Written by: Nick Kirby
Posted: 11/08/2011As Chief Executive of the Jersey Telecom Group, Graeme Millar is the man in
charge of overseeing the most ambitious growth plans in the company's history.
He talks to Nick Kirby about success, responsibility and driving ambition.
Picture this – you are
the head of a company
that is owned by the
government, so not
only are you answerable
to a ‘ruling body', you are also technically
answerable to the public that the
government represents. Plus you
are embarking on a five-year strategy
that is quite grand in its scope, and it's
undeniable that to a certain degree your
future depends on its success.
Personally I would be a nervous wreck
– but not so Graeme Millar, the CEO
of Jersey Telecom Group, who is in
that exact situation and seems to thrive
on the pressure of it. He was positively
chipper when he took the time to speak
to businesslife.co about his life, his job
and the future for the company he
proudly heads up.
You've been in your role for over 18
months now – what would you say
the major highlights have been?
The company has achieved a heck of
a lot in the last 18 months, and I think
it's important to say they are the
achievements of the whole company,
the whole team. We achieved the highest
ever turnover in the company's history
in 2010 and we're proud of that. We also
had a strong profit performance last year.
Last December we launched true fibre
1Gb services in Jersey, and a couple of
months ago we did the same thing in
Guernsey, which is a very big deal for us.
We've also just opened the Rue Des Prés
hosting facility, so we are the biggest
provider of data hosting in the Channel
Islands. One of the things we are really
trying to do is play a part in helping Jersey
as a whole punch above its weight in the
global arena.
What about the biggest challenges?
A large rationalisation of the company
had already been announced before
I arrived, so probably one of the biggest
challenges has been for the company
to reset its targets, re-establish its sense
of direction and get its ‘mojo' back. We
lost 100 colleagues 18 months ago, and
it's been a challenge to try and move on
from that because the whole company
is very close-knit.
Given your background in publicly
owned companies, how have you
found working for a Government owned
entity?
One of the things to understand about
Jersey Telecom is that we are structured
as if we were a corporate private
company or a listed company. We adhere
to the latest codes of conduct and the
governance process as issued in the UK for
listed companies. We have a strong board
of directors with a number of eminent
non-executives and the relationship
with the Shareholder [the States of
Jersey] is at ‘arm's length'. There is
also a Memorandum of Understanding
– a document in which the Shareholder's
wishes are clearly stated – so I have
a very clear mandate, which you don't
necessarily get from a listed company.
So, in reality, there is more clarity than
I've had before.
Do you think people have a
misguided view of what working
for a Government-owned company
is like?
Some people may have the idea that a
States-owned company is cold and sterile,
but it's not like that at all. This is the first
time I've worked for a business where the
shareholder is a government and I came
here not knowing what to expect, but
what I've found is a company that is very
friendly, and where there is a great sense
of community.
We've introduced the Jersey Telecom
Alumni Club because we worked out
that about one in every 100 islanders
had a direct family connection with the
company – either they themselves or a
family member have worked for Jersey
Telecom at some point in its history.
And it's different because if you
phoned up, say, BT from where you live
in Bristol, you might speak to someone in
a call centre in Aberdeen – you are never
going to bump into them in the street,
on the beach or in the supermarket. If you
talk to one of our service agents there's a
possibility that might happen. I think that
closeness to our customers is great.
Of course, all of this could be because
Jersey is an island!
You've spent most of your career with
Motorola and Vodafone, then more
recently with MTS in Russia who have
105 million mobile subscribers. Why
‘little' Jersey Telecom?
Well I'd probably respond to that firstly by
saying ‘not-so-little' Jersey Telecom! The
company is one of a very small number of
Tier 1 telcos in the world [providers that have
their own networks]. Also, we have fixed-line,
mobile telephony and broadband, and there
are very few companies in the world that are
‘triple play' players like ourselves that deliver
Tier 1 services. So, obviously, that in itself was
a big draw for me.
What's more, Jersey Telecom's got
an absolutely huge potential to grow,
the company's targets are undoubtedly
ambitious but far from unachievable, and
we are doing all this with approximately
300 people. It really is a great environment
to be working in.
The Regulator recently announced that
he welcomed more competition for the
fixed-line network. What do you make
of that statement?
We continue to deliver world-class products
and services and we offer great value for
money – and we see from where we had
competition in mobile that it sharpened us
up and we're stronger for it. So basically
I would say ‘bring it on'! I work in probably
the most competitive industry in the world
right now – not only is fixed-line under threat
from other providers but also from mobile
and VoIP. Jersey is a very dynamic market
place and there is already plenty of
competition for people's minutes.
I think one other thing worth saying on
the fixed-line side is that we should bear in
mind the scale of Jersey Telecom's investment
in the island's infrastructure. Without this
infrastructure there wouldn't actually be any
platform for competition.
Jersey Telecom recently embarked on a
five-year growth strategy. Can you share
some of the vision with us?
Quite simply our vision is to move Jersey
Telecom from being the telecoms provider in
Jersey to becoming a global telecoms provider
based in Jersey. Another way of saying that
is that we want to turn the Channel Islands
into a telecommunications hub for Europe.
For our customers that means world-class
internet, mobile and fixed-line services. For
islanders who are ultimately the owners of
the company, it means helping to secure the
island's prosperity.
How do we get there? One key part of the
plan is organic growth through acquisitions,
like we've seen with ekit. Because of that,
three months ago we started to sell our first
SIM cards in North America. With the ekit
acquisition, we now get over a third of a
million customers contracting for different
services around the world. Where acquisitions make sense, they are an important part of the
mix and the expansion.
Then there is the Gigabit Isles initiative,
which brings 1Gb broadband to Jersey.
All that fibre attracts companies to start to
relocate to Jersey because they see us as a
communications hub – which is great for us
and great for the island's economy as well.
We also recently signed a deal with a
Chinese company called UTStarcom who
are moving their research and development
facilities to our research facility in Jersey. This
is the start of a major new partnership that
will help support the diversity and growth for
Jersey's economy. Similar partnerships, where
appropriate, are also part of the plan.
In order to grow to the size you need, will
the States need to sell Jersey Telecom?
I don't think so. Obviously the ownership
of the company is really a question you need
to ask the States. But what I would say is that
we have a growth strategy, fully endorsed
by the Shareholder, that we're in the process
of executing. As we are growing and pulling
more money into the island, we are increasing
the capital value of the company for the
Shareholder, so I'm not sure what a change
of ownership would achieve.
Looking forward, what do you see as the
immediate areas of focus and what are
the key challenges?
I sometimes say to my people that I'm paid
to be paranoid. I'm generally worried about
whether we are serving our customers really
well, and what do we need to do better.
What's the competition up to and are they
finding ways of serving customers better
than us; and if so, what do we do about it?
There are a lot of good things happening
at the moment, such as the roll out of fibre,
and upgrades to processes and systems,
and we need to make sure that we keep
our momentum going while minimising risk.
We are absolutely focused on improving
things for our customers, and we have to have
our eyes wide open for the next cloud on the
horizon because there are always problems
that come along.
Do you see your role as long-term?
I‘m happy here. That said, I'm accountable for
the results of the company. I have to perform.
I'll stay for as long as I add value to the
company, and won't outstay my welcome!
Fact file
NAME: Graeme Millar
Age: 45
LIVES: St Saviour, Jersey
Married to: Penny
Children: Three – aged eight,
10 and 12
Interests: Other than family, the one
thing I'm most passionate about is
downhill skiing – I normally ski about
30 days a year.