GSSC appoints CEO

Johannesburg, 31 Mar 2009

Newly-appointed Gauteng Shared Services Centre (GSSC) CEO Molaodi Khutsoane has not only inherited the top seat at the agency, but also all the issues which come with it.

Following the recent resignation of Mike Maile, the GSSC announced the appointment of Khutsoane. It is speculated that Maile - who was with the agency for three years - resigned because he struggled to correct many challenges facing the GSSC.

Maile was expected to vacate his position on 31 March - but has since had his notice extended. Khutsoane will assume the position of CEO on 1 of August, following the departure of Maile at the end of July.

In keeping with previous CEO appointments at the agency, Khutsoane is from within the ranks of the GSSC. He is currently the agency's chief operating officer and joined the organisation in 2004 as general manager for human resources services.

Finance and economic affairs MEC Mandla Nkomfe, who was responsible for the appointment, affirmed his confidence in Khutsoane, saying: “He possesses the requisite skills to steer the GSSC to new heights. He has done a good job presiding over the steering committee preparing for the transformation of the GSSC from the current department to an agency.”

According to the GSSC, he has 10 years of senior management experience in the public service. He previously served as senior human resources manager for the National Prosecuting Authority and lecturer at Wits.

Top priorities

Khutsoane, in his appointment as CEO, will be tasked with overseeing key IT programmes, namely Gauteng Online, e-government services and IT security services. Earlier this year, Nkomfe allocated the GSSC R3.8 billion for the completion of its IT projects.

Some R1.2 billion has been budgeted for the troubled Gauteng Online schools project. The initiative aims to roll out 25-seat computer labs with PCs and full Internet connectivity to the 2 500 public schools in the province.

Since 2007, the initiative has been hard hit by crime syndicates. The GSSC reports it isn't aware of the extent of the crime as investigations are still under way.

Improprieties

The GSSC has been riddled with allegations of improprieties for years. In 2004, former CEO Mike Roussos was dismissed after it surfaced he had links to a company that was awarded a R52 million contract. He was also linked to alleged fraudulent activities involving R4.6 million, with a company contracted by the GSSC.

Gauteng premier and previous MEC Paul Mashatile was accused of nepotism after an IT company, which employed his daughter at the time, successfully tendered for a multimillion-rand tender with the agency.

Maile's appointment as CEO and in 2005 also resulted in some controversy. Following the awarding of a R50 million tender to Business Connexion, it emerged both Mashatile and Maile had relationships with the company.

In 2006, it came to light that the GSSC lost tens of millions of rands in government funds through salary payments to “ghost” workers. The Democratic Alliance questioned whether a two-week systems failure at the GSSC due to a virus should rather be linked to corrupt activities at the shared services centre.