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Wholesale and Retail Sector Transforma tion

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1994 Labour Relations Act of 1995 Basic Conditions of Employment Act of 1997 Skills Development Act of 1998 Employment Equity (EE) Act of 1999

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Page 1: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Wholesale and Retail Sector

Transformation

Page 2: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

The TransformersName Role Company

Thandi Mbatsane Perishables Manager

Emmanuel Jula General Manager

Leon Pillay Divisional Manager

Melvin Thaver Operations Executive

Oswald Abrahams IT Systems Manager

Page 3: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

1994Labour Relations Act of 1995

Basic Conditions of Employment Act of 1997Skills Development Act of 1998

Employment Equity (EE) Act of 1999

Page 4: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

WHITES CONTINUE TO DOMINATE TOP AND SENIOR MANAGEMENT LEVELS

(CEE 15TH ANNUAL REPORT)

SITUATION

Page 5: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Mr.Price TFG Woollies Clicks0

100

200

300

400

500

600

700

Middle Management

WhitesAfricanColouredIndian

Mr.Price TFG Woollies Clicks0

5

10

15

20

25

30

35

Top Management

WhitesAfricanColouredIndian

Mr.Price TFG Woollies Clicks0

20406080

100120140160180

Senior Management

WhitesAfricanColouredIndian

RETAIL SECTOR

(2014 Annual Financial Report)

Page 6: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Africans;

13.60%

Coloureds;

4.70%Indi-ans;

8.40%

Whites;

70.00%

Foreign Nationals; 3.40%

TOP management levels

NATIONAL EAP

Africans;

20.5% Coloureds; 7.2%In-

di-ans; 9.9%

Whites;

59.3%

Foreign Nationals;3.1%

SENIOR management levels

NATIONAL EAP

(CEE 15TH ANNUAL REPORT, NATIONAL)

Page 7: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Top management levels

(CEE 15TH ANNUAL REPORT, NATIONAL)

Page 8: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Senior management levels

(CEE 15TH ANNUAL REPORT, NATIONAL)

Page 9: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Middle management levels

(CEE 14TH ANNUAL REPORT, NATIONAL)

Page 10: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

African coloured Indian white foreign0

10

20

30

40

50

60

70

80 75.35

62.40

Wholesale / Retail Workforce profile 2014

(CEE 14TH ANNUAL REPORT, WR SECTOR)

75.35%

Page 11: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Retail Sector

• R 707 Billion Retail Sales – 2014

• Value to the Economic Engine of SA

• Major Employer (1.7 million)

(Stats SA,2014)

Page 12: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

INSIGHTS / BARRIERS

• Leadership • Training • Communication• Culture• Talent Management

Page 13: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Transformation is happening but at a slow pace which could result in

CONCERN

Economic instability which will contribute to Social Unrest

Page 14: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

HOW DO WE ACCELERATE TRANSFORMATION WITHIN THE SOUTH AFRICAN WHOLESALE AND RETAIL SECTOR IN TOP AND SENIOR MANAGEMENT?

Question

Page 15: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

ANSWER

Ethical Leadership Legislation Training and

Development

Page 16: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

REASONINGHOW WILL ETHICAL LEADERSHIP ACCELERATE TRANSFORMATION?

• Human Rights, Social justice and Sustainability • Transparency• Influence• Agile• Ethical Expectation

Page 17: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

REASONING - SUCCESS STORIES

•Pick n Pay – Excellence in EE• “Empowering Our People”• R241.9 Million (2011-2013)• BBBEE Status- Level 6 to 4

Page 18: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Source: Pick N Pay, Sustainability Living Report – 2013)

Page 19: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Maintained Level 2 BBBEE Status - 2009 to 2013

Nedbank - The Role of Strategy, Culture and Leadership in the Nedbank Turnaround – The Tom Boardman Story

Source: Nedbank Integrated Report,2014)

Page 20: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

It is the right thing to do Transformation is a business and moral imperative.

Transformation will have short‐term cost with long- term benefit.

Transformation affects every single

area of our business

Transformation targets will be

embedded in our strategies and

business plans through on-going

consultation.

It is the responsibility of every person

to make it happen.

We will pro‐actively grow and develop

our own talent pool.

Trust and transparency is required.

Everyone should be heard

We will focus strongly on the support

and empowerment of blacks, with

particular emphasis on Africans, all

women and all people with disabilities.

Transformation at Nedbank must be

unifying, fair and transparent. Transformation is non‐

negotiable. 

Nedbank’s Transformation truths.

Source: Nedbank Turnaround, The Tom Boardman Story, 2009)

Page 21: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Implementation

• Secure an audience with key decision makers

• Get the Buy in from the key decision makers

• Create a clear value proposition

• Create a clear path

Page 22: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

2016Evaluation

Page 23: Wholesale and Retail Sector Transformation. The Transformers NameRoleCompany Thandi Mbatsane Perishables…

Conclusion

“we have travelled so far on our transformation journey that we are another nation” however it can be added “we have so much learning and un-learning to do that the journey has but just begun”

Van Gass (2005)