Featuring in TFM Magazine Issue 19
We are pleased that we have managed to get TFM Magazine, Volume 3, Issue 19 into distribution. Like most businesses, we have adjusted our operating model to adapt to the times. Therefore, due to the labour-intensive process of printing and distributing hard copies of TFM Magazine, this issue is available in electronic format only. Upcoming lockdown conditions permitting, hard copies will be printed and distributed to subscribers.
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I want to welcome the 14,000 BEE Chamber members to our readership. On 1st April 2020 TFM Magazine merged with the BEE Chamber. Over the years the BEE Chamber and TFM Magazine have worked in parallel in the B-BBEE Arena, independently bridging the information gap in both practice and theory. Driven by the same vision and ethics, each boasts a loyal and diverse audience, which over the years has overlapped. However, each audience has the same mandate and a need for credible and reliable information; subsequently, this overlap is a benefit to all.
The merge with the BEE Chamber affords TFM Magazine subscribers more benefits in terms of relevant real-time information. TFM Magazine subscribers are invited to become Associate Members of the BEE for FREE whereby each subscriber will receive the following:
- Daily TFM News – BEE Current Affairs;
- Weekly TFM Newsletter – BEE Legislation Updates;
- Monthly TFM Webinar – BEE Legislation Review;
- Quarterly TFM Breakfast – Thought Leaders presentations (pay for)
- Quarterly TFM e-Magazine – BEE Transformation Best Practice;
- Annual TFM Summit – BEE Thought Leadership (pay for);
Members must register for the monthly webinar which is scheduled for the first Tuesday of each month. At these events, we discuss the articles covered in the previous month’s TFM Newsletters to give further context and application understanding of content.
As an Associate Member, the various BEE Chamber Service Desks are available where you can access specialists in the areas of:
- B-BBEE Commission;
- Ownership Transactions;
- Learnership Management;
- Bursary Management;
- Human Capital Transformation;
- Supplier Chain Transformation;
- YES Management; and
- Score Management and Assurance.
Visit www.bee.co.za for a full breakdown of the benefits to TFM Magazine subscribers.
Snippets of articles featuring in TFM Magazine, Issue 19
What Theory Applies for this ‘Known Unknown’?
Is it a Black Swan? Or is it a Grey Rhino? The nature of the coronavirus pandemic divides risk theorists. This debate is not an academic one. Proper understanding is key to managing this crisis for us to move forward.
Non-forecastable risks - the word ‘predictable’ is too tainted - are acts of God. We know nothing about them; thus, we cannot prepare for them. Such risks are identified as ‘known unknown’.
The Lack of Transformation as the Covid-19 Threat Looms
Featuring opinion piece by B-BBEE Commissioner, Zodwa Ntuli - Economic transformation is on a perpetual go-slow and coronavirus may bring it to a screeching halt.
SANAS Amends R47-02 Procedures
On 18th March following the COVID-19 pandemic and subsequent requests, SANAS reviewed the R47-02 procedure to accommodate Verification Agencies during a B-BBEE Audit.
Section 18.1.1 of the R47-02 states that “No score is allowed without an on-site assessment of the entity”. However, based on the extraordinary circumstances this pandemic has brought about accommodations for organisations conducting a B-BBEE Audit.
A Discount Based on Principle | What triggers the Discounting Principle?
The 2013 Codes of Good Practice introduced the Discounting Principle and Priority Elements.
While revising the Old Codes, The Department of Trade Industry & Competition identified three areas of priority on the B-BBEE Scorecard that have the potential to catapult the rate of transformation.
A Specialised Scorecard | Excludes Ownership
As per the private sector, organs-of-state and public entities are obliged to meet the expectations laid out in the Codes of Good Practice. However, such entities are either state-owned or have no shareholding, thus are not capable of measuring their ‘Black’ Ownership. A Specialised Enterprise scorecard that excludes ‘Black’ Ownership from the measurement benchmark addresses this issue.
The Skills Development Scorecard Evolves
The B-BBEE Act of 2003 and the subsequent introduction of The Codes of Good Practice in 2007 created an equalising framework designed to propel an inclusive economy. A core component of creating an inclusive economy was to address inadequate race and gender representation within the skills base and talent pipelines prior to 2007, at which time the official unemployment rate was 22.3%. The article unpacks ‘Absorption’ from its inception into The Codes to how it has evolved to be a mechanism to create employment.
Skills Development Expenditure | The Learning Programme Matrix
The Learning Programme Matrix illustrates the learning programmes recognised as Skills Development Expenditure. Organisations must be aware of what Skills Development expenditure is acceptable as a contribution. From a verification perspective, it is evident that there needs to be clarity on how an organisation allocates such expenditure. Incorrectly allocating Skills Development expenditure has a detrimental impact on an organisation’s overall scorecard. This article outlines what is and is not a Skills Development contribution.
‘YES’ | more than just ‘Ticking the Box’
On 28th August 2018, the Yes4Youth Initiative (YES) was published as Gazette #41866. YES is a pioneering, business-driven initiative which has partnered with Government and Labour to tackle South Africa’s Youth unemployment crisis and drive youth employability. YES aims to create one million work experiences for the Youth through enabling a business to contribute to, and to be a co-creator of, a future that works. In this process, an organisation can gain one or two Status Levels on its overall scorecard. This article reflects on lessons learnt as well as clarity of Enhanced Recognition.
Hand in Hand | The Act & The Codes
Are you aware that for the most B-BBEE Practitioners are the weakest link in terms of fulfilling the country’s economic growth framework? Economists have established that increasing the diversity of shareholding, improving skills and expanding small business participation in supply chains are all components which could contribute to economic growth. However, only if it is done strategically by aligning with economic growth principles. This articles probes how The B-BBEE Act lays the foundation for intent.
At the Heart of Transformation is a Change of Heart
Human Capital Transformation will not happen magically without the correct mindset of those who affect and should effect transformation. We typically think that transformation begins and ends with the Human Resources Department. Yes, they do have an impact on the process, but they do not take it from end-to end. As an example, management decisions significantly affect the transformation process, such as their decisions about who will be recruited, promoted, developed or earmarked in the successor pool. The article clarifies any uncertainly on developing a workable Human Capital Transformation Strategy.
Mind the Gender Pay Gap
The ‘gender pay gap’ is, in part, influenced by social norms. Essentially, it is the result of historic perceptions as to the roles men and women play in society and the economic value placed on work. This article gives an overview of the gender pay gaps taking into account global trends and case law.
A Supported Bursary Programme | Unlocks Potential
There is much buzz in the business world surrounding the development of future skills to ensure that our talent pipeline aligns with the demands of business. Organisations are overtly committed to investing in building such future skills to remain competitive in their own right. In effect, what we need are specialised skills, innovative thinkers, problem solvers, adapters, and those that challenge the status quo in an organisation’s approach to their business. This article explores the opportunities available to organisations to unlock the potential of persons with a disability.
Myths & Stereotypes | Rationalise Discrimination
Daily, persons with a disability must overcome challenges put firmly in place through perceptions based on superficial myths and stereotypes. Unfortunately, such judgements alienate persons with a disability from both society and the workplace alike. In an attempt to rationalise these Myths and Stereotypes, we must unpack the definition of each and familiarise ourselves with acceptable protocol in both the workplace and society alike.
Questions & Answers
Although those driving B-BBEE Strategies have substantial knowledge about the expectations of The Codes, the daily practical implementation continually introduces challenges in terms of correct interpretation. Adequately addressing each of these challenges is what contributes to an organisation reaching its desired scorecard outcome.
The BEE Chamber, as part of its offering to its members, has a real-time platform to assist those on the job juggling the balls of compliance. Time in the field indicates that if one BEE Practitioner is experiencing a challenge with an interpretation, many others are too. In this article we share some interaction between the BEE Chamber and its members, where challenges in interpretation were identified and then addressed over the last quarter.