AD­VTECH

Finweek English Edition - - Cover -

MAR­KET CAP = R1,6bn

AS­SESS­MENT While an aca­demic touch dom­i­nates, the staff com­po­nent should re­ward af­ter prov­ing it can stick to its task through tough times. Ad­vtech – which owns private ed­u­ca­tion as­sets Craw­ford Col­lege, Var­sity Col­lege and Ab­bots – is by no means a “pure staffing play”. But un­der the cloak of (very prof­itable) academia hides a sub­stan­tial hu­man re­sources op­er­a­tion.

Ad­vTech CEO Frank Thompson has put up with Fin­week's per­sis­tent ques- tions con­cern­ing whether it wouldn’t be bet­ter for the group to un­bun­dle or sell off its hu­man re­sources op­er­a­tions, which in­clude well­known brands such as Brent Per­son­nel, Cas­sel & Com­pany, Com­mu­ni­cate Per­son­nel, Insource.ICT, Kapele, Net­work Re­cruit­ment and ProRec Re­cruit­ment. Thompson firmly be­lieves the pro­vi­sion of skills (ed­u­ca­tion/train­ing) and re­sourc­ing work hand-in­hand within Ad­vTech. Maybe Thompson’s right. In the year to end-De­cem­ber 2006, Ad­vTech’s re­sourc­ing op­er­a­tions were more than just com­ple­men­tary, pro­duc­ing not in­sub­stan­tial op­er­at­ing prof­its of R20m (up 65% on the pre­vi­ous year) from a 49% gain in turnover to R119m. Of course, that fine per­for­mance prob­a­bly won’t go un­no­ticed in a frag­mented sec­tor where size­able ac­qui­si­tion op­por­tu­ni­ties are scarce.

Per­haps Ad­vTech could soon be en­ter­tain­ing an of­fer for its re­sourc­ing as­sets that it can’t refuse?

Frank Thompson

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