top of page

THE

BEECHAMBER

Asset 4.png

NEWS

ABOVE AND BEYOND SUB-MINIMUM



More than any other element in the Generic Codes of Good Practice (Codes), Enterprise & Supplier Development was carefully crafted so that each of the sub-elements complement one another.


The Codes, in terms of Enterprise & Supplier Development, have no limitation on a chosen beneficiary, other than that they align with Statement 400. The total Weighting Points this element has on offer is 42 on the overall scorecard, excluding Bonus Points. Supplier Development is 10 in exchange for 2% Net Profit After Tax, whilst Enterprise Development affords 5 points in exchange for 1% Net Profit After Tax and the balance towards Preferential Procurement. There are an additional 4 Bonus Points allocated to this element.


The best-case scenario is going above and beyond the sub-minimum requirements, whereby this element can boost an organisation's scorecard. The worst-case scenario for not meeting sub-minimum requirements is the discounting of one status level.


If implemented as the Codes designed it, an organisation would embrace an Enterprise Development Beneficiary. Then they would procure goods or services from them and then elevate them to a Supplier Development Beneficiary and forge a supplier relationship with them. The results would see the Preferential Procurement sub-element reap the rewards as outlined in statement 400.


Therefore, with the tools to succeed written into this element, it is baffling why organisations choose to leave more than 40% of their total B-BBEE scorecard to chance.


Enterprise & Supplier Development Services are available to advise Members on how best to approach the Enterprise & Supplier Development element.

Comments


bottom of page