Orlando Lyomu, the Chief Executive Officer (CEO) of Standard Group, has tendered his resignation at the company after a five-year tenure.
Sources have confirmed that Lyomu’s resignation was prompted by internal conflicts within the company, which has been grappling with financial challenges.
The board of Standard Media Group has appointed a caretaker committee to oversee the company’s financial obligations during the transition period.
The decision to part ways with Lyomu was driven by disagreements over the company’s strategic direction and day-to-day operations.
While previous scuffles within the board were resolved through discussions and agreed-upon strategies, this particular case failed to find a resolution as stakeholders were unwilling to invest further in the business.
Consequently, the company faced financial constraints, necessitating the need for strategic decision-making to overcome the cash crunch.
Lyomu assumed the role of CEO on May 25, 2018, succeeding Sam Shollei, who had resigned in September 2017.
Prior to his appointment, Lyomu held the positions of Group Finance Director and Chief Operating Officer at the media house. He had been serving as the acting CEO before being officially confirmed in May.
With a wealth of experience in senior management, Lyomu had previously worked in the petroleum industry, overseeing operations in Kenya, Uganda, Rwanda, and Tanzania.
The departure of Orlando Lyomu marks a significant change in the leadership of Standard Group, prompting the company to navigate its financial challenges and shape its future direction under new leadership.
The company has been struggling to pay it workers due to a cash crunch citing a tough business environment.
While it is true that Standard Group like all media houses is struggling because of the disruption caused by the internet, insiders say the a bug chunk of the company’s problems are home grown.
A clique of powerful individuals have hemorrhaged the company through dubious deals leaving the Lyomu in a fix.
The company has been on a spending spree opening or buying new stations without thought on whether they can bring in revenue.
In the last three years the company has opened up Spice FM, Vybez Radio, KTN Burudani, KTN Farmers and two new regional newspapers when other media houses had frozen new investments.
It also invested hundreds of millions in a new newsroom at Mombasa road on the pretext that it was returning all its journalists from their town centre at I&M building
