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Chris Zacca calls on the private sector to play its part in nation building
By Al Edwards
Friday, June 19, 2009
Yesterday, the Deputy Chairman of the ATL/Sandals Group Christopher Zacca handed the baton as president of the Private Sector Organisation of Jamaica (PSOJ) to Joseph M Matalon.
ZACCA... what is most gratifying to me is that I am leaving the PSOJ in a very sound position with a strong administrative staff
Speaking with Caribbean Business Report from ATL's headquarters on Half-Way-Tree Road in Kingston, earlier this week, Zacca reflected on his two-and-a half-year tenure as the boss of the country's leading private sector body.
"It was a great experience and I learnt so much from contributing to the country's business sector. What is most gratifying to me is that I am leaving the PSOJ in a very sound position with a strong administrative staff headed by Sandra Glasgow," said Zacca.
Zacca is acknowledged as one of the brightest of the next generation of business leaders. An engineer by training and a graduate of MIT with an MBA, he has played a role for many years in turning the ATL/Sandals Group (with interests in hotels, appliances, car sales, and media) into one of the most formidable corporations in the Caribbean. So what does he see as the highlights of his presidency?
Highlights of Zacca's presidency
"I feel that we have a much better relationship with the government and in particular with the civil service. The model that we created through the National Planning Summit of having expert teams comprising both members of the private and public sector can only benefit both the country and the business sector going forward. The Tax Reform Committee was a good example of that. For the first time we had a number of private sector representatives working with the government on tax issues relating to the budget before the budget was announced. We succeeded in getting the private sector in helping the government on a voluntary basis and I am proud of that. There are still some fundamental changes that need to be made in this country. Now did we accomplish a lot of these changes? Probably not as much as I wanted to, but I think we have set a framework going forward where we can achieve real change in Jamaica."
Many of the past presidents of the PSOJ have looked back wistfully and lamented that perhaps they could have done more. In many instances, and this may well have been the case with Zacca, it is extremely difficult to contend with championing the private sector and positioning it at the centre of national affairs while running major companies and the implicit demands that go with that. It therefore begs the question, should the tenure of the presidency be extended so that presidents can formulate a mandate and then proceed to effectively execute it?
"I think that two-and-a half years is more than enough time to serve as president of the PSOJ. You need renewal in all organisations, and an injection of fresh thinking. When I reflect that during my tenure we had a change of government and my first year saw a general election. Following that we were faced with a global recession the likes of which has not been seen since the Great Depression of the '30s. We were forced to do a lot of firefighting and lobbying for stimulus packages. These kinds of things are not developmental but rather measures to cope with the adverse effects of this current crisis. With that in mind I am very happy with what I accomplished."
Getting the parties around the table
Now an immediate past president, Zacca is generally acknowledged as adopting an effective conciliatory approach, getting the respective parties around the table and fostering greater co-operation from the private sector. He concedes that he was unable to get the Jamaica Chamber of Commerce (JCC) and the Jamaica Manufacturers Association (JMA) to rejoin the PSOJ, but he was able to create a far more harmonious working relationship.
Zacca paid particular attention to bringing in the rural factions of the JCC - more notably, Mandeville, Ocho Rios and Montego Bay - into the fold through the Council of Presidents and making them feel part of the process. "When you are trying to operate in the difficult business environment that we have faced in this country since the 70s, it is always tough for everybody to agree, but what I will say, though, is that things are going in the right direction and the heads of the private sector bodies are far more in tune with each other and are more communicative than perhaps they were in years gone by," said Zacca.
The bookends of his time as president of the PSOJ was the former CEO of the country's leading bank BNS, Bill Clarke, pulling the institution out of the PSOJ and earlier this year BNS rejoining Jamaica's largest private sector body, albeit under a new CEO, Bruce Bowen.
"This marks the end of a difficult period between the PSOJ and BNS. It was no fault of BNS, it was just one of those things and now it's over and we move on and look forward to resuming a cordial and productive relationship. BNS has a huge role to play in the development of the private sector, and I am very happy they are back.
Seeing his legacy go on
Now that he has handed the baton to Joe Matalon, what would Zacca like to see the new president keep and develop under this new period for the PSOJ? "I would expect to see the continued coorporation of all the associations. I would also like to see the Council of Presidents maintained under the leadership of the PSOJ.
"It would be heartening to see a continued focus on fiscal discipline and a focus on a return to the rule of law. It is very important that we maintain the push for greater production and exports because that is the engine of growth going forward. I do believe that next year will see us come out of this recession and the next head of the PSOJ will have an opportunity to build upon the work we did on deciding how are we going to turn this country toward greater growth."
10,10,10 tax policy
O<span style="font-weight: bold">ne of the most innovative ideas advocated by Zacca was a 10, 10,10 tax policy which would be more equitable and widen the tax net.</span> It did not gain much traction but would make a quantum leap in garnering tax revenues in this country.
"I've always felt that informality is a big part of the problem in this country, which leads to no growth. Jamaica has many good entrepreneurs and small business people out there but it is so hard to be formal and legitimate because of the bureaucracy and high costs.
Now a big part of that, in my view, is taxation. If we can simplify taxation and reduce the rates considerably, we could get an explosion of growth in this country and the burgeoning of formality with business enterprises. <span style="font-weight: bold">"I have pushed for us to go with a ten per cent tax rate across the board - that is income tax, GCT and custom duties.
Everybody should pay these taxes with no exception for waivers etc.</span> I believe that the new president of the PSOJ will continue with this approach."
Christopher Zacca is approaching 50, having been ATL/Sandals top executive for many years and completed his period as president of the PSOJ. He now intends to take stock of his life, reflect and decide upon the new challenges he would like to face.
"I regard my tenure at the PSOJ as public service and it has been very gratifying. I think this country needs more business people to go into public service. We should all commend Don Wehby for what he did for this country over the last two years. It is a model that warrants further examination by business people.
Now I would not say that is my plan, but I do think all of us should consider giving back more as we go forward.
"The ATL/Sandals Group that I have been privileged to be a part of is at a point now where its future is secure with an extremely talented management team in place. It is poised for doing even greater things in the market and has plans for expansion in all its areas of business. This allows me the opportunity to take a deep breath and look at what is next for Chris Zacca".
By Al Edwards
Friday, June 19, 2009
Yesterday, the Deputy Chairman of the ATL/Sandals Group Christopher Zacca handed the baton as president of the Private Sector Organisation of Jamaica (PSOJ) to Joseph M Matalon.
ZACCA... what is most gratifying to me is that I am leaving the PSOJ in a very sound position with a strong administrative staff
Speaking with Caribbean Business Report from ATL's headquarters on Half-Way-Tree Road in Kingston, earlier this week, Zacca reflected on his two-and-a half-year tenure as the boss of the country's leading private sector body.
"It was a great experience and I learnt so much from contributing to the country's business sector. What is most gratifying to me is that I am leaving the PSOJ in a very sound position with a strong administrative staff headed by Sandra Glasgow," said Zacca.
Zacca is acknowledged as one of the brightest of the next generation of business leaders. An engineer by training and a graduate of MIT with an MBA, he has played a role for many years in turning the ATL/Sandals Group (with interests in hotels, appliances, car sales, and media) into one of the most formidable corporations in the Caribbean. So what does he see as the highlights of his presidency?
Highlights of Zacca's presidency
"I feel that we have a much better relationship with the government and in particular with the civil service. The model that we created through the National Planning Summit of having expert teams comprising both members of the private and public sector can only benefit both the country and the business sector going forward. The Tax Reform Committee was a good example of that. For the first time we had a number of private sector representatives working with the government on tax issues relating to the budget before the budget was announced. We succeeded in getting the private sector in helping the government on a voluntary basis and I am proud of that. There are still some fundamental changes that need to be made in this country. Now did we accomplish a lot of these changes? Probably not as much as I wanted to, but I think we have set a framework going forward where we can achieve real change in Jamaica."
Many of the past presidents of the PSOJ have looked back wistfully and lamented that perhaps they could have done more. In many instances, and this may well have been the case with Zacca, it is extremely difficult to contend with championing the private sector and positioning it at the centre of national affairs while running major companies and the implicit demands that go with that. It therefore begs the question, should the tenure of the presidency be extended so that presidents can formulate a mandate and then proceed to effectively execute it?
"I think that two-and-a half years is more than enough time to serve as president of the PSOJ. You need renewal in all organisations, and an injection of fresh thinking. When I reflect that during my tenure we had a change of government and my first year saw a general election. Following that we were faced with a global recession the likes of which has not been seen since the Great Depression of the '30s. We were forced to do a lot of firefighting and lobbying for stimulus packages. These kinds of things are not developmental but rather measures to cope with the adverse effects of this current crisis. With that in mind I am very happy with what I accomplished."
Getting the parties around the table
Now an immediate past president, Zacca is generally acknowledged as adopting an effective conciliatory approach, getting the respective parties around the table and fostering greater co-operation from the private sector. He concedes that he was unable to get the Jamaica Chamber of Commerce (JCC) and the Jamaica Manufacturers Association (JMA) to rejoin the PSOJ, but he was able to create a far more harmonious working relationship.
Zacca paid particular attention to bringing in the rural factions of the JCC - more notably, Mandeville, Ocho Rios and Montego Bay - into the fold through the Council of Presidents and making them feel part of the process. "When you are trying to operate in the difficult business environment that we have faced in this country since the 70s, it is always tough for everybody to agree, but what I will say, though, is that things are going in the right direction and the heads of the private sector bodies are far more in tune with each other and are more communicative than perhaps they were in years gone by," said Zacca.
The bookends of his time as president of the PSOJ was the former CEO of the country's leading bank BNS, Bill Clarke, pulling the institution out of the PSOJ and earlier this year BNS rejoining Jamaica's largest private sector body, albeit under a new CEO, Bruce Bowen.
"This marks the end of a difficult period between the PSOJ and BNS. It was no fault of BNS, it was just one of those things and now it's over and we move on and look forward to resuming a cordial and productive relationship. BNS has a huge role to play in the development of the private sector, and I am very happy they are back.
Seeing his legacy go on
Now that he has handed the baton to Joe Matalon, what would Zacca like to see the new president keep and develop under this new period for the PSOJ? "I would expect to see the continued coorporation of all the associations. I would also like to see the Council of Presidents maintained under the leadership of the PSOJ.
"It would be heartening to see a continued focus on fiscal discipline and a focus on a return to the rule of law. It is very important that we maintain the push for greater production and exports because that is the engine of growth going forward. I do believe that next year will see us come out of this recession and the next head of the PSOJ will have an opportunity to build upon the work we did on deciding how are we going to turn this country toward greater growth."
10,10,10 tax policy
O<span style="font-weight: bold">ne of the most innovative ideas advocated by Zacca was a 10, 10,10 tax policy which would be more equitable and widen the tax net.</span> It did not gain much traction but would make a quantum leap in garnering tax revenues in this country.
"I've always felt that informality is a big part of the problem in this country, which leads to no growth. Jamaica has many good entrepreneurs and small business people out there but it is so hard to be formal and legitimate because of the bureaucracy and high costs.
Now a big part of that, in my view, is taxation. If we can simplify taxation and reduce the rates considerably, we could get an explosion of growth in this country and the burgeoning of formality with business enterprises. <span style="font-weight: bold">"I have pushed for us to go with a ten per cent tax rate across the board - that is income tax, GCT and custom duties.
Everybody should pay these taxes with no exception for waivers etc.</span> I believe that the new president of the PSOJ will continue with this approach."
Christopher Zacca is approaching 50, having been ATL/Sandals top executive for many years and completed his period as president of the PSOJ. He now intends to take stock of his life, reflect and decide upon the new challenges he would like to face.
"I regard my tenure at the PSOJ as public service and it has been very gratifying. I think this country needs more business people to go into public service. We should all commend Don Wehby for what he did for this country over the last two years. It is a model that warrants further examination by business people.
Now I would not say that is my plan, but I do think all of us should consider giving back more as we go forward.
"The ATL/Sandals Group that I have been privileged to be a part of is at a point now where its future is secure with an extremely talented management team in place. It is poised for doing even greater things in the market and has plans for expansion in all its areas of business. This allows me the opportunity to take a deep breath and look at what is next for Chris Zacca".
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