BRIEFING ON 2015/16 STRAT PLANS AND BUDGETS PRESENTATION OUTLINE Who is Productivity SA? Vision/Mission/Mandate Structure and Governance Strategic thrust Key Priority Sectors Programme Focus Finance Strategic Partnerships Future priority areas

WHO IS PRODUCTIVITY SA? 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.

BACKGROUND Productivity Competitiveness Measure of how well resources are used to produce outputs Competitiveness The ability of a nation or its enterprises to gain global market share for inputs, products and services

VISION / MISSION /MANDATE Vision: To lead and inspire a productive and competitive South Africa. Mission: Improving the productivity of South Africa by diagnosing, advising, implementing programs, monitoring solutions and evaluating progress aimed at. Mandate:Tasked with the responsibility of improving productivity in South Africa; and to serve the interest of Government, Business and Labour 5

STRUCTURE AND GOVERNANCE Schedule 3A Public Entity – reporting to Minister of Labour Tripartite organization – board drawn from government, business & labour ORGANIZATIONAL ARRANGEMENT Head Office (Midrand 2 regional offices (KZN, WC) STRUCTURE AND GOVERNANCE

STRATEGIC THRUST Enterprise productivity and competitiveness Micro-small enterprises and cooperatives productivity capabilities Knowledge Management and research Productivity awareness

STRATEGIC PROGRAMMES Turnaround Solutions Productivity Organisational Solutions Value Chain and Competitiveness Productivity Awareness

KEY PRIORITY SECTORS Manufacturing Sector Agricultural Sector Mining Sector Public Sector

PROGRAMME FOCUS

TURNAROUND SOLUTIONS

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.

PROGRAMME PHASES Phase 3: Job creation Phase 1: Turnaround Solutions Phase 2: Managing retrenchments Phase 3: Job creation

TARGETS 2015/16 Key Result Area Indicators Targets Jobs saved in distressed companies through Turnaround Solutions Indicators Number of future Forums established Number of work-plans developed Number of work-plans implemented Number of close out reports Number of impact assessment Number of champions training Estimated number of jobs impacted upon Targets 150 100 7500

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

PRODUCTIVITY ORGANISATIONAL SOLUTIONS

OBJECTIVE OF THE PROGRAME 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.

POS PROGRAMME STRATEGIC FOCAL AREAS Small Enterprise Development Educators Training Productivity Improvement Projects Assessment Centre

TARGETS 2015/16 Key Result Area Indicators Targets Capacitate ETD service providers and SMMES in order to contribute to sustainable employment creation Indicators Number of emerging entrepreneurs trained Number of educators trained Number of workers trained Number of SDFs trained Number of managers trained Number of graduates engaged Targets 5500 950 900 550 160 5

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. 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

VALUE CHAIN COMPETITIVENESS

PROGRAMME STRATEGIC FOCAL AREAS Research 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 (Support Function) Information technology (Support function)

RESEARCH Information and knowledge generation to influence policy debates and decision making by stakeholders.

TARGETS 2015/16 Key Result Area Indicators Targets Publish Productivity Research reports for selected sectors Indicators Annual Productivity Statistics Study on Competitiveness Indicators for South Africa (IMD ) Study on Public sector productivity and performance and service delivery Workshops and seminars conducted in regions Reports conducted on identified relevant sectors as commissioned Report on the best way to manage performance, productivity and remuneration in the PES Targets 1 report 1 Report 9 4 Report

WORKPLACE CHALLENGE (WPC)

OBJECTIVES OF WPC 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.

TARGETS 2015/16 Key Result Area Indicators Targets Products and services of assisted companies to be world class and competitive Indicators Number of new enterprises that joined WPC Number of capacity building workshops Number of facilitators and interns coached Number of companies implementing WPC Number of enterprises participating in after care Number of quarterly newsletters Research and development Number of success stories Targets 201 73 15 & 3 232 291 4 Roll-out Green Productivity toolkit 9

MARKETING AND COMMUNICATION

PROGRAMME OBJECTIVES To inform, educate and lead South Africans in discussions on issues pertaining to Productivity To promote the concept of productivity and competitiveness through various medium Print Radio Online Seminars Workshops Awards and Productivity Month To build appropriate relationships between Productivity SA and stakeholders Partnership or co-sponsorship of productivity or labour related issues Initiate own and participate in relevant discussion forums Invitations to lectures, seminars

TARGETS 2015/16 Outcomes Indicators Targets National Awareness campaign Productivity related knowledge at a strategic level to support the national productivity campaign Productivity month campaign Indicators Media articles published Monthly Electronic newsletters published Quarterly productivity magazine published Annual report Productivity awards Workshops and seminars conducted in regions Partnerships with major stakeholders Print and electronic campaign Targets 395 12 4 1 9 10 National campaign

PROGRAMME OUTCOMES Create awareness of the importance of productivity and competitiveness (e.g. 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

HUMAN RESOURCE DEPARTMENT

TARGETS 2015/16 Key Result Area Indicators Targets 100% Complete Generate career path maps for Talent Management List of development areas of Talent Management candidates Individual Development Plans finalised Establish goal setting processes that facilitates total participation and alignment of goals System process for assessing performance in a fair and equitable manner (scorecards) Salary surveys to determine “market relatedness” of remuneration Culture survey and interview to check change conducted to improve culture shift Indicators Senior, Middle and Junior Management Talent Management Development Plans Reviewed Individual Development Plans Completed Performance Contracting Completed Performance Reviews Salary survey/ benchmarking Annual Climate survey Targets 100% Complete 100% Submission Quarterly Submission Annual survey 75% Implementation

FINANCE AND ADMINISTRATION

BUDGET – 2015/2016 Statement of financial performance - 2015/16   R’000 Revenue Total other income 11 950 Income from sources other than grant funding 11 527 Interest received and other income 422 Transfers and grants received 115 652 Total revenue 127 602 Expenses Compensation of employees 55 311 Goods and services 71 644 Depreciation 645 Interest 2 Total expenses Surplus / (Deficit) -

TRANSFERS RECEIVABLE INSTITUTION PROGRAMME R’000 % DOL PRODUCTIVITY SA 45 531 39.4 DTI WORKPLACE CHALLENGE 8 094 7.0 UIF TURNAROUND STRATEGY 62 027 53.6 TOTAL TRANSFERS 115 652 100

TRANSFERS

TOTAL REVENUE

TOTAL REVENUE DESCRIPTION R’000 % TOTAL TRANSFERS(GRANTS) 115 652 90.6 OTHER NON-TAX REVENUE 11 950 9.4 TOTAL REVENUE 127 602 100

TRANSFERS RECEIVED INSTITUTION PROGRAMME R’000 % DOL PRODUCTIVITY SA 43 119 35.4 DTI WORKPLACE CHALLENGE 9 170 7.5 UIF TURNAROUND STRATEGY 69 400 57.0 TOTAL TRANSFERS 121 689 100

TOTAL REVENUE

TOTAL REVENUE DESCRIPTION R’000 % TOTAL TRANSFERS(GRANTS) 121 689 94.0 OTHER NON-TAX REVENUE 7 829 6.0 TOTAL REVENUE 129 518 100

STRATEGIC PROJECTS City Of Ekurhuleni Transnet Group SAA’s O R Tambo International Airport (ORTIA): Transnet Freight Rail (TFR) Rand Water SANACO

FUTURE KEY PRIORITY AREAS Establish new and foster existing partnerships and measure the impact of these partnerships Evaluate, design, developed new and existing products and services and demonstrate the impact of these Assess, monitor and evaluate organisational performance Assess, measure, monitor and improve public presence and demonstrate impact Determine, assess, measure, monitor and improve processes and demonstrate impact Design, implement and monitor an employee value proposition strategy.

THANK YOU