1. Presentation to the Portfolio Committee of Small Business Development on 12/05/2015

2. Delegation Details Ms Gail Downing – Chairperson of the Board
Acorn Group of Companies – Executive Director
Telephone :
Mobile:
2. Ms Lindiwe Ngcobo –Board Member
Inhlansi Business Enterprise (Pty) Ltd
Director & Deputy Chairperson
Telephone:
Mobile:
3.. Ms. Ruth Masokoane – A/CEO
SAWEN
Telephone:
Mobile:

3. Who are we? Non Profit Company (formerly S21)
- National Patron – Deputy Minister Hon. E. Thabethe (MP)
- Presidency
- Board of Directors
- Provincial Executive Committees
Provincial Chapters
offices (Gauteng, KZN, WC)
National Membership

4. Why do we exist? Beijing Platform Action Plan
- Women economic empowerment
- Advocacy for gender equality
Status quo in South Africa (Challenges faced by Women-owned SME's and Co-operatives)

5. Challenges faced by Women-owned SME's and Co-operatives
Majority of the population of South Africa are women yet their participation in the economy is poor.
Access to finance, information, technology and markets.
Women operate primarily in the informal sector.
Low levels of appropriate skills & education.
Poor access to domestic and global markets.
Weak platforms for advocacy and recognition.
Poor coordination of women support interventions.
Inadequate monitoring and evaluation mechanisms of women’s information
Uneven geographical spread of the programs.

6. SAWEN Historical Background
Timeline
Launched in 2002
Registered as a Section 21 Company in 2004
Fund Manager – Khula (now Sefa) to 2012
Offices established and operational –
Uncertainty & closure of offices –
Relaunched in 2011
Re-established offices
Rebuilding & capacity building – 2011 to date
Fund Manager – Seda to date

7. Policy Instruments The National Development Plan
Medium Term Strategic Framework
Primary legislation
Supplementary legislation
Small Business Development Act 1980
BBBEE Act
National Small Business Act 1996 amended 2004
Preferential Procurement Policy Framework Act
Companies Act, 2010
Women and Gender empowerment strategy
Co-operatives Act, 2013
Co-operatives strategy
SAWEN Constitution
Body copy to be inserted here

8. SAWEN Identity
Vision
A premier national women’s agency providing holistic entrepreneurship support to existing and aspiring entrepreneurs
Mission
Facilitate and monitor the advancement of women entrepreneurs and their impact on the economy of South Africa through:
Business networking and linkages
Training, development and support
Research, advocacy and lobbying
Recognition of achievements

9. Alignment of Strategic Objectives
DSBD Objectives
SAWEN Objectives
Programme
1. To facilitate the development & growth of small business and co-operatives to contribute to inclusive & shared economic growth and job creation through public and private sector procurement.
1.To provide platforms for women entrepreneurs for access to business opportunities.
2.To facilitate access to business resources, information and opportunities for women entrepreneurs
Phakama
Farisanani
Menyetla
2. To facilitate radical economic transformation through increased participation of small businesses & co-operatives in the mainstream economy.

10. Alignment of Strategic Objectives cont.
DSBD Strategic Objectives
SAWEN Strategic Objectives
Programme
3. To advocate for a conducive regulatory environment for small businesses & co-operatives to enable access to finance, investment, trade and market access in an equitable and sustainable manner
3. To provide a national vehicle to address the barriers faced by women
4. To lobby government and other stakeholders on identified issues/barriers affecting women entrepreneurs.
Zabalaza
4. Facilitate partnerships with all spheres of government as well as the private sector to ensure mutual co-operation that will benefit small business and co-operatives.
4. To align SAWEN with organisations of similar interests, locally, nationally and internationally in order to leverage opportunities for the benefit of women entrepreneurs.
Farisanani
Menyetla

11. Alignment of Strategic Objectives cont.
DSBD Strategic Objectives
SAWEN Strategic Objectives
Programme
6. To profile, affirm and recognize achievements of women entrepreneurs.
Halala!

12. SAWEN Target Market
Women who are engaged in informal income-generating activities but have aspirations to grow their enterprises and become formal entities in the future.
Women who have an interest in operating businesses and Co-operatives but lack the “know-how” to start. (facilitation and referrals to various partners such as CIPC, SARS, Seda, Sefa)
Women who own and operate SMEs and Co-operatives within the broader economy of South Africa. They must be self-employed and their companies must be registered.

13. SAWEN Values
Perseverance
Respect
Integrity
Collaborations
Excellence

14. SAWEN Programmes
Phakama – Connecting and uplifting women entrepreneurs
Farisanani – Leveraging and achieving through others
Menyetla – Linking opportunities to women entrepreneurs
Zabalaza – Shifting mindsets through advocacy
Halala! – Recognising and celebrating excellence of women entrepreneurs

15. Service Offerings Networking platform
Quarterly provincial networking sessions
National annual meeting
Conferences & summit
Business information and resources
Partnerships and resource mobilisation
Collaborations
Stakeholder engagement

16. Service Offerings cont.
Access to opportunities
Training and capacity building
Market Access Platforms
Advocacy & Lobbying
Research
Stakeholder engagement
Ligugu Lami Awards

17. Membership Information
Current Membership Fees = R per annum
Number of members in Good Standing as at 31 March 2015 = 972

18. Membership profile The current membership profile is:
39% of members are within age group
47% of members are in the informal sector
41% of members reside in rural areas
51% of members are township residents
82% of members are African
We do have members who are disabled, however our current reporting does not include reporting separately on these members. This will be corrected going forward.
Furthermore, Presidential Nodal Areas will be added to future reporting requirements.

19. Performance Overview April 2014 – March 2015 Programme Annual Target
Annual Actual %
Achieved
PHAKAMA
Outreach activities 12 10
83%
Networking Events 31
100%
Provincial AGMs convened 2 1
50%
National AGM
Marketing Strategy Document developed
Work in progress
FARISANANI
Partnerships concluded
Joint initiatives undertaken 4
200%
Stakeholder engagement
Outreach for Corporates 3
25%
Body copy to be inserted here

20. Performance Overview April 2014 – March 2015 Programme Annual Target
Annual Actual %
Achieved
MENYETLA
Market Access opportunities
# of members who benefitted
# of events 20 8 18 7
95%
88%
Training Interventions
- General Business Training
250
258
103%
- Quality Enhancement Programme
100 63
63%
- Market Readiness 60
105%
- Digital Literacy
105
124
118%

21. Performance Overview April 2014 – March 2015 Programme Annual Target %
Annual Actual %
Achieved
ZABALAZA
Consultative Research report on the status of Women accessing incentives schemes of the dti
1 report
0.5
50%
HALALA
Ligugu Lami Awards convened
1 event
100%
ORGANISATIONAL DEVELOPMENT
3-year strategy plan
Done
Implement HR policy
Work in progress
Provincial Executive Development 8 5
64%
Recruit additional staff

22. Organisational Challenges
Limited Budget since inception
Inadequate Organisational Capacity
Stagnant Membership
Relationship with Principal (Gender & Women Empowerment Unit)
Fund Management

23. Organisational Challenges
Limited Budget since Inception

24. Organisational Challenges
Inadequate Organisational Capacity
Lack of internal organisational capacity due to limited budget allocation.
Focus limited to programme delivery and maintaining membership.
Primary focus on programme delivery – 65% of budget allocation to programme work

25. Organisational Challenges
Inadequate Organisational Capacity
Board of Directors
Chief Executive Officer
PA to CEO & OM
Operations Manager
(vacant)
Financial Controller
Procurement and Finance Administrator
Corporate Services Officer
Receptionist
National Coordinator (Training and Capacity Building)
National Coordinator of Provinces
Provincial Coordinators
x 3 (1 vacant)
Provincial Administrators
X 3 (1 Vacant)
National Programme Administrator
General Office Assistant
Human Resources
Current structure
16 approved positions
11 staff members
5 vacant positions to be filled by end June 2015.
Acting CEO seconded from SEFA 2009 to date

26. Organisational Challenges
Inadequate Organisational Capacity
Board of Directors
Chief Executive Officer
PA to CEO & OM
Operations Manager
Human Resources
Financial Controller
Procurement and Finance Administrator
Corporate Services Officer
Receptionist
National Coordinator (Training and Capacity Building)
National Coordinator of Provinces
Provincial Coordinators
x 5
Provincial Administrators
X 5
National Programme Administrator
General Office Assistant
Human Resources
Proposed structure 2015/16
Increase headcount to 21 (growth by 5)
5 vacant positions to be filled
Acting CEO seconded from SEFA 2009 to date

27. Organisational Challenges
Inadequate Organisational Capacity
Human Resources & development
Lack of Human Resource function
Inadequate headcount
Fixed-term employment contracts linked to SAWEN’s budget allocation
Low staff morale due to lack of employee benefits and development

28. Organisational Challenges
Inadequate Organisational Capacity
Systems
Policies, procedures
Monitoring & evaluation
Administration
Geographic footprint – Offices in Pietermaritzburg, Cape Town and Braamfontein
Limited reach

29. Organisational Challenges
Relationship with Principal (Gender & Women Empowerment Unit)
Business plan approval processes
Fragmented related programmes e.g. TWIB, Techno Girls, Bavumile, etc.

30. Organisational Challenges
Fund Management
5% management fees paid to SEDA
MOU between Department and SEDA, excluding SAWEN
Delays in fund transfers due to administrative processes between Department and SEDA

31. Example of Interventions
Training
Productivity SA (business improvement processes and after-care)
Digital Literacy
learned to use computers
preparation own quotations and invoices
waste reduction
lower abseentism
increased sales
going online to search for business information and opportunities
profit maximisation
quality focus
Train the Trainers
General Business Training
skills developed in costing, compliance, competitor analysis, presentation, business etiquette, marketing,etc.

32. Example of Interventions
Market Access
Members are given the opportunity to exhibit their products/services in various platforms.
Décor Excellence exhibited at Decorex Gauteng at Gallagher Estate and generated sales of R150k from one event.
The following exhibited at the recent Wedding Expo at Northgate Dome and feed back on orders received is:
Diamond Love Bridal = R80k
Mokgalaka Creations = R10k
Gloria’s Design = 4 matric dance dresses ordered
Ledikana Creations = R2k

33. PERFORMANCE PLAN

34. Performance Plan Programme PHAKAMA 2015/16 1 Baseline Annual Target
Outreach activities 10 12
Networking Events 31 36
Company AGM, Annual members Meeting
Company AGM & Annual Members meeting convened
Convene AGM, Annual Members meeting
Implement Marketing Strategy
Provincial AGM convened 1
FARISANANI
Partnerships concluded 2
Undertake Joint initiatives 4
Stakeholder engagement

35. Performance Plan 2015/16 Programme Baseline Annual Target MENYETLA
Market Access opportunities
# of members who benefitted
# of events 18 7 30
Training Interventions
- General Business Training
258
275
- Quality Enhancement Programme 63
100
- Market Readiness 70
- Digital Literacy
124
140

36. Performance Plan 2015/16 Programme Baseline ZABALAZA HALALA
Annual Target
ZABALAZA
Publish research report and present to stakeholders
HALALA
Ligugu Lami Awards
1 event
convened
Convene
ORGANISATIONAL DEVELOPMENT
Provincial Executive Development
5 mentoring and/or
Induction sessions held
3 mentoring and/or induction
held
Recruit additional staff

37. Performance Plan 2015/16 Programme Baseline
Annual Target
EXPANSION OF INFRASTRUCTURE
Add 2 provincial offices through co-location with
Seda/Sefa or other government departments
3 offices 2
CO-OPERATIVES ENTERPRISE DEVELOPMENT
Identify opportunities and facilitate value-chain manufacturing activities

38. FINANCIAL PLAN

39. Budgeted Income Description 2015/16 (R'000) 2014/15 (R'000) Variance
dsbd allocation
16,726
16,000 4% 2% 84 44
48%
Membership fees
308
280 9%
Co-payments 25 20
20%
Commitment Fees 0%
Retained Income
5,176 -
100%
22,339
16,364
27%
dsbd allocation increase – 4%
Interest rate used – 2%. Increase based on actuals.
Due to increased membership fees and the actual payments received in 2014/15 membership fees have been calculated at 880 fee payments of R350.00
Commitment fees of R50 by 400 members attending capacity building or training courses
Co-payments of R250 by 100 members attending National events
The income received from members is utilised for capacity building and training courses
Retained Income of R5.2mil to be utilised on programme costs in 2015/16 financial year.

40. 2015/16 Budget Allocation Ratio 2015/16 budget increase is 4%
Programme costs are 65 % of the overall budget expense and 35 % towards operating related expenditure. This is inline with statutory prescripts i.e. PFMA which proportional income of SAWEN is derived from. Going forward programme performance will monitor and reported in line with expenditure trends.

41. 2015/16 Budget Allocation Programme Costs
2014/15
Phakama
4,380,000
3,235,000
26%
Farisanani
1,680,000
1,940,000
-15%
Menyetla
2,917,354
2,250,000
23%
Zabalaza
200,000
500,000
-150%
Halala
1,910,000
1,810,000 5%
Co-operatives Enterprise Development Support
3,000,000
100%
Organisational Dev.
175,000
141,667
19%
Expansion of Infrastructure -
14,462,354
9,876,667
32%
Programme costs exclude provincial administration and overheads charges
Programme costs are 65% of overall expense budget.
A 32% increase in programme cost budget is due to the retained income from 2014/15 budget which will allow for the Co-operatives Support Initiatives programme to become a reality.

42. 2015/16 Programme Costs Phakama Programme Expense 2015/16 Budget
2014/15
Phakama
National AGM
680,000
560,000
Provincial AGMs
100,000
175,000
Marketing Strategy
380,000
250,000
Outreach Activities
150,000
Provincial networking
2,970,000
2,100,000
PEC Development
212,134
Phakama Total
4,380,000
3,447,134
National AGM Budget has been increased to cater for the transport costs.
Marketing Strategy – to assist with the finalisation and implementation of an overarching Marketing strategy incorporating fundraising, recruitment of members, communication, rebranding etc.
Outreach activities – where called upon by other institutions to present information relating to SAWEN
Provincial networking – caters for 36 networking sessions in the provinces for the year
PEC Development – Existing Provincial Executive Committee (PEC) members will be provided with mentoring, leadership skills and general support during the financial year until such time that the structures are dissolved in March

43. 2015/16 Programme Costs Farisanani Programme Expense 2015/16 Budget
2014/15
Farisanani
Partnerships
20,000
Joint Initiatives with other organisations
300,000
200,000
Corporate Outreach -
120,000
Stakeholder Engagement
1,360,000
1,600,000
Farisanani Total
1,680,000
1,940,000
Partnerships – a small budget is set aside to assist with the process of entering into partnerships with 2 entities e.g. SEDA, Productivity SA, etc.
Joint Initiatives – this budget allows for two joint initiatives to be undertaken with 2 other organisations e.g. WEISED; Mzansi Women Chefs, etc..
Stakeholder Engagement –International and/or National engagements with stakeholders to expose members to international best practice on Women Economic Empowerment issues as well as advocacy. E.g. Global Women’s Summit in Brazil; SAWEN’s involvement in the Atlanta Showroom to facilitate members’ participation in the market access project.

44. 2015/16 Programme Costs Menyetla Programme Expense 2015/16 Budget
2014/15
Menyetla
Market Access Platforms
927,354
450,000
Training General Business Skills
650,000
Training Quality
540,000
Training market Readiness
300,000
Training Digital Literacy
500,000
400,000
Menyetla Total
2,917,354
2,250,000
Market access platforms – to facilitate 30 members to exhibit in 7 local and/or international fairs and expos like Decorex, Macufe, Rand Easter Show, Polokwane Show, etc.
A large portion of the budget is set aside for various training initiatives that will assist members in growing their businesses. We aim to train 585 members in various areas of business and development.

45. 2015/16 Programme Costs Zabalaza Programme Expense 2015/16 Budget
2014/15
Zabalaza
Research on Women Access to dti Incentive Schemes
200,000
500,000
Zabalaza Total
To publish the report of the research commissioned in 2014/15 and present to relevant stakeholders and lobby for improvements as per recommendations.

46. 2015/16 Programme Costs Halala! Programme Expense 2015/16 Budget
2014/15
Halala!
Ligugu Lami
1,910,000
1,810,000
Halala! Total
R1m of the dsbd’s allocation will be ring-fenced for the prizes of Ligugu Lami Awards. The award allocation is used to further enhance the winners’ businesses by funding identified needs.
Should the amount not be utilised fully during the financial year, it is recommended that the balance be redirected to other programmes.
Expenses included are for adjudication costs, promotion of competition, DVD and magazine production, certification and presentation costs. Included in this cost is the post competition monitoring and evaluation of entrants and winners.

47. 2015/16 Programme Costs
Co-operatives Enterprise Development (As a pilot project)
Programme
Expense
2015/16
Budget
2014/15
Co-operatives Enterprise Development
3,000,000
nil
Total -
Identify opportunities in catalytic sectors for women-owned co-operatives.
Mobilising support from Seda for Incubation support services and Sefa for finance support.
Facilitating the participation of identified Co-operatives to engage in value chain manufacturing
Ideal scenario - Massification of value chain manufacturing initiatives
Clothing & Textile Co –operatives @ R10m = R300m per annum (minimum) = at least 3 per province
Sanitary , surgicals and related products = 20 R10m = R200m per annum (minimum ) = at least 2 per province
Protective gear = 10 co-operatives @ R10m = R100m (minimum per annum) = at least 1 per province

48. 2015/16 Programme Costs Organisational Development Programme Expense
2015/16 Budget
2014/15
Budget
Org. development
Human Resources Policy -
41,667
Employ staff
75,000
100,000
Strategic planning
200,000
Upgrade CRM
Org. development Total
175,000
341,667
Recruitment cost to employ 5 new staff members and to fill existing vacancies
To upgrade the CRM for efficient monitoring of members’ involvement in activities and training and to cater for automated invoices with online payment options.

49. 2015/16 Programme Costs Organisational Development
Expense
2015/16 Budget
2014/15 Budget
Expansion of Infrastructure
Provisional Offices
200,000
Expansion of Infrastructure Total -
Expand geographic footprint by co-locating with Departments or Agencies in Limpopo and Northern Cape

50. Wish List for the
Future of SAWEN

51. Future of SAWEN continued
To radically transform SAWEN to be a meaningful and powerful vehicle to advance the agenda of women-owned SME’s and Co-operatives for purposes of achieving radical economic transformation to address poverty, unemployment and inequality. Reconfiguration of SAWEN to be key player in the following areas:
Advocacy & Lobbying – The Voice of Women Entrepreneurs
2. Training and Capacity Building - up-skilling women-owned SMEs, Co-operatives and women operating in the Informal sector in order for them grow their businesses and participate meaningfully in the mainstream economy.

52. Future of SAWEN continued
3. Enterprise Development – facilitating the participation of Co-operatives in value chain manufacturing initiatives.
4. Supplier Development – linking women-owned SME’s & Co-operatives to public and private sector procurement opportunities.
5. Facilitation of finance and incubation with relevant agencies, State owned entities and DFIs.

53. Future of SAWEN continued
Increase Funding to – R100mil per annum to strengthen infrastructural requirements and impact of programmes
Co-Operatives Enterprise Development initiatives – R600mil per annum
Migrate women entrepreneurial programmes from Gender Unit into SAWEN
Reposition SAWEN as a public entity in line with Schedule 2 or 3 of the PFMA.
Incorporate and streamline women entrepreneurial programmes to propel our country to achieve equitable gender mainstreaming budget processes.

54. Conclusion
South Africa must honour commitments made at Beijing in earnest by increasing support to women-owned SME’s and co-operatives.
Improve relationship and dialogue between SAWEN & the DSBD wrt: reconfiguring SAWEN
Work in progress (experiential learning)

55. Conclusion
Malebo!!!!