The abrupt resignation of Ahmad Farroukh as CEO of Globacom after just one month in office has sent ripples across the telecom industry. While details remain murky, this departure sheds light on the internal dynamics and broader challenges that Africa’s telecom behemoths face in navigating leadership transitions, governance, and operational complexities.

Farroukh, a seasoned executive with a stellar record at global telecom giants like MTN and Airtel, was expected to bring his wealth of experience to reposition Globacom. His appointment in October 2024 was heralded as a strategic move to reinforce the company’s position amidst rising competition and regulatory pressures. However, his resignation, confirmed by industry insiders, has raised questions about whether the environment at Globacom allowed room for the transformative leadership he was likely to envision.

Governance at a Crossroads

Globacom, founded by billionaire entrepreneur Mike Adenuga, has long operated as a crucial player in Nigeria’s telecom space. Yet, the company’s decision-making structure remains centralised, with Adenuga playing a key role across its operations. While this approach has driven Globacom’s success over the years, it may have also created hurdles for leaders like Farroukh, who are accustomed to more decentralised and autonomous governance frameworks.

“Farroukh’s resignation is a reminder that leadership goes beyond individual expertise—it requires systems that enable and empower decision-making,” said a former Globacom executive who requested anonymity. “Globacom has always thrived on its founder’s vision, but the complexities of today’s telecom industry demand a more collaborative structure.”

The Weight of Regulatory and Market Pressures

Farroukh’s tenure came during a tumultuous period for Globacom. The Nigerian Communications Commission (NCC) recently flagged the company for non-compliance with mandatory NIN registrations, affecting over 40 million subscribers. This compliance gap resulted in a significant loss of market share, reducing Globacom’s presence in the Nigerian telecom market to just 12%.

In addition to regulatory challenges, Globacom has faced reputational blows from cybersecurity breaches, including a 2023 hack that compromised subscriber data. These incidents emphasise the urgent need for robust systems that ensure compliance, security, and customer trust—areas where a leader like Farroukh could have made an impact if given the latitude to implement changes.

What’s Next for Globacom?

Farroukh’s resignation highlights the urgency for Globacom to reassess its governance and operational strategies. As Africa’s telecom market evolves, companies must balance visionary leadership with structural adaptability to remain competitive. Without addressing the factors that led to Farroukh’s exit, Globacom risks falling behind in an industry where innovation and agility are key.

In a statement reflecting on the situation, Ayoola Oke, a former adviser at the NCC, remarked, “A CEO leaving in one month is unprecedented. It raises questions about corporate governance and the alignment between leadership and operational frameworks.”

Globacom’s future hinges on its ability to embrace structural reforms while retaining the entrepreneurial drive that has been its hallmark.

The Bigger Picture

Farroukh’s departure serves as a case study for the challenges faced by African enterprises as they scale and compete on a global stage. It also highlights the need for governance models that empower leaders to drive change while respecting the unique cultural and operational contexts of the region.

Globacom remains a cornerstone of Nigeria’s telecom industry, with vast potential to influence the continent’s digital transformation. The question now is whether the company will seize this moment to evolve and adapt, ensuring its continued relevance in a rapidly changing landscape.

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