Tim Adam -Getting Ready for the Challenge
Mr. Tim Adam,CEO Cable and Wireless (Cayman) Ltd.
Tim Adam, no doubt the star of the internationalcommunications giant's worldwide holdings, heads up Cable andWireless (Cayman) Ltd - the largest private sector employer andmost profitable in the Cayman Islands - believes that the companyis ready for competition in an open market and even relishes thethought, confidently expecting the firm to distinguish itselfas the best solution to telecommunication needs here.
Such a view of the CEO comes against a backdropof recently announced government intention to begin a processof disbanding the decades old communications monopoly held inthe Cayman and open the sector to other players.
Mr. Adam can even see a benefit to liberalisation,saying, "We share the aim of Government to conduct thesenegotiations at such a level, that the Cayman Islands can be usedas a model for other countries undergoing the liberalization process".
Since 1973, Cable & Wireless has beenthe only telecommunications provider in the Cayman Islands accordingto an exclusive business arrangement with the government, whichexisted up until 24th October. While appreciating Cable &Wireless for its exemplary customer service, many customers havecriticized the company's monopolistic practices that dictate,in particular, high connection fees and overseas calling costs.
Customers who previously have had no otheroption, welcome liberalization and anticipate better deals whencompetition is introduced. Liberalization has been instated throughoutthe Caribbean where Cable & Wireless has formerly had a stronghold to the general benefit of the public.
Mr. Adam confirms that Cable & Wirelesshas been preparing for a liberalized market for some time, evenbefore the company was given formal notice in a letter from thegovernment on 23 October. The company continually strives to streamlineoperations, cut costs and look for more efficient business practicesbut Mr. Adam admits that he expected the Cayman Islands to bemore hesitant than other Caribbean regions about an open market.
Tim Adamwith Andrea Fa-moe, Corporate Communications Manager an integralmember of his highly professional team
He believes that Cayman, with its sophisticatedinfrastructure, is more conservative than other Caribbean countries.A stable, comfortable environment has proven to be good for theeconomy and has given investors the confidence necessary to buildthe islands into the leading financial centre that it is today.
The government, which has recently comeunder pressure to modernize and move forward, believes that itis for these very reasons that competition is necessary and expectscompetition to bring more business into the islands. Mr. Adamwarns the public, however, not to expect a sudden slash in pricesonce competition is introduced. Instead, Cable & Wirelessis hoping that the liberalization process will be entered intoconservatively, with carefully laid out ground rules.
"All we have said from the outset isthat we want the process to be fair, equitable and orderly. Atthe end of the day, we must ensure that our customers, employeesand all other stakeholders are the beneficiaries of this transition.We are committed to having regular discussions with governmentsacross the region to keep the process moving and to ensure a smoothtransition to liberalization," Mr. Adam says.
Cable & Wireless has organized a supportteam with liberalization experts, legal experts and technicalexperts who will assist with negotiations. "Everyone on theteam is committed to working with Government to create a fairand robust competitive marketplace in Cayman," he explains.
The government has also decided to conductan audit and under the franchise agreement, the government reservesthe right to do so from time to time to confirm the accuracy ofthe calculation of the license fee payments. Mr. Adam says thatCable & Wireless is cooperating fully with the governmentin this effort.
Cable & Wireless brings a significantamount of experience and expertise to the drawing board and Mr.Adam hopes that this will be given proper recognition. Aside fromthe substantial investments the company has made in training itsninety percent Caymanian staff, Mr. Adam claims that in the lastfive years alone, Cable & Wireless has invested CI$97 millionin the Cayman Islands' telecommunications infrastructure.
This includes but is not limited to thesubmarine cable systems (MAYA-1) to Cancun, Central America andFlorida, a digital cellular network across all three islands,national fibre-optic systems to connect exchanges, and the internetcapacity to connect the Cayman Islands to the global Internetbackbone.
The company has also been commended forits community service efforts, like "Cricket Crazy Weekend"and regularly sponsors activities like Cancer Awareness and YouthCricket, among others. Since 1998, Cable & Wireless has providedfree Internet service to every government and private school inthe Cayman Islands from primary through tertiary levels.
But CEO Tim Adam believes that Cable & Wireless' most significantaccomplishment is the world-class team the company has built.He lauds his team's skills and expertise and congratulates hisemployees for operating at world-class standards. "If thereis one thing I take tremendous pride in it is that," he says.
He explains that it is not the product thatdistinguishes Cable & Wireless as an extraordinary telecommunicationsprovider but, rather, the solutions the company offers its customerson an individual and national level. Being the only telecommunicationsprovider, the company enjoys a very diversified customer baseand Mr. Adam believes the company has done well to service allrequests.
The chief complaint against Cable &Wireless, which Tim Adam acknowledges, are the prices which makeit difficult and often impossible for everyone in the Cayman Islands,both resident and ex-patriate, to fully utilize its services.
For the past year the company has negotiatedwith the government, particularly on the issue of pricing structures,but the government was not satisfied with Cable & Wireless'efforts and entered into the liberalisation process.
Efforts have been made to cut costs andstreamline which include outsourcing a number of Cable & Wireless'maintenance and other services to locally owned Caymanian companies.Tim Adam says, "functions such as payphone booth installations,payphone coin collection, trenching, ducting and road reinstating,manhole building and relocating, and computer training are allcontracted to local firms." He explains that outsourcingis used and will continue to be considered when it brings valueto the company.
Telecommunication costs are not only a resultof high supply and low demand, Mr. Adam claims, but also a securityissue. He explains that renting prices are high because a largeproportion of the customer base is transient with no ties to thecountry. High installation fees are also a way to control thecompany's debt as well as that of its customers. "Whateverwe do has got to be sustainable," Tim Adam says. For manycustomers or potential customers that often means no long distancecalling and, sometimes, no residential phone lines.
Cable & Wireless will not comment on strategies in developmentto strengthen its position to become a formidable competitor andTim Adam hints, "let's just say we have big plans for Cayman!"
With liberalisation looming, Mr. Adam addressesthe public, both current and potential customers: "In Cable& Wireless Cayman Islands we have a world-class team of peoplethat is trained, skilled, motivated and focused on deliveringworld-class quality and reliable service to our customers in theCayman Islands. For thirty-five years we have been the CaymanIslands' provider of Telecommunications and we intend to remainthe favourite telecommunication company in the Cayman Islands."