Stakeholder Consultative Forum Welcome to the Stakeholder Consultative Forum Johannesburg 10 June 2019 Follow us on: #MICTSETAFORUM NB

Arrival and Registration Collaboration Agenda Time Description Presenter 08:00 – 08:45 Arrival and Registration 09:00 - 09:05 Introduction Ms Xabiso Matshikiza (Programme Director) 09:05 - 09:15 Opening and Welcome by Chairperson of the Board Introducing the new CEO Mr Sihle Ngubane 09:15 - 09:45 Sector Skills Planning Ms Sekgana Makhoba 09:45 - 10:15 Learning Programmes Mr Ernest Nemugavhini 10:15 – 10:45 Overview by the CEO Mr Mdu Zakwe 10:45 – 11:00 MID-MORNING TEA

Agenda Collaboration Time Description Presenter 11:00 - 11:30 4IR By Us for Us Mr Mdu Zakwe 11:30 – 12:00 Future Skills 12:00 – 12:15 CEO Wrap up 12:15 – 13:15 LUNCH

Foreword by Chairperson of the Board Collaboration Foreword by Chairperson of the Board

Chief Executive Officer: Collaboration Chief Executive Officer: Mdu Zakwe

Sector Skills Planning Collaboration Sector Skills Planning

CONTENTS Background and Approach to SSP Development DHET Timelines Chapter 1: Sector Profile Chapter 2: Key Skills Issues Chapter 3: Skills Demand and Supply Chapter 4: Sector Partnerships Chapter 5: SETA Monitoring and Evaluation Chapter 6: Strategic Skills Priority Actions

Approach to SSP Update Review of previous SSP and identification of gaps Field Research Desk Research Interviews Surveys Literature review Analysis by Focus Groups and consolidation Final review and sign off

Chapter 1 Sector Profile

Employers by Sub-Sector Currently there are 30,727 employers in the sector There has been a 16% increase in the employer base of the sector.

Employers by Sub-Sector and Province The vast majority of employers are located in the industrialised provinces Gauteng has the largest share of employers at 61% Western Cape 17% and KwaZulu-Natal 11% respectively Province Advertising Electronics Film and Electronic Media Information Technology Telecommunications Eastern Cape 28 91 23 390 81 Free State 89 47 96 169 50 Gauteng 1607 1479 1241 6474 1962 KwaZulu-Natal 342 294 178 1272 210 Limpopo 3 58 9 229 102 Mpumalanga 11 140 26 278 128 North West 43 13 135 32 Northern Cape 17 55 15 Western Cape 366 357 603 1864 445

Levy Contributions by Sub-Sector

Levy Trends The number of levy paying employers increased by 11.5 % (7,902 employers), up from 7,089 employers in the previous financial year.

Employment by Sub-Sector The IT sub-sector recorded the highest percentage (86%) of employees in 2019 while Advertising recorded the least with 1% of employees.

Employment by Race 43.5% black, 33.3% white, 12.4% coloured and 10.8% Indian/Asian. Compared to 2018, the proportion of African and White employees remained fairly similar increasing by 0,5% and decreasing by 0,7% respectively.

Employment by Age The sector employs slightly more people below the age of 35 (47%), than those between 35 and 55 years (46%). Only 7% of employees in the sector are older than 55 years.

Chapter 2 Key Skills Issues

Artificial intelligence (AI) Internet of Things (IoT) Drivers of Change The list below should not be viewed as exclusive, but rather, a condensed view of the key drivers of change within the sector. Change Drivers Robotics Big data analytics Artificial intelligence (AI) Information Security Cloud computing Internet of Things (IoT)

Alignment with National Strategies The following are government’s key planning policies and priorities that impact the MICT sector: National Development Plan White Paper on Post Schooling Education and Training National Skills Development Strategy (NSDS III) New Growth Path (NGP) Industrial Policy Action Plan (IPAP) National Integrated ICT Policy White Paper HRD Strategy National Skills Accord Strategic Integrated Projects

Skills Demand and Supply Chapter 3 Skills Demand and Supply

Scarce Skills Development Methodology The development of the Scarce Skills list follows a process that involves: Analysis of submitted Workplace Skills Plans (WSPs) Weighted against: the number of times an occupation was identified as scarce reasons for scarcity Supplemented by: Current and available research Employer surveys Employer interviews Focus Groups sessions Stakeholder sessions Developments in the sector, emerging trends as well as future skills needs

Advertising Scarce Skills Occupation Code Occupation Title 2017-216603 Multimedia Designer 2017-243101 Advertising Specialist 2017-216601 Digital Artist 2017-264201 Copywriter 2017-251302 Web Developer

Film and Electronic Media Scarce Skills Occupation Code Occupation Title 2017-243203 Corporate Communication Manager 2017-265412 Media Producer 2017-352101 Broadcast Transmitter Operator 2017-264201 Copywriter 2017-265403 Film and Video Editor

ICT Scarce Skills Occupation Code Occupation Title 2017-251201 Software Developer 2017-351301 Computer Network Technician 2017-251203 Developer Programmer 2017-351201 ICT Communications Assistant 2017-252301 Computer Network and Systems Engineer 2017-252901 ICT Security Specialist 2017-251101 ICT Systems Analyst 2017-351401 Web Technician 2017-251202 Programmer Analyst 2017-252201 Systems Administrator

Skills Supply Universities and Universities of Technology remain the main sources of entry in the Sector (particularly into the higher skills bands – Professionals, Technicians and Associate Professionals) Despite historical bias towards colleges, the placement of both private and public TVET graduates is gradually increasing across the MICT sub-sectors Vendor programmes are gaining ground as a preferred route to addressing critical skills within employers using vendor specific systems The 40 NQF registered qualifications are currently being reviewed to align to the QCTO framework.

Sectoral Priority Occupations List (former PIVOTAL List) Chapter 3 Sectoral Priority Occupations List (former PIVOTAL List)

Sectoral Priority Occupations

Sectoral Priority Occupations

4IR Related Occupations Typical IT Related Occupations Big Data Occupations Business Analyst ICT Risk Specialist Systems Developer Applications Developer Computing Engineer ICT System Designer ICT Systems Architect ICT Systems Specialist Programme Analyst (Architect) Programmer Analyst (Architect) Programmer Analyst (Engineer) Software Architect Software Designer Software Engineer Systems Engineer Systems Programmer Web Developer Cloud Architect Scrum Master IT Project Manager Data Scientist Data analyst Database analyst Database architect Database Designer Information Architect Information Engineer Statistician

4IR Related Occupations IT Security Automation & Robotics Database Security Expert ICT Security Architect Internet Security Architect / Engineer / Consultant Robotics and Production Automation Engineer Robotics and Production Automation Technician Robotics and Production Automation Technologist Networks Telecommunications Computer Network Engineer Network Programmer / Analyst Software Tester Network Programmer/ Analyst Electronics Media CNC Programmer Computer Engineer Electronics Designer Instrumentation Technician IT Integration Applications Integrator Computer Systems Integrator Cross Enterprise Integrator Systems Integrator Computer Games Programmer Digital Media Designer Digital Media Specialist Graphical Programmer Interactive Media Designer Multimedia Programmer Broadcast Multi-camera Engineer (Fibre) NB

4IR Related Occupations Observations Although some existing occupations can be related to the OFO - they need new specialisations that are relevant to 4IR (e.g. software developer skilled in Python) Some occupations are relatively common but not represented in the OFO - these occupations would need to be formally described and aligned to the OFO (e.g. data analysts and scientists) A few occupations are novel and not represented in the OFO - these occupations would need to be formally described and aligned to the OFO (e.g. Cloud Architect) Possible Interventions The SETA needs to update the OFO codes to include emerging occupations Current curricula need to be updated to be more relevant to 4IR Engagement with training providers, industry and research institutions (e.g. universities) to map emerging occupations, recognize them in the OFO and develop relevant learning programmes

Chapter 4 Sector Partnerships

Sector Partnerships TVET Partnerships Name of TVET Nature of Partnership Start & End Dates False Bay Learnership 2018/01/08 – 2019/04/30 Flavius Mareka 2018/11/01 – 2020/01/31 Maluti   Majuba Skills Programme 2019/02/04 – 2019/07/31 North link Work Integrated Learning (WIL) 2018/10/08 – 2019/12/31

Sector Partnerships University Partnerships Name of University Nature of Partnership Start & End Dates Nelson Mandela Metropolitan University Bursary 15/01/2019 – 31/12//2019 University of Johannesburg Walter Sisulu University Cape Peninsula University of Technology Mangosuthu University of Technology North West University Rhodes University University of Cape Town University of Pretoria University of Free State University of Venda Durban University of Technology Skills Programme 2018/03/12 - 2019/07/31

Sector Partnerships Partnerships for Special Priorities Institution Nature of Partnership Start & End Dates False Bay Learnership 2018/01/08 – 2019/04/30 Mzansi Scuba Diving Academy 2018/11/01 – 2020/01/31 Partnerships with Industry Vendors QCTO Occupational qualifications development 01/04/2012 – On-going CompTIA Alignment to Unit Standards 17/04/2018 – 31/03/2020 Microsoft Alignment to U 15/02/2019 – 31/03/202 Partnerships with Research Institutions Redflank Solutions Tracer/Impact Study 2018/12/11– 2019/06/30 Development of the SETA’s Sector Skills Plan (SSP) 2019/05/01–2020/05/01

Sector Partnerships Planned Partnerships Institution Nature of Partnership Start & End Dates University of Johannesburg Professional TVET lecturer development programme on the fourth industrial revolution 2019/05/18 –2019/12/18 Department of Communications Data Science skills programmes 2019 June

Sector Skills Planning Monitoring and Evaluation Chapter 5 Sector Skills Planning Monitoring and Evaluation

MICT SETA Approach to M&E

Strategic Skills Priority Actions Chapter 6 Strategic Skills Priority Actions

Priority Actions Priority 1: Enablement of the Fourth Industrial Revolution (4IR) MICT SETA will have to work with key role players in the MICT Sector in the development of technologies and products related to 4IR as a way of contributing to sectorial growth. Priority 2: Improved access to and take-up of training for priority skills The SETA will work with stakeholders in each sub-sector to set realistic targets, assess provision and access across provinces, regions, industries, occupations and different size companies, and identify weaknesses. Priority 3: Expand skills development to rural areas The MICT SETA’s rural strategy is aimed at increasing access to occupationally directed programmes for rural and previously disadvantaged communities (including townships). Priority 4: Inclusivity through technology skills development Through focused skills development programmes, the SETA will be able to better meet transformational targets, viz. for women, disabled and rural learners. Priority 5: SMME Support, particularly with regard to 4IR Training interventions focused on developing key skills relating to 4IR will be made available to SMMEs, to allow for those SMMEs active in 4IR. Priority 6: Cross-sectoral partnerships and projects in the delivery of learning interventions: The SETA will address the challenge of cross-sectoral skills by facilitating inter-SETA discussions and planning.

Concluding Remarks

Pending Activities Towards Finalising the SSP Interviews with industry bodies (Black Information Technology Forum, ITA, IITPSA, NAB, etc.) Interviews with government (Department of Small Business, SITA, CSIR etc.) Other critical interest groups (e.g. Black Business Council, National ICT SMME Chamber) SME Development focused entities The JCSE ICT Sector Skills Survey MICT SETA employer survey (underway) Sub-Sectoral Focus Groups

Concluding Considerations The MICT sector’s dynamism and constant technological flux require adept training and upskilling if the sector has to remain competitive The high proportion of SME within the sector calls for renewed focus on SME development to support sustainable creation of employment and growth Strengthening rural reach has become imperative to expanding inclusion and increasing access to occupationally-directed programmes to the previously disadvantaged communities.

Collaboration Q & A

Collaboration Learning Programmes

Learning Programmes Mandates Implementation of Sector Skills Plan Allocation of Discretionary Grants ( 80% Pivotal and 20% Non- Pivotal)

Pivotal Programmes Learnership Skills Programme Work Integrated Learning (WIL) Bursary NQF Qualifications (3500) Credit bearing (2000) Towards completion of a qualification, TVETs, (950) UOTs (750) CHE (705) In service training Work Integrated Experience

Non-Pivotal Programmes Internship Short Programmes Workplace experience TVET placement Graduate placement (1600) Not on NQF Vendor specific programmes (1400)

Challenges None Payment of Learner Stipend None Payment of Training provider Learning programmes treated as wage subsidy scheme Recycling of learners Training Job seekers not developing entrepreneur Rural Development

Invoices Centralisation of incoming invoices Invoices are submitted to DGINVOICES@MICT.ORG.ZA MICT SETA endeavour to pay invoices within seven working provided all the deliverables are submitted as per the grant disbursement Schedule

Disbursement Schedule   Activity Disbursement Split Required Items First Disbursement 15% Actual Amount =R 11,040.00 Learner Agreements, Fixed Employment Contracts, highest qualifications and ID Copies Programme Roll-Out Plan (Programme Plan with Activities Schedule) Uploading learners details on MICT SETA MIS Systems 1st Invoice, with cancelled organisational blank cheque. List and details of selected learners and induction Proof of payment ( Interns and Training provider) Second Disbursement 20% Actual Amount =R14,720.00 1st Quarterly Progress Report, based on approved roll-out plan, as per clause 7. Proof of payment (Interns) Site Visit report by MICT SETA 2nd Invoice. Third Disbursement 2nd Quarterly Progress Report, based on approved roll-out plan, as per clause 7. Proof of payment (Interns) Site Visit report by MICT SETA (3rd Invoice). Fourth Disbursement 30% =R22,080.00 3rd Quarterly Progress Report, based on approved roll-out plan, as per clause 7. Site Visit report by MICT SETA. 4th Invoice. Completion Report Final Report Programme Funding Total R 73,600.00 Internship Grant and allowances at R73,600.00 per Unemployed Intern (18.2)

Learning Programmes Monitoring Advisors Monitor programmes on quarterly basis Companies are coded in colours as per programme inherent risk Green = Low Risk Yellow= Medium Risk Red= High Risk

Collaboration Q & A

Chief Executive Officer Collaboration Overview by the Chief Executive Officer

4IR By Us For Us

Future Skills

Collaboration CEO Wrap Up

Collaboration Q & A

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