top of page

THE

BEECHAMBER

Asset 4.png

NEWS

CONDITIONS ATTACHED TO BENEFICIARY DELIVERABLES




More often than not when organisations enter into a relationship with an Enterprise Development or Supplier Development Beneficiary, it wants a guarantee that their investment will be successful. Hence, many choose to incorporate accountability clauses to secure their investment. However, Clause 4.12 in Statement 400 of the Amended General B-BBEE Codes of Good Practice states:


"4.12 Measured Entities are encouraged to develop and implement an Enterprise Development plan and Supplier Development plan for Qualifying Beneficiaries. The plan should include:


4.12.1 Clear Objectives;

4.12.2 Priority Interventions;

4.12.3 Key Performance indicators; and

4.12.4 A concise implementation plan with clearly articulated milestones".


Placing accountability conditions on Beneficiaries may be punitive without taking into account all factors in clause 4.12.


Enterprise & Supplier Development Services are on hand to guide organisations before entering into a contractual agreement with a Beneficiary, as Sector Codes may have differing requirements.

Comments


bottom of page