Nkululeko Nyembezi | 24 July 2023 Small businesses display their art work Emerging business people and the taxi industry at EmaXesibeni, formerly known as Mount Ayliff, hope that the Small Town Revitalization project will provide good returns for local Small, Medium and Micro Enterprise (SMMEs) and the transport industry. The multi-million-rand project is part of the Small-Town Revitalisation programme initiated by the Office of the Premier in the Eastern Cape. It seeks to attract potential investors and uplift socio-economic activities in the area. Street vendors are expected to benefit more from this much-needed programme. Informal trading contributes immensely to local economic development in the Eastern Cape. It’s a significant catalyst to fight poverty and unemployment in the countryside. It’s expected that this business hub will boost economic growth and motivate more informal traders in rural areas. And it’s a dream come true for hawkers. Hawker Thembisa Ganyaza says, “We are extremely happy about this initiative, ECDC and Umzimvubu have done well and because we have been trading under harsh weather conditions for son many years, all is well now and we are happy for the recognition.” Hawker Mnyamezeli Mdepha claims, “For so many years, we’ve been crying for a nice place to market our businesses. Now that it has come, its joy for everyone and its going to change so many lives.” Dozens of emerging entrepreneurs stand a chance to take their businesses to another level. Project manager Azola Makhanda says, “This project is aiming to create job opportunities and grow the local economy of this area. The project is situated in the CBD. It has 114 hawkers , which will benefit. About 25 million rand that has been set aside for it.” The strategic business hub is seen as a game changer for small businesses in the region. Umzimvubu LM Mayorz, Zukizwa Ndevu explains, “We want to change the economic outlook of the small town of Mount Ayliff. We want to see women, young people take space. The aim is to fight poverty and unemployment. This is a way to go as we are changing the lives of the people.” Street vendors hope more local economic development infrastructure will continue to be prioritized. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.sabcnews.com/sabcnews/emaxesibeni-businesses-benefit-from-government-investments-in-small-towns/

SA News | 21 July 2023 As part of efforts to create a digitally empowered society, the State Information Technology Agency (SITA) has commenced with the rollout of cyber labs at schools across the country. “We want to see a multitude of Information and Communication Technology (ICT) enabled learners, harnessing ICTs for the development of interventions and other solutions that contribute to a better way of life,” Communications and Digital Technologies Minister Mondli Gungubele said on Thursday. Addressing the launch of the SITA cyber lab at Ntafufu Senior Secondary School in the Eastern Cape, the Minister said SITA will also handover five cyber labs at high schools in the North West, Northern Cape, Eastern Cape and KwaZulu-Natal. “As learners you must use this cyberlab well. Work really hard and excel. Information technology (IT) gives students confidence, it gives them self-belief, it gives them something to grow into. “This cyber lab gives students tools to learn new ways of learning, show skills and to be able to compete with other countries, because other countries are way ahead of us. As we hand over the cyber lab, we are giving you keys to the future. The future is cyber,” Gungubele said. Government’s South Africa Connect national broadband policy of 2013 envisions achieving universal internet access by 2030. “Our goal is to provide a meaningful future for our youth that goes beyond employability, as simply getting children through matric is not enough. Learners who are comfortable using everyday technology and devices to access content and to self-learn are far better positioned to build a life outside of school. “Embedding ICT into our schools and curriculums is critical for any form of economic participation post-secondary school. Young people who do not have digital skills and who cannot access the internet will not be equipped to participate in the digital economy. This is but one dimension to the South Africa Connect policy objectives,” the Minister said. He said the smart use of the internet improves the quality of education in many ways. “It opens doors to a wealth of information, knowledge and educational resources, increasing opportunities for different approaches to learning in, and beyond, the classroom. “It is also important to consider teachers' – especially teachers in rural schools - adoption of information and communication technologies (ICTs) for teaching and learning in schools. “Research using the Technology Readiness Index (TRI), found that the vast majority of the teachers surveyed were optimistic about the use of ICTs for teaching and learning, despite the existing financial, technical and digital skills challenges at their schools,” the Minister said. In his 2023/24 budget speech, Gungubele announced interventions to ensure increased access through SA Connect to the value of R1.3 billion. “To complement the SA Connect programme, I added that SITA will launch a National Broadband Project to the value of around R6 billion. These are all aimed at making the lives of our people better,” the Minister said. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.sanews.gov.za/south-africa/empowering-learners-digital-literacy-skills

Schalk Burger | 21 July 2023 Businesses can take actions to upskill young people and empower them with work experience that will better their chances of standing out in an oversaturated labour market, says electrical equipment manufacturer Eaton learning and development manager Melanie Riches. She adds that apprenticeships offer ambitious youth on-the-job training and valuable work experience, thereby strengthening their skills. While addressing South Africa's significant macroeconomic challenges requires a sustained effort from both businesses and government in the long term, apprenticeships provide learners who completed matric an opportunity to use their hands and talents to build a creative and successful career. "It is also a medium to get qualified artisans, tradesmen and tradeswomen back into the industry and I believe it’s where there is huge potential for entrepreneurial skills to be extracted from," she notes. For example, Rina Letsebe started as an electrician apprentice in 2013 in Eaton's four-year apprenticeship programme and qualified as an electrician in 2016. In 2019, she was promoted to production planner, and currently serves as an environmental health and safety analyst, as well as serving as an inspiration to other women entering the electrical manufacturing sector, Riches illustrates. South Africa’s youth are entering a daunting job market, where slow economic growth has meant businesses are struggling more than ever to absorb each new wave of entrants into the workforce. "Many apprenticeships often overlook the essential soft skills that young professionals need to thrive in their careers. The transition from graduate to professional can be challenging, and entering the workforce as a fresh graduate can be intimidating," she adds. Eaton apprenticeship alumna Nneheng Khusu credits her apprenticeship with helping her adapt to the working world and jumpstarting her career with a goal-driven mindset. "Apprenticeships not only refine technical skills, but also guide young individuals in professionalising themselves and expanding their knowledge," Riches says. Eaton’s four-year learnership programme emphasises competencies such as communication, teamwork and problem-solving. Additionally, the company also offers training sessions and networking events aimed at imparting practical and valuable knowledge that promotes holistic professional development, she adds. Eaton employee Seyakamela Maropene says her apprenticeship taught her how to work and think independently, remain persistent in her personal career goals and not allow herself to be swept up with the crowd. "This is proof of the personal development that takes place alongside the professional growth that an apprenticeship offers," Riches avers. Eaton South Africa says it understands the need for change and creating opportunities for the youth. For many years, it has been running apprenticeship programmes, as testament to its commitment to equipping young individuals with sustainable skills of excellence for the future. "At Eaton, we specifically focus on electrical apprenticeships for our Wireman positions, which, despite the name, are available to male and female apprentices. Once qualified, these apprentices work on our shopfloor as Wiremen. Some apprentices move on to work in the quality test section as well," she says. "We onboard 10 to 15 apprentices per four-year programme. Although small, this ensures that we get all of them qualified, and possibly placed for permanent positions internally." Further, young women need to be given equal opportunities in historically male-dominated industries to gain entry-level experience, advance their careers and ultimately take on leadership roles, just like their male counterparts. "This should also be across business units or segments. In the manufacturing industry, young women are increasingly showing an interest in areas such as environmental health, safety management, electrical or power engineering, operations engineering, human resources, finance, accounting, supply chain management, informational technology and technical sales," adds Riches. Meanwhile, while many businesses in South Africa may struggle to provide apprentices with additional enrichment experiences, those that can should provide young professionals with work opportunities that go beyond their expectations. "This is especially pertinent for multinational companies, like Eaton, that have a global footprint. Collaborating with overseas teams, and even having the opportunity to visit operations abroad, can be transformational for a young professional," Riches notes. A highlight for Eaton apprentices is the annual assessment course, in France, where these young minds visit and collaborate with their young colleagues from Eaton’s operations across the world. "We cannot solely rely on the government for solutions. It is a shared task. However, offering a professionally robust and inclusive apprenticeship programme is one way businesses can play their part in helping to alleviate unemployment. "Even if a business cannot absorb all of its apprentices, these young professionals leave the programme with skills, experience, and a growth mindset that will enable them to stand out as they continue their professional journey," Riches says. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.engineeringnews.co.za/article/apprenticeships-can-help-bridge-the-school-to-work-gap-2023-07-21

Ray Ann Sedres | 19 July 2023 The third Sanlam Transformation Gauge, a research report that takes a holistic measurement of economic transformation in SA, has scored SA Inc as a low level three. The result is based on the average score of the 14,542 companies involved. A key theme that emerged again was that the broad-based BEE (BBBEE) system is not representative of the state of transformation in the workplace. In fact, this is far behind what scorecards reflect. Companies pour billions of rand into compliance efforts, but inequality is increasing in SA — which the World Bank already ranks as the most unequal country in the world. We need fast, shared impact at scale. That requires creative thinking and collaboration. This year, almost all scorecard elements failed to reach their targets, except for socioeconomic development. It's becoming clear we need a system overhaul to address the systemic challenges buried deep in SA’s DNA. The solution doesn’t lie in greater regulation or a bigger compliance burden — we must be audacious. Now is the time for transformation by deliberate design. We need a big-picture vision that takes a broader view of transformation, with long-term structural change as the goal. We need new ways to measure success by impact, not just input. As a purpose-led group, Sanlam is committed to empowering all Africans to be financially confident and prosperous. This isn’t possible in a country such as SA that's fractured by deep fault lines of inequality. As such, our notion of transformation goes far beyond compliance. Sanlam has the stature and stability to help change the nation’s narrative, to foster socioeconomic inclusion and drive an agenda of deliberate change. Sanlam is pushing the boundaries of traditional transformation in four pivotal ways: 1. Adopting a broader view of transformation Sanlam contributes to sustainable growth, higher investment, job creation, reduced inequalities and deracialised economic activity. 2. Sanlam's impact in Africa The company touches more than 32-million lives across Africa and more than 22-million in India and Malaysia, with a target of 50-million for Africa by 2025. It has an opportunity to serve as an inclusivity champion and uplift the previously disadvantaged and excluded members of society — enabling access and participation in financial services. 3. Linking capabilities to furthering socioeconomic transformation: Sanlam has a huge bank of expertise it can leverage to move the needle. For example, more than 70% of jobs are generated by small, medium and micro enterprises (SMEs) in emerging economies, contributing up to 40% to a country's GDP. The company has put its might into nurturing the nation’s SMEs through a multifactorial approach, from risk management and employee benefit offerings to enterprise and supplier development contributions of R225m in 2022. In addition, Sanlam Investments’ Investors’ Legacy Range and Resilient Investment Fund were established to create and preserve jobs — primarily in the small business sector. Sanlam also runs an enterprise and supplier development programme, which has created and sustained 3,578 jobs since inception. It uses procurement to push the transformation agenda, with R4.4bn spent on SMEs, R4.7bn spent on black-owned suppliers, and R2.6bn on black-women owned suppliers in 2022. The goal is to unlock opportunities for local procurement in host countries across the continent and Sanlam has only scratched the surface of its potential to do so. 4. We cannot do it alone: The scale of transformation required calls for hyper-collaboration. With 1.2-million employees globally, and by leveraging its extensive partner network, Sanlam can ignite a catalytic reaction to set change in motion. Let’s act now, together. This is the moment to go beyond box-ticking compliance in a system that isn’t serving us. Sanlam is committed to fostering greater financial inclusion through accessible insurance and investment solutions across Africa, a sustained focus on job creation and enterprise growth, infrastructure development and trade solutions, and skills and socioeconomic development through inclusive education. It urges corporate SA to come together at this critical juncture in our history. Let’s make decisions our young people will thank us for. The findings of the annual report on the progress of economic transformation in SA were unpacked on July 18. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.timeslive.co.za/news/2023-07-19-native-sanlam-at-the-forefront-of-deliberate-transformation/

Lizelle Strydom | 20 July 2023 In the month where we mark World Youth Skills Day, it is necessary to reflect on what we can do to reverse the unemployment trends across a continent that not only has the youngest population in the world, but also a wellspring of exciting untapped talent. As of 2022, around 40 percent of the African population was aged 15 years and younger, compared to a global average of 25 percent. Africa could supply the next generation of the workforce. But the widening skills gap must be addressed to take advantage of this opportunity. There are many barriers to employment in a continent that struggles to provide meaningful routes into employment. The lack of opportunity, combined with a lack of resources to either study further or find an entry-level job, impede our youth from employment that offers genuine opportunities for advancement. However, we serve our youth very poorly if we behave dismissively towards those who show a genuine drive to find employment simply because they lack experience or digital skills. New models are required The UNESCO International Centre for Technical and Vocational Training (UNEVOC) notes that technological advancements and shifting labour market dynamics increasingly call for agile and adaptable skill sets. Technical and vocational education and training is well placed to meet these demands by reducing access barriers to the world of work, ensuring that skills gained are relevant, recognised and certified, and offering skills development opportunities for youth who are not in education, employment and training. The Business Process Outsourcing (BPO) industry is a beacon of hope for young people who have the enthusiasm, talent and tenacity to thrive when presented with an opportunity. This is because most contact centre positions are entry-level positions. A willingness to learn, a positive outlook and strong communication skills are all more important than any tertiary training or previous experience for gaining access to the industry. Young people can enter the job market, gain valuable on-the-job knowledge and receive training while earning a full-time income. This is a growth industry with ample opportunities for young people. The 2021 Annual Front Office Business Process Outsourcing Omnibus Survey ranked South Africa as the top destination for BPO worldwide. Recognising the job opportunities and investment potential it presents, the Department of Trade and Industry has identified the BPO sector as a priority sector, particularly for addressing youth unemployment. There is reason for this optimism: the South African business process outsourcing market size is projected to reach USD 3.6 billion by 2027. Providing skills that translate into employability The theme for this year’s World Youth Skills Day is one that carries the weight of importance: Skilling teachers, trainers and youth for a transformative future. This theme highlights the essential role that teachers, trainers and other educators play in providing skills for youth to transition to the labour market and to actively engage in their communities and societies. The BPO industry is challenging and is well-known for having a high turnover of staff. It’s not the right industry for everyone, as presenting a warm, helpful customer-facing presence all day requires a particular aptitude. However, those with tenacity can thrive and do well in this fast-paced environment, as contact centres offer many opportunities for employees to gain valuable experience and get training while earning an income, opening chances for advancement into supervisory and management positions. What we’ve learned CareerBox has been running for 10 years, and we have made several meaningful discoveries in that time which continue to shape how we structure our business. The first is that Africa offers incredible talent that is comparable to any of the international markets we deal with. Our people are our greatest asset, with deep capabilities. The second is that accessibility is key. You can offer the best training programme in the world, but if the people you are serving can’t access the opportunity, it will come to nought. This is why we have carefully chosen our training facilities in close proximity to public transport options, and to the communities we serve. In Umlazi, KwaZulu Natal, we have chosen a facility that community members can directly access the resources they need to change their lives without having to pay for transport to another area. The third learning is directly connected to the second – we must follow the jobs. We don’t consider training for the sake of training to be a successful strategy – our metric for success is the successful placement of someone from our workplace readiness programme into permanent employment. We carefully consider where we develop our learning centres to ensure that work opportunities are nearby. So far, our strategy has paid dividends – about 90% of the people who complete our programme are successfully placed into employment. Some of our earlier placements have progressed in their careers and now hold management positions in contact centres. If we are to enable our youth and provide them with the skills to breach the barriers to entry into ongoing employment, we need private-public partnerships that support training and empowerment initiatives. Passion and interest exist – now, we must support our youth to develop the competencies needed to thrive in the modern marketplace. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://it-online.co.za/2023/07/20/skilling-our-youth-for-a-transformative-future/

South Coast Herald | 20 July 2023 It takes three to four years for an apprentice to earn an artisan certificate. The motor industry provides many opportunities for skilled artisans. Women are also making their mark as they embrace what is on offer. “Anyone can succeed in the learning opportunities we offer. You need passion, commitment and discipline,” says Jacques Viljoen, national director of SAMBRA (the South African Motor Body Repairers’ Association), a proud association of the Retail Motor Industry Organisation (RMI). Viljoen encourages the youth to take control of their future by being open to new opportunities in South Africa. Apprentices have a good chance of entering the industry full-time,” says Viljoen. Results of a recent survey by Remchannel HR Quarterly, show there is still a dire need for young artisans in a host of different disciplines in South Africa. The survey showed that only 0,6% of qualified artisans are under 25 years of age! The government has a goal of 30 000 artisans qualifying annually. The motor body repair sector currently has 1 405 registered automotive body repairers and 932 spray painters. In terms of apprentices, there are currently 270 registered automotive body repairer apprentices and 200 spray painters. “There is definitely scope to increase these numbers,” says Viljoen. “Training your own apprentices is not only important for business sustainability, it has benefits for business owners, with a measurable return on investment (ROI). One only has to measure the attended, sold and worked hours according to the merSETA ROI,” says Viljoen. You can study the detailed merSETA report here. “An apprenticeship combines theory, practical work and workplace experience in a chosen trade field. With a listed trade, such as panel beating or spray-painting, it ends in a trade test and you receive an artisan certificate of competence,” explains Viljoen. “It usually takes three to four years to achieve artisan status, after which employment is generally guaranteed. The National Artisan Moderation Body (NAMB) oversees trade tests and also works closely with the merSETA and the QCTO.” Viljoen says employers should make use of the current transition period between now and 30 June 2024 to enrol learners (including apprentices) for CBMT, time-based, and learnership qualifications. They can then utilise the teach-out period to complete the training (three to four years depending on the trade) and get the apprentice trade test ready. “Don’t forget that most motor body repair (MBR) business owners started by acquiring a trade and doing the relevant apprenticeship. So if you wish to own your own MBR business one day, an apprenticeship is where you start,” he says. Viljoen advises those interested in an apprenticeship to speak to qualified artisans and visit their workplaces to see what the job entails. They can also contact their local TVET college advisory centre or SAMBRA for guidance (www.sambra.biz). ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.citizen.co.za/south-coast-herald/motoring/2023/07/20/apprenticeships-can-add-value-to-the-economy/

Dineo Faku | 18 July 2023 Sanlam chair Elias Masilela says corporate South Africa should not “throw the baby away with the bath water” when it comes to economic empowerment. This as the latest Sanlam Transformation Gauge found that the pace of transformation remains slow. Speaking during the launch of the report in Johannesburg on Tuesday, Masilela said transformation should go beyond being a box-ticking exercise if the economy is to be inclusive. “Let us not deal with the symptoms, let us deal with the causes or the sources of the problems that bring us where we are. Let us not blame the design, but the manner in which we implement and the conviction with which we implement. Do not throw away the baby with the bath water. Replace the water and make sure it is cleaner and properly soaked.” The third edition of the report is based on empowerment scorecards of 14,542 firms across 10 sectors of the economy, up from 10,336 last year and 3,145 in 2021. It found that transformation is not as advanced as scorecards suggested and comments from industry were that B-BBEE policy was not keeping up with the changes in the various sectors. Masilela said: “Why is BEE so elusive when we believe it is relevant to change our futures? It is not the policy, it is attitudes, it is racism and corruption.” Transformation of “management control” was at 69% in 2023, up from 56% in 2022 and 58% in 2022, with the property, financial services, ICT and forestry sectors lagging behind in their scores. Masilela said: “If you go beyond the numbers and look at the human element, it is depressing. The question was asked whether this poor performance in corporate SA is due to resistance to seeing black leadership or the lack of skills, or both. The results are that 51% of the people surveyed said it is because of resistance. “That says to us attitudes have not changed, attitudes have not moved, we are still ticking boxes.” ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.timeslive.co.za/sunday-times/business/business/2023-07-18-sanlams-masilela-calls-for-sa-inc-to-embrace-transformation/

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Motalatale Modiba | 18 July 2023 Motalatale Modiba is a Gauteng government official who spent 16 June helping young people to apply for hundreds of jobs at the Nasi iSpani Jobs Fair. On 16 June 2023 the Gauteng government unleashed an ambitious campaign to get more young people applying for jobs in the public service within the province. The outcome of the recruitment drive, called Nasi iSpani (loosely translated to “we are hiring”), was more than 1.3 million applications – 1,273,604 online and 73,396 paper-based. In another era one would have been shocked at the high number of applications. However, the biennial Quality of Life survey by the Gauteng City-Region Observatory has, since 2009, provided insights into quality of life and socioeconomic circumstances – and it mutes any chance of a surprise about the numbers above. Joblessness, crime and substance abuse continue to be among the leading social melancholies eating at the very fibre of Gauteng, a province that remains a hopeful destination for those fighting to escape the shackles of poverty. Chief among those affected by these social ills are legions of young people. It was, therefore, not surprising that the response to the maiden Nasi iSpani Jobs Fair was a groundswell of desperate but aspirant unemployed people – young people from townships, informal settlements and hostels. It is not that the ideals of the stalwarts of our still fledgling democracy… have grown archaic; the painful indictment is that we have rendered them irrelevant. On the eve of 16 June, young people from across the province could hardly sleep as they waited in anticipation for the breaking of dawn. At the Nasrec Expo Centre in Soweto, Khutsong Multipurpose Centre in Carletonville, Rabasotho Hall in Tembisa, Lotus Gardens in Atteridgeville, Faranani Multipurpose Centre in Tsakane and many other community halls, young people gathered from as early as 5am, signalling that they can no longer afford to have their future deferred. When last did you see young people coming out in large numbers on 16 June and they weren’t going to a party at a local joint or park? When last did you see young people, besides card-carrying members of political parties, taking any interest in 16 June commemorative events? Even the “forever young” in the establishment are disillusioned, if we are to face the truth. Unambiguous message from young people In scenes that some said were reminiscent of the historic first democratic elections in 1994, snakelike queues marked a poignant reflective point that should forever alter how we commemorate this day. The thousands and thousands of young people at more than 20 sites set up for the jobs fair sent an unambiguous message: The days of empty political rhetoric are long gone. Young people don’t want to be told about yesterday’s sacrifices that are disconnected from their lived experiences. It is not that the ideals of the stalwarts of our still fledgling democracy, whose indelible footprints continue to dominate our political discourse, have grown archaic; the painful indictment is that we have rendered them irrelevant. By failing to live up to them, and by being oblivious to the fact that we are nowhere close to the ideals and values they espoused, we have led society to snub them. Talking rhetorically to our young people without offering practical solutions to decisively respond to their plight is largely the reason they have lost interest in participating in the spectacle of shallow rallies. Disguised as political conscientisation platforms, these are more about those delivering speeches than the audiences being addressed. Today’s young people have raised their hands in a very deafening way to say that they will not allow themselves to be relegated to what some have termed the “nyaope generation”. Young people have said unequivocally: “Point us in the right direction, where we too can register our own interest in shaping the future we desire for ourselves.” While the number of applications received far outweighs the 8,000 jobs that were on offer, the commitment made by Gauteng premier Panyaza Lesufi that future job opportunities will draw first from the already created database is encouraging. We dare not be a generation that will not respond positively to this clarion call. The jobs fair, if sustained and freed from political perversion, which nowadays holds young people to ransom, has the potential to reignite the indomitable spirit that lies dormant within every young person who braved the cold weather on 16 June 2023 to make their presence known. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.dailymaverick.co.za/opinionista/2023-07-18-young-in-gauteng-signal-days-of-empty-political-rhetoric-are-over/

Creamer Media | 18 July 2023 South Africa’s manufacturing sector is one of several areas of interest, identified in the National Development Plan (NDP) as an industry poised for job creation and GDP growth. Despite several hurdles having thwarted the industry’s progress over the past few years, efforts by the public and private sectors to revitalise and expand South Africa’s manufacturing capabilities, present an encouraging prospect for small- and medium-sized (SMEs). Last year saw South Africa’s manufacturing sector being put through its paces, with the industry’s gross value showing a decline of 1.3 percentage points during the first six months of the year when compared to the same period in 2022. Persistent loadshedding, input cost pressures and the Durban floods during April this year dealt deafening blows to the sector’s progress in several key performance areas. The industry did, however, show signs of recovery during the latter part of 2022, with an almost 3 percentage point year-on-year increase in September. Despite predictions by analysts that factory output would remain subdued, factory production rose by just under 5 percent month-on-month over the same time period. Recently, the Absa Purchasing Managers Index rose to 49.8 index points in April 2023 from 48.1 in March showing some signs of recovery. SMEs as vital cogs within the sector’s growth engine For Jeremy Lang, Chief Investment Officer at Business Partners Limited; as sectors such as manufacturing seek to follow the country’s renewed impetus towards economic recovery, a vital component of the solution lies with small businesses. As he asserts: “Going forward, the strategic positioning of small businesses along the industry’s supply and value chains will serve to unlock the sector’s potential as a bolstered contributor to our country’s GDP, socioeconomic development and the broadening of the fiscal base.” Recent data presented by Stats SA saw South Africa’s manufacturing sector taking its place as the second highest contributor to total turnover (25 percent), after trade. “Now is the ideal opportunity for local entrepreneurs to seek out and harness the opportunities that exist within the manufacturing space,” says Lang, who encourages SME owners to look into sub-sectors such as agriculture, pharmaceuticals, renewable energy, and steel. Opportunities within sub-sectors A key example can be seen in the findings of a report by the Pan-African Investment and Research Services (PAIRS), which foregrounded the agro-processing sub-sector as one of the most crucial drivers of the manufacturing sector. Opportunities for SMEs in this arena sit within areas such as processing, logistics, training and skills development, quality assurance, and machinery. As Lang explains, for SMEs who wish to take advantage of “emerging trends” within these kinds of value chains, skills such as innovation, negotiation and collaboration will be significant determinants of enduring success. It is also the ideal time to “pool our resources” and “optimise our existing strengths” as a country, as Lang advises, making reference to the fact that South Africa boasts some of the world’s largest automotive production plants. Given that the automotive industry is undergoing an unprecedented period of transformation, driven by the global call for sustainability, SMEs now have the opportunity to position themselves into this pivotal change process in areas such as the production of parts for electric vehicles and cleaner energy innovations. Intercontinental prospects for local SMEs Contributing to the Pan-African outlook on manufacturing and what it means for South African SMEs, Lang encourages entrepreneurs to set their sights both on local prospects and those which lie within the African continent as a whole. An important factor in the growth of the country’s intercontinental manufacturing capabilities is the African Continental Free Trade Area (AfCFTA). As Lang argues, the AfCFTA can provide local manufacturers with the exact momentum they need to expand into other African territories. The greatest challenge for SMEs looking to take advantage of more harmonious intra-Africa trade lies within skills and the realm of transport and the ailing state of South African infrastructure. In light of the skills challenge, Lang encourages SMEs to seek support from the Business Partners Ltd technical assistance and mentorship programme sponsored by the Swiss State Secretariat for Economic Affairs (SECO). “Through our technical assistance programme, we contract expert consultants to assist business owners in navigating the challenges they face in their business journey and close the skills gap that may exist within a business.” Lang is also in full support of the recent launch of the NEF-Transnet SMME Fund, purposed towards boosting localisation and South Africa’s manufacturing capabilities. The five-year partnership between Transnet, the National Empowerment Fund, the National Association of Automotive Component and Allied Manufacturers (Naacam), plans to integrate SMEs into its related value chains and is expected to invest around R220 million into the resurgence of the local manufacturing sector. As Lang concludes: “South African SMEs need to tap into developments on the local front, where government has committed to promoting localisation and industrial diversification as part of its NDP targets. As the future of the sector; driven by policy reform, begins to take shape - entrepreneurs should pay close attention to industry developments and consider that manufacturing may hold the key to long-term success.” ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.engineeringnews.co.za/article/sas-manufacturing-sector-and-the-golden-opportunities-for-smes-2023-07-18

Bizcommunity | 18 July 2023 When considering South Africa's unemployment crisis, Max Oliva, CEO of Spar Southern Africa, says that despite economic struggles, it is crucial for corporates to find new ways to build and grow sustainable jobs. He believes developing and growing broad supply chains is where the best impact on job creation and the real economy will be felt. For instance, the Spar Supplier Development Programme is aimed at actively helping introduce more micro and small food suppliers into the large and growing food supply chain – which is often more focused on securing share for bigger players. “Our programme has been specifically designed to ensure that micro and small suppliers have all the tools, knowledge and access to industry specialists they need to help them grow their businesses and achieve their full potential, in the most effective and affordable way,” says Oliva. Spar’s initiatives are being constantly evolved to ensure broader sustainable impact in areas like agriculture and manufacturing, which is where SA can accelerate its search for jobs. “By embracing micro and small suppliers within the agriculture and manufacturing sectors, we are not only living The Spar Group values of entrepreneurship, family values and passion but also adapting to economic change. Having recently experienced a global pandemic and the impact this has had on food retail, customer demands have changed, and we need to remain agile enough to adapt accordingly. This in turn will support the growth of local businesses and create employment,” says Oliva. Rural Hub model In 2016, The Spar Group embarked on the journey to develop and invest in small-scale farmer entrepreneurs. This led to the establishment of the Group’s first Rural Hub in Ofcolaco, in the Mopani District of Limpopo. “Our Rural Hub model is intentionally focused on rural community development and supports small-scale farmers by providing guaranteed markets for their products and by providing relevant technical and food safety training, as well as facilitating access to funding,” explains Oliva. However, growing community businesses and creating opportunities requires funding to match the commitment. “We have enabled the Rural Hub farmers to produce commercial quality and quantities of high-value crops grown under the protection of net houses. And have, to date, financed all operational costs and funded the capital assets,” says Oliva. The Spar Rural Hub today supports 12 small-scale farmers in Limpopo and has created 103 jobs at farm level and 62 secondary jobs at packhouse and technical services level. Notably, a total of 63% of the product grown by the participating Rural Hub farmers is supplied to Spar under the Freshline and Country Value labels and delivered to Spar South Rand, North Rand and KwaZulu-Natal distribution centres. High-value crops through the Spar Freshline brand are ultimately more profitable for the farmer. Community development “Our model is intentionally focused on rural community development and is different to other programmes in that we address systemic issues such as food security. Our purpose is to inspire people to do and be more. This is core to our way of doing business and strongly feeds into our vision of being the first-choice brand in the communities we serve,” says Oliva. “This model continues to contribute positively to economic transformation, improving food security and the health and well-being of people within rural communities, and we are very proud of our achievements. We want to take this to the next level now,” says Oliva. Education and leadership are the key pillars to ongoing jobs growth and skills development and in this regard the Spar Academy of Learning and its JumpStart programme is playing a unique role in leadership development in the South African landscape. “Both programmes draw on thought leadership academically, conceptually, and practically in a way that makes them highly relevant,” says Oliva. “JumpStart for instance, lays the foundations to address unemployment through a sustainable conduit giving young people the opportunity to experience the world of work, and the world of retail.” Work experience and training The Spar Group has also partnered with FutureMe since 2016, working with high school learners to inspire them to follow a career in retail. Topics such as values, personal branding, business ethics, customer service, problem solving, and entrepreneurship are all addressed in the programme. Graduates from FutureMe’s Go-Getter Challenge who want to pursue a career in stores are also encouraged to join Spar’s JumpStart programme where they can get hands-on experience in a retail store environment. Meanwhile, the Spar Distribution Centres and central office teams continue to provide opportunities for graduates to gain work experience through internships, with 772 people participating to date. To further ramp up opportunities in the modern digital age, in 2022 Spar Southern Africa embarked on a second round of the Spar YES4Youth learnership programme, with an initial cohort of 441 learners. “We are delighted to report that as at the end of March 2023, with the conclusion of the 2022 programme, we managed to permanently employ 46 learners which, at 10.43%, is higher than the YES requirement of an absorption rate of 2.5%,” says Oliva. “We commenced with our 2023 YES4Youth intake at the beginning of April 2023 with a total of onboarded. Our learners have been provided with smartphones to complete their modules through the YES4Youth app and are paid a monthly stipend as they get real workplace experience through training in retail stores, at our distribution centres and at Spar’s central office. “Corporate South Africa needs to work harder to plug the rising unemployment gap in our country. In doing our part, we’re accelerating our commitment to education so that we are part of the solution in finding and growing jobs to help turn the alarming jobs situation around,” concludes Oliva. Micro and small-scale food producers are encouraged to sign up for the Spar Supplier Development Programme. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.bizcommunity.com/Article/196/183/240256.html

Brian Mahlangu | 17 July 2023 Failure to transform the economy is equivalent to a betrayal of the collective trust of the masses of the vulnerable black people, says the author. NOTWITHSTANDING the projected economic growth and job creation of the National Development Plan, South Africa’s macroeconomic policies leave much to be desired. The current blend of radical socio-economic transformation policies and plans, with some glaring weaknesses, may not deliver expected fundamental changes in the economic ideology, economic system, economic structure and economic institutions that are needed for sustainable growth and job creation. In the name of radical socio-economic transformation, the nature of the ideological superstructure and economic sub-structure in South Africa is likely to remain intact, thus the radical socio-economic transformation may not result in policy outcomes of inclusive economic growth and job creation to counter ever increasing high unemployment. Inclusive economic growth implies decentralised and de-concentrated economic growth spatially, where poor people live, work, participate in the generation of economic activities and in poor communities where the means of production are used in the production of goods and services for the development of poor people in their areas. It should be redistributive of national resources and income equitably to all the citizens, as a human right imperative; instead of excluding large section of citizens of opportunities for the fulfilment of their human right of having meaningful standards of living. Where poor people are permanently excluded from the mainstream economy, the state must devise means to ensure that all citizens enjoy the fruits of inclusive economic growth. These quagmires of substantive transformation are also witnessed where blacks are in top management and leadership positions in private and public institutions. Acceptably now, there is no sincere commitment to fundamental economic transformation among other leaders who were mandated to accelerate transformation. The core responsibility of substantive transformation is largely placed in African leadership for its success; rather than by conservative white leadership that historically was the greatest beneficiaries of racial discriminatory apartheid government with the privileges of the past racist political order that ordained that Africans be subjected to largely permanent economic deprivation. It appears the decisive leadership in private and public sectors to expedite transformation is in chronic short supply and our economy is in an unenviably unfavourable state after 30 years of democracy and freedom, due to economic policy choices and decisions the leadership made and continues to make. These economic policy choices are dragging the whole economy down, hence, a failure to yield fundamental socio-economic changes, betraying the legitimate expectations of poor citizens. Historically the deprived black majority is supposedly the primary target groups of the socio-economic transformation outcomes. However, the benefits of institutional economic transformation bypass them to be monopolised by the few capitalist elites for their own individual private interest. It is highly likely that the transformation model adopted by South Africa will not be able deliver on the expectations of the poor, except for making misleading rhetoric promises and pronouncements. In some quarters socio-economic transformation is misconstrued as an antithesis of progressive efforts and strategies to paddle forward responsive policy intentions to realise inclusive economic growth. Pseudo radical socio-economic transformation without economic substance created manipulative small black elites, who always pretend to be the genuine representatives of the downtrodden poor black majority, while it indulges in self -enrichment. This artificially created black elite is unable to influence white capital control of the economy. Some of these black elites were elevated by entrepreneurship and ‘tenderpreneurship’ deals to become instant millionaires and billionaires who largely share the same interests and resources with white elites. They have lost credibility and the respect of the people and can no longer claim to have legitimate connections with the black majority; hence they cannot provide credible leadership in black communities now. If social economic transformation remains an unsuccessful experiment, there is a potential for social instability, public disillusion and popular discontent among citizens. South Africa cannot completely transform without de-racialisation of the economy to be inclusive in ownership, management and control of the commanding heights of our economy. This may lead to the untangling of the economic ownership monopoly by the few rich elites and expedite required equitable economic redistribution and de-concentration of ownership, management and control of the means of economic production from the monopolistic few rich white males who are said to occupy approximately 65% of management and control in the private sector, especially at the tertiary sector of the economy. There is oversensitivity to the myth that says economic transformation is the antithesis of economic growth. An untransformed South African economy will not be able to absorb battalions of unemployed young black people for a long time. It is a reckless error of the leadership to squarely entrust the responsibility of socio-economic transformation generally in the hands of few white leaders who have never demonstrated an interest to accelerate it without resistance by parading excuses to preserve their privileges and monopoly of economic resources ownership. If the black leadership allows the prolongation of transformation failures, poverty, unemployment and inequality will remain permanent features in our country. Honest leadership should provide credible accountability for the mammoth failure of socio-economic transformation of deserving citizens. The responsibility of the leaders is that they must be capable and trustworthy for leadership roles in the interest of the poor black majority. If the leadership cannot use political power, influence and constitutional authority to the advantage of the poor people, they must give way to capable and competent ones to deliver socio-economic transformation to end the over-prolonged scourge of deprivation among the black majority. Genuine radical socio-economic transformation must change the social order and economic structural arrangement with the focus on the fundamental change of the economic system, structures, policies, laws and socio-economic power relations among its citizens. Currently both the social order and economic order are inherently exclusive and marginalising; thus, the economy displays multiple features of the inequities and inequalities of an unparalleled scale. Genuine radical socio-economic transformation should imply fundamental changes of the highest order – the superstructure and substructure level – in the economy. Radical socio-economic transformation is about mainstreaming, empowerment and participation of the poor people in crucial management areas of economic affairs for the country to become substantively united, democratic, non-racial and non-sexiest, human right-sensitive and social cohesion in line with constitutional imperatives. Radical socio-economic transformation is also a matter of political economy and power relations. Those with economic power should be prepared to relinquish and decentralise some of it for the powerless ones to exercise power of economic decision-making in their respective yet critical area of governance. Failure to transform the economy is equivalent to a betrayal of the collective trust of the masses of the vulnerable black people, while the success of transformation will partly facilitate public participation in the economic policy decision-making process. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/business-report/opinion/sas-macroeconomic-policies-leave-much-to-be-desired-a21e01f4-0cb0-4d59-b514-cda4ebdfe59d