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B-BBEE aligned organisational transformation


At the BBBEE Execuform in Durban last week, Livhuhani Mukhethi, Director from the DTI, responsible for strategic research projects stated that BEE has been a tick box exercise for too long and asked the audience of BEE practitioners and service providers if BEE is only about political speak. He stated that the objective and intention was to undo historical injustice and to grow the economy for the benefit of all citizens which would not be achieved through a transactional mentality.

Mukhethi said that government have defined areas which will take us to economically redistribution. The reason we are not where we could be is because of exclusion and monopolistic limitation. We need to see innovation and inclusion which cannot happen when economies of scale are too big. To break this we need to understand the foundation and to work with the resultant knowledge of what the architecture of BEE is and the objectives of the Act.

When he said. ‘we need to work’, he was referring to both the public and private sectors. With regard to the Private Sector, the Gauteng Provincial Government has completed their first B-BBEE Verification Audit process in 2019 and has started development of an internal B-BBEE policy and strategy which could be replicated across the country. As this process is implemented, the organs of state will start to contribute to the objectives of the B-BBEE Act, being economic transformation for the benefit of all citizens.

On the Private Sector’s side, there needs to be a shift away from a reliance on external advisors to full ownership of the organisational transformation process by business leadership. This will require a significant effort to develop internal competence on issues which relate to a B-BBEE aligned organisational transformation. Businesses will need to develop deep plans for a Human Capital transformation and a Supply Chain transformation which will have a positive impact of the organisations competitiveness. If this is not achieved, the B-BBEE legislation will have to be amended again and such amendments will have to shift away from a collaborative approach and towards a centralised tax structure.

Mukhethi said, “Our strength is in our diversity. Our future lies in tapping into our equality and that there is opportunity to be part of the mainstream. We are all important to the future success of the country. The fire inside us must speak to our inclusion as per section 9 of the Bill of Rights. Our future depends on it.”


Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER


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