who is productivity sa?pmg-assets.s3-website-eu-west-1.amazonaws.com/131009... · 2015-01-27 ·...

• Mandate

• Structure and

Governance

• Who is Productivity SA?

• Vision

• Mission

• Strategic thrusts

• Programme focus

• Finance

• Highlights

• Future priority areas

PRESENTATION

OUTLINE

2

Productivity SA is an organisation for South

African businesses, industries and general

public, that advises, implements programs,

monitors solutions and evaluates progress in

order to promote a more competitive South Africa.

WHO IS PRODUCTIVITY SA?

3

VISION

To lead and inspire a productive and competitive South Africa.

4

Improving the productivity of South

Africa by advising, implementing

programs, monitoring solutions and

evaluating progress aimed at.

MISSION

5 5

MANDATE

• Tasked with the responsibility of improving

productivity in South Africa

• To serve the interest of Government, Business and

Labour

6

STRUCTURE AND

GOVERNANCE

STRUCTURE AND

GOVERNANCE

STRUCTURE

Schedule 3A organisation –

reporting to Minister of Labour

Tripartite organization –

board drawn from government,

business & labour

ORGANIZATIONAL

ARRANGEMENT

Head Office (Midrand

2 regional offices (KZN, WC)

7

STRATEGIC THRUST

• Enterprise productivity and competitiveness

• Micro-small enterprises and cooperatives productivity

capabilities

• Public sector efficiency and effectiveness

• Knowledge Management and research

•

• Productivity awareness

8

PRORGAMME FOCUS

9

TURNAROUND SOLUTIONS

10

OBJECTIVE OF THE PROGRAME

Turnaround Solutions is an intervention which

delivers turnaround and contingency plans for

companies that are faced with the risk of

financial ruin, extensive job loss and sustainability challenges.

11

PROGRAMME PHASES

Phase 1: Turnaround Solutions

Phase 2:

Managing retrenchments

Phase 3: Job

creation

12

CRITERIA

Turnaround Solutions Proactive Solutions

±50 People employed

(if smaller, we cluster

companies within the same

area/region)

±50 People employed

Performance decline

(Financial decline)

Stable business

13

SECTOR Number of

companies

No. of jobs

saved

• Agriculture 7 573

• Catering and Cleaning 2 112

• Civil and Construction 4 273

• Manufacturing 16 2 347

• Catering 2 89

• Electrical 1 60

• Engineering 1 147

INTERVENTIONS IN SECTORS

14

T Turnaround Solutions received funding from UIF in November 2012. Achieved

target are for the period November to March 2013.

DELIVERABLES AND ACTUAL

RESULTS

15

KEY RESULTS AREA ANNUAL TARGET RESULTS

Contribute to preventing

job losses

• Nurture 50 Turnaround

new clients.

• Establish 50 Future

Forums.

• Develop 50 financial

assessments.

• 36 clients nurtured

• 26 Future Forums

established

• 26 assessments

completed

Turnaround interventions

developed to prevent job

losses.

• Develop 50 Turnaround

strategies.

• Complete 50

Turnaround strategies.

(Close out reports)

• Implementation of 50

Turnaround Solutions.

• 9 Turnaround strategies

developed.

• 0 Close out reports.

• 4 Turnaround Solutions

implemented.

DELIVERABLES AND ACTUAL

RESULTS

16

KEY RESULTS AREA ANNUAL TARGET RESULTS

Turnaround interventions

developed to prevent job

losses

• 4000 jobs saved.

• 50 Productivity capacity

building (1 day

training).


building(3 days

training).

• 3886 jobs saved.


building done.


done.

Marketing and promotions • 2 campaigns and

promotion done.

• 2 campaigns and

promotion done.

UIF Budgeted allocation for 2012/13

Period Amount

2012/13 Tranche (November 2012) R 26.5 mil

17

PROGRAMME OUTCOMES

• Improves Productivity

• Improves profitability

• Improves company performance through better marketing, financial strategies, management, HR and Operations

• Effective communication between employees and management

• Job security

• Early Warning systems to detect signs of decline

18

PRODUCTIVITY

ORGANISATIONAL SOLUTIONS

19

Productivity Organisational Solutions is an

assessment and productivity training programme

that gives individuals the right attitude, knowledge

and skill capacity to become a more competent

asset to their organisation. It is also a short term

intervention program for productivity projects.

INTRODUCTION

20

• To implement productivity improvement projects in government departments and private organisations

• To conduct direct training to managers, workers and emerging entrepreneurs.

• To provide productivity training to intermediaries such as educators, SDFs and ETD service providers

• To assess performance of an organisation and the factors that affect performance in order to demonstrate areas of competence, improvement,.

Assessment Centre

(Organisational Assessment)

Education and

Training

Small Enterprise

Development

Productivity Improvement

Projects

PROGRAMME STRATEGIC

FOCAL AREAS

KEY RESULT AREA MEASURE/INDICATOR RESULTS

• Conduct training for ETDs • 800 ETD Service Providers

trained as productivity trainers.

• 647 Educators trained to

educate learners in schools on

productivity concepts and

waste elimination.

• Conduct training for SMME • 4 000 SMMEs trained on

productivity concepts.

• 3 884 SMMEs trained on

Productivity Improvement

Workshops.

• Conduct training for workers • 650 workers trained on


• 612 workers trained on


• Conduct training for Skills

Development Facilitators

(SDFs)

• 350 Skills Development

Facilitators trained in

productivity.

• 212 SDFs trained.

• Conduct training for

government managers

• 130 Government and SOE

managers trained on


• 152 Government and SOE

managers trained.

DELIVERABLES AND

ACTUAL RESULTS

PROGRAMME OUTCOMES

• Increased number of intermediaries facilitating the

spread of productivity competencies and mindsets

• Generate and disseminate knowledge and key

productivity drivers and challenges

• Increased number of educators, learners, ETD service

providers and SDFs with enhanced productivity

competencies and mindsets.

23

PROGRAMME OUTCOMES

• Increased number of public sector organisations, including municipalities managing their resources efficiently and effectively

• Enhance public sector efficiency and effectiveness resulting in improved service delivery

• Increase productivity levels amongst a number of small enterprises

• Build the productive capabilities of micro-small enterprises

24

VALUE CHAIN

COMPETITIVENESS

25

PROGRAMME STRATEGIC

FOCAL AREAS

• Manages the total knowledge assets of Productivity SA

•Provide support around installation and maintenance of computer hardware, software electronic data processing and networks

• Improves the productivity and competitiveness of South African firms and sectors through the implementation of continuous improvement principles at the workplace

• Generate and provide decision makers in government, business and labour with information on productivity

Research The workplace challenge programme

Knowledge management

Information technology

RESEARCH

Information and Knowledge Generation to influence policy

debates and decision making by investors.

27

Key result area

Measure/Indicator

Results

Research study conducted on

the contribution of municipal

land in the SA economy

1 Research report Report completed

A study on competitiveness

indicators for South Africa

1 Research report Report completed

Report on the municipal land

audits.

1 Research report Research completed

Number of provincial

seminars conducted on

research reports.

9 seminars 5 seminars run in regions

PROGRAMME PERFORMANCE

28

Key result area

Measure/Indicator

Results

Updated report on the impact of

municipal programme on

SMMEs in relation to

productivity and jobs produced.

1 Research report Report not completed.

Appointment of the critical

resource took place late in

2012, Chief Economist.

Compile annual productivity

statistics

1 Productivity statistics

Research report.

Report in progress

A study on public sector

productivity and performance

and service delivery conducted.

Research report. Report not completed


Key result area

Measure/Indicator

Results

A report with recommendations

relating to the best way of managing

productivity, performance and

remuneration within the branch

1 research report Research in final stage of

completion

A benchmarking study to Investigate

and make recommendations on

Factors driving an Efficient public

Employment, Legislation and

Guidelines environment.

1 research report Report not completed


KNOWLEDGE MANAGEMENT

31

Performance Indicator Planned Target Results

SharePoint for document and

content management

To finalise SharePoint for

document and content

management

Achieved

Audit report of existing

information and knowledge

Utilise report for

institutionalising and

securing knowledge

Report completed

Identify and document

processes tools and

techniques

Preparation for QMS

internal audit

Quality Management

System (QMS) plan

has been developed

KNOWLEDGE MANAGEMENT

32

Performance Indicator Planned Target Results

Develop the Norms and

Standards report for

Milestone 2

Completion of Milestone 2 Report – Milestone 2 of

the norms and standard

project

Institutionalising

knowledge by securing

knowledge

Registration of 28

trademarks

Application of trademark.

Challenges were

experienced with the

registering of 28

trademarks. Dti is in the

process of resolving

those challenges.

Institutionalising

knowledge by generation

of knowledge

Formulation of

Communities of Practice

in line with knowledge

generation

Developing products for

Productivity SA

WORKPLACE CHALLENGE

33

WORKPLACE CHALLENGE

• Improvement of the Productivity and Competitiveness of

Enterprises

• The new focus is to increase the competitiveness and

therefore employment in the previously underdeveloped

regions of the country.

34

Key Activities MEASURE RESULTS

Support industrial clusters. Support 80 co-operatives

Support 7 companies in

saw milling

80 co-operatives supported

7 companies supported

Facilitate constructive dialogue

between the social partners, managers

and workers and participating

enterprises on improving productivity

and competitiveness at the workplace.

Nurturing of 180

enterprises (for

participation in clusters or

User Groups)

NB: ”Nurturing” refers to

companies reached

through marketing

initiatives.

129 enterprises were nurtured and

83 companies joined the

programme as a result of the

implementation of key marketing

initiatives.

Develop the capacity of employers and

workers to jointly participate in the

programme.

Presenting 36 capacity

building workshops to

companies which joined

WPC cluster or user group

67 capacity building workshops

presented.


KEY ACTIVITIES MEASURE RESULTS

Implement workplace

transformation in enterprises

through clusters, model

companies and kaizen

projects- each striving for best

operating practices and world

class competitiveness.

Implement workplace

transformation in 60 new

enterprises.

Implementation of workplace

transformation was executed in

83 new enterprises

Companies in implementation

Implement workplace

transformation in 256

enterprises

Workplace transformation

implemented in 257

enterprises.

Provide aftercare programme

(Workplace Transformation)

for graduate Clusters and User

Groups

Maintain participation of 220

companies in User Groups

and Clusters in the After Care

programme.

218 companies in Clusters and

User Groups participated.


36

Train and coach Change

Facilitators and Interns in change

management processes.

Train and coach 15 Change

Facilitators and 3 Interns in world

class competitiveness and Best

Operating Practices.

13 Change Facilitators and 3

Interns coached and trained.

Launch a pilot on experiential

training of unemployed graduates

in scarce and critical skills.

Source 67 experiential training

opportunities for unemployed

graduates

Experimental training opportunities

were sourced for 69 unemployed

graduates.

Experiential training opportunities.

100 experiential training

opportunities

Not achieved.

Research geared to evaluate

impact of Workplace Challenge

with an intention to improve its

effectiveness.

Publish one research paper during

the year

No research paper published

during the year.


37

Develop monitoring and

evaluation system

Monitoring and evaluation

system

Monitoring and evaluation

system developed.

Initiate benchmarking clubs of

the Workplace Challenge

programme

Develop benchmarking

model/tool

Benchmarking tool has been

developed.

Explore and document Best

International Practices and

lessons.

Issue and distribute 4

Quarterly e-newsletters

aimed at sharing lessons

learnt in the implementation

of International Best

Practices

4 Quarterly e-newsletters were

published and distributed.

Collate and package Workplace

Challenge processes,

experiences and lessons (video

footage, photographs and

written case studies)

Publish 9 success stories,

stakeholder videos and

technical videos collated and

packaged

9 success stories were

published


38

Create national awareness

and branding through TV and

radio, seminars,

presentations, website and

printed media.

Implement awareness and

dissemination programme

to put Workplace

Challenge on the “minds

and lips” of industry

Programme has been

implemented.

Collate and package

Workplace Challenge

processes, experiences and

lessons (video footage,

photographs and written case

studies)

Publish 9 success stories,

stakeholder videos and

technical videos collated

and packaged

8 success stories were

published


Create national

awareness and branding

through TV and radio,

seminars, presentations,

website and printed

media.

Implement awareness and

dissemination programme

to put Workplace

Challenge on the “minds

and lips” of industry

Awareness seminars

scheduled implemented

during the financial year


40

MARKETING AND

COMMUNICATION

41

PROGRAMME OBJECTIVES

To inspire SA towards greater productivity

achievements

• To raise the urgency and the importance with which productivity has to be given in the face of world competitiveness

• To highlight the role of every South African in achieving this

• To create a universal understanding of productivity

To build the legacy for the Productivity SA

Give Productivity SA ownership of productivity related issues (to be supported by various comm. platforms)

• Raise the profile of events as they happen (Productivity Month, Research Reports etc)

To build appropriate relationships between Productivity SA and

stakeholders

Initiate own and participate in relevant discussion forums

• Invitations to lectures, seminars

• Partnership or co-sponsorship of productivity or labour related issues

42

Key Result Area

Indicator

Results

Key Result Area

Indicator

Results

Print and electronic

campaign

One print and electronic

campaign

One print and electronic campaign executed

Interactive (theme)

campaigns

(household)

One theme

One theme implemented

Media articles

published

85 media articles 225 media articles published. Various stakeholders

extended media coverage by mentions as well as

an in-depth coverage from seven regional awards.


43

Key Result Area

Indicator

Results

Key Result Area Indicator Results

Marketing campaigns for

Social Plan

SLA SLA signed and implemented

Website revamp and

consolidation

Annual Update Annual Update

Productivity information

brochure

One

One company profile completed

44


Key Result Area

Indicator

Results

Key Result Area

Indicator

Results

Database Management

One Database management tool under review

Electronic newsletter Twelve e-newsletters Eight e-newsletters achieved

Quarterly Productivity

magazine

Four magazines to be

distributed

Four magazines published

Annual Report

One One


45

Key Result Area

Indicator

Results

Key Result Area

Indicator

Results

National Productivity awards One National Productivity Awards Ceremony

One National Awards Ceremony conducted

Workshops conducted in regions

Twelve workshops 31 workshops conducted . Over achievement is as a result of partnerships formed with organisation such as BMF,SEDA, SACCI, Chambers and Labour Federations.

Regional Productivity awards

Six regional awards

Seven regional awards hosted

46


PROGRAMME OUTCOMES

• Create awareness of the importance of productivity and competitiveness

(eg productivity seminars)

• Create association of productivity concepts with Productivity SA

• South Africans embrace the concepts of productivity that lead to changed

behaviour

• An entrenched brand awareness that lead to a strong brand equity

• Forefront of Productivity thinking and discourse

47

HUMAN RESOURCE

DEPARTMENT

48

Key Result Area

Indicator

Results

Key Result Area

Indicator

Results

Establish Talent Management

Committee

TMC to be established Achieved Talent management Committee in place.

Define talent management

strategy, tools and processes

Talent management

Strategy, tools and

processes in place

Achieved, Talent management strategy, tools and

processes in place.

Identify critical skills and

behavioural attributes for

leaders (audit planning)

Skills audit and

competency framework

Achieved. Skills audit and competency framework

has been conducted.

Identify employees for

assessment

Level 3/4/5 Achieved.23 employees; 2 level 3; 12 level 4; 9

Level 5.


49

Key Result Area

Indicator

Results

Key Result Area

Indicator

Results

Categorise talent groups L3/4/5 Achieved. Categorized the 23 employees into 2 groups

Generate career maps

L3/4/5 discussion Partially achieved. In the process of compiling career

maps.

List development areas of

individuals

Completion of

development plans

Achieved. Development plans finalized for Group1 and

2 candidates (23). Development plan discussions for

Group 1 and Group 2 candidates are currently taking

place.

IDP of persons

Review and

consolidate IDPs

Achieved. IDP’s have been reviewed on an ongoing

basis.


50

Key Result Area

Indicator

Results

Key Result Area

Indicator

Results

Establish goal setting

process

Level 4 performance contracts

in place

Achieved Goal setting performance contracts

accomplished

System process for

assessing performance

Align performance

management system to

business objectives

Achieved

Develop performance

monitoring skills for

managers

Conduct performance

management training

Not achieved

Salary surveys to determine

market related remuneration

Improved incentive

scheme/recognition scheme

Partially achieved


51

FINANCE AND

ADMINISTRATION

52

2012/13 TRANSFERS AND SUBSIDIES

• Productivity SA Grant R37,050m

• Turnaround Solutions R26,500m

• Workplace Challenge R8,200m

• TOTAL GRANTS &

• SUBSIDIES R71, 750m

53

INCOME COMPARISON 2011/12

34 059 57%

13 674 17%

9 500 24%

220 0% 2613

4%

Productivity SA Grant

Workplace Challenge

Turnaround Solutions

Self-generated (Own)

Other departments

54

INCOME COMPARISON 2012/13

37 050 52%

8 200 10%

26 500 33%

1 873 3%

6629 8%

Productivity SA grant

Workplace Challenge

Turnaround Solutions

OtherDepartments/EntitiesSelf-generated (Own)

55

56

STATEMENT OF FINANCIAL PERFORMANCE

2013 2012

% of total R’000 % Chg R’000 % of total

Revenue

Non-exchange revenue 73 623 28% 57 453 Mainly due to R26.5m from UIF and increase in DoL grant

Transfers and subsidies 92% 73 623 28% 57 453 96%

Exchange revenue 8% 6 629 154% 2 613 4% Higher % of own generated revenue compared to last year

Sale of goods and rendering of services 8% 6 361 208% 2 063 3% PSA on a drive to increase revenue thru projects

Finance income 0.3% 222 -37% 351 1%

Other operating revenue 0.1% 55 -71% 187 0%

(Loss) / Profit on disposal of assets 0.0% -8 -167% 12 0%

Total Revenue 100% 80 252 34% 60 066 100%

Expenditure

Employment costs 54% -43 586 23% -35 555 59% Recruitment fees and general salary increases of 7.75% and

increase in staff and partial gap closure to align to the Equate

grading system

2 New executives were app towards the end of the prev year

Jan-12 and May-12)

General expenses 42% -33 727 -9% -37 208 62% Decreased mainly due to better cash management esp in

Advertising, stationery and professional fees

Repairs and maintenance 0.4% -303 -16% -361 1%

Finance costs 0.0% -5 -93% -72 0.1% Better cash management

Depreciation / amortisation and impairment 1% -519 -17% -622 1% Only a Marginal increase in asset base. Assets acquired late in

the year. Fewer additions and more disposal in current year.

Total Expenditure 97% -78 140 6% -73 818 123% Overall very small increase

Surplus / (deficit) for the year 3% 2 112 115% -13 752 23% Great result for the year

15 864 improvement

57

STATEMENT OF FINANCIAL POSITION

2013 2012

R’000 % Chg R’000

Assets

Non-current assets 1 793 13% 1 584

Property and equipment 677 5% 646 Replacing computer hardware after theft and

Additions due to new staff ,New Furniture (chairs &

tables) minimal depreciation and disposals

Intangible assets 401 49% 269 Software licenses - Accpac, MS

Trade and other receivables 715 7% 669 Increase in Lease deposit

Current assets 5 946 235% 1 775

Trade and other receivables 5 161 404% 1 023 Challenge with collections

Inventories 338 -8% 367 Inventories comprise stationery and consumables.

Better cash management

Cash and cash equivalents 447 16% 385 Better cash management

TOTAL ASSETS 7 739 130% 3 359

Liabilities

Current liabilities

Trade and other payables 5 075 77% 2 874 Used current liabilities to partly fund organisation

Provisions 4 140 2% 4 073 slight upward movement due to salary and leave pay

provisions

TOTAL LIABILITIES 9 215 33% 6 947

Net assets and liabilities

Accumulated deficit -1 476 59% -3 588 Improvement but not enough to reverse the deficit

TOTAL NET ASSETS 7 739 130% 3 359

INDEPENDENT AUDITORS’ REPORT

31 MARCH 2013

• Addressed to Executive Authority

A. On FINANCIAL STATEMENTS (ito GRAP, GAAP & PFMA)

1. Report of the Audit Committee

2. Accounting Authority’s Report

3. Statement of Financial Position

4. Statement of Financial Performance

5. Statement of Changes in Net Assets

6. Cash Flow Statement

• OPINION

Unqualified (Clean audit report)

AFS Fairly present financial position and results according to GRAP and in the manner required by PFMA

58

B. PREDETERMINED OBJECTIVES as required by AG (ito the Public Audit Act)

• Performance Information on programmes

• Compliance with Laws and Regulations

• Internal Control

• OPINIONS

No significant findings on performance information

No material findings on compliance with laws and regulations

No deficiencies identified that resulted in a modification of the audit opinion on AFS

59

INDEPENDENT AUDITORS’ REPORT

31 MARCH 2013

CHALLENGES 2012/13

• Committed funding (R55m for 2013/14) from UIF for the Turnaround Solutions Programme remains outstanding. This is hampering Productivity SA’s ability to deliver on targets on time.

• Limited resources to market , fund and implement Productivity SA programmes to the critical masses

60

HIGHLIGHTS 2012/13

Increase in self-generated (own) revenue by 154%

Expansion of Productivity awards to the Mpumalanga province.

Expansion of the awards category to Include cooperatives in line with the government strategy.

Raising the profile of Productivity SA brand by being in media discussions on productivity discourse, resulting in significant media coverage.

Supporting of the industrial sectors through the Department of Mineral Resources.

Partnership with the EDD on developing productivity accords, focusing on key sectors of the economy, agro processing, automotive, green economy and Platinum Group Metals.

61

HIGHLIGHTS 2012/13

• Partnership with East London IDZ for a virtual incubator. Partnerships have been obtained with Tshwane Metro, Mafura Mafura incubator in Limpopo and SMTDC and Rustenburg Seda incubators for the implementation of the Business Productivity Improvement Programmes.

• Productivity SA in conjunction with the Limpopo Department of Education managed to train more than 400 educators in the province on the Improvement of Productivity in Schools during challenging times in March 2013.

• Strategic partnership with various institutions enabling Productivity SA to carry out its mandate: SANACO, SEDA, DTI, ILO and LEDET.

• Productivity SA has acquired accreditation with the South African Board for People Practice as a service provider.

62

FUTURE KEY PRIORITY AREAS

1. Improve processes, tools and techniques

2. Increase provincial footprint

3. Develop and secure knowledge

4. Manage talent

5. Maximising on relationship with key stakeholders

6. Improve responsiveness

7. Demonstrate impact.

63

THANK YOU

64

who is productivity sa?pmg-assets.s3-website-eu-west-1.amazonaws.com/131009... · 2015-01-27 ·...

Documents