2017 NATION BUILDING IMPACT REPORT - SAICA...Chartered Accountants (SAICA) is more than just a...
Transcript of 2017 NATION BUILDING IMPACT REPORT - SAICA...Chartered Accountants (SAICA) is more than just a...
2017NATIONBUILDING IMPACT REPORT
PROMOTING SOLUTIONS FOR THE NATIONAL DEVELOPMENT PLAN THROUGH OUR MEMBERS
2 SAICA NATION BUILDING REPORT 2017
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SAICA 2017 ANNUAL INTEGRATED REPORT 3
CONTENTS
09
01STRATEGIC ALIGNMENTMESSAGE FROM THE EXECUTIVE DIRECTOR: NATION BUILDING 06
COMMUNITY PROJECTSTOTAL COMMUNITY OUTREACH INTERACTIONS DURING 2017 78
KEY COMMUNITY OUTREACH INITIATIVES 78
GOVERNANCE AND RISK MANAGEMENTSAICA GOVERNANCE STRUCTURE 86
ENTITY BOARDS 87
GOVERNANCE AND RISK MANAGEMENT 88
POWERFUL PARTNERSHIPSTHANK YOU 92
B-BBEE CODES AND THE CA CHARTER 96
SAICA NATION BUILDING IN THE MEDIA 82
THUTHUKAOVERVIEW 12
LEGAL STATUS 12
OUR VALUE PROPOSITION 12
THUTHUKA IMPACT ON THE SAICA VALUE CHAIN (SINCE INCEPTION) 14
SCHOOL INITIATIVE IMPACT 16
SCHOOL ECO-SYSTEM 18
TOTAL SCHOOL INTERACTIONS DURING 2017 19
KEY SCHOOL PROGRAMMES 19
SCHOOL INITIATIVE HIGHLIGHTS 21
UNIVERSITY INITIATIVE IMPACT 22
UNIVERSITY ECO-SYSTEM 24
TOTAL UNIVERSITY INTERACTIONS DURING 2017 25
KEY UNDERGRADUATE PROGRAMMES 25
KEY POSTGRADUATE PROGRAMMES 26
THUTHUKA STUDENTS IN CTA TOP 10 27
KEY ACADEMIC DEVELOPMENT PROGRAMMES
28
UNIVERSITY INITIATIVE HIGHLIGHTS 28
SUCCESS STORIES 30
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORYOVERVIEW 62
LEGAL STATUS 62
OUR VALUE PROPOSITION 62
SAICA ENTERPRISE DEVELOPMENT IMPACT ON SAICA VALUE CHAIN (SINCE INCEPTION) 64
SAICA ENTERPRISE DEVELOPMENT AND THE HOPE FACTORY IMPACT
66
BACK-OFFICE ACCOUNTING SUPPORT ECO-SYSTEM
68
THE HOPE FACTORY AND SAICA ENTERPRISE DEVELOPMENT ECO-SYSTEM
69
TOTAL ENTERPRISE DEVELOPMENT INTERACTIONS DURING 2017
70
KEY ACCOUNTING SUPPORT INITIATIVES 70
KEY SMME SUPPORT INITIATIVES 71
HIGHLIGHTS 72
SUCCESS STORIES 74
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])OVERVIEW 46
LEGAL STATUS 46
OUR VALUE PROPOSITION 46
AT(SA) IMPACT ON SAICA VALUE CHAIN (SINCE INCEPTION) 48
AT(SA) IMPACT 50
AT(SA) ECO-SYSTEM 52
TOTAL AT(SA) INTERACTIONS DURING 2017 54
KEY AT(SA) INITIATIVES 54
AT(SA) HIGHLIGHTS 56
AT(SA) SUCCESS STORIES 58
PROFESSIONAL DEVELOPMENT OVERVIEW 38
PROFESSIONAL DEVELOPMENT’S MANDATE 38
IMPROVEMENT IN RACIAL REPRESENTATION AND DIVERSITY IN CA(SA) MEMBERSHIP STATISTICS
39
FORMAL ASSESSMENTS 39
ITC 2017 39
APC 2017 40
TRAINING 40
ACADEMIC TRAINEES AND ACADEMICS 41
THE IKUSASA STUDENT FINANCIAL AID PROGRAMME (ISFAP)OVERVIEW 34
OUR VALUE PROPOSITION 34
ISFAP 2017 PILOT STATS 35 06
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0101STRATEGIC ALIGNMENTMESSAGE FROM THE EXECUTIVE DIRECTOR: NATION BUILDING 06
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Chantyl Mulder, SAICA Executive Director: Nation Building
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STRATEGIC ALIGNMENT
Widely recognised as one of the world’s leading accounting institutes1, the South African Institute of Chartered Accountants (SAICA) is more than just a professional body; it is a critical player in South Africa’s development journey. In line with this, a key driver of SAICA’s strategic objectives is the National Development Plan: Vision 2030 (NDP) that calls on the private and public sectors, as well as civil society to rally behind a united vision for the country’s development.
Having placed its sole objective as “responsible leadership,” SAICA is committed to building the nation. By definition, the term “responsible leadership” refers to business decisions that, next to the interests of shareholders, also take into account all other stakeholders, such as staff, clients, suppliers, the environment, the community and future generations. It is for this reason that the tenet of creating and maintaining a profession of empowered members who ‘support the development of the South African economy’ is central to SAICA’s constitution.
To this end, our organisation runs numerous initiatives under the SAICA Nation Building umbrella that aid the national drive for transformation, employment and growth to ensure social and economic development. The selection of our initiatives is informed by the challenges that have been flagged in the NDP as stumbling blocks for the country’s developmental goals. These include the following:
• The quality of education for black people is poor.• The economy is unsustainably resource-intensive
and too few people work.• There is a need for improved skills development.• Public services are uneven and often of poor
quality.
In this report, you will see the direct impact of the work SAICA Nation Building has had thus far in assisting to achieve the strategic objectives of transformation, growth and employment. To give you context into how these programmes work together to assist in remedying these stumbling blocks, what follows is a brief overview of the strategic intent of each.
TRANSFORMATION: TRANSFORMING THE DEMOGRAPHICS OF THE PROFESSION TO MATCH THE COUNTRY’S DEMOGRAPHIC PROFILE
The profession’s transformation objective, as espoused in the CA Charter, is to ensure that there is a constant flow of suitably qualified accounting professionals who are representative of the country’s demographics, into the economy. SAICA Nation Building does this through various skills development initiatives targeted at primary, secondary and tertiary education. Through Thuthuka, SAICA Professional Development and the Accounting Technician South African (AT[SA]) qualification, the profession is growing the number of chartered accountants, general accountants and accounting technicians, as well as transforming the demographics of the profession to match the country’s demographic profile.
SAICA Nation Building took its transformation endeavours one step further in 2016 when it broadened its expertise to assist in crafting and launching a sustainable funding structure solution for higher education using our internationally respected Thuthuka model. That solution, the Ikusasa Student Financial Aid Programme (ISFAP), piloted in 2017 and is currently fast-tracking South Africa’s production of scarce skills for the 21st century by funding students studying towards occupations of high demand (OHDs). By increasing the number of students studying towards STEM (Science, Technology, Engineering and Maths) qualifications, the ISFAP model focuses on creating employable graduates who can become active participants in the economy.
NOTE1. As South Africa’s pre-eminent accountancy body, the
Institute provides a wide range of support services to more than 44 000 members who are chartered accountants, general accountants and accounting technicians, and hold positions as CEOs, MDs, (board) directors, business owners, chief financial officers, auditors and other leaders in their chosen spheres of business operations and public life.
But, it is not enough merely to provide SA’s youth with the opportunity to gain a tertiary qualification. To overcome the stumbling blocks as described by the NDP, one must expand their potential sources of sustainable employment too.
EMPLOYMENT: PREPARING GRADUATES FOR THE WORKING WORLD
In South Africa, a lack of experience and work-readiness has given rise to the large number of graduates who remain unemployed post qualification. Indeed, many corporates avoid employing newly-qualified graduates as they do not have the practical experience they need to enter the working world.
At SAICA Nation Building, we believe that we have a responsibility to ensure that a consistent pipeline of adequately and suitably qualified professionals enter the marketplace and that these individuals remain relevant throughout their career. Thus, as the profession, SAICA is addressing this through initiatives like Thuthuka, the AT(SA) qualification, ISFAP and the CA(SA) training programme as well as through internally run projects like CA2025.
These initiatives identify the required competencies of future professionals and, in the case of the chartered accountancy profession, look at how to reinvent the qualification process in response to the ever changing needs of business. In doing this, we produce competent, work-ready graduates whose qualification and training respond adequately to the needs of organisations in both the public and private sectors.
To create similar opportunity for unemployed accounting graduates who have not followed the CA(SA) route, SAICA Nation Building has also successfully piloted work-readiness initiatives aimed at preparing these graduates for entry into the workplace. By providing graduates with real work experience in a simulated office environment, we have achieved a high placement rate (in excess of 90%) for these accounting graduates by giving them access to employment opportunities once they have completed their training through formal learnerships across the broader accounting profession thanks to the assistance of SAICA’s wide Small & Medium Practices (SMP) network.
Our work in creating more employment opportunities does not stop there. In considering the potential sources of employment growth, we have considered the views of South Africa’s National Planning Commission which makes special mention of the limited expansion of small and medium-scale enterprises (SMMEs). Noting that in successful economies it is in the SMMEs where most
job creation takes place, we have placed a strategic focus on developing this area too.
GROWTH: SOLUTION FOR UNEMPLOYMENT
Studies show that a solution for unemployment cannot be achieved by only focusing on the corporate sector, which is at risk of being over saturated by the high number of new entrants into the job market. Our focus must, therefore, also be on:
• building capacity at all of South Africa’s tertiary institutions, including Historically Disadvantaged Institutions (HDIs), Technical Vocational Education Training (TVET) colleges and Universities of Technology (UoTs);
• growing the capacity of all practices, including emerging firms;
• increasing interest in entrepreneurship from a young age;
• building the capacity of big corporates to become part of economic growth; and
• promoting careers in the public service.
Through SAICA Nation Building initiatives such as the HDI capacity building programmes, SAICA Enterprise Development, The Hope Factory and the AT(SA)’s Public Sector Qualifications to name a few, we actively focus on developing sustainable employment opportunities to ensure that all South Africans can take up their rightful place in the economy. This is done through projects that focus on both entrepreneurship and making the public sector more attractive as a career of choice.
The intended end result of our SMME projects is to create a pipeline of entrepreneurs who are able to operate successful businesses that are financially sound, sustainable and have the capacity to create jobs. In the public sector, our projects will ensure that – when operating optimally – the sector can act as a catalyst of economic growth by providing high-quality service and stimulating economic growth within the communities it serves.
In this report, my team and I are proud to outline our 2017 project results and illustrate the national impact of our activities.
THANK YOU FOR YOUR CONTINUED SUPPORT
Over the past 15 years, SAICA Nation Building has become a trusted partner in social development. Yet, the strength and success of the programmes we run can only be achieved through the support of powerful partnerships and a coordinated approach between SAICA, the profession and our other stakeholders. We thank all our partners, funders, key stakeholders and
STRATEGIC ALIGNMENT
MESSAGE FROM THE EXECUTIVE DIRECTOR: NATION BUILDING
OUR STRATEGIC OBJECTIVES FOCUS ON:
GROWTH
TRAN
SFORMATIONEMPLO
YMEN
T
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SECTION HEADINGSTRATEGIC ALIGNMENT
CHANTYL MULDER, CA(SA)EXECUTIVE DIRECTOR: NATION BUILDING
SAICA members for your valuable support of and contribution to our projects thus far.
Your contributions are noted daily, and we look forward to continuing our collaboration, and thus inspiring more young people to take up scarce professions and become the drivers of our economy. By seeing the results of our combined efforts, we hope that you will be inspired to continue your journey with us in upscaling our projects, so that, through our projects we can realise mass impact for the accounting profession and the country as a whole.
SAICA Nation Building projects rely on public private partnerships to reach their objectives (Chantyl Mulder pictured with South African President Cyril Ramaphosa)
I WANNA BE THERE WHEN THE PEOPLE START TO TURN IT AROUND,WHEN THEY TRIUMPH OVER POVERTY
I WANNA LEND A HAND,SENDME
HUGH MASEKELASEND ME (THUMA MINA)
STRATEGIC ALIGNMENT
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0102Yamkela Qangana from Simunye High School was crowned the top maths student at SAICA’s Western Cape Development Camp (pictured with Dr Glynis Schreuder from the Western Cape Education Department)
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THUTHUKAOVERVIEW 12
LEGAL STATUS 12
OUR VALUE PROPOSITION 12
THUTHUKA IMPACT ON THE SAICA VALUE CHAIN (SINCE INCEPTION) 14
SCHOOL INITIATIVE IMPACT 16
SCHOOL ECO-SYSTEM 18
TOTAL SCHOOL INTERACTIONS DURING 2017 19
KEY SCHOOL PROGRAMMES 19
SCHOOL INITIATIVE HIGHLIGHTS 21
UNIVERSITY INITIATIVE IMPACT 22
UNIVERSITY ECO-SYSTEM 24
TOTAL UNIVERSITY INTERACTIONS DURING 2017 25
KEY UNDERGRADUATE PROGRAMMES 25
KEY POSTGRADUATE PROGRAMMES 26
THUTHUKA STUDENTS IN CTA TOP 10 27
KEY ACADEMIC DEVELOPMENT PROGRAMMES
28
UNIVERSITY INITIATIVE HIGHLIGHTS 28
SUCCESS STORIES 30
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THUTHUKATHUTHUKA
OVERVIEWAs a critical stakeholder in society, SAICA has undertaken the responsibility of ensuring that there is a consistent flow into the economy of adequately and suitably qualified accounting professionals who are representative of the country’s demographics. This is done via various skills development initiatives at primary, high school and tertiary education level.
To drive this process and ensure its proper governance, SAICA established the Thuthuka Education Upliftment Fund (TEUF) in 2002. Through TEUF, SAICA focuses on two strategic objectives:
• to grow the number of CAs(SA), and
• to transform the demographics of the profession to match the country’s demographic profile.
Thuthuka is a Zulu verb meaning ‘to develop,’ and it reflects the action-based perspective with which transformation in the accounting profession is being driven.
LEGAL STATUS
The Thuthuka Education Upliftment Fund (TEUF) is a SAICA skills development implementation entity and is registered as a public benefit organisation in terms of section 18(A) of the Income Tax Act with its principal place of business at 17 Fricker Road, Illovo, Johannesburg, South Africa. A board of directors is responsible for the overall running and governance of TEUF.
The Thuthuka Bursary (TBF) operating under TEUF, states that its primary activity is assisting disadvantaged African and Coloured students to become chartered accountants (CAs[SA]).
OUR VALUE PROPOSITION
Our value proposition is to sustain the future of the chartered accountancy profession and transform its demographics by:
• advancing education;• empowering youth; and• sustaining the future of the CA(SA) profession
THUTHUKA
Learners at the Limpopo Development Camp spell out SAICA’s name to say thank you for the opportunity they have been given
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THUTHUKATHUTHUKA
THUTHUKA IMPACT ON THE SAICA VALUE CHAIN (SINCE INCEPTION)
HIGH SCHOOL LEARNERS
SAICA MEMBER
AAT(SA)AGA(SA)CA(SA)
INFANTS - PRIMARY SCHOOL
LEARNERSSTUDENTS TRAINEES
PROSPECT (DISCHARGED
ITC AND PASSED ITC)
SECONDARY EDUCATION OUTREACH
Business development games: 3 749 learnersCareer awareness: over 1 million learnersDevelopment camps: over 24 000 learnersJunior Accounting Olympiad:9 580 learnersMaths & Science Academy: 170 learners Orphaned learner support: over 11 000 learners Senior Accounting Olympiad: over 34 000 learners
TERTIARY EDUCATION PROGRAMMES
Full-time CTA Programme: 3 158 bursariesPart-time CTA Programme: 1 577 bursaries/supportStudent Leadership Summit: 270 students (top 30 per year)University support programme: 2 900 bursaries/ students supportedCapacity-building programmes at HDIs: 8 608 bursaries
8 841BURSARIESTHUTHUKA
BURSARY FUND
PARENTAL SUPPORT INITIATIVE
ITC REPEAT SUPPORT PROGRAMME
SCHOOL GOVERNING BODY PROJECT
APC REPEAT SUPPORT PROGRAMME
EMS EDUCATOR SUPPORT
PROGRAMME
PARENTS
SCHOOLS TERTIARY INSTITUTIONS
TRAINING OFFICES
CTA EMPLOYMENT ALLOCATIONSTBF FUNDERS/TRAINING OFFICES
• Public sector• Financial services• Commerce & industry• Small & medium firms• Large firms
EDUCATORS ACADEMICS TRAINING OFFICERS
EXAMS(ITC AND
APC)EMPLOYERS
1 316BURSARIES
1 095BURSARIES
507TEACHERS
73MEMBERS
112SCHOOLS
PRIMARY EDUCATION OUTREACH
SAICA Quiz (Gr 7 career awareness): 891 learners
3 467PARENTS
HDI CAPACITY BUILDING
TVET CFO PROJECT41
MEMBERS
714TRAINING OFFICES
26TBF
FUNDERS
5UNIVERSITIESACCREDITED
649TRAINEES
IN THE PIPELINE 600
QUALIFIED CAS(SA)
OVER
SAICA NATION BUILDING REPORT 2017 17
80% OF SOUTH AFRICAN HIGH SCHOOLS* WERE PART OF A SAICA SCHOOL INITIATIVE.
IN 2017,
SCHOOL INITIATIVE IMPACT
47
9 PROVINCES1 MILLION LEARNERSIMPROVED THE LIVES & INFLUENCED THE CAREER CHOICES OF MORE THAN
ALLFROM
OVER THE PAST 15 YEARS.
ANNUAL SCHOOL PROGRAMMES, WE HAVE
THROUGH THUTHUKA’S
* SAICA’S LIMITS ITS INTERACTIONS TO HIGH SCHOOLS THAT ACHIEVED A 60% PASS RATE IN MATHEMATICS IN THE PREVIOUS YEAR’S MATRIC RESULTS
THE GOAL OF THUTHUKA’S SCHOOL PROJECTS IS TO SPREAD TWO KEY MESSAGES:
‘MATHS MATTERS’
‘CHOOSE CA(SA)’.
&
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THUTHUKATHUTHUKA
Sbongakonke Ntsele, KZN’s “top accounting learner under adversity” celebrates her 7 distinctions with SAICA Project Manager, Lethukuthula Mkhize
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TOTAL SCHOOL INTERACTIONS DURING 2017
THUTHUKATHUTHUKA
SCHOOL ECO-SYSTEM
KEY SCHOOL PROGRAMMES
141 769
5 1981 777
50080%*
LEARNERS
SCHOOLSPARENTS
TEACHERS
OF SA HIGH SCHOOLS
Making accounting an exciting subject choice for grades 9, 11 and 12
Roadshows, school visits, symposiums, etc.
Teaching entrepreneurial skillsFunded by Coronation Fund Managers
ACCOUNTING OLYMPIADS CAREER AWARENESS
BUSINESS GAMES
9 503 34 215
1 584
852 2 980
234
LEARNERS LEARNERS
LEARNERS
SCHOOLS SCHOOLS
SCHOOLS
Testing the numerical literacy rate of South Africa’s grade 7 learners
SAICA QUIZ
891119
LEARNERS
SCHOOLS
DBE NATIONAL
& DBE PROVINCIAL
CORPORATES & OTHER
PROFESSIONALS
DEVELOPMENT CAMPS
ACCOUNTING OLYMPIADS
CAREER PROMOTION
& EXTRA CLASSSES
SAICA QUIZ
EMS & PARENTAL SUPPORT
BUSINESS GAMES
LIFE ORIENTATION
(LO) BOOK
NECT
MATHS ACADEMY (MSAAS)
ISIBINDI ORPHANAGE
PROJECT
POST MATRIC LEADERSHIP
CAMPS
CA PROFESSION
(NATIONALLY) PROTEC
CORONATION FUND
MANAGERS
DEPARTMENT OF SOCIAL
DEVELOPMENT
DEPARTMENT OF HIGHER EDUCATION & TRAINING
IRBA
SAGE
AFRIKA TIKKUM
SCHOOLS(LEARNERS, EDUCATORS AND PARENTS)
SAICA
DONORS PROGRAMMES
SAICA NATION BUILDING REPORT 2017 19
TRUE COLLABORATION – SCHOOLSThe strength of all the school programmes that Thuthuka runs is achieved through the support of powerful partnerships. The initiatives are linked to the beneficiaries
through a network of relationships developed over many years. Through the power of collective collaboration, the complex structure is indicative of a strong network supporting Thuthuka's value-creating initiatives.
*HIGH SCHOOLS THAT ACHIEVED A 60% PASS RATE IN MATHS IN THE PREVIOUS YEAR’S MATRIC RESULTS
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THUTHUKATHUTHUKA
Teaching assistance for EMS educators
EMS EDUCATOR WORKSHOPS
250 TEACHERS
Textbook and teaching guide for grade 8 and 9 LO curriculum
LIFE ORIENTATION (LO) SCHOOL BOOK
150 000 COPIES
Grade 10 and 11 supplementary Maths, English, Science and Accounting lessons for schools in Alexandra
Funded by IRBA
MATHS & SCIENCE ACADEMY OF ALEXANDRA SCHOOLS
1705
LEARNERS
SCHOOLS
Teaching parents the importance of the right subject choice
PARENT SUPPORT INITIATIVE
1 777 PARENTS
University preparedness and exam techniques for top matric learners from Protec’s school phase initiativesFunded by Protec
POST MATRIC LEADERSHIP CAMP
2782
LEARNERS
CAMP CENTRES CATERING FOR 5 PROVINCES
CAs(SA) helping schools improve their financial management and governance
SCHOOL GOVERNING BODY (SGB) PROGRAMME
11273
SCHOOLS
MEMBERS
Developing maths and accounting skills for grades 10, 11 and 12
DEVELOPMENT CAMPS
3 776 LEARNERS
SCHOOL INITIATIVE HIGHLIGHTS
THUTHUKA INITIATIVES PRODUCE TOP MATRICS
The major hurdle the accounting profession faces, along with other scarce-skill professions, is the reduced number of learners passing maths with above 60%. This means that we are collectively fighting for a slice of the same shrinking pie. Despite this, the profession has been successful in sustaining its pipeline: at a tertiary level, African and Coloured students now make up 60% of the annual first year accounting degree intake. This is directly linked to the success of Thuthuka’s career awareness projects which include our annual Olympiads, academic support programmes and development camps. These recognise academic talent and nurture an interest in chartered accountancy as a career of choice.
Year after year, we see that participants in these interventions have an advantage over their peers going into their final matric exams. And while not every learner who participates in these programmes seeks to become a CA(SA), our desire is to grow these initiatives – irrespective of the professions learners wish to pursue and with the view of creating a pool of learners for all scarce-skills professions (see more in the ISFAP section of this report on page 32).
THE 2017 TOP PERFORMING LEARNERS WERE:
• Reamohetse Mofitiso, who participated in the Eastern Cape Development Camp, achieved seven distinctions and was crowned the top national achiever in quintile 1. Reamohetse is pursuing actuarial science at the University of Cape Town (UCT).
• Mogopodi Molusi, Northern Cape Development Camp attendee, was the third best maths learner in the country and achieved six distinctions in his matric exams. Molusi is studying Medicine at UCT.
• Mphoentle Piliso, an Eastern Cape Development Camp attendee, bagged seven distinctions and the title of South Africa’s best performing quintile 3 learner. Mphoentle is doing a degree in medicine at UCT.
• Sbongakonke Ntsele benefited from SAICA’s Thuthuka feeder programme. She was recognised as KZN’s top accounting learner against adversity after clinching seven distinctions in her matric exams. Sbongaknoke is studying a BCom Accounting Science degree at UCT.
• Philip Visage’s 100% pass mark earned him the title of “top accounting learner in the Western Cape”. Philip placed second in the province in the 2017 SAICA Accounting Olympiad and is pursuing a BAccLLB at Stellenbosch University.
The Eastern Cape’s top learner, Reamohetse Mofitiso, celebrates his matric success with Eastern Cape MEC for Basic Education, Mandla Makupula, and
Eastern Cape Premier, Phumulo Masualle (Picture credit: Lubabalo Nyakambi)
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THE GOAL OF THUTHUKA’S UNIVERSITY PROJECTS IS TO MAXIMISE THE THROUGHPUT PASSES OF
WHO GO ON TO QUALIFY AS CAs(SA). STUDENTS
763
546649
600TRANSFORMATION IN ACTION!THUTHUKA
AFRICAN AND COLOURED STUDENTS ARE CURRENTLY DOING THEIR SAICA-ACCREDITED UNDERGRADUATE BCOM DEGREE
STUDENTS ARE DOING THEIR CTA (HONOURS EQUIVALENT)
THUTHUKA TRAINEES ARE COMPLETING THEIR 3-YEAR TRAINING CONTRACT
STUDENTS ARE NOW PRACTICING AS QUALIFIED CHARTERED ACCOUNTANTSOVER
THANKS TO THE
THUTHUKA BURSARY FUND:
UNIVERSITY INITIATIVE IMPACT
=
THUTHUKATHUTHUKA
Thuthuka students at UniZulu celebrate their graduation
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UNIVERSITY ECO-SYSTEM
UNIV
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F JO
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BURG
UNIV
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AND
UNIV
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UNIV
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UNIV
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F FOR
T HA
RE
UNIV
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TY O
F KW
A-ZU
LU N
ATAL
NATIONAL SKILLS
FUND
NATIONAL RESEARCH
FOUNDATION
NSFAS
THUTHUKA BURSARY
FUND
THUTHUKA UNDERGRADUATE
SUPPORT PROGRAMME
FULL-TIME CTA
PROGRAMME
CAPACITY BUILDING
PROGRAMME
APC REPEAT
CORPORATEDONORSPUBLICSECTOR
FASSET
BANKSETA
FIRST RAND FOUNDATION
UNIVEN
UNIZULU
WSU
MINING SECTOR
FOUNDATIONS
SMALL & MEDIUM FIRMS
LARGE FIRMS
FINANCIAL SECTOR
COMMERCE & INDUSTRY
INDIVIDUALS
CAREER PROMOTION
AND SLS
SAICA
DO
NO
RSPR
OG
RAM
MES
TOTAL UNIVERSITYINTERACTIONS DURING 2017
2 800 1780STUDENTS
OVER
UNIVERSITIESACADEMICS
KEY UNDERGRADUATE PROGRAMMES
Building capacity at historically disadvantaged institutions (HDIs) through accreditation
Enhancing the awareness of the CA(SA) designation among BCom students
Supporting financially needy African and Coloured aspiring CAs(SA) at universityMain sponsors: MMI Holdings, PwC, Deloitte, Excel
Academy & SAICA
Instilling responsible leadership in aspiring CAs(SA)
CAPACITY BUILDING PROGRAMMES CAREER PROMOTION
THUTHUKA BURSARY FUNDSTUDENT LEADERSHIP SUMMIT (SLS)
WSU, UNIZULU & UNIVEN UNIVERSITIES
STUDENTS
UNIVERSITIES
STUDENTS ENTERED
STUDENTS ATTENDED SLS
UNIVERSITIES
TOP
17
859
9188
3018
UNIVERSITY
THUTHUKATHUTHUKA
TRUE COLLABORATION – UNIVERSITIESThe strength of all the university programmes that Thuthuka runs is achieved through the support of powerful partnerships. The initiatives are linked to the beneficiaries
through a network of relationships developed over many years.Through the power of collective collaboration, the complex structure is indicative of a strong network supporting the value-creating initiative.
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KEY POSTGRADUATE PROGRAMMES
THUTHUKA STUDENTS IN CTA TOP 10Each university that offers a SAICA-accredited CTA (Honours) postgraduate degree awards its topten students at the end of the year. Below is a list of the Thuthuka funded students who appeared on their institutions top 10 list:
Funded by FassetPart-time academic and skills support for repeat APC candidates
APC SUPPORT PROGRAMMES
STUDENTS161
CTA (honours) students who completed their undergraduate degree at the two SAICA-supported HDIs (Walter Sisulu University and the University of Limpopo), pursue their CTA at
CAPACITY BUILDING PROGRAMMES (CTA SUPPORT)
UJ, UCT & UFH
Instilling responsible leadership traits (3rd year TBF students and CTA students)
RESPONSIBLE LEADERSHIP
STUDENTS1 036
Funded by the National Research Foundation
Supporting graduates from Thuthuka’s undergraduate programmes throughout their postgraduate studies
FULL-TIME CTA PROGRAMME
STUDENTS
UNIVERSITIES
578
12
RHODES UNIVERSITY: 2 THUTHUKA STUDENTS
UNIVERSITY OF PRETORIA: 2 THUTHUKA STUDENTS
UNIVERSITY OF LIMPOPO: 7 THUTHUKA STUDENTS
UNIVERSITY OF THE WESTERN CAPE: 10 THUTHUKA STUDENTS
MOTHEPA RAFAPA
YINGISANI MALULEKE #5
KLASS MAMMUPUDU MACHACHA #1
KWANELE GOODLUCK HLOPHE
BVUMA FORTUNATE
JOSHUA MORGAN
MOSIMA ALINA MOJAPELO
SBONGISENI THABANI NGUBANE
ZAMISA NGUBAMANDLOVU
THATO MOLOI
MULWELI ELIA RAKHADANI
MATTHEW REID ADAMS
MOGAMAT-NUR MARCUS
KGOTHATSO MONHLA KEKANA
KIRSTEN WOODMAN
MAMOGALE VALENTIA BOGOPA
ROMY LAMBERT
RABELANI NELUHENI
JUANAYE HENDRICKS
DARREN FLORENCE
THUTHUKATHUTHUKA
SAICA NATION BUILDING REPORT 2017 2928 SAICA NATION BUILDING REPORT 2017
WSU UNDERGRADUATE DEGREE GAINS SAICA ACCREDITATION In 2017, Walter Sisulu University (WSU) met all the accreditation criteria set by SAICA in order to be able to offer BCom Accounting degrees to prospective chartered accountants. This accreditation would not have been possible without:
• the partnership between the University of Cape Town (UCT) and WSU to provide the appropriate capacity-building support and staff development;
• continued financial support from the National Skills Fund; and
• the leadership of the WSU. Their vision and continued support for the implementation of this capacity-building project was of vital importance.
Getting HDIs such as WSU accredited is imperative for the profession because we understand that through this, we contribute to building a better nation by providing the poorest of the poor with opportunities to enter into professional programmes and access to the quality of education available in the rest of the country. To date, four of the six recognised HDIs have been accredited with the remaining two HDIs currently in the process of obtaining their SAICA accreditation.
STELLENBOSCHTHUTHUKA
years10CELEBRATING TEN YEARS OF SU THUTHUKAThe University of Stellenbosch’s School of Accountancy has celebrated its ten year anniversary as a Thuthuka University. On Thursday, 12 October 2017, the university hosted a donor appreciation breakfast to acknowledge the invaluable financial and non-financial support and commitment received from donor firms, SAICA, various Stellenbosch University administrative departments, stakeholders and friends of the programme.
In his keynote address, Western Cape Minister of Social Development, Albert Fritz, spoke of how Thuthuka gives disenfranchised youth the means to combat the cycle of poverty through education – especially for children who ‘have the aptitude but not the financial means to continue beyond matric due to their marginalised position.’ The Minister praised donors for the pivotal role they play in this programme since ‘it would not have been possible to do so if not for their commitment and financial contribution. The nature of the programme also calls on non-financial aid and the donors have always been willing to contribute time and human capacity to the students in the Thuthuka Programme.’
STUDENT LEADERSHIP SUMMIT (SLS) CELEBRATES ITS NINTH YEARSAICA takes great care in instilling the values of responsible leadership in all of those who study towards becoming a CA(SA). It is against this backdrop that the institution created the SLS nine years ago.
Through the SLS, SAICA encourages chartered accountancy students to be responsible leaders by applying their minds to issues of national and professional importance and also to think about how, as young professionals, they can use their skills to help address these issues and ensure that the challenges flagged in the NDP as stumbling blocks for the country’s developmental are overcome.
According to the judging panel who selected the top 30 university students who attended the 2017 SLS, responsible leaders need to have the perfect mix of insight, foresight, research and innovation to create solutions that will make a real and positive impact on society.
Klerksdorp’s Thsireletso Bogastu, a 19 year old student from the University of the Free State (UFS), demonstrated these characteristics when she clenched the first place for her insightful and solution-driven essay that revealed how, as a budding chartered accountant, she plans to use her acquired academic and leadership skills to help close South Africa’s large wealth gap.
of inspiring success2007 - 2017
KEY ACADEMIC DEVELOPMENT PROGRAMMES
ACADEMIC SEMINAR
80 17ACADEMICS INSTITUTIONS
BUILDING CAPACITY AMONG AFRICAN AND COLOURED CAs(SA) WHO ARE IN ACADEMIA
UNIVERSITY INITIATIVE HIGHLIGHTS
THUTHUKATHUTHUKA
28 SAICA NATION BUILDING REPORT 2017
Thanks to the accreditation of its accounting degree, WSU students can now enjoy the same education quality as those at other leading institutions
Walter Sisulu University Head of Department, Francis Kwahene, shares his thoughts on “what they don’t tell you when you start a career in academia” with
Academic Seminar facilitator Riyaan Mabutha and the academics in attendance
2017 SLS top 3 Bukani Mbutho (second runner-up), Tshireletso Bogatsu (winner) and Duane Rensburg (first runner-up) pictured with the Deputy
Auditor-General Tsakani Ratsela
SAICA NATION BUILDING REPORT 2017 3130 SAICA NATION BUILDING REPORT 2017
SECTION HEADING THUTHUKA
BONGILECOLLEEN
TALENT
JAMESADAMS
MTHIYANE
SUCCESS STORIES
30 SAICA NATION BUILDING REPORT 2017
THUTHUKA
TBF BENEFICIARY AND QUALIFIED CA(SA) AT RAND MERCHANT BANK
TBF BENEFICIARY AND QUALIFIED CA(SA) AT PWC
TBF BENEFICIARY AND QUALIFIED CA(SA) AT DELOITTE SA
TBF BENEFICIARY AND CA(SA) TRAINEE AT GRANT THORNTON SOUTH AFRICA
MOKHACHANE KHOTSO
‘Today, the son of a mineworker is a Chartered Accountant.’
Orphaned at the age of 13, getting a bursary was Bongile’s only way out of poverty.
Today Bongile is a qualified CA(SA) and bread winner to his family thanks to the Thuthuka Bursary Fund.
‘Qualifying as a CA(SA) would not have been possible without both the financial and non-financial support that Thuthuka offers. I am yet to hear of another programme that goes to the type of lengths to develop and invest in the potential of individuals who do not have a fair chance in succeeding. The passion and dedication with which this programme is implemented is unparalleled. The fund recognised other needs and support that we, as students, needed on our CA(SA) journey.’
‘Sometimes you just need someone who will believe in you and will help you to shine the light that exists within all of us.’
Talent’s Mthiyane’s Thuthuka journey started in her matric year when SAICA hosted maths, accounting and English Saturday classes for Grade 12 learners at her school. That year, Talent also attended the SAICA Development Camp, where she learnt more about what becoming a CA(SA) entailed.
With the help of Thuthuka’s extra classes, Talent obtained distinctions in all her subjects and was awarded a Thuthuka Bursary, which she says ‘changed my life because it alleviated the financial burden of having to send me to university from my family.’
'…had it not been for the Thuthuka Bursary Fund, I would have just been another statistic...’
With only his mom funding his secondary education studies, Khotso Mokhachane relied on school bursaries to get him through matric and even those were not enough to cover his tuition in full. He didn’t have much hope of going to university.
If it had not been for the Thuthuka Bursary Fund, Khotso says, he would have been ‘just another statistic of a child who had potential but could not make it due to a lack of capital and resources.’
SAICA NATION BUILDING REPORT 2017 3332 SAICA NATION BUILDING REPORT 2017
0103THE IKUSASA STUDENT FINANCIAL AID PROGRAMME (ISFAP)OVERVIEW 34
OUR VALUE PROPOSITION 34
ISFAP 2017 PILOT STATS 35
32 SAICA NATION BUILDING REPORT 2017
The ISFAP pilot has proven to be a viable solution for the missing middle’s higher education funding crisis
SAICA NATION BUILDING REPORT 2017 3534 SAICA NATION BUILDING REPORT 2017
THE IKUSASA STUDENT FINANCIAL AID PROGRAMME (ISFAP)THE IKUSASA STUDENT FINANCIAL AID PROGRAMME (ISFAP)
OVERVIEW
ISFAP launched its pilot in January 2017 as part of the national effort to solve for the funding challenge faced by missing middle students and which culminated in the country’s #FeesMustFall protests.
The programme funds students from households that earn R0 – R600 000 and provides them with full cost of study as well as wrap around support.
ISFAP’s strategic intent is that the programme “seeks to secure the future of South African's youth by providing needs-based assistance to students from poor and working classes to acquire a broad set of knowledge, skills and character traits that will significantly improve their meaningful participation in the growth of the economy, thereby advancing equal opportunity and equitable income distribution for all South Africans.”
The key strategic objectives of the programme, as derived from its strategic intent, are to:
1. promote progressive support to financially needy students in order for them to access higher education;
2. improve the efficiency of the new funding model over the country’s current higher education funding model;
3. align the skills promoted by the model with the NDP and Human Resources Development Council Strategy;
4. reduce the dropout rate of poor students; and5. improve all stakeholders’ skin in the game,
by creating a shared and common vision for education in South Africa.
THE IKUSASA STUDENT FINANCIAL AID PROGRAMME (ISFAP)
ISFAP 2017 PILOT STATS
KEY PERFORMANCE METRICS FROM THE 2017 PILOTACADEMIC RESULTS
NUMBER OF STUDENTS ON THE PILOT 697
NUMBER OF NSFAS STUDENTS TOPPED UP 163
NUMBER OF DROP OUTS FROM THE PILOT 26
AVERAGE MARKS ACHIEVED BY STUDENTS 60%
PASS RATE OF STUDENTS ON THE PILOT 95%
NUMBER OF STUDENTS THAT FAILED 5**
WRAP AROUND SUPPORT
NUMBER OF STUDENTS ACTIVELY ENGAGED IN WRAP AROUND SUPPORT SERVICES 232
DROPOUT RATE OF LESS THAT 5%
STUDENTS ENROLLED 697
TERTIARY INSTITUTIONS PARTNERED WITH 8
PROFESSIONAL PROGRAMMES FUNDED 14
ISFAP 2017 STUDENT DISTRIBUTION
*FUNDED BY RINGFENCED FUNDING**AWAITING DATA FROM WSU, UKZN AND TUT
UNIVERSITIES MEDICAL DOCTORS PHARMACISTS ACTUARIES ENGINEERS CHARTERED
ACCOUNTANTSPROSTHETISTS/PHYSIO
TECHNICAL (ARTISANS)
HUMANITIES (SELECTED MAJORS)
BSC MATHS OF FINANCE
BCOM GENERAL
BCOM ECONOMICS
BCOM PPE OTs NURSES TOTAL
UNIVERSITY OF VENDA 12 8 4 25 49
WALTER SISULU UNIVERSITY 45 3 3 1 20 72
UNIVERSITY OF THE WITWATERSRAND 22 27 47 28 8 132
UNIVERSITY OF CAPE TOWN 84 1 11 20 96
UNIVERSITY OF PRETORIA 7 127 52 2 2 190
TSHWANA UNIVERSITY OF TECHNOLOGY
13 16 22 51
UNIVERSITY OF KWAZULU NATAL 77 10 87
ORBIT TVET 20* 20
TOTAL 228 12 35 195 79 35 20 22 11 2 0 2 36 20 697
Strong focus on strengthening, developing and promoting professions and OHDs
Provide non-capped funding to students to cover all necessities
Provide psycho-social support services to students to ensure overall well-being
Combination of grants and loans provided depending on household means
Leverage integrated digital platforms to interface with stakeholders
Assist tertiary institutions with optimising curricula and resources to suit the local context and student needs
PROFESSIONS DEVELOPMENT
FULL COST OF STUDY
WRAP AROUND SUPPORT
BLENDED FUNDING
TECHNOLOGY FOCUS
CAPACITY BUILDING
OUR VALUE PROPOSITION
THE KEY ACHIEVEMENTS OF THE 2017 PILOT HIGHLIGHT THAT ISFAP IS A VIABLE & IMPACTFUL SOLUTION FOR HIGHER EDUCATION FUNDING AND STUDENT SUPPORT.
SAICA NATION BUILDING REPORT 2017 3736 SAICA NATION BUILDING REPORT 2017
040436 SAICA NATION BUILDING REPORT 2017
Our trainees tell us how they are going to add value to the country when they are qualified CAs(SA) (pictured at CA Nights Cape Town)
PROFESSIONAL DEVELOPMENT OVERVIEW 38
PROFESSIONAL DEVELOPMENT’S MANDATE 38
IMPROVEMENT IN RACIAL REPRESENTATION AND DIVERSITY IN CA(SA) MEMBERSHIP STATISTICS
39
FORMAL ASSESSMENTS 39
ITC 2017 39
APC 2017 40
TRAINING 40
ACADEMIC TRAINEES AND ACADEMICS 41
38 SAICA NATION BUILDING REPORT 2017
SECTION HEADINGPROFESSIONAL DEVELOPMENT
PROFESSIONAL DEVELOPMENT
FORMAL ASSESSMENTSOne of the key focuses of the Unit is to develop the overall strategy for Professional Development (pre-qualification) in line with new trends and best practice (primary focus is on relevance and quality).
It, therefore, falls under the Professional Development Unit’s mandate to protect the standards of the CA(SA) qualification through ongoing development and maintenance of the following two assessments which together form the Qualifying Examinations:
• Initial Test of Competence (ITC) – the objective of this standard setting exam is to assess technical competence; and
• Assessment of Professional Competence (APC) – the objective of this uniform assessment is to assess professional competence.
PROFESSIONAL DEVELOPMENT’S MANDATE
Professional Development’s primary purpose is to ensure that persons who qualify for registration as CAs(SA) and AGAs(SA) at entry level have the relevant competence (knowledge, skills, ETHICS and attitudes) to perform the duties expected of them. Its further responsibility is to foster a culture of life-long learning in prospective members and associates of SAICA to enable them to enhance and maintain their professional competence and relevance post qualification.
Thus Professional Development exists to ensure that persons who qualify to be registered as CAs(SA) and AGAs(SA) develop the necessary technical and professional competence through
the combination of the academic, professional and training programmes (required work experience), in order to meet the prescribed levels of technical and professional competence of an entry level accountant [CA(SA)/AGA(SA)]. This will enable the SAICA mission of promoting and enhancing the Profession through the delivery of members and associates of SAICA who are relevant and competent to perform their roles.
This competence is independently assessed by SAICA through its Qualification Examinations (ITC and APC).
The impact of the Professional Development Unit is, thus, best represented by looking at a snapshot of how the SAICA membership base and education data has changed in 2017.
IMPROVEMENT IN RACIAL REPRESENTATION AND DIVERSITY IN CA(SA) MEMBERSHIP STATISTICS:
ITC 2017:
AFRICAN COLOURED INDIAN WHITE UNKNOWN
KEYS
CURRENT SAICA CA(SA) MEMBERSHIP STATISTICS 2017
CA(SA) AGA(SA)
VERSUS 2016 VERSUS 2002 (WHEN THUTHUKA BEGAN)
72.9% 73.8% 92.3%
11.6%
11.3% 11.2%
3.6% 3.5%
1%4.9%
0.6% 0.6% 0.3%
10.9%
1.5%
2017 ITC RESULT BY UNIVERSITY: FIRST TIMERS
CTA UNIVERSITY NAMENUMBER OF CANDIDATES WHO PASSED
NUMBER OF CANDIDATES WHO WROTE
PERCENTAGEPASSES
MONASH SOUTH AFRICA 54 96 56%NELSON MANDELA METROPOLITAN UNIVERSITY 53 60 88%
NORTH-WEST UNIVERSITY 93 99 94%
RHODES UNIVERSITY 29 39 74%
UNIVERSITY OF CAPE TOWN 271 307 88%
UNIVERSITY OF FORT HARE 37 50 74%
UNIVERSITY OF THE FREE STATE 36 49 73%
UNIVERSITY OF JOHANNESBURG 239 276 87%
UNIVERSITY OF KWAZULU-NATAL 76 98 78%
UNIVERSITY OF PRETORIA 175 196 89%
UNIVERSITY OF SOUTH AFRICA 338 492 69%
UNIVERSITY OF STELLENBOSCH 176 205 86%
UNIVERSITY OF THE WESTERN CAPE 31 45 69%
UNIVERSITY OF THE WITWATERSRAND 157 176 89%
GRAND TOTAL 1 765 2 188 81%
PROFESSIONAL EXAMINATIONAssessment of
Professional Competence (APC)
formal competency-based academic education
(academic programme) - SAICA ACCREDITED
UNDERGRADUATE PROGRAMME
Formal competency-based professional education (professional programme)
Formal competency-based academic education (academic programme) STANDARD
SETTING EXAMInitial Test of
Competence (ITC)
2017 2016 2002
COM
PETE
NCY
FRA
MEW
ORK
COM
PETE
NCY
FRA
MEW
ORK
PRACTICAL EXPERIENCE
(Training Programme)
PRACTICAL EXPERIENCE
(Training Programme)
OVERVIEWThe ultimate objective for the CA profession is to ensure that membership growth occurs representatively in terms of race and gender. Education is perhaps the most important engine of the CA profession’s growth and success. Professional Development achieves its objectives through:
1. defining relevant content (competency framework); and
2. defining a robust delivery model / qualification process (comprising of the academic programme, the professional programme, the training programme and professional assessments)
The qualification processes are as follows:
PROFESSIONAL DEVELOPMENT
SAICA NATION BUILDING REPORT 2017 39
40 SAICA NATION BUILDING REPORT 2017 SAICA NATION BUILDING REPORT 2017 41
MSA
RU
UFS
NMMU
UCT
UJ
NWU
UFH
UKZN
UP
UNISA
SUN
UWC
WITS
2017 ITC PASSES % OVERALL NUMBER OF STUDENTS DELIVERED TO THE ITC BY UNIVERSITY
APC 2017:
# QE 1ST ATTEMPT PASSES
0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 20%
TOTAL PASSESPERCENTAGE
PASSES
AFRICAN 1 072 708 69%
COLOURED 181 145 80%
INDIAN 395 332 84%
WHITE 1 102 979 89%
OTHER 4 4 100%
TOTAL 2 703 2 168 80%
TRAININGWithin the training framework, it is the Professional Development Unit’s responsibility to:
• ensure that prospective CAs(SA) receive training and experience of the necessary range and depth reflective of international best practice within the South African context; and
• ensure that the required competence is obtained through applying theoretical knowledge to practical skills under the direction and supervision of experienced and qualified members.
TRAINING OFFICE STATISTICS AT 30 JUNE 2016 AND 30 JUNE 2017:
TRAINING OFFICE SIZE
TRAINEES 2016
TRAINEES2017
% 2016
%2017
LARGE TRAINING OFFICE (<100) 2 629 2 872 26% 30%
MEDIUM TRAINING OFFICE (<99) 1 820 2 504 18% 26%
SMALL TRAINING OFFICE (<30) 5 806 4 326 56% 44%
TOTAL 10 255 9 702 100% 100%
ACADEMIC TRAINEES AND ACADEMICS
The number of academic trainees increased from 106 in 2016 to 117 in 2017. For the first time since the Academic Traineeship Programme was established, more than half of the demographic makeup of appointed academic trainees are African. It is clear from this information that the accredited universities are improving their attraction strategies to ensure future transformation in academia.
2016
2017
AFRICAN COLOURED INDIANWHITE
20 40 60 80 100 1200
ACADEMIC TRAINEES BY YEAR
2015
2016
AFRICAN COLOURED INDIANFROM AFRICA INTERNATIONAL
WHITENOT TEACHING ON CA PROGRAMME
20 40 60 80 100 1200
ACADEMICS BY YEAR
PROFESSIONAL DEVELOPMENT PROFESSIONAL DEVELOPMENT
TRAINEE STATISTICS AT 30 JUNE 2016 AND 30 JUNE 2017:
RACE3 YEAR CONTRACT 4 YEAR CONTRACT 5 YEAR CONTRACT
TOTALLARGE MEDIUM SMALL TOTAL LARGE MEDIUM SMALL TOTAL LARGE MEDIUM SMALL TOTAL
AFRICAN 949 1 101 895 2 945 18 157 295 470 5 9 115 129 3 544
COLOURED 183 130 192 505 0 10 70 80 2 3 118 123 708
INDIAN 467 340 317 1 124 1 6 45 52 2 9 145 156 1 332
WHITE 1 191 660 954 2 805 4 24 203 231 10 35 923 968 4 004
OTHER 39 18 24 81 0 2 9 11 1 0 21 22 114
TOTAL 2 829 2 249 2 382 7 460 23 199 622 844 20 56 1 322 1 398 9 702
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SECTION HEADING
Qualified CAs(SA) Kayalethu Nodada, Siphosethu Ntswayi and Sandile Phillip inspired Western Cape trainees to stay the path at the first CA Nights event
In 2017, SAICA hosted its first ever CA Nights trainee events which focus on helping trainees stay the path by sharing the “journeys to greatness” of young CAs(SA) as well as instilling the profession’s responsible leadership traits into aspiring members.
Taking the form of a Ted-Talk style chat, trainees in the Western Cape and Gauteng where enthralled by the “journeys to greatness” of our members as well as special guests speakers such as the renowned Vusi Thembekwayo.
Through SAICA’s CA Nights exclusive trainee events, we aim to show that, with a CA(SA) qualification, there are limitless opportunities open to trainees regardless of whether they wish to pursue a career within the traditional business sector or not.
PROFESSIONAL DEVELOPMENT PROFESSIONAL DEVELOPMENT
SUCCESS STORIES
TRAINEES: CA NIGHTS INITIATIVES
EXAMS: MOVING CAS(SA) INTO THE DIGITAL AGESAICA’s Assessment of Professional Competence (APC), the second of two qualifying assessments, measures a candidate’s ability to use and apply their technical knowledge in a real world context by setting tasks that entry level CAs(SA) are expected to be able to complete in the working world. Candidates become eligible to write the APC after passing the Initial Test of Competence (ITC), successfully completing an accredited professional programme and completing a minimum of 20 months in a registered training contract with a SAICA accredited training office.
For this reason, the APC, which takes the form of a written competency-based assessment, places emphasis on pervasive skills (ethics, personal attributes and professional skills) and assesses whether candidates can demonstrate their professional competence through the application of their acquired skills and technical knowledge in a multi-disciplinary case study as well as assesses their behaviour during the case study period.
While many still see “accountants” as traditional bean counters, the role CAs(SA) play in the world of business is an ever evolving one. To this end, SAICA has continued to make changes to the focus of the CA(SA) qualification, which includes changes to the way prospective CAs(SA) are assessed.
In 2017, SAICA’s APC exam venues looked very different from previous years when approximately 66% of APC candidates chose to complete the exam electronically. In doing so, these candidates represent how SAICA is making its goal of assessing candidates in a real world context a reality. By using a computer with a secure software package to “write up” their responses to the assessment tasks, SAICA is illustrating the real life workplace environment that the assessment continues to simulate.
Over 66% of aspiring CAs(SA) wrote the November 2017 APC exam electronically
SAICA NATION BUILDING REPORT 2017 43
44 SAICA NATION BUILDING REPORT 2017
0105SAICA 2017 ANNUAL INTEGRATED REPORT 45
AT(SA) General Manager, Nadine Kater, speaking at the AT(SA) book launch
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])OVERVIEW 46
LEGAL STATUS 46
OUR VALUE PROPOSITION 46
AT(SA) IMPACT ON SAICA VALUE CHAIN (SINCE INCEPTION) 48
AT(SA) IMPACT 50
AT(SA) ECO-SYSTEM 52
TOTAL AT(SA) INTERACTIONS DURING 2017 54
KEY AT(SA) INITIATIVES 54
AT(SA) HIGHLIGHTS 56
AT(SA) SUCCESS STORIES 58
44 SAICA NATION BUILDING REPORT 2017
SAICA NATION BUILDING REPORT 2017 4746 SAICA NATION BUILDING REPORT 2017
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
OVERVIEWAccounting Technician South Africa (AT[SA]) is a leading, trusted professional body dedicated to the education, development, regulation and support of accounting technicians in South Africa.
As SAICA’s entry-level qualification in accounting, AT(SA)’s private and public sector qualifications offer students and employees a flexible and developmental career progression pathway. By providing foundation through to advanced level accounting knowledge, skills and competencies, AT(SA) seeks to improve career progression and employability of its members and deliver competent work-ready graduates and upskilled citizens already in employment, and thus contribute towards addressing South Africa’s financial management skills shortage.
LEGAL STATUSAT(SA) is an associate of SAICA. Together with SAICA, AT(SA) represents confident, skilled accounting technicians who are committed to upholding the highest professional standards and ethics.
OUR VALUE PROPOSITION: Accounting technicians play a key support role in accounting, finance and business – competently working across all sectors of the economy to improve organisational productivity and efficiency. Through partnerships between business, government, academia and the community, AT(SA) seeks to improve the lives of disadvantaged citizens by:
• advancing access to education and providing routes to entry by improving the quality and capacity of South Africa’s tertiary education system for those who wish to enter the accounting profession;
• addressing the country’s skills shortage by providing a qualification that makes sustainable and meaningful employment possible;
• enhancing the employability of South Africa’s youth by producing work-ready graduates and employees; and, in so doing,
• advancing the competitiveness of the economy by creating better functioning accounting and finance departments in both the public and private sectors.
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
AT(SA) project director, Trudy Paul, at an AT(SA) graduation event
SAICA NATION BUILDING REPORT 2017 47
SAICA NATION BUILDING REPORT 2017 4948 SAICA NATION BUILDING REPORT 2017
AT(SA) IMPACT ON SAICA VALUE CHAIN (SINCE INCEPTION)
WORK-READINESS TRAINING
STUDENTS & EMPLOYEES
SAICA MEMBER AT(SA)
POTENTIAL AGA(SA) AND
CA(SA)
ACADEMICS ACCREDITED TVETS
ACCREDITED UoTs
POTENTIAL CAREER PROGRESSION PATH
MUNICIPALITY / GOVERNMENT
EMPLOYERS
OVER 480 QUALIFIED ATs(SA)1 812 ATs(SA) IN THE PIPELINEAT(SA) MEMBERSHIP STATS:
1 812 Red (student) members78 Silver members133 Gold members236 Platinum members33 Diamond members
TERTIARY EDUCATION PROGRAMMES
TVET College Training Programme: 960 students at 11 institutionsUoT Capacity Building Project: 280 students at 7 institutionsLecture Development Initiative: 95 lecturers at 18 institutions
PUBLIC AND PRIVATE SECTOR PROGRAMMES
Private Sector Employers: 1 182 students & employeesPublic Sector Employers: 5 174 students & employeesPublic Sector Financial Management Skills Development: 155 municipalities / government offices
FET & TERTIARY CAPACITY BUILDING PROJECTS: 18
INSTITUTIONS
MUNICIPALITY / GOVERNMENT
EMPLOYERSPRIVATE SECTOR
EMPLOYERSTRAINING PARTNERS
SKILLS DEVELOPMENT
FET & TERTIARY INSTITUTIONS
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA]) ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
SAICA NATION BUILDING REPORT 2017 5150 SAICA NATION BUILDING REPORT 2017
AT(SA) IMPACT
&
NATIONWIDE OVER THE PAST NINE YEARS
42 TVET, UOT AND PUBLIC AND PRIVATE SECTOR PROGRAMMES,
THROUGH
AT(SA)’S SKILLS DEVELOPMENT AND CAPACITY BUILDING PROJECTS, SAICA IS
THROUGH
AT(SA) HAS PROVIDED WORK-READINESS QUALIFICATION AND CAREER ADVANCEMENT OPPORTUNITIES TO OVER
7 400 STUDENTSEMPLOYEES
THE COMPETITIVENESS OF THE ECONOMY AND CREATING BETTER FUNCTIONING ACCOUNTING AND FINANCE DEPARTMENTS IN BOTH
ADVANCING
THE PUBLIC
PRIVATE SECTORS
&
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA]) ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
Nadine Kater, AT(SA) General Manager, finding out more about members’ needs at the AT(SA) Training Partner Conference
SAICA NATION BUILDING REPORT 2017 5352 SAICA NATION BUILDING REPORT 2017
AT(SA) ECO-SYSTEM
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA]) ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
DO
NO
RSPR
OG
RAM
MES
LECTURE DEVELOPMENT
INITIATIVE
TVET COLLEGE CAPACITY BUILDING
POST SCHOOL TRAINING PROJECT
SASSETA
LGSETA
WRSETA
MERSETA
FASSET
PSETA
INSETA
BANKSETA
PUBLIC SECTOR & LOCAL
GOVERNMENT ACCOUNTING TECHNICIAN
QUALIFICATION
MUNICIPALITIES &
GOVERNMENT OFFICES
NATIONAL TREASURY
SAICA
PRIVATE SECTOR TRAINING PARTNERS
SETAs
PRIVATE SECTOR
PROGRAMME
WORK INTEGRATED
LEARNING (WIL) PROGRAMME
UNIVERSITY OF TECHNOLOGY (UoT) CAPACITY BUILDING AND POST SCHOOL
TRAINING PROJECT
FIRSTRAND FOUNDATION
SCHOOL LEAVERS(AIM: WORK PLACE
READINESS AND EMPLOYABILITY)
EMPLOYEES(AIM: CAREER PROGRESSION OF EMPLOYER & FINANCIAL DEPARTMENT
CAPACITATION)
DONORS
PROGRAMMES
FUNDING
EMPLOYEE PROGRESSION
STUDENT ABSORPTION INTO THE BANKING SECTOR
KEYS
TRUE COLLABORATION – AT(SA)The strength of all the programmes that AT(SA) runs is achieved through the support of powerful partnerships. The initiatives are linked to the beneficiaries through a
network of relationships developed over many years. Through the power of collective collaboration, the complex structure is indicative of a strong network supporting AT(SA) value-creating initiatives.
7 476
2 174
STUDENTS AND EMPLOYEES
PUBLIC SECTOR EMPLOYEES
LECTURERS
MUNICIPALITIES / GOVERNMENT OFFICES
PRIVATE TRAINING PARTNERS
TVET COLLEGES
UoTs
95
155
42
11
7
KEY AT(SA) INITIATIVES
TOTAL AT(SA) INTERACTIONS DURING 2017
Professional public sector customised training to address skills shortages in government institutions from entry- to mid-levels, and to improve audit reports and, ultimately, service delivery
Building academic capacity at TVETs and UoTs
Rolling out of the AT(SA)'s NQF level 4 qualification for UoTs to expand their offering in finance and accounting faculties
Capacitating TVET colleges to expand opportunities for students wishing to enter the accounting profession
Creating and upskilling private sector company work programmes to better their employees’ career progression
SKILLS DEVELOPMENT: PUBLIC SECTOR FINANCIAL MANAGEMENT QUALIFICATION
BUILDING ACADEMIC CAPACITY AT TVETs AND UoTs
CAPACITY BUILDING: UNIVERSITY OF TECHNOLOGY (UoT) CAPACITY BUILDING AND POST SCHOOL TRAINING PROJECT
SKILLS DEVELOPMENT: TECHNICAL VOCATIONAL EDUCATION TRAINING (TVET) COLLEGE TRAINING PROGRAMME
SKILLS DEVELOPMENT: PRIVATE SECTOR TRAINING PROGRAMME
In partnership with the Banking Sector Education and Training Authority (BANKSETA)
In partnership with the BANKSETA
5 174
95
280
155
7
880
1 182
11
42
65%
11
7
STUDENTS (PSAQ LEVEL 3 AND 4)
LECTURERS
STUDENTS
AVERAGE GRADUATION RATE
ACCREDITED TVETs
UoTs
GOVERNMENT OFFICES / MUNICIPALITIES
UoTs
STUDENTS
EMPLOYEES
TVET COLLEGES
TRAINING PARTNERS
SAICA NATION BUILDING REPORT 2017 5554 SAICA NATION BUILDING REPORT 2017
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA]) ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
SAICA NATION BUILDING REPORT 2017 5756 SAICA NATION BUILDING REPORT 2017
FUNDED SKILLS BOOK LAUNCH
INAUGURAL TRAINING PARTNER CONFERENCE
In 2017, AT(SA) and the Banking Sector Education and Training Authority (BANKSETA) launched its first book of success stories for capacity building initiatives in the Public Sector. The book covered success stories from eight participating TVET colleges and a sample of learners from over 800 unemployed matriculants, who benefited from this Public-Private Partnership (PPP) initiative. The learner stories and insights from the TVET colleges demonstrated the commitment of the BANKSETA and its partners in addressing South Africa’s post-school education needs. BANKSETA invested R70 million this initiative over a three year period.
AT(SA)’s annual graduation and networking events are hosted in all nine provinces every year. Graduates celebrate their successes and have the chance to network with existing AT(SA) members together with SAICA executives. Among others, this gives graduates further insights into their career opportunities.
GRADUATIONS AND AT(SA) NETWORKING EVENTS
Training partners are the lifeblood of AT(SA) as they deliver the qualification. Thus, key support services keep the AT(SA) partners engaged, interested and upskilled.
To this end, AT(SA) offers continuous and tangible value to its Training Partners and plans different activities such as individual visits, networking sessions and technical training sessions throughout the year.
In 2017, AT(SA) hosted a training partner conference in Johannesburg. It was well attended and had a diverse line-up of speakers, including Peter Ndoro (facilitator), Chantyl Mulder (SAICA) and Mankwe Sithole (Brand Code) who took the delegates through AT(SA)’s brand evolution. Godfrey Mongatane spoke about the future of the accounting profession and Ian Mann covered strategy and leadership.
The conference included a social impact flavour with David Grier, an adventurer who is an ambassador for the Cipla Miles for Smiles Foundation, which raises funds for Operation Smiles, South Africa – an organisation that performs corrective surgery on children born with cleft lips and palates.
Nadine Kater, AT(SA) General Manager, with training partners AT(SA) graduates celebrate their success
Stakeholders from all AT(SA)'s partners attended the launch of the BANKSETA success stories
AT(SA) HIGHLIGHTS
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA]) ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
SAICA NATION BUILDING REPORT 2017 5958 SAICA NATION BUILDING REPORT 2017
SECTION HEADING
SUCCESS STORIES
AT(SA) GRADUATE AND SELF-EMPLOYED
AT(SA) GRADUATE ANDAT(SA) COURSE FACILITATOR
AT(SA) GRADUATE AND ACCOUNTING TECHNICIAN AT MOTHEO TVET COLLEGE
AT(SA) GRADUATE AND MUNICIPAL OFFICER
NTOMBELA MSWELI MOKOENA
STEPHENS
KWENZA THOBEKILE
BELINDA
JOHN
‘[AT(SA)] drives my business and has help me change 70 lives.’
Kwenza Ntombela is realising his entrepreneurial dreams, thanks to the skills he acquired through his AT(SA) qualification.
Not being able to pursue his BCom qualification after his bursary was discontinued in 2009, Kwenza started a garden service company in the hope that it would provide some financial income for his family. Yet, despite working full-time to turn his business into a success, his desire to obtain a qualification did not fade. In 2013, the AT(SA) BANKSETA opportunity came along.
Four months into the training, Kwenza received a job offer to work as a Site Administrator at Much Asphalt, a large commercial supplier of hot and cold asphalt products to the road construction sector. Realising an opportunity like this may not come his way again, and after a lengthy discussion with his facilitator, Kwenza accepted the job offer. He successfully completed his training while working, and immediately after graduation was promoted to Creditor’s Clerk for the region.
After working at the company a year, he resigned and started his own business – Londwa – in the freight and construction sector. Kwenza says he had enough self-confidence to start up on his own for two reasons: he had gained much knowledge and experience of the construction sector while working at the asphalt company, and the AT(SA) training provided him with the specific skills to perform the financial work that was required in his own business.
Currently, he has 70 people in his employ of which a third are full-time employees.
‘I love the idea of belonging to a professional body... It makes me feel more professional.’
Thobekile Msweli’s mother died when she was 10 and she lived in Richards Bay until she lost her dad at the age of 17. She moved to Pretoria to live with her sister, and finished Grade 12 taking commercial subjects. The next year she moved back to KwaZulu-Natal and enrolled for a BCom degree in Information Systems at the University of Zululand.
Unfortunately, she experienced serious financial constraints after her first year and had to give up her studies. She viewed this as a temporary setback and managed to secure NSFAS funding, which allowed her to return to university in 2011 and graduated in 2012. After completing her degree, she began looking for employment and applied for internships without success. She was now an unemployed graduate, and desperate to find anything in order to make a living.
During her year long search for job, she came across an AT(SA) BANKSETA advertisement on the Internet, applied, and was relieved to be selected. Thobekile says she struggled with accounting at university, but when doing the AT(SA) course she suddenly began to understand it. She gives the credit to the competency-based method used in the training: ‘It forces you to not only know some sections, you have to know everything.’
After completing the training, Thobekile’s college arranged with several employers to meet the students and interview them for available positions. She was offered a position by one of the employers. However, at the same time, she was a student tutor for a new group of students and the college felt that she showed a lot of potential working as a facilitator of the AT(SA) course. They offered her a full-time position, which she accepted.
‘This course is not only about you passing. It is about you having to know the thing, know exactly what you are talking about.’
Belinda Mokoena was born and raised in Kroonstad where she lived with her mother, stepfather and younger brother. Having completed Grade 12 in 2006 with good symbols, she felt that she could have done even better if it had not been for the trauma she had to go through that year with her parents getting divorced. Despite this, her favourite subject and the one she excelled at was Accounting.
After matriculating, Belinda relocated to Bloemfontein to enroll in the N4-N6 in Financial Management at the Motheo TVET College. It was not an easy time as her mother struggled financially to support her college education.
Belinda found a part-time job at a hair salon and restaurant to earn money to pay for her accommodation. It was during the last weeks of her N6 studies that she succeeded to find permanent employment at a small company called WellCorp, an organisation focusing on providing customised health management strategies to clients. She started as a receptionist and after three months was transferred to the accounts unit of the company, working as an Accountants' Assistant. Her work entailed basic bookkeeping activities.
Unfortunately the company closed down at the beginning of 2010 and Belinda found herself unemployed.
One day while she was surfing the Internet, she saw a BANKSETA notice inviting unemployed youths to apply for the AT(SA) training. Much to her delight, her application was successful and she chose to do her training at Motheo TVET College in Bloemfontein.
After graduation, the college selected ten students and offered six of them internships and the other four full-time positions, including Belinda, in the finance department of the college.
‘Furthering my career and helping my community with AT(SA).’
Ten years ago, 52-year-old John Stephens’ eyesight started deteriorating. People looked blurry and letters were indistinct. He first blamed his fuzzy vision on astigmatism, the ‘middle-age’ eye disorder. But it was far worse than that. Today, Stephens is completely blind – yet he hasn’t let that stop him from achieving his dreams. Despite having to adjust to new ways of working because of his condition, he was able to continue his studies and improve his skills as an accounting technician.
In addition to John’s own determination and hard work, he says that passing the AT(SA) Local Government Accounting Certificate (LGAC) would not have been possible without the help of the Drakenstein Municipality, the Local Government Seta (the programme funder), Deloitte (who in collaboration with Skills Development Solutions, provided dedicated staff and course coordinators for John) and AT(SA).
58 SAICA NATION BUILDING REPORT 2017
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA]) ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
SAICA NATION BUILDING REPORT 2017 6160 SAICA NATION BUILDING REPORT 2017
SECTION HEADING
010650 unemployed graduates benefited from work-place readiness training thanks to SAICA Enterprise Development and J.P. Morgan
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORYOVERVIEW 62
LEGAL STATUS 62
OUR VALUE PROPOSITION 62
SAICA ENTERPRISE DEVELOPMENT IMPACT ON SAICA VALUE CHAIN (SINCE INCEPTION) 64
SAICA ENTERPRISE DEVELOPMENT AND THE HOPE FACTORY IMPACT
66
BACK-OFFICE ACCOUNTING SUPPORT ECO-SYSTEM
68
THE HOPE FACTORY AND SAICA ENTERPRISE DEVELOPMENT ECO-SYSTEM
69
TOTAL ENTERPRISE DEVELOPMENT INTERACTIONS DURING 2017
70
KEY ACCOUNTING SUPPORT INITIATIVES 70
KEY SMME SUPPORT INITIATIVES 71
HIGHLIGHTS 72
SUCCESS STORIES 74
60 SAICA NATION BUILDING REPORT 2017
SAICA NATION BUILDING REPORT 2017 6362 SAICA NATION BUILDING REPORT 2017
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
OVERVIEW
The Hope Factory (Non-Profit Company) delivers Socio-Economic Development (SED) Programmes that result in mobilising economic activity for Black South African citizens (as defined by the B-BBBEE codes) as part of SAICA’s Nation Building transformation objectives. The main objective is to provide solutions for unemployment by equipping individuals with the skills and abilities needed to generate income through new business opportunities. Besides creating bespoke SED Programmes for both the private and public sectors, The Hope Factory offers a flagship training and mentorship programme to help individuals effectively start and operate their own businesses.
SAICA Enterprise Development (Pty) Ltd houses all of SAICA’s Enterprise and Supplier Development (ESD) profit-generating programmes and activities. SAICA Enterprise Development offers flagship and customised ESD programmes (previously housed under The Hope Factory) and Accounting Support Initiatives. The major purpose of this entity is to grow South Africa’s entrepreneurial ecosystem through advancing the sustainable growth of small black businesses, which in turn, will create employment opportunities.
Through partnership with SAICA’s SMPs, SAICA Enterprise Development aims to achieve financial excellence in both SMMEs and incubators nationwide. In doing so, these SMPs have the opportunity to attract new staff through growth and create a pipeline of new clients. SAICA Enterprise Development also aims to influence corporate and government policies to support and facilitate the creation of impactful ESD programmes aligned with the B-BBEE Codes and the Chartered Accountancy Profession Sector Codes (CA Charter).
LEGAL STATUS
The Hope Factory is a Socio Economic Development entity that is a registered Non-Profit Company and Public Benefit organisation in terms of Section 18(A) of the Income Tax Act. A Board of Directors is responsible for the overall running and governance of The Hope Factory.
In 2018, The Hope Factory established a subsidiary (Pty) Ltd company called SAICA Enterprise Development to house all the Enterprise and Supplier Development profit-generating activities. The same Board of Directors as The Hope Factory is responsible for the overall running and governance of SAICA Enterprise Development. SAICA Enterprise Development is 100% owned by The Hope Factory.
OUR VALUE PROPOSITION
The Hope Factory’s core focus is to see people grow and positively and financially impact communities through SED initiatives:
• well defined & Impactful Socio-Economic Development Programmes;
• solving for unemployment through mentoring start-up businesses; and
• customisable SED interventions for transformation.
SAICA Enterprise Development aims to partner with corporate SA, the public sector and the SMME development sector to authentically make change happen and advance the economic transformation agenda, making South Africa better for everyone. We provide credible and impactful B-BBEE Enterprise and Supplier Development solutions that fit with Corporate and Public Sector transformation objectives:
• customisable end-to-end ESD interventions that make business sense;
• affordable Accounting Services for the SMME sector;
• proven B-BBEE compliance and impact;
• peace of mind in B-BBEE ESD implementation; and
• enabling clients to seamlessly broaden their supplier base by integrating vetted Black SMMEs.
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
SAICA NATION BUILDING REPORT 2017 63
Two of The Hope Factory’s top award winners Jubi Nkumane and Tsholanang Montsho with Annie McWalter, CEO of
The Hope Factory
SAICA NATION BUILDING REPORT 2017 6564 SAICA NATION BUILDING REPORT 2017
SAICA ENTERPRISE DEVELOPMENT IMPACT ON SAICA VALUE CHAIN (SINCE INCEPTION)
SAICA SMPsBENEFICIARIES
SED interventions: over 1 400 beneficiaries
SMME SUPPORT PROGRAMMESAccounting Support Programme: Over 250 SMMEsJHB and PE ED Programme: Over 650 SMMEsCustomised ESD projects: 23 projectsSMMEs Funds and Incubators Supported: 11 Funds & Incuba-torsJobs Created by Supported SMMEs: Over 430 jobs (2014-2017)
UNEMPLOYED GRADUATE PROGRAMME (LAUNCHED IN 2013)
Work-Readiness Training: 338 unemployed graduatesGraduate Employment Placement Rate: over 90%
SAICA Back-Office Support Learnership: 40 graduates
(23 actively serving their learnership as of end 2017 – the rest progressed to full-time employment post training)
BENEFIT FOR SMPNew Client Base
Potential quality staff attraction
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
INCREASE IN ANNUAL TURNOVER
NEW JOBS CREATED &
QUALITY JOBS SUSTAINED (FULL-TIME
EMPLOYMENT)
INCREASE IN NET PROFIT
QUALITY REVIEW & SIGN OFF
GRADUATE LEARNERSHIP
SUPPORT
CONTRIBUTION TO FINANCIAL
EXCELLENCE IN SMMES AND INCUBATORS
FINANCIAL COACHES
FULL-TIME EMPLOYMENT
POST TRAINING
OTHER EMPLOYMENT
OPPORTUNITIES
SMMEs
SAICA BACK-OFFICE ACCOUNTING
SUPPORT LEARNERSHIP
UNEMPLOYED GRADUATES
66 SAICA NATION BUILDING REPORT 2017 SAICA NATION BUILDING REPORT 2017 67
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORYSAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
SAICA ENTERPRISE DEVELOPMENT AND THE HOPE FACTORY IMPACT
57.7% IN FINANCIAL MANAGEMENT SYSTEMS AND PROCESSES
53.1% IN SALES STRATEGY AND SALES TARGETS
53.3% IN MARKETING STRATEGY AND BRAND IDENTITY
51.9% IN INNOVATION AND TECHNOLOGY (TO IMPROVE SERVICES AND PRODUCTS)
47.0% IN LEVEL AND FREQUENCY OF SKILLS DEVELOPMENT
OVER THE PAST 3 YEARS, THE HOPE FACTORY’S IMPACT ON SMMES HAS BEEN TREMENDOUS!
FROM A SKILLS ADVANCEMENT PERSPECTIVE, THESE SMMES REPORTED AN IMPROVEMENT OF:
OUR 124 BENEFICIARIES HAVE EXPERIENCED A:
THEIR BUSINESSOBJECTIVES
EFFECTIVENESS
IN ADDITION,
OF SMMES THAT RECEIVED
SAY IT HAS IMPROVED THEIR
MENTORSHIP&COACHING
& ABILITY TO ACHIEVE
89%INCREASE IN25%
NET PROFITINCREASE IN
%29.6NET ASSET VALUE
INCREASE IN
R23.3MILLION
ANNUAL TURNOVER
20.129.4
375 1 391
%
%
WITH AN AVERAGE INCREASE OF ANNUAL PRODUCTION VOLUME OF
INCREASE IN YEARLY SALES TARGETS,
THESE SMMEs HAVE CREATED
AND A
& ACQUIREDNEWJOBS
NEW MAJOR CLIENTS
SAICA NATION BUILDING REPORT 2017 6968 SAICA NATION BUILDING REPORT 2017
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORYSAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
THE HOPE FACTORY AND SAICA ENTERPRISE DEVELOPMENT ECO-SYSTEM
BACK-OFFICE ACCOUNTING SUPPORT ECO-SYSTEM
THE HOPE FACTORY AND SAICA ENTERPRISE DEVELOPMENT ECO-SYSTEM
TRUE COLLABORATION – SMME SUPPORTThe strength of all the SMME Support programmes that The Hope Factory and SAICA Enterprise Development runs is achieved through the support of powerful partnerships. The initiatives are linked to the beneficiaries through a network of relationships developed over many years. Through the power of collective collaboration, the complex structure is indicative of a strong network supporting The Hope Factory and SAICA Enterprise Development value-creating initiatives.
SAICA NATION BUILDING REPORT 2017 69
LEPHAROACOUNTING
SUPPORT
SEFA
MASISIZANE
SAGE
DO
NO
RSPR
OG
RAM
MES
VALUE ADD
J.P. MORGANGRADUATE
PROGRAMMEMASISIZANE
FUND FLAGSHIP
PROGRAMME
SEFA CLIENT SUPPORT
OTHER PLACEMENT
OPPORTUNITIES
J.P. MORGAN
SMP
CLIENTREFERALS
SAICA
CQS
GUARANTEE TRUST
SMMEs
BUSINESS MENTORSHIP PROGRAMME
ACCOUNTING SERVICES
(GRADUATES)SD SUPPLIER PROGRAMME
ADVISORYBOARD
WORKSHOPINDUSTRY EXPERTS
CUSTOMISEDESD
PROGRAMME
FUNDERS/ CLIENTS
STRATEGIC PARTNERS
PART
NER
S &
FU
ND
ERS/
CLIE
NTS
PRO
GRA
MM
ES
SAICA
SAICA MEMBERS/
SMPS
BUSINESS MENTORS
WORKSHOP FACILITATORS
ADVISORY BOARD MEMBERS
INDUSTRY EXPERTSCORPORATESPUBLIC SECTOR
SEDPROGRAMME
EDPROGRAMME
VERIFICATION AGENCYB-BBEE
CONSULTANTS
SMMEs
GRADUATES
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
KEY ACCOUNTING SUPPORT INITIATIVES
TOTAL ENTERPRISE DEVELOPMENT INTERACTIONS DURING 2017
Providing back-office accounting support services to Gauteng SMMEs through unemployed graduate learnership
Developing black SMMEs from various sectors through three impactful entrepreneurial development programmes where business mentorship and financial coaching forms the core. The three main areas of development are:
• Business Skills Mastery• Financial Excellence • Leadership
Providing back-office accounting support to clients of the Small Enterprise Finance Agency (sefa)
SMP partnership programme piloted with Khumalo and Mabuya Chartered Accountants
Providing back-office accounting support to small-scale farmers in rural KwaZulu-Natal and the Eastern Cape
Providing back-office accounting support to SMMEs participating in the SEDA Ekurhuleni Base Metals Incubation (Lepharo) Programme
422 60SMMES GRADUATES
J.P. MORGAN ACCOUNTING SUPPORT FLAGSHIP PROGRAMME
SAICA ENTERPRISE DEVELOPMENT FLAGSHIP PROGRAMME
SEFA CLIENT ACCOUNTING SUPPORT PROGRAMME
OLD MUTUAL'S MASISIZANE FUND ACCOUNTING SUPPORT PROGRAMME
LEPHARO INCUBATOR ACCOUNTING SUPPORT PROGRAMME
Funded by the J.P. Morgan Foundation In partnership with Old Mutual
50
11
8
32
8
2
60100
13 7
110
UNEMPLOYED GRADUATES TRAINED
SMMEs SUPPORTED SMMEs SUPPORTED
JOBS CREATED
SMMEs SUPPORTED
GRADUATES RETAINED FOR SAICA BACK-OFFICE ACCOUNTING SUPPORT LEARNERSHIP AGRICULTURAL COOPERATIVES
INDIVIDUAL FARMERS
GRADUATES RETAINED FOR SAICA BACK-OFFICE ACCOUNTING SUPPORT LEARNERSHIP
SMMEs
GRADUATES RETAINED FOR SAICA BACK-OFFICE ACCOUNTING SUPPORT LEARNERSHIP
KEY SMME SUPPORT INITIATIVES
70 SAICA NATION BUILDING REPORT 2017
Developing SMMEs that form part of Corporate supply chains
SAICA ENTERPRISE DEVELOPMENT CUSTOMISED ESD PROGRAMME
23 PROJECTS
Mentorship programme aimed at empowering and enabling entrepreneurs with disabilities
TRANSNET PIPELINES CUSTOMISED PROGRAMME
Funded by Transnet
20 SMMEs (GAUTENG & KZN)
Personal Development in Business Programme targeting historically disadvantaged people with informal businesses, start-up businesses, and those with potentially viable business ideas
THE HOPE FACTORY (PE) SOCIO-ECONOMIC DEVELOPMENT PROGRAMME
Funded/in partnership with clients throughout SA
40 BENEFICIARIESOVER
SAICA NATION BUILDING REPORT 2017 71
SAICA NATION BUILDING REPORT 2017 7372 SAICA NATION BUILDING REPORT 2017
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORYSAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
Educating entrepreneurs on defining and understanding their business financial position, accessing funding, looking at available opportunities, preparing for investment readiness and typical issues around funding application processes
Providing SMME business owners with a panel of advisers to deliver strategic advice and introduce new skills to the business. Aimed at continuously improving the way SMMEs run their businesses
ADVISORY BOARD
#COMMONCENTS FUNDING FAIR
In partnership with Mercantile Bank, Rubele, IDC, NYDA, Linken Group & Allan Gray
HIGHLIGHTS
EMPOWERING AND ENABLING ENTREPRENEURS WITH DISABILITIES
SAICA AND J.P. MORGAN PARTNER TO HELP 100 SMES REACH NEW HEIGHTS
THE SUCCESS OF THE J.P. MORGAN PROJECT TO DATE
IN THE FIRST SEVEN MONTHS OF THE PROJECT, THE 100 SMMES:
& 2 COMPANIES ARE IN THE PROCESS OF SECURING TENDERS – VALUED AT OVER
R2.5 MILLION
Through a customised project sponsored by Transnet Pipelines, 20 entrepreneurs from KZN and Gauteng became part of a specialised Enterprise and Supplier Development mentorship programme aimed at empowering and enabling entrepreneurs with disability.
The programme helps them to develop the personal and business skills needed to take their businesses to new heights.
It covers development in the three main areas of personal leadership, business skills and financial excellence, while mentorship remained at the core.
Some of the business successes included the following:
• Business 1 – substantial increase in sales per annum over the past year. Three major clients acquired, and employee numbers increased from two to 12 (job creation).
• Business 2 – excellent increase in sales and one major client required. Number of employees increased from one to three.
• Business 3 – substantial increase in sales and a multi-million-rand tender awarded.
• Business 4 – substantial increase in sales, increase in employees from one to four.
• Business 5 – awarded a large tender for supply of bread, along with a three-year contract that is expected to create 20 jobs.
Through SAICA’s J.P. Morgan Accounting Support Flagship Programme, 100 Gauteng SMEs are currently receiving partially subsidised back office accounting support and financial training for a period of 18 months. This after they beat over 500 SMME candidates in a gruelling ‘Dragon’s Den’ type selection process, and were chosen to be given assistance to help them become sustainable businesses
In addition, 50 unemployed, accounting graduates from disadvantaged backgrounds received six months’ work-readiness training to develop the soft skills, professionalism and technical know-how needed in an office environment. On completion of this training, all graduates were placed into formal learnerships and employment. Of these graduates, 13 joined the SAICA Back-Office Support Learnership for the duration of the project to service the accounting needs of the selected SMMEs.
134
60
2 GRANTS
AQUIRED FUNDING FORCOMPANIES ON THE PROGRAMME
FOR COMPANIES ON THE PROGRAMME
CREATED
SECURED
RECEIVEDNEWCONTRACTS
NEWJOBS
Graduates of the Transnet Pipelines Customised Programme
The 100 SMMEs on the J.P. Morgan project learn more about their roles and responsibilities at their induction session
SMMEs
OVER SMMEs42
31
SAICA NATION BUILDING REPORT 2017 7574 SAICA NATION BUILDING REPORT 2017
SECTION HEADING
SUCCESS STORIES
CHIEF EXECUTIVE OFFICER, MASISIZANE FUND
NYANGA ZIZIPHO
'The SAICA/Old Mutual Masisizane Fund partnership is very important to us as its fits squarely with our mandate of making a difference in people’s lives.'
Two main objectives achieved by this programme:
1. it creates jobs for the accounting graduates that would otherwise be at home doing nothing after their parents would have spent significant amounts of money on tertiary education; and
2. it helps the SMMEs we fund in the rural and peri-urban areas, that would otherwise not afford to pay for an adequate financial management and reporting capability. This increases the chances of these SMMEs becoming sustainable as they have a competent resource that can help analyse the financial decisions affecting the business.
'Giving unemployed graduates an opportunity to shine.’
Already this programme has transformed us. As trainee accountants our journey began at a learnership at Guarantee Trust. We were given training at Guarantee Trust that has made us work ready. Today we use that training to give the project’s SMMEs services that add value to their businesses. We as graduates are excited to be practicing what we’ve learnt.
GRADUATE OF THE HOPE FACTORY AND FOUNDER OF JUBZIN SECURITY
NKUMANE JUBI
‘The timing was perfect and the soil was fertile. I needed to learn more and desperately needed mentorship, and was impressed that The Hope Factory is ‘powered by SAICA’.’
The entrepreneurial bug bit when an opportunity arose for Jubi Nkumane to provide security for the complex in which he owned a unit. He grabbed it with both hands, and Jubzin Security was born. Within a year, the business started to grow and soon they landed another residential complex as a client.
Targeting big corporates was the next step for Jubzin Security. That’s when Jubi joined the the The Hope Factory’s business mentorship programme in early 2015.
He says learning to work with big corporates has been an interesting journey. Not only did he have to compete with well-known big security brands, but he also had to convince corporates that his SMME could scale up and deliver excellent quality service. In 2017, his team was awarded a three-year contract for SAICA’s head office security services, which is testament to Jubzin Security's solid track record, excellent work and ability to secure big contracts.
SAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORYSAICA ENTERPRISE DEVELOPMENT & THE HOPE FACTORY
GRADUATE OF THE HOPE FACTORY AND DIRECTOR OF CHUMILE HOLDINGS
ACCOUNTING GRADUATE - SAICA BACK-OFFICE ACCOUNTING SUPPORT LEARNERSHIP
LUPUWANA
MAKUNYANE
VIOLET
MOTLALEPULA
‘Sales have doubled and we’ve gown our national footprint.’
Thanks to The Hope Factory’s business mentorship programme, Chumile Holdings – a 100% black female-owned training and transportation business – increased its annual turnover by 61% and is now a VAT-registered, +R1-million operation.
Violet Lupuwana, the director of Chumile Holdings, joined the programme in 2014 and says that mentoring has helped her business to grow. ‘You have an advisor who is genuinely looking out for your best interests. My mentor has challenged my thinking; to move from a small business mind-set to think big.’
Since joining the programme, Chumile Holding’s sales have doubled and the company has grown its national footprint. Violet explains: ‘We have taken on more clients and grown our sales significantly in Gauteng and we continuously tap into new markets, nationally and beyond the SA borders.’ Chumile Holding’s biggest success in 2017 was signing its first long-term contract with a multinational company. Chumile Holdings was also profiled on the CNN African Start-Up Programme and was selected to train Agri-preneurs from 12 SADC countries on business skills.
74 SAICA NATION BUILDING REPORT 2017
76 SAICA NATION BUILDING REPORT 2017
0907SAICA 2017 ANNUAL INTEGRATED REPORT 77
COMMUNITY PROJECTSTOTAL COMMUNITY OUTREACH INTERACTIONS DURING 2017 78
KEY COMMUNITY OUTREACH INITIATIVES 78
Nation Building staff bake bread at the Home of Hope for Girls
76 SAICA NATION BUILDING REPORT 2017
SAICA NATION BUILDING REPORT 2017 7978 SAICA NATION BUILDING REPORT 2017
COMMUNITY PROJECTS COMMUNITY PROJECTS
TOTAL COMMUNITY OUTREACH INTERACTIONS DURING 2017
2 470VULNERABLECHILDREN ASSISTED
KEY COMMUNITY OUTREACH INITIATIVES
ISIBINDI ORPHANAGE SUPPORT INITIATIVE
HOME OF HOPE FOR GIRLS MANDELA & WOMEN’S DAY VISIT
OTHANDWENI CHILDREN’S HOME CHRISTMAS VISIT
UWC’S THUTHUKA STUDENTS PAMPER CHILDREN WITH GIFTS
WECARE
In partnership with the Department of Social Development and the National Association of Child Care Workers (NACCW)
The Department of Social Development’s Isibindi model provides much-needed support to address the many social challenges among vulnerable children brought on by the effects of the HIV/AIDS pandemic and other socio-economic challenges. This includes assisting them to get ready for school in the morning, meal preparations, assistance with homework, registration for social grants and psychosocial support, to name a few.
In conjunction with the NACCW, SAICA provided copies of past examination papers as well as study guides to help Isibindi’s matric candidates prepare for their final examinations. Thanks to this, and other interventions, the Isibindi matric class of 2017 achieved a pass rate of 70%.
The Home of Hope for Girls, Kensington, Johannesburg, exists to provide real care for exploited, trafficked and abused girls in the city of Johannesburg. More than just a residential shelter; it is a loving home where dignity is restored and past emotional wounds are healed by giving these girls the tools to take control of their futures.
As part of SAICA’s Mandela Day initiative and Women’s Day celebration, the Nation Building Department visited the the 75 girls residing at the Home of Hope for Girls. From baking bread and making lunch, to cleaning the house and planting a vegetable garden, the team had a great time interacting with the girls. www.hopehome.org.za
Othandweni Children’s Home in Orlando, Soweto, exists to take care of children by offering both curative and preventive services to deal with problems of abandonment, neglect and abuse. Presently, the home looks after 60 children from three months to 20 years old.
As its year end initiative, SAICA’s Nation Building Department visited the home and shared the Christmas spirit with the children. Armed with sweets, cooldrinks and lunch, the team handed out gifts, chatted to the children and learnt more about the work done by the Orlando community. www.och.org.za
Children from Unako Children's home in the Barcelona informal settlement, Gugulethu, Cape Town, received an early Christmas present thanks to the University of the Western Cape’s (UWC) Pilot Thuthuka programme.
The 70 UWC students and academics brought joy to over 30 children at the home when they delivered gifts of toys, stationery and other goodies. The home accommodates abandoned children and orphans, and this is the third year in a row that UWC’s students have participated in this wonderful initiative. www.unakho.com
2 235
278
46
75
60
70
30MATRIC CANDIDATES (70% MATRIC PASS RATE)
ISIBINDI PROJECTS
DISTRICTS
CHILDREN
CHILDREN
CHILDREN
CHILDRENMORE
Supported by members of the profession with special thanks to PwC, KPMG, BDO South Africa & Nkonki.
Spearheaded by South Africa’s female chartered accountants, SAICA launched the weCAre project in 2007 to make a significant difference in the lives of South African children.
Today, weCAre supports Noah’s Ark Yeoville, Johannesburg, an after-care centre for orphaned and vulnerable children impacted by HIV/AIDS.
The weCAre project provides financial support as well as donates food, toiletries, clothes and stationery. It also sponsors birthday gifts and parties through the Birthday Buddies initiative.
SAICA NATION BUILDING REPORT 2017 7978 SAICA NATION BUILDING REPORT 2017
SAICA NATION BUILDING REPORT 2017 8180 SAICA NATION BUILDING REPORT 2017
SECTION HEADING
0108SAICA NATION BUILDING IN THE MEDIA 82
Behind the scenes moment of CA(SA) and Stormers’ Rugby Captain Chris van Zyl as he is interviewed about his involvement with SAICA’s Nation Building projects
80 SAICA NATION BUILDING REPORT 2017
SAICA NATION BUILDING REPORT 2017 83
SECTION HEADING
82 SAICA NATION BUILDING REPORT 2017
SAICA NATION BUILDINGIN THE MEDIA
AREANUMBER OF PIECES COVERED IN THE MEDIA
VALUE OF MEDIA COVERAGE (AVE)
Thought Leadership 65 R7 807 556.67
SAICA Enterprise Development& The Hope Factory
299 R4 717 979.45
ISFAP 329 R13 696 891
Thuthuka 386 R21 803 904.21
Professional Development 73 R1 435 715.58
AT(SA) 17 R1 002 060.93
Other 3 R89 110.27
TOTAL (2017) 1 172 R36 856 327.22
Comparison with 2016 724 R20 871 441.96
SAICA NATION BUILDING IN THE MEDIA
COVERAGE SPLIT
MEDIACOVERAGE REACH
YOU CAN VIEW THE HIGHLIGHTS OF THESE EVENTS HERE:
RADIOTVONLINE
NATIONAL
REGIONAL
KEYS
KEYS
40%
46%
9%5%
46%54%
SAICA NATION BUILDING IN THE MEDIA
With media coverage spanning across both regional and national media channels (online, print, radio and television), the publicity SAICA Nation Building received was R16 million more (an increase of 33%) in 2017 than in the previous year. In increasing brand awareness through the media, we were able to promote the importance of the work we do and to drive new partnerships and donor opportunities.
In 2017, SAICA launched the Courageous Conversations dialogue series, in partnership with the Wiseman Nkuhlu Trust and the Nelson Mandela Foundation. This series exists to facilitate conversations of national importance in order to promote decisive, accountable and intellectually-based leadership on issues among young South African leaders. For the inaugural event, guest speakers Professor Nkuhlu, Moeletsi Mbeki, Annabel Bishop and Sizwe Nxasana discussed SA’s downgrade to junk status
OVER THE PAST YEAR, THE SUCCESS OF SAICA NATION BUILDING’S PROJECTS AND THEIR IMPACT ON ITS BENEFICIARIES WAS
SHOWCASED IN THE MEDIA OVER1 172 TIMES
R36.8 MILLION.WITH COVERAGE TO THE VALUE OF OVER
MEDIA COVERAGE BREAKDOWN
WHERE DID YOU SEE US
OUR COVERAGE
SPLIT
PROMOTING A CULTURE OF RESPONSIBLE LEADERS
and how the country’s leaders, led by the CA profession, can aid in the recovery of the economy. The second event focussed on the economy and what South Africa needs to do to get to double digit growth. This debate was conducted by the Governor of the South African Reserve Bank, Lesetja Kganyago; economist, Mike Schussler; independent socio-economic and political analyst, Aubrey Matshiqi and internationally lauded business woman and thought leader, Rapelang Rabana.
0909SAICA 2017 ANNUAL INTEGRATED REPORT 85
Sandile Phillip, President of SAICA Southern Region, attends the Western Cape SGB launch
84 SAICA NATION BUILDING REPORT 2017
GOVERNANCE AND RISK MANAGEMENTSAICA GOVERNANCE STRUCTURE 86
ENTITY BOARDS 87
GOVERNANCE AND RISK MANAGEMENT 88
SAICA NATION BUILDING REPORT 2017 87
GOVERNANCE AND RISK MANAGEMENT
GOVERNANCE ANDRISK MANAGEMENT
SAICA GOVERNANCE STRUCTURE SAICA NATION
BUILDING
SAICA is constituted and operates in terms of its constitution, the main objective of which is to promote the interests of the members of the institute and support the development of the South African economy and society. In meeting this objective, our long-term
value creation is aligned to act in the public interest and the development of responsible leadership.
SAICA operates as a voluntary association not-for-gain and is registered in terms of the Non-Profit Organisations Act 71 of 1997.
- Audit and Risk - Nominations - Finance - Digital Transformation
Governance - Human Resources - Governance - Remuneration
PROVIDE ASSISTANCE TO THE BOARD IN CONDUCTING ITS DUTIES:
PROVIDES ADVICE ON STRATEGY ANDSTAKEHOLDER ENGAGEMENT TO THE BOARD
- IPD Committee - AT(SA)
- The Hope Factory - SAICA Enterprise
Development
- ARC - ITC EXAMCO - APC EXAMCO - AGA - TRECO
- ISFAP - Ntivo Endowment
Fund - TEUF - TBF - The Wiseman
Nkuhlu Trust
GOVERNANCE AND RISK MANAGEMENT
ENTITY BOARDSMany of SAICA’s Nation Building entities are governed by their own boards of directors or trustees. The governance structures of these entities are as follows:
PROJECT GOVERNED BY MANDATE
ACCOUNTING TECHNICIAN SOUTH AFRICA (AT[SA])
SAICA Board (chaired by L Bam) & Professional Development SAICA sub committees
To develop, empower and deliver better skilled and qualified accounting technicians into the economy
IKUSASA STUDENT FINANCIAL AID PROGRAMME (ISFAP)
TEUF board (chaired by A Sita) and the Ministerial Task Team on Fees (chaired by S Nxasana)
To fast track South Africa’s skills production for the 21st
century by funding the higher education costs of students studying towards a career in scarce skills (also known as occupations of high demand) that have been identified as critical to South Africa’s economic development
NTIVO ENDOWMENT FUND
Ntivo Endowment Fund Trustees (chaired by S Nxasana) B-BBEE share deals
PROFESSIONAL DEVELOPMENT
SAICA Board (chaired by L Bam) & Professional Development SAICA sub committees
To develop, empower and deliver better skilled and qualified CAs(SA) into the economy
SAICA ENTERPRISE DEVELOPMENT
The Hope Factory Board(chaired by EJ Carelse)
To develop and grow black South African entrepreneurs and their businesses
THUTHUKA EDUCATION UPLIFTMENT FUND (TEUF) & THUTHUKA BURSARY FUND(TBF)
TEUF Board(chaired by A Sita)
To ensure that there is a consistent flow of adequately and suitably qualified professionals into the economy that are representative of the country’s demographics
THE HOPE FACTORYThe Hope Factory Board (chaired by EJ Carelse)
To mobilise economic activity for black SA citizens to start their own businesses
THE WISEMAN NKUHLU TRUST
The Wiseman Nkuhlu Trust Board (chaired by W Nkuhlu)
To increase the number of black professionals in the academic space
SAICA SUB COMMITTEES
ADVISORY COUNCIL
SAICA BOARD SAICA CEO
TRANSFORMATION
86 SAICA NATION BUILDING REPORT 2017
NATION BUILDING
EXECUTIVE DIRECTOR
PROFESSIONALDEVELOPMENT
ENTERPRISE DEVELOPMENT
SECTION HEADING
88 SAICA NATION BUILDING REPORT 2017
RISK MANAGEMENT SAICA and the relevant entity boards are responsible for determining risk tolerance levels. Management is responsible for the implementation of the risk management process, which involves the identification, evaluation, prioritisation, mitigation and monitoring of risks throughout the relevant entities.
In order for the risk management process to be effective and practical, risks are linked to performance management processes. This results in risks being integrated and accounted for – at strategic, as well as at operational levels. Significant risks are reported to, and relevant action approved by the Audit and Risk Committee of SAICA and by the relevant boards.
The diagram adjacent describes the SAICA Group’s combined assurance model that informs the Board and Audit and Risk Committee‘s assessment of internal controls.
GOVERNANCE AND RISK MANAGEMENT In the year under review, the independent SAICA Nation Building Boards (namely TEUF, the Hope Factory and the Wiseman Nkuhlu Trust Boards) ensured that they provided effective leadership through the adoption and application of good corporate governance practices to ensure the sustainability of the projects run by each entity.
Every member of these boards participates on a voluntary basis as part of their commitment to transformation, employment and growth.
These boards have a management agreement with SAICA for the use of the SAICA staff and infrastructure. The agreement governs how governance and reporting take place.
THE RESPONSIBILITIES OF THESE BOARDS INCLUDE THE FOLLOWING:
• to approve major funding proposals related to the entity’s work;
• to establish and maintain organisational structures that will ensure the carrying out of the boards’ duties;
• to review internal control structures, including financial controls, accounting systems and reporting;
• to monitor entity compliance with legal requirements;
• to monitor the outputs of projects in terms of stated objectives, as well as the strategic plan;
• to liaise with external stakeholders and donors, should the need present itself; and
• to review the quarterly budgets compared to actual figures, and obtain reasons for variances as it relates to donor funded projects.
GOVERNANCE AND RISK MANAGEMENT
PROC
ESSE
S SYSTEMS
PEOPLE
2ND LINE OF DEFENCE:MANAGEMENT ASSURANCE FRAMEWORKS
1ST LINE OF DEFENCE:
3RD LINE OF DEFENCE:EXTERNAL ASSURANCE
COMBINED ASSURANCE
*ENTERPRISE RISK MANAGEMENT
*ERM CONTROL SELF - ASSESSMENTS
EXTERNALAUDIT
EXTERNAL SPECIALIST
INTERNALAUDIT
LEGAL & GOVERNANCE
MANAGEMENT
GOVERNANCE AND RISK MANAGEMENT
SAICA NATION BUILDING REPORT 2017 89
SAICA NATION BUILDING REPORT 2017 9190 SAICA NATION BUILDING REPORT 2017
1010 POWERFUL PARTNERSHIPSTHANK YOU 92
B-BBEE CODES AND THE CA CHARTER 96
SAICA CEO Dr Terence Nombembe & ICPAK CEO CPA Edwin Makori sign a memorandum of recognition between Kenya and SA
90 SAICA NATION BUILDING REPORT 2017
SAICA NATION BUILDING REPORT 2017 93
POWERFUL PARTNERSHIPS
4TH DIMENSION TRAINING CONSULTANTS
DATATEC LTD
ABASA
ABSA
AFRIKA TIKKUN
ALLAN GRAY
ATCOR
AUDITOR-GENERAL SOUTH AFRICA (AGSA)
AVLOCK INTERNATIONAL
AVON AND DEDISA PEAKING POWER
BANKSETA
BATSUMI AIRPORT VENTURES (PTY) LTD
BDO SOUTH AFRICA INC
BHASOBHA GENERAL TRADING
BL2000CC
BMF
BRYANT BELL TRAINING
BUSINESS LEADERSHIP SOUTH AFRICA
BYTES PEOPLE SOLUTIONS
CAPITEC
CATALYST FOR GROWTH
CENTRAL UNIVERSITY OF TECHNOLOGY
CHARTALL BUSINESS COLLEGE
CHINA CONSTRUCTION BANK
CHORUS CALL
COASTAL TVET COLLEGE
COASTLAND SALES
CORONATION FUND MANAGERS
CORPORATE TRAVELLER – A DIVISION OF FLIGHT CENTRE TRAVEL GROUP (PTY) LTD
COSCO SHIPPING LINES SOUTH AFRICA (PTY) LTD
CQS
CREDIT BLENDE TRAINING PTY LTD
CROSSTATE AUCTIONEERS CC
CUNNINGHAM LINDSEY SOUTH AFRICA (PTY) LTD
ALTIMAX (PTY) LTD
ANGLOGOLD ASHANTI
ASISA
AFRICA X-RAY INDUSTRIAL AND MEDICAL (PTY) LTD
DELOITTE
DEPARTMENT OF BASIC EDUCATION
DEPARTMENT OF SOCIAL
DEVELOPMENT SA
DISCOVERY HEALTH (PTY) LTD
DSV
EASTERN CAPE DEPARTMENT OF EDUCATION
EBERSPACHER SOUTH AFRICA (PTY) LTD
EBMPAPST SOUTH AFRICA (PTY) LTD
EICKHOFF
AFRICAN RESOURCES & FINANCIAL TRAINING (PTY) LTD
ASTRAPAK FINANCE COMPANY – A DIVISION OF ASTRAPAK MANUFACTURING
HOLDINGS (PTY) LTD
SAICA Nation Building thanks its partners for your confidence in us, and for your continued support. Your investment and partnerships enabled us to achieve what we did during the past year and helped us to empower thousands of learners, students, graduates, SMMEs and other beneficiaries to realise their potential.
* As based on top funder / parent records for SAICA Nation Building projects (funders and partners are listed alphabetically)
THANK YOU TO THE FOLLOWING ORGANISATIONS* FOR PARTNERING WITH US ON OUR JOURNEY:
POWERFULPARTNERSHIPS
92 SAICA NATION BUILDING REPORT 2017
ENTREPRENEUR ADVISORY BOARD
ENTREPRENEUR MENTORS
ENTSIKA CONSULTING SERVICES (PTY) LTD
ENVIROSERV WASTE MANAGEMENT (PTY) LTD
EY
ESAYIDI TVET COLLEGE
ETHEKWINI MUNICIPALITY
EXPORT CREDIT INSURANCE CORPORATION OF SA
FALSE BAY TVET COLLEGE
FASSET
FCM TRAVEL SOLUTIONS (PTY)LTD
FINANCIAL SERVICES BOARD
FINTAC
FINVISION
FIRST NATIONAL BANK
FLAVIUS MAREKA TVET COLLEGE
FREE STATE DEPARTMENT OF EDUCATION
FREITAN LOGISTICS (PTY) LTD
FULTON TRUST
GAUTENG DEPARTMENT OF EDUCATION
GERT SIBANDE TVET COLLEGE
GLOBETOM TRADING (PTY) LTD
GOOD YEAR SA
GRANT THORNTON
GREENHOUSE FOUNDATION
HIQ WATERMEYER
HOLLARD
HOLLYWOOD SPORTSBOOK EASTERN CAPE
HONEY ATTORNEY
HR SYNTHESIS
HUDACO
IKAMVELIHLE DEVELOPMENT TRUST (IKDT)
IMPERIAL GROUP LIMITED
INDEPENDENT REGULATORY BOARD FOR AUDITORS (IRBA)
OVER R2 MILLION
DONATED TO THUTHUKA THANKS
TO INDIVIDUAL CONTRIBUTIONS
While most of Nation Building’s projects are achieved through the contributions and sponsorships of corporations and organisations,
members of the profession and the public have the opportunity to get involved in Thuthuka through donations and pledges.
In addition to the annual contracted donour funding, Thuthuka raised R2 427 636.20 in ad hoc funding in 2017 thanks to the efforts of the TBF alumni, non-contracted donors and individual pledges.
Thuthuka would like to thank all who donated for continuing to support the tertiary studies of African and Coloured students.
POWERFUL PARTNERSHIPS
SAICA NATION BUILDING REPORT 2017 9594 SAICA NATION BUILDING REPORT 2017
INDUSTRIAL DEVELOPMENT CORPORATION (IDC)
K LINE SHIPPING (SOUTH AFRICA) (PTY)LTD
NORTH WEST DEPARTMENT OF EDUCATION
NORTHERN CAPE DEPARTMENT OF EDUCATION
NORTHERN CAPE URBAN TVET COLLEGE
INSETA
NEXIA SAB&T
INTEC COLLEGE (PTY) LTD
NGUBANE AND CO
NUCLEUS RETAIL SUPPLY CHAIN
NYDA
OLD MUTUAL
INTERTEK COMMODOTIES
INVESTEC
J.P. MORGAN
JSE EMPOWERMENT TRUST
KAGISO TISO HOLDINGS
KAYTECH
KEY GROUP
KHANYISELA COLLEGE
KPIS
KZN OFFICE OF THE PREMIER
LETABA FET COLLEGE
LEXIS NEXIS
LGSETA
LIBERTY
MAZOR STEEL (PTY) LTD
MERCANTILE BANK
MILPARK EDUCATION PTY LTD
MKHIWA TRUST
MMI GROUP LTD
MONDI GROUP
MOORE STEPHENS
MOTHEO TVET COLLEGE
MTN
MURRAY & ROBERTS
NATIONAL RESEARCH FOUNDATION (NRF)
NATIONAL SKILLS FUNDFOUNDATION (NSF)
NATIONAL TREASURY
NEDBANK
NEDBANK CHARITY GOLF DAY
LIGNOTECH (UMKOMAAS)
LIMPOPO TREASURY
LIMSTRICS CC
LOVEDALE TVET COLLEGE
MAHDI MEYER STEYN INC
MAINSTREAM REFRIGERATION CC
MAJUBA TVET COLLEGE
MARCUS MEDICAL (PTY) LTD
MASISIZANE FOUNDATION
MAZARS
KZN TREASURY
KPMG
KWA-ZULU NATAL DEPARTMENT OF EDUCATION
MAZOR ALUMINIUM(PTY) LTD
MC SYNCRO SOUTH AFRICA (PTY) LTD
MEUMANN WHITE ATTORNEYS
MICHAEL & SUSAN DELL FOUNDATION
MODULAR MINING SYSTEMS AFRICA (PTY) LTD
MPUMALANGA DEPARTMENT OF EDUCATION
MULTICHOICE SUPPORT SERVICES
NATIONAL ASSOCIATION OF CHILD CARE WORKERS
NATIONAL ASSOCIATION OF SCHOOL GOVERNING BODIES
NATIONAL EDUCATION COLLABORATION TRUST (NECT)
KZN ECONOMIC DEVELOPMENT AND TOURISM
LEREKO METIER CAPITAL GROWTH FUND MANAGERS (PTY) LTD
LIMPOPO DEPARTMENT OF EDUCATION
LINK MARKERT SERVICE SOUTH AFRICA (PTY) LTD
LM INFORMATION DELIVERY SOUTH AFRICA (PTY) LTD
MADIBA BAY ACCOUNTANCY TRAINING
MANGOSUTHU UNIVERSITY OF TECHNOLOGY
ORBIT TVET COLLEGE
ORT SA
PKF RADEMEYER WESSON
PLANET FITNESS
PREMIER LODGE (PTY) LTD
PRESCIENT SECURITIES (PTY) LTD
PRICEWATERHOUSECOOPERS
PROTEC
PSETA
OXBRIDGE TRAINING INSTITUTE PTY LTD
PICK 'N PAY RETAILERS (PTY) LTD
PIONEER FOODS EDUCATION AND COMMUNITY TRUST
POWERFUL PARTNERSHIPS
VARIOUS B-BBEE CONSULTANTS AND
VERIFICATION AGENCIES
REGENT BUSINESS SCHOOL
REMGRO MANAGEMENT SERVICES LTD
RISK N REWARD
ROLA MOTORS
ROTORK AFRICA
RSM SA CONSULTING (PTY) LTD
S AND T SCHOOL OF ACCOUNTING TECHNICIANS
SA HOME LOANS
SA RESERVE BANK (SARB)
SA REVENUE SERVICES (SARS)
SAB
SAGE
SAICA
SANLAM
SANLAM FOUNDATION TRUST
SAPPI
SASOL
SASSSETA
SENTULA MINING
SESTO PTY LTD
SHAWCO
SIZWENTSALUBAGOBODO (SNG)
SMART BUSINESS COLLEGE
SOFISA PHILLIPS
SPARKS & ELLIS (PTY) LTD
SPHERE HOLDINGS
REGEN INSTITUTE OF LEADERSHIP AND MANAGEMENT EDUCATION
SACOB EDUCATION AND TRAINING – T/A THE SOUTH AFRICAN COLLEGE OF BUSINESS
SMALL ENTERPRISE FINANCE AGENCY (SEFA)
SQUARE KILOMETRE ARRAY (SKA)
ST VINCENT
STANDARD BANK
SUPERGROUP
THE SAVILLE FOUNDATION
THEE ACCOUNTANTS (PTY) LTD
TIPP FOCUS TRAINING
TIS HOLDINGS PTY LTD
TRANSCEND CORPORATE ADVISORS
TRANSNET LTD
VOLKSWAGEN SOUTH AFRICA
VULA ENERGY (PTY) LTD
W CONSULTING
WALTER SISULU UNIVERSITY
WATERBERG TVET COLLEGE
WDB INVESTMENT HOLDINGS
WEBBER WENTZEL
WOOLWORTHS MYSCHOOL REWARDS
WRSETA
WESTERN CAPE DEPARTMENT OF EDUCATION
TRUMPS FOODS
TSHIKULULU SOCIAL INVESTMENTS
UMFOLOZI TVET COLLEGE
UNIVERISTY OF CAPE TOWN
UNIVERSITY OF JOHANNESBURG
UNIVERSITY OF KWAZULU-NATAL
UNIVERSITY OF STELLENBOSCH
UNIVERSITY OF THE WESTERN CAPE
UNIVERSITY OF THE WITWATERSRAND
UNIVERSITY OF VENDA
UNIVERSITY OF ZULULAND
SYGNIA ASSET MANAGEMENT
SPJB BUSINESS AND FINANCIAL ADVISORY (PTY) LTD
THE BOARDROOM ALLIANCE (PTY) LTD – T/A HEIDRICK & STRUGGLES
THE COLLEGE OF PEOPLE MANAGEMENT AND DEVELOPMENT PTY LTD
TRANSNET PIPELINES - A DIVISION OF TRANSNET SOC LTD
TRUWORTHS ENTERPRISE DEVELOPMENT TRUST
VASDEX ASSOCIATED (PTY) LTD
WESTERN CAPE DEPARTMENT OF SOCIAL DEVELOPMENT
POWERFUL PARTNERSHIPS
SAICA NATION BUILDING REPORT 2017 9796 SAICA NATION BUILDING REPORT 2017
SECTION HEADING
B-BBEE CODES ANDTHE CA CHARTER
PARTNER WITH SAICA NATION BUILDING AND HELP US BUILD THE NATION
Economic and social transformation in South Africa is an evolving and fluid issue, with the rules being written by, and through our actions. The revision of the Codes of Good Practice (RCoGP) on B-BBEE, introduced a step change in these expectations.
Transformation and growth encompasses SAICA’s responsibility in creating corporate social investment platforms, entrepreneurship, growth of emerging black businesses, and the transformation of the profession. These programmes and entities form an integral part of SAICA’s Nation Building division and you or your company can help make a difference while earning vital points for your B-BBEE Scorecard.
In addition, the chartered accountancy profession intends to have its sector codes (CA Charter*) gazetted by the end of 2018. The vision of its sector codes, which are aligned to the overall B-BBEE, is to grow the number of African and Coloured people in the CA profession to reflect the country’s population demographics, and to empower and enable them to participate meaningfully in, and sustain the growth of, the economy – thereby advancing equal opportunity and equitable income distribution.
The following table offers a summary of how various SAICA Nation Building initiatives can support the sustainable implementation of your B-BBEE strategy, based on the revised Codes of Good Practice and empirical best practice.
*Update on the CA Charter: The CA Charter Council has deliberated for four years and had a signing ceremony of the revised Charter in 2017. One of the requirements for the gazetting of this Charter is a letter of support from the relevant line ministry, the National Treasury. Unfortunately, this letter has not been forthcoming due to the IRBA being unsatisfied with the Ownership targets which were previously agreed to by all. To date, the Chair of the CA Charter Council, Sindi Koyana, has had numerous lengthy discussions with the affected parties. Meetings are set up for April/ May 2018 to see if this matter can be resolved.
SKILLS – EXPENDITURE
SKILLS – LEARNERSHIPS
SUPPLIER DEVELOPMENT
ENTERPRISE DEVELOPMENT
SOCIO-ECONOMIC DEVELOPMENT
AT(SA)Yes –
Category B / C / D
Yes
HISTORICALLY DISADVANTAGED INSTITUTIONS FOR ENTITIES MEASURED ON THE CA CHARTER
Yes
HISTORICALLY DISADVANTAGED INSTITUTIONS FOR ENTITIES NOT MEASURED ON THE CA CHARTER
Yes – Category A
Yes
MATHS AND SCIENCE ACADEMY FOR ALEXANDRA SCHOOLS
Yes – Category A
Yes
THE HOPE FACTORYYes –
Category AYes
THE THUTHUKA BURSARY FUND FOR ENTITIES NOT MEASURED AND MEASURED ON THE CA CHARTER – ONCE EMPLOYED
Yes – Category A And C
Yes
THE THUTHUKA BURSARY FUND FOR ENTITIES NOT MEASURED ON THE CA CHARTER – DONATION
Yes – Category A
Yes
THE THUTHUKA BURSARY FUND FOR ENTITIES MEASURED ON THE CA CHARTER – DONATION
Yes
THE THUTUKA EDUCATION UPLIFTMENT FUND
Yes – Category A
Yes
SAICA ENTERPRISE DEVELOPMENT Yes Yes
POWERFUL PARTNERSHIPS
VERIFICATION DOCUMENTS THAT WILL BE SUPPLIED
SKILLS – EXPENDITURE
Category A
Proof of attending beneficiary
Proof of receipt of payment
Competent persons letter
Category E / F
Proof of attending beneficiary demographic
Proof of receipt of payment
Competent persons letter
SKILLS – LEARNERSHIPS Category B / C / D
Proof of attending beneficiary demographic
Proof of receipt of payment
Proof of Learnership / Internship / Apprenticeship attendance
Competent persons letter
SUPPLIER DEVELOPMENT
Thank you letter from beneficiary
Invoice from SAICA Enterprise Development
Proof of payment from client
Supplier Development Plan
Service Level Agreement (SLA) between beneficiary and SAICA Enterprise Development
Registration documents for beneficiary
IDs for beneficiary
Exempt Micro Enterprise (EME) affidavit for beneficiary
Agreement between SAICA Enterprise Development, client and beneficiary
ENTERPRISE DEVELOPMENT
Thank you letter from beneficiary
Invoice from SAICA Enterprise Development
Proof of payment from client
SLA between beneficiary and SAICA Enterprise Development
Registration documents for beneficiary
IDs for beneficiary
EME affidavit for beneficiary
Agreement between SAICA Enterprise Development, client and beneficiary
SOCIO-ECONOMIC DEVELOPMENT
Proof of receipt of payment
Proof of beneficiary demographic
Competent persons letter
POWERFUL PARTNERSHIPS
SAICA NATION BUILDING REPORT 2017 9998 SAICA NATION BUILDING REPORT 2017
NEVER DOUBT THAT A SMALL GROUP OF THOUGHTFUL, COMMITTED CITIZENS CAN CHANGE THE WORLD; INDEED, IT'S THE ONLY THING THAT EVER HAS.
POWERFUL PARTNERSHIPS POWERFUL PARTNERSHIPS
MARGARET MEAD, ANTHROPOLOGIST
PHYSICAL ADDRESS:
POSTAL ADDRESS:
17 Fricker RoadIllovo SandtonJohannesburg2196
Tel: +27 11 621 6600Email: [email protected]
Private Bag x32Northlands2116
www.saica.co.za
PROMOTING SOLUTIONS FOR THE NATIONAL DEVELOPMENT PLAN THROUGH OUR MEMBERS