wherever you go they tend to suffer from a myriad of problems revolving round lack of profesionalism and unclear strategic objectives. In my view their is need to redefine the role they will play the country and constitute competent boards that have some security of tenure

  20. ” As long as government continues to interfere in the running of these institutions, through the appointment of senior management we will continue having third class institutions which will be delivering third class products and services. ”

    What is needed is a constitutionally outlined separation powers (hiring and budgets) of:

    1) The powers of state – the Executive, Legislature and Judiciary

    2) The Government and the State

    I.e. the President and Cabinet, and the permanent business of government, the civil service and parastatals.

    3) The Party In Government and the Government

    Between UNIP and MMD and the President and Cabinet.

  21. The men and women who have ruled Zambia since the 1970 one party state have never learned. The parastatals could have been the engine of Zambia’s prosperity if business sense was put before party political interests. Kaunda’s UNIP was notorious for abusing parastatals as they funded UNIP congresses and many other things. Chiluba’s MMD with his cronies pretended to be free market protagonists but they too r a p ed these institutions until they were bled dry to sell them off for a chorus! Until today, there are no lessons learnt. Perhaps all our leaders are control freaks. I hope RB will make a difference, at last.

  22. Well written article, last week my niece went to the ministry of Education to collect a letter and for three days she was told there was no one in the dept to sign the letter and yet she had paid for this service. Later went to the passport office it took one week to collect the passport and yet she had paid for this service.And when you phone these offices, they will say “hello please hold on, so you are calling from London” they dont know that just making a phone call is expensive.

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