Last November we ran a story on Spark, the big oligopoly telecoms company, which used to be big monopoly company Telecom NZ, privatized in 1990. We reported how its share price had collapsed from $NZ 5.30 in January 2024 to around $NZ 2.80 by November 2024. Its now trading at $1.96, a decline of 66%. About $NZ 6 billion has been wiped off its market capitalization. Let's repeat our comment about its top leadership team, reminding our readers who've recently joined about the backgrounds of Spark Board Chair Justine Smyth & its Chief Executive Officer, Jolie Hodson:
CEO Hodson is an Aucklander, having done a Bachelor of Commerce degree at the University of Auckland. Chairperson Smyth is an Aucklander, having done a Bachelor of Commerce degree at the University of Auckland.
CEO Hodson's BCom was in Accounting. She graduated in 1991. Board Chair Smyth's BCom was also in Accounting. She graduated in 1990. The two of them overlapped, in terms of doing the same degree, at the same University, in the same subject.
The CEO and Chair of Spark are almost the same age - in their early 50s - they finished their undergraduate degrees at similar times.
CEO Hodson worked at accounting firm, Deloitte's from 1992 to 2000. Chairperson Smyth, worked at Deloitte's from 1997 to 2000. They again appear to have overlapped.
CEO Hodson then worked at Lion, the brewery, in Sydney, Australia, from 2000 to 2003. Chairperson Smyth also worked at Lion - it also appears in Sydney - from 2000 to 2012. They again appear to have overlapped.
CEO Hodson became Spark's Chief Financial Officer around 2013. Chairperson Smyth became Spark's Chair in 2017. In 2019, Hodson was appointed the new CEO.
Having no training in tech is no barrier to running a Big Corporate tech company in NZ. It wouldn't open one door for you in Silicon Valley. For an economist, it prompts the question as to whether NZ's stagnation is due to public sector bureaucratic & political failure in Wellington - or is due to private-sector market failure in Auckland. Seems the answer is actually not obvious. Maybe our Board Chairs and CEOs should take a look at themselves before pontificating about where our government has gone wrong.
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