Altech – Pioneer in the South African ICT Industry: Path to Restructuring (Part A)

Description

Altech – Pioneer in the South African ICT Industry: Path to Restructuring (Part A): Abstract

Altech – Pioneer in the South African ICT Industry: Path to Restructuring (Part A) is a case study by Gillian Marcelle, Rita Sikhondze and Stephanie Townsend.

In 2010, Craig Venter, CEO of Allied Technologies Limited (Altech), reflected on Altech‟s successful growth over the past 14 years. In 1996, a drop in the share price had forced Venter to change direction drastically. From being heavily reliant on electronic products but with no specific focus, Altech was restructured into a group with a telecommunications, multimedia and IT (TMT) focus. It successfully diversified away from products towards services, with a concomitant increase in annuity revenue. Now, 14 years later, Venter had to face the challenge of maintaining the TMT focus on a daily basis. How, he wondered, should he steer the group’s strategy in the years to come?

See the Case «Altech – The Battle for Self-provision (Part B)»

Teaching objectives

The objective of this case is to get the students to discuss and understand the challenges of doing business in the ICT industry, in particular the challenges and the prospects when a company decides to expand and diversify. The students will have to understand corporate evolution and answer questions on, for example, what it takes to go beyond a company’s core business.

Additional information

Teaching Notes are only included with the «Licence Enseignement par professeurs/Teaching License».