The SANP Balanced Scorecard Rollout Workshop – KNP 20 th October 2005

Introduction and background to the SANParks BSC Kruger Rollout Process –1 day workshop to Senior Managers – “train the trainer” session –Meet with director to agree Measures and Targets individually – within one week of completion of workshop –Forward agreed measures and targets to Blake to check and agree –Workshop with their subordinates (dates agreed beforehand) and take them through this process – utilising change agents and members of the BSC team where applicable All workbooks and slides will be made available as a package to assist in the rollout To be completed to C band by 21 Nov 2005 Kruger Workshop Process

Overview of the BSC  What do you understand the BSC to be?  Why has SANParks chosen the Balanced Scorecard?  How will it help SANP?  Measures our progress toward the future  Combination of Financial and Non-Financial Indicators

Definition The Balanced Scorecard is a measurement, management and communication tool which: Provides a comprehensive business measurement and management framework Translates a value proposition into achievable, aligned objectives, measures and targets throughout SANParks Ensures that all performance measures are aligned and are: - both long and short term - leading and lagging - linked through cause and effect

Park Operations Corporate Support Services Our Business Architecture Conservation Tourism People participation and involvement Mission Why we Exist Corporate Values Guiding Principles Vision Word Picture of the Future Strategy / Value Proposition Differentiating Activities Value creation & delivery to Customers and Stakeholders Core business pillars Foundation

Our Corporate Structure Park Operations Chief Operating Officer Exec Director: PARKS Exec Director: KNP Core Functions Exec Director: Tourism Exec Director: Conservation Exec Director: People and Conservation Corporate Support Functions Head of Division: HR C F O: Finance Head of Division: Comms Head of Division: Corporate Support Services Legal Services Chief Executive Officer SANParks BOARD Executive Manager CEO’s Office

Vision and Mission VISION VISION National parks will be the pride and joy of all South Africans and of the world MISSION MISSION To develop and manage a system of national parks that represents the biodiversity, landscapes, and associated heritage assets of South Africa for the sustainable use and benefit of all

Corporate Values  We shall embrace, and be guided by environmental ethics in all we do  We shall promote transformation within, and outside of the organization  We shall strive for service excellence at all times  We shall act with professionalism at all times  We shall adopt, and encourage initiative by all  We shall treat all our stakeholders with equity and justice  We shall exercise discipline at all times  We shall show respect to all  We shall act with honesty and integrity  We shall strive for transparency and open communication at all times

Biodiversity Values  We adopt a complex systems view of the world whilst striving to ensure the natural functioning and long term persistence of the ecosystem under our care  We aim at persistent achievement of biodiversity representivity and complementarity to promote resilience and ensure ecosystem integrity  We can intervene in ecosystems responsibly and sustainably, but we focus management on complementing natural processes under a “minimum interference” philosophy  We accept with humility the mandate of custodianship of biodiversity for future generations while recognising that both natural and social systems change over time

SANParks Value Proposition To manage a system of National Parks that represents the biodiversity, landscape and associated heritage assets of South Africa providing visitors with access to value for money unique experiences delivered through operational excellence that is underpinned by authentic constituency building and corporate governance for the benefit of all stakeholders

Mission Why we Exist Values Guiding Principles Vision Word Picture of the Future Strategy / Value Proposition Differentiating Activities BALANCED SCORECARD The Balanced Scorecard Translates Mission, Values, Vision and Strategy / Value Proposition into performance measures to gauge success in meeting the overall aims of SANParks The Role of the BSC in SANParks

SANParks Government External Environment of SANParks

Who are our customers/stakeholders? SA National Government Provincial and Local Authorities International and Local Agencies Employees Business Partners Commercial Operators Concessionaires Suppliers Citizens Paying and non-paying visitors Consumptive Users Involved Communities South African Public Donors Board International Tourists

Translating the Vision

Achievement of Vision The SANParks Balanced Scorecard has been designed to capture the correct mix of: Competencies (Learning and Growth) Processes (Internal) Customer and stakeholder requirements (Customer / Stakeholder) Financial outcomes of all the above activities (Financial) Measuring the path to achieve our Vision

Understanding the Balanced Scorecard FINANCIAL “To succeed financially, how should we appear to our shareholders?” Objectives Measures Targets Initiatives CUSTOMER “To achieve our vision, how should we appear to our customers?” INTERNAL BUSINESS PROCESS “To satisfy our shareholders and customers, what business processes must we excel at??” Objectives Measures Targets Initiatives “To achieve our vision, how will we sustain our ability to change and improve?” LEARNING AND GROWTH Objectives Measures Targets Initiatives

The Critical Internal Processes The engine room to deliver to our customers and stakeholders comes from how well we deliver on our key internal processes This Performance Review is to gauge how well we are delivering on these processes. The objective being to streamline to ensure efficient and effective delivery

What Internal Processes do we have to excel at? Conservation Tourism Constituency Building Corporate Governance SANParks has designed its BSC to ensure that all these critical processes are measured

Implementing the SANParks Balanced Scorecard

The SANParks Team Members Sydney Soundy – Project Sponsor Chris Rumbell – Project Manager Cillié Malan – Risk Management Busi Gcabashe – Human Resources Joep Stevens - Tourism Peter Novellie – Conservation Services Sipho Mabena - Communication Gary de Kock – Parks Hannes Combrink - Finance Blake Schraader - Kruger Boyce Dabula – Human Resources Mike Knight – Conservation Services Chris Marais – Human Resources

The SANParks BSC Process Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets

The SANParks BSC Process Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets

SANParks Value Proposition To manage a system of National Parks that represents the biodiversity, landscape and associated heritage assets of South Africa providing visitors with access to value for money unique experiences delivered through operational excellence that is underpinned by authentic constituency building and corporate governance for the benefit of all stakeholders

The SANParks BSC Process Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets

Grow revenues (incl. alternative sources of revenue) Financial Attain leadership in biodiversity and cultural heritage management Internal Processes Strategic Business Plan Improve income to cost ratio Be the custodian of choice for Protected Areas Become the nature-based Tourism destination of choice Customers and Stakeholders Enhance SANParks’ Reputation Transform domestic guest profile, through growth, to be representative of SA society Contribute to local educational and socio- economic development Attract and retain the best human capital Learning and Growth Sharing and providing access to information and knowledge Create a culture of learning and development of employees Ensure best practices in understanding and managing HIV and AIDS (and associated diseases) Effective management of revenue and expenditure (OPEX & CAPEX) Advance Strategic Human Resources management Achieve good corporate governance management Enhance Research and Development Implement broad based transformation

Delivering on the Objectives  Divisional ownership of specific objectives  Responsibility Matrix

The SANParks BSC Process Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets

SANParks Measures and Strategic Initiatives  Measures have been developed to ensure delivery of the objectives  SANParks strategic initiative development  The Corporate Business Plan

Strategic Measures Learning and Growth Strategic Objectives Strategic Measures Attract and retain best human capital % retention of key employees in key positions % of key jobs where remuneration does not differ significantly from market surveys % of Candidates who successfully complete internship programmes Share and provide access to information & knowledge Number of directors’ imbizo’s % usage level of information and knowledge systems Ensure Best Practices in Managing and Understanding HIV and AIDS (& associated diseases) % of workforce who have participated in the HIV/AIDS prevalence surveys % of employees who know their status % of total affected and infected workforce who participate in the lifestyle management programmes (LMP) vs. the % who know their status Create a Culture of Learning and Development % of Skills Plan implemented % of Operational Turnover spent on training % of employees who achieved set goals in terms of defined individual development plans

Strategic Measures Internal Processes Strategic Objectives Strategic Measures Attain leadership in biodiversity management State of biodiversity management Attain leadership in cultural heritage management State of cultural heritage management Enhance Research and Development Development of new products Grow scientific knowledge Advance Strategic Human Resource Management % of Staff that are evaluated on performance each quarter % of employees that are satisfied with SANParks Effective Management of Revenue and Expenditure Variance of Forecast to Budget, Actual to Forecast and Actual to Budget Project delivery Index Achieve Good Corporate Governance Management Improved overall risk profile% of resolved non compliant issues in the time agreed Implement broad based Transformation % of Equity Plan implemented Value of BEE procurement in our supply chain

Strategic Measures Customers and Stakeholders Strategic Objectives Strategic Measures Transform the domestic guest profile to be representative of SA society % of Black visitors Become the nature based tourism destination of choice % Growth in usage of tourism products & Customer Satisfaction Index % of Tourism Revenue spent on replacement of assets Custodian of Choice for Protected Area Management State of development of TFCA joint management plan State of Infrastructure report % Growth and Amount of Grant and Donor funding as well as sponsorships % Growth and Total Surface Area (incl Marine) (quantity and quality) under management of SANParks

Customers and Stakeholders Strategic Objectives Strategic Measures Contribute to Local Educational and Socio Economic Development Value and Number of local community contracts and BEE procurement Success Rate of external learnerships Number of jobs created and SMME’s developed through various programmes including EPWP Enhance SANParks Reputation Improvements in Ratings from Delahaye Strategic Measures

Financial Strategic Objectives Strategic Measures Grow revenue% growth in Tourism and other Income Improve income to cost ratio Improved Ratio of: Gross Operating Revenue / Total Expenditure

SANParks Strategic Initiatives  SANParks strategic initiative development  To attain targets that have been defined

Strategic Initiatives Learning and Growth Strategic Objectives Strategic Initiatives Attract and retain best human capital Enhancement of recruitment processes Reward Strategy Development Internship Programme Share and provide access to information & knowledge Development and enhancement of the SANParks’ Management Information and Reporting System Internal Communications Strategy and Programme Directors’ Imbizo’s and “Did You Know” Information Sharing Sesssions Experiential Best Practices Sharing Programme Expanded Satellite Communication Programme Ensure Best Practices in Managing and Understanding HIV and AIDS (& associated diseases) Visible Leadership-led Prevalence Test Campaign & Programme “Know Your Status” Campaign Lifestyles Management and After Care Programme Create a Culture of Learning and Development Individual Learning and Development Plans Organizational Competency and Skills Development Programme Back to Basics Campaign and Programme Review Study Loan Policy

Strategic Initiatives Internal Processes Strategic Objectives Strategic Initiatives Attain leadership in biodiversity management Instituting a State of Biodiversity Reporting System Focused Programme for Improved Processes in Biodiversity Management: –Species Management Programme –Disease Management –Alien Biota Programme –Restoration and Rehabilitation Programme –Conservation Infrastructure Development Plan Attain leadership in cultural heritage management Instituting a State of Indigenous Knowledge and Cultural Resource Reporting System Cultural Heritage Management Programme –Cultural Mapping –Development of Interpretive Centres –Resource Use and Protection Processes Enhance Research and Development Research and Publications Programme Market Research Product Development Programme Establishment of the Cape Town Research Node Advance Strategic Human Resources Management Performance and Consequence Management System Transformation of the HR Information Technology System Development & Implementation of the assessment Centres Career Pathing and Succession Planning Programme Employee Satisfaction Assessment Programme

Strategic Initiatives Internal Processes Strategic Objectives Strategic Initiatives Effective Management of Revenue and Expenditure Forecasting and Variance Review Programme Project Management and Reporting System Strategic Financing Programme Productivity and Efficiency Improvement Programme Effective Concessionaire Management Enhancement of the efficacy of the Reservation System Contract Management Programme Sales Incentive Programme Achieve Good Corporate Governance Balanced Scorecard Business Performance Management System Enterprise-Wide Risk Management Programme Risk Activist Programme Records Management System Occupational Health and Safety Compliance Programme Implement broad based Transformation Programme Implementation of the Tourism BEE Scorecard Procurement Programme Employment Equity Plan

Strategic Initiatives Customers and Stakeholders Strategic Objectives Strategic Initiatives Transform the domestic guest profile to be representative of SA society Marketing Strategy Development and Implementation Public Relations Programme Media Partnership Programme New-Markets’ Focused Publications Plan Become the nature based tourism destination of choice Pricing Strategy – to achieve “Value for Money” Uniform Tourism Standards and Grading Programme Customer Communications Programme Customer “Service Guarantee” Programme Development of Interpretive Centres Towards 2010 Project Plan Custodian of Choice for Protected Area Management Park Establishment, Consolidation & Expansion Programme Stakeholder Relationship Management Programme Implementation of the Transfrontier Conservation Areas (TFCA’s) Agulhas Biodiversity Initiative Garden Route Initiative Forrest Maagement Programme – with DWAF Marine Management Programme Roll-out of Protected Areas Act “Beat the Best Practices Benchmark” Programme State of Infrastructure Reporting Tourism Infrastructure Reporting System Corporate Partnership Programme Fundraising Programme

Strategic Initiatives Customers and Stakeholders Strategic Objectives Strategic Initiatives Contribute to local socio-economic development Effective Constituency Building Programme – leverage the Park Forums Conservation Education Programme Land Restitution Programme Economic Impact to GDP (and multipliers) of Parks Benefit Sharing Programme Enhance SANParks Reputation Brand Building Programme Media Programme Annual Protected Areas Week Programme for Nature Based Leadership in “Universal Access”

Strategic Initiatives Financial Strategic Objectives Strategic Initiatives Grow revenue Focus on Yielding and REVPAR Improvements Enhancement of Wild Card Programme Alternative Revenue Sources –Wildlife sales –Merchandising –Consultation Fees Economic Value Added (and Return on Investment) – Change Management (training) and Project Assessment System Improve income to cost ratio Price Maximization Programme for Top 20% High Value Service Providers Leverage Honorary Rangers and Volunteer Groups Optimization of Assets Management Programme

The SANParks BSC Process Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets

Divisional Measures and Targets  Built around the responsibility matrix  Each Division has overall responsibility for the delivery of its specific objectives  Divisional / Directors KPA’s  Linked to the Objectives  Linked to the Measures  Linked to Strategic Initiatives  Targets are agreed

Example – Operations Div KPA’s Key Performance Areas Effective leadership and human capital management Management of the financial health of the division Create and maintain a culture of good corporate governance and proactive risk management Ensure the effective delivery of broad based black economic empowerment (BBBEE) Develop and grow a sustainable nature-based tourism business for SANParks Deliver the biodiversity and cultural heritage management mandate for SANParks Building of a conservation and tourism constituency through people-centred initiatives Build purposeful relationships with key stakeholders

Example – Support Div KPA’s Key Performance Areas Effective leadership and human capital management Management of the financial health of the division Create and maintain a culture of good corporate governance and proactive risk management Ensure the effective delivery of broad based black economic empowerment (BBBEE) Deliver an effective and efficient Finance, Procurement and Administrative support function for SANParks Build purposeful relationships with key stakeholders

Example – Operations Div KPA’s KPA Strategic Objective MeasureTargetInitiative Effective Leadership and Human Capital Management Attract and retain the best human capital % of Key Jobs where remuneration does not differ significantly from Market Surveys 55% Development of SANParks’ Reward Strategy % retention of Key employees in identified key positions75% Job enrichment Mentorship Programme Average Cycle time for appointments from vacancy to appointment Internal 4 weeks External 12 weeks Enhancement of recruitment processes Development of sources of recruitment Share & provide access to information & knowledge Number of Imbizo's delivered by each Exco Member At least 1 Imbizo’s and “Did You Know” Information sharing sessions Ensure Best Practices in Managing and Understanding HIV / Aids and associated diseases % of employees who have been involved in the anonymous survey by division 100% - Leadership (DU) 75% - total employees (TBD) Leadership-led Prevalence Test Campaign % of employees who know their status 100% - Leadership (DU) 35% - total employees (TBD) Lifestyle Management Programme % of employees in LMP vs. the % who know their status 90% (TBD) Lifestyle Management Programme

The SANParks BSC Process Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets

Senior Management Measures and Targets  Built around Divisional / Directors KPA’s  Objectives have been defined  Measures will mostly be defined and will be in support of the divisional measures  Initiatives will be detailed  Targets will be agreed  Roll out to be divisional and will start in October

SANParks BSC Structure Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets

Rest of Organisation  Built on Senior Managers KPA’s  To C band  Objectives will be defined  Measures will be defined  Initiatives will be defined  Targets will be agreed  Rollout to start in October at KNP – followed by Parks

The SANParks BSC Process Timeframe Value Proposition Mission Corporate Objectives Corporate Measures Strategic Initiatives Divisional Measures and Targets Senior Management Measures and Targets Rest of the organisation Measures and Targets Completed End October

Conclusion  The SANParks BSC will align the organisation through measures  Enabling achievement for KNP of its value proposition through measuring the right aspects  All the measures, targets and initiatives that SANParks embarks upon are linked  To KNP achieving its vision and targets

Introduction and background to the SANParks BSC Kruger Rollout Process –1 day workshop to Senior Managers – “train the trainer” session –Meet with director to agree Measures and Targets individually – within one week of completion of workshop –Forward agreed measures and targets to Blake to check and agree –Workshop with their subordinates (dates agreed beforehand) and take them through this process – utilising change agents and members of the BSC team where applicable All workbooks and slides will be made available as a package to assist in the rollout To be completed to C band by 21 Nov 2005 Kruger Workshop Process