Botswana Post cuts losses
Botswana Post has taken a positive turnaround performance in the revenue streams despite the negative impact brought by the use of technology tools. In its year ended March 2017, the organisation has reduced its loss position by 51.9 percent to P12.9 million compared to P27.4 million recorded last year. In its 2017 annual report Botswana Post Chief Executive, Cornelius Ramatlhakwane said the parastatal have managed to expand its revenue base despite the fact that the mail business has taken a large hit during the period. Mail revenues declined by 9.1 percent as many of our large institutional clients such as commercial banks and government agencies have migrated to electronic platforms. “We at Botswana Post see this setback as temporary.
We now have access to leading edge innovations such as Reverse Hybrid Mail, which will enable us to pivot and revive these relationships with the important clients we served for many years. Through technology we are able to recover these income streams and even grow them,” he said. He said Botswana post is currently halfway through its two year turnaround strategy (operational Efficiency Execution Plan) which began in the 2015/2016 financial year in which the operating losses reduced by 24.7 percent.
“Today Botswana Post finds itself in a par superior financial situation than any other time in our recent history,” said Ramatlhakwane.To diversify revenue streams Botswana Post leveraged on mobile technology and introduced the Botswana Post App (available for download on both Android and iOS devises). Ramatlhakwane said their growth plans go beyond Botswana. They are currently in the process of generating revenue streams from within the region by completing money transfers with other postal operators. The post is already transacting with Zimbabwe, South Africa, Lesotho and Swaziland. “We believe we can connect the entire region and will be in Malawi soon. Our intention is to do that and more, ultimately reaching out beyond the diaspora,” said Ramatlhakwane.The company is hoping to return to profitability when year ends results are announced next year after March 2018.