presentation to the portfolio committee of the business plan 2005 - 2006

Portfolio Committee ( 04/03/2005)1

Presentation to the Portfolio Presentation to the Portfolio Committee of theCommittee of the

Business Plan 2005 - 2006Business Plan 2005 - 2006

Agricultural Research Council


Purpose of the PresentationPurpose of the Presentation

To present the business plan of the ARC for 2005/2006 budget year to the Portfolio Committee.


Core Strategic MandateCore Strategic Mandate

Core strategic mandate is to:– Conduct national priority driven research,– Develop technology, and– Transfer technology that promotes agriculture and industry,

To maintain national public goods on behalf of the Department of Agriculture (DoA) and the Department of Science and Technology (DST).

To provide National Services to agriculture. Meeting obligations created by some ring fenced programs

determined by the shareholder. Undertaking certain specified projects requested by the

shareholder.


Strategic overviewStrategic overview

The requirement to accelerate delivery of services to Previously disadvantaged groups compels the ARC to constantly review its investments.

The new governance model of the science councils compels new understanding.


Business Drivers of the ARCBusiness Drivers of the ARC

National legislation and policies National Priorities

– National Imperatives To modernise and grow the 2nd economy To grow the competitiveness of 1st economy To create social security safety nets.

– MinMEC priorities Funding pressures Institutional reviews

Gopane

Not adequate funding leads to demand for external income


Programs of the ARCPrograms of the ARC

Core Strategic Research Program– Sustainable Rural Livelihoods

Maintenance of National Assets Provision of National Services Special Programs

– Capacity Building– SADC and NEPAD

Administration and support


Aim: To conduct applied and adaptive research with the aim of developing technologies in the following key disciplines:

– Cereal and grain crop production– Fruit and vegetable crop production– Animal improvement and production– Sustainable use of natural resources

Goals: To optimise and enhance the sustainable production, value and safety of foods and other products derived from:

– Grain and industrial crops products– Horticulture and vegetable crop production– Livestock production.

Program 1 (a)Program 1 (a)Core Research ProgramCore Research Program

Aims and GoalsAims and Goals

The program comprises multi-disciplinary research conducted by the core divisions of Grains & Industrial Crops, Horticulture, Livestock and Public Support Services to develop new products and services and the improvement of existing products and

services in line with national priorities.


Sustainable rural livelihoods

Aim: To orientate the work we do in applied and adaptive research with the aim of developing technologies that are responsive to the needs of the resource poor farmers (RPF’s) and emergent farmers in the different disciplines

Goals: To optimise the productive and competitive capacity of the RPF’s to ensure household food security, rural incomes and employment, improve national and international market opportunities and safeguard the natural resource base.

Program 1 (b)Program 1 (b)Core Research ProgramCore Research Program


The program comprises multi-disciplinary research conducted by the core divisions to develop new products and services, improvement and transfer of

existing and new products and services to the RPF’s.


Aim: To maintain national collections of plants, animals, bacteria, yeasts and viruses that form important sources for reference, and/or represent important sources of genetic material on behalf of the people of South Africa.

Goals: To sustain and develop the natural resource and biological bases, reference collections, gene banks, technologies and services required by Government in the execution of its regulatory, developmental and protection functions and in meeting its obligations in terms of international agreements and conventions.

Program 2Program 2Maintenance of National AssetsMaintenance of National Assets


The program comprises multi-disciplinary researchon the characteristics of these national assets AND

their actual physical upkeep.


Aim: To provide diagnostic and surveillance services around the pest and diseases that can befall the whole agricultural sector.

Goals: To ensure that pests and diseases are identified in time and solutions developed to mitigate any economic and social problems that may result

Program 3Program 3Provision of National ServicesProvision of National Services


The program comprises multi-disciplinary research to develop new products, improvement of existing products to mitigate the effects of pests and

diseases


Aim: To contribute to the improvement of the quality of life of the inhabitants of the SADC countries and support the objectives of NEPAD.

Goals: To assist in finding solutions applicable to the region and the continent

Program 4(a)Program 4(a)Special Program: SADC and NEPADSpecial Program: SADC and NEPAD


The program comprises forming partnerships in multi-disciplinary research to develop new products, improve existing products and sharing knowledge


Aim: To develop scientific and human resource capacity in the ARC.

Goal: To ensure that adequately skilled and sufficient number of strategic human capital is developed.

Program 4(b)Program 4(b)Special Program: Strategic Capacity BuildingSpecial Program: Strategic Capacity Building Aims Aims

and Goalsand Goals

The program comprises different ancillary projects internally and externally focused on developing future capacity requirements


Aim: To provide value added support services to the core divisions.

Goal: To ensure that the services provided are at a cost that enables optimal investment in the core operations.

Program 5Program 5Administration and SupportAdministration and Support


The program comprises services from Finance and Information Technology, Human Resources and Business Development and International Relations divisions


Key targets for this yearKey targets for this year

Key Targets for 2005/2006– Increase our commitment to solutions of

Resource Poor Farmers (RPF’s) to 30% of total commitment

– Develop two new technology incubators for RPF’s– Develop 20% more technologies than last year– Improve our customer satisfaction rating by 20% – Improve our employee satisfaction rating by 20%


Priorities for the year (1)Priorities for the year (1)

Improve our capacity in fore sighting in order to advice the shareholder on strategic investments in agricultural research.

Elevating the profile of the programs dealing with issues of Resource Poor Farmers.

Reaching agreement with DoA and DST to fully fund the national services and the maintenance of the national assets.

Increase the revenue derived from other sources through optimal leveraging of the resources of the organisation without undermining the core strategic mandate.



Continue on the cost containment strategies. Agree partnership with Onderstepoort Biological

Products (OBP) on the production and marketing of vaccines.

Creating a performance oriented cadre of employees.

Implementing of core business capacity development programs.

Developing and implementing sustainable staff retention strategies.



Improve and sustain the culture of customer orientation.

Implement new marketing and communication strategies.

Will enhance our relationships with other partners within the national system of agriculture especially Provincial Departments of Agriculture.

Entrenching the culture of accountability. Consolidating the integration of the organisation. Enhance the image of the organisation.


PROGRAM 1(a)PROGRAM 1(a)Core Research ProgramCore Research ProgramMeasurable ObjectivesMeasurable Objectives

Output Measure/indicators Targets

Technology development used in agricultural primary and secondary production

Number of technologies initiated 15% more technologies initiated than last year

Pest and disease management services

Number of pest and disease outbreaks that are successfully contained.

Maintain successful containment

Reports and manuals on scientific investigations

Number of reports and manuals published.

10% increase in publications.


PROGRAM 1(b) PROGRAM 1(b) Sustainable Rural Livelihoods ProgramSustainable Rural Livelihoods Program

Measurable ObjectivesMeasurable Objectives


Technologies directed at solutions desired by RPF’s

Number of technologies 20% more than last year

Packaging and transferring of technologies into the RPF sector

Number of information pamphlets, brochures issued

20% more than last year

Reports on the needs of resource poor farmers

Number of reports 20% more than last year


PROGRAM 2 PROGRAM 2 Maintenance of National Assets ProgramMaintenance of National Assets Program

Measurable ObjectivesMeasurable Objectives


Conservation of basic germplams, collection of grain and industrial crops

Number of national assets in care

5% increase on last year

National bio-resources fully protected.

Losses to the collections < 1% per annum

Strategies on National Assets Approved strategies By 30 March 2006


PROGRAM 3 PROGRAM 3 Provision of National ServicesProvision of National Services

Measurable Objectives Measurable Objectives

Subprogram Output Measure/indicators Targets

Climate Monitoring

Early warning climate monitoring advisories

Ongoing provision of appropriately packaged, interpreted information and decision-support systems

Maintenance of the quality and integrity of the system.

Diagnostic Services

Plant, animal and soil pest and pathogen identifications

Number of diagnosis’ made and turn around time.

5% improvement in turn-around time.

Crop Forecasting

Provision of production estimates for agricultural statistics

Regular provision of production estimates

Full satisfaction from public-sector clients and end-users


PROGRAM 4 PROGRAM 4 Special ProgramsSpecial Programs

Measurable Objectives Measurable Objectives

Subprogram Output Measure/indicators Targets

Capacity Building Building and sustaining young black and female researchers for the ARC

Number of participants

Number of mentors

Rand value invested

64

16

R 5million

SADC and NEPAD Advice on solutions needed (Safrinet Biosystematic network)

Number of reports Depends on collective decisions of network.

Reports on the prevalence of economically significant migratory pests (ICOSAMP)

Number of reports Depends on collective decisions of network.

Reports on disease surveillance of industrial crops

Number of reports Depends on collective decision of network.


Economic Classification

Current2005-2006 2006-2007

Core Strategic Fund (Parliamentary Grant)

312,992 333,317 361,943

Other Transfer Receipts

53,500 61,835 64,269

Sub-total 366,492 395,152 426,212

External Revenue 215,120 234,542 257,996

TOTAL

581,612

629,694

684,208

Commercial Revenue as % of Total Income

37% 37% 38%

FundingFunding


Economic Classification

Current 2005-2006 2006-2007

Compensation of Employees

322,357

344,400

374,394

Goods and Services

196,378

203,292

219,228

Use of Infrastructure (Depreciation)

17,883

29,113

33,454

Payment for Capital Assets 44,994 52,888 57,132

TOTAL

581,612

629,694

684,208

Resource allocationResource allocation


Challenges to the ARCChallenges to the ARC

Competition for skilled capacity Investments made in public interest research Investments in new infrastructure


ConclusionConclusion

ARC ready for the challenges it face Will continue to ensure effective delivery and

protection of agriculture base.

THANK YOU

presentation to the portfolio committee of the business plan 2005 - 2006

Documents

adaptive research

supportportfolio committee

new products

multidisciplinary research

delivery of services

bcore research programaims

acore research programaims

national public goods