presentation on strategic and annual performance plan 2013/14- june 2013
TRANSCRIPT
PRESENTATION ON STRATEGIC AND ANNUAL PERFORMANCE PLAN 2013/14-
JUNE 2013
Content of the presentation
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Background and context
Key elements of the SSP & Strategic Plan up to 2016
Overview of 12/13 APP and key achievements
13/14 APP and the new SSETA delivery model
Summary of targets in the 2013/14 APP
Expression of Interest numbers for 12/13 and 13/14
Conclusion
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Background – 2011 and Administration
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The Administrator had to build interim capacity within SSETA to attend to financial and administrative matters
The SSETA put in place a strategic plan which was aligned to NSDS III and which set out the work required to reposition the SSETA to deliver on its mandate
Some context 2011/12
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A partnership was entered into with an external research organisation to assist the SSETA research team to develop an SSP that would take the sector forward
Strategic plan, annual performance plan and budget were submitted in August 2011 based purely on alignment to NSDSIII and the key organisational priorities
The SSETA strategic plan was approved only in January 2012 – with two months left to the end of the financial year.
All these developments led to huge delays in rolling out programmes for 2011/12, which inevitably had a knock-on effect to the roll out of 2012/13 programmes as well
An application was made to DHET to have this submitted in February 2012, which was approved and duly submitted. It is work in progress but is a big improvement
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SECTOR SKILLS PLAN AND STRATEGIC PLAN TO 2016
KEY ELEMENTS OF SSETA SSP
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Sector redefined
Broader services sector: SSETA is part of the wider services sector that includes transport, financial, ICT and other services such as Education and Health Care which together make up 65% of GDP
SETA role in developing the sector redefined. The SSETA is working with stakeholders to identify priority scarce and critical skills and then develop projects to develop and deliver programmes to address these needs. The focus is on targeting the funded interventions and on monitoring outcomes and measuring impact
Services SETA sector: 16 sub-sectors, including: business services (consulting etc.); property services (estate agents etc.); household and personal services.
Environment analysed and growth areas identifiedPotential growth and employment creation opportunities have been identified in
sub-sectors, including consulting, marketing, hair and beauty and funeral services
SSETA STRATEGIC PLAN
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Key strategic themes
In each sub-sector identify the needs of large, medium and small enterprises and develop agreed interventions to enable growth and job creation
Prioritise scarce skills (occupations where posts cannot be filled by qualified and competent people) and critical skills (gaps in capacity of employed staff)
Restructuring the SETA into 6 Chambers serving the needs of 16 sub-sectors or industries – clustering the 70 SIC coded industries allocated to the SSETA
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STRATEGIC PLANSTRATEGIC PLAN
Steering resources to meet needs
Reviewing policies, processes and systems to ensure: greater transparency; consistency in targeting resources to sector needs, including scarce and critical skills
Delivery of education and training through focussed projects to enable greater efficiency, effectiveness and accountability
Increasing sector and sub-sector knowledge: Increase in quantity and quality of WSPs and ATRs Better quality research, through recruiting skilled people, contracting
specialist researchers and partnerships Structuring sub-sector consultation into an annual programme of Chamber
work
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KEY ELEMENTS OF SSETA STRATEGIC PLANKEY ELEMENTS OF SSETA STRATEGIC PLAN
Levers to achieve impact
Continuously reviewing past interventions and subjecting them to careful scrutiny to learn lessons. Mistakes will be made, and these will be evaluated to improve in future
Making greater use of data, though improved capturing, management, analysis and reporting of data
Focussing on the SSETA sector, whilst at the same time acknowledging and championing the need for a wider Services Sector Development Strategy and skills plan
A greater focus on throughput, completion and future employment and assessing impact
Strategic Goals
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Effective governance, management, and financial management
Effective strategies to support sector and sub-sector development, including small businesses
Raising skills levels to support growth and employment
Working with government and other SETAs to build a Services Sector that supports inclusive growth including in rural areas
Sound sector knowledge informing strategy and plans
Quality provision of education and training that meets sector needs
Outcomes and impact of SETA strategy measured
Programmes to achieve strategic goals
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1. Governance
3 Mandatory Grants
4 SETA funded skills development
5 Sector skills planning and research
2 Administration
6 Sector development interventions
7 Programme monitoring and evaluation
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OVERVIEW OF SSETA 12/13 APP AND KEY ACHIEVEMENTS AGAINST PRE-DETERMINED OBJECTIVES
Programme Aim Progress and challenges Next steps
Governance
Fully functional accounting authority and committees
Revised constitution; strong audit committee established; preparatory work done for the new board; awaiting approval for the new board to take over responsibility from the Administrator from 1 July 2013
Approval of new accounting authority members awaited
Administration
Restructuring to achieve strategy and new delivery model
The SSETA was successfully restructured during 2012; most systems and processes are now in place; some gaps and weaknesses remain. The appointment of a COO and a strengthened PMO will address the remaining weaknesses
Results of the new delivery model already evidenced by the overwhelming response to the EoI; demand generated is enough to meet 12/13 and 13/14 targets.
Progress towards objectives for 31 March 2013Progress towards objectives for 31 March 2013
Programme Aim Progress and challenges Next steps
Mandatory Grants
To increase employer participation
The target was 3300 WSPs of which just over 3000 were received in 2012. The challenge now is to increase these in June 2013 including PIVOTAL plans in line with the SETA Grant Regulations
Increased engagement with sub-sectors expected to result in increased submission of WSPs.
Discretionary Funded programmes
To improve effectiveness
In November 2011 the SSETA embarked on a tender process which resulted in 6900 of the target of 26000 learners being enrolled. The experience of this tender process resulted in a realisation that this is not the best approach. The 2013 EoI process, and special projects will help deliver the outstanding training
The huge response to the 2013 EoI process by the sub-sectors means that there is enough demand to meet both the 12/13 and 13/14 targets.
Progress towards objectives for 31 March 2013
Programme Aim Progress and challenges Next steps
Sector Skills Planning and Research
Thoroughly researched SSP to inform plans
A partnership was entered into with an external research organisation and the SSETA research team was supported to develop a new SSP. The SSP has been approved and provides a good basis for plans. It is work in progress. A contract is about to be signed to develop a supply and demand forecasting tool for the sector.
Further research will go into various baseline studies as well as understanding the 7 dynamics (people in occupations nationally, provincially, by age, gender, disability status, race, qualifications as well as occupations scarce/critical skills) in the sector.
Sector Development
Provider accreditation and learner certification backlogs addressed
Some 600 provider accreditations have been processed. Over 12000 learner achievements have been uploaded and certificates awarded. The backlog is almost cleared. The problem remains of a large number of learners in SSETA funded programmes (artisans etc) not being certificated. A remedial project is identifying all such learners and programmes are being put in place to address their needs.
On-going attention will be paid to learner certification backlogs and a remediation project is under way to fast-track the compliance completion of the artisans as well as “unfunded” learners challenge that the SSETA is facing.
Qualifications and programmes developed to address sector needs
10 qualifications have been identified for review and development; a programme is in place to review learnerships and develop skills programmes to address scarce and critical skills needs.
Consolidation of the various lists of scarce/critical skills lists from the sector is receiving attention, with a view to developing a credible sector-wide list of scarce/critical skills.
Progress towards objectives for 31 March 2013
Programme Aim Progress and challenges Next steps
Sector Development
FET college collaboration
12 FET colleges have been identified and MOUs signed; an office has been opened in Upington as part of the partnership with Northern Cape colleges; programmes are being funded in six rural districts through colleges; 250 learners are already enrolled through this partnership; a partnership has been forged with the successful Blackburn College in the UK and assistance is being provided to three FET colleges. A partnership with HAMK in Finland is assisting with entrepreneurial training
Building capacity in the FET sector in areas of governance, administration, financial and project management, facilities, programme design and lectures training; most of the colleges are in rural areas, giving the SETA a platform to deliver programmes in areas where they were not available before; funding provided includes bursaries, accommodation and other support for rural learners enrolled in FET colleges.
Disability
Partnership agreements with Disabled People South Africa have been concluded; Sector disability advisory forum established to advise Seta on disability matters. Graduates with disability internships programme is in place with 100 learners in Limpopo already enrolled in 2012, further 200 learners in NW and EC are being enrolled in 2013.
FET, Rural and Disability projects are cross-cutting. Disability projects have a rural bias and visa versa. Further 600 people with disability will be placed in the remaining provinces to complete the target of 900 before the end of 2013.
Rural development
Six districts have been identified in Eastern Cape, Free State, Limpopo and KZN. Long term agreements have been reached to fund various programmes to meet local needs
Cross-cutting rural development projects that involve municipalities, local business, NGOs, FET colleges etc.
Progress towards objectives for 31 March 2013
Programme
Aim Progress and challenges Next steps
Monitoring and Evaluation
An effective organisational performance management system and a sound monitoring and reporting system established
The performance of the SSETA during NSDSII could not be assessed because of inadequate data. However an analysis of spending was done and some forensic audits were conducted. Lessons were learned that informed the new delivery model. A monitoring and reporting system is in place that now enables the SSETA to report accurately on programme implementation.
Impact studies, on-going monitoring, evaluation and reporting are being institutionalised. A service provider is being contracted to develop a comprehensive Management Information System
Progress towards objectives for 31 March 2013
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2013/14 APP AND THE NEW SSETA SERVICE DELIVERY MODEL
Background – Repositioning the SSETA
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The need to effect restructuring of the SETA and putting in place required institutional mechanism led to the administration to be subsequently extended in April 2013 for another 3 months until the 30 June 2013
During this period, an intensive review of the operations, structures, policies of the SETA was undertaken, resulting in huge changes. These included the appointment of a team of Executive Managers and a CEO as well as:
Development of new policies and procedures that are aligned to the new delivery model
Building internal capacity to deliver on functions that were outsourced to intermediaries in the old model
SETA now has the task of delivering on the backlog of targets dating back to 11/12 and 12/13 parallel to the targets set for the 13/14 financial year
Designing a new structure and model able to deliver on the mandate of the SETA as required by NSDSIII
Putting in place the institutional arrangements to enable the new model of delivery
Changed Delivery Model
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Previous modelPrevious model
The SETA put out calls for proposalsLead providers/ employers/ labour brokers put in tendersSuccessful bidders were awarded contracts for a certain number of learnersThe contractor “placed” learners in “host” employers, recruited learners and sub-contracted training providersThe contractor reported on learner numbers enrolled and completing
The SSETA develops project plans to address sub-sector and cross-cutting sectoral needsTargets are agreed for each project and set out in the APP, with budgetsAn Expression of Interest (EoI) process is advertised and services sector employers apply for grants and/or access to SSETA programmesThe SSETA approves grants and enters into agreements with employers and providers to deliver programmes
New modelNew model
The change has not been easy
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InternallyA paradigm shift was needed to enable managers to adapt and plan for the new way of working. Some left the SSETA at the start of 2013 as result Capacity that was outsourced for many years needed to be established. There is no experience of programme implementationThere was a skills gap which required new people to be brought in
InternallyA paradigm shift was needed to enable managers to adapt and plan for the new way of working. Some left the SSETA at the start of 2013 as result Capacity that was outsourced for many years needed to be established. There is no experience of programme implementationThere was a skills gap which required new people to be brought in
There has been
resistance to the changes
both internally in the SSETA and externally
amongst stakeholders
ExternallyThose who build their business model on the SSETA outsourced model have fought to keep the old ways of doing thingsIn tenders and EoIs labour brokers and training providers continue to see the SSETA as an ATM or business opportunityEmployers welcome the changes but are waiting to see the changes. Many still write of their levies as a tax and do not want to work with the SETA
ExternallyThose who build their business model on the SSETA outsourced model have fought to keep the old ways of doing thingsIn tenders and EoIs labour brokers and training providers continue to see the SSETA as an ATM or business opportunityEmployers welcome the changes but are waiting to see the changes. Many still write of their levies as a tax and do not want to work with the SETA
Artisans Remediation – A legacy
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Artisans Remediation – A legacy
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Artisans Remediation – A legacy
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SUMMARY OF BUDGET AND 13/14 APP TARGETS
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2013/14 – Overview Of Budget
Revenue R’000
Levies 1 027 406
Skills Development Penalties
17 208
Investment 47 322
Prior Year Surplus
415 583
Total Revenue
1 507 519
Expenditure
Employer Grants Paid
256 852
Administrator Expenditure
127 142
Discretionary Projects
1 123 526
Total Expenditure 1 507 519
SUMMARY OF 2013/14 APP/SLA TARGETS
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Learning intervention Target Budget
Learnerships Employed 5 252 R 93m
Learnerships Unemployed 6 500 R 252m
Artisans 1 920 R 75 m
Internships FET (part of qualification)
2 450 R 143m
Internships FET (NCV graduates) 7 330 R 56m
Internships HE (part of qualification)
100 R 3.6m
Internships HE (graduates) 2 695 R 97m
Bursaries Employed 1 885 R 76m
Bursaries Unemployed 260 R 13m
Adult Education and Training 600 R 3.6m
Recognition of Prior Learning 200 R 2.9m
Skills Programmes Employed 4 000 R 91m
Skills Programmes Unemployed 2 000 R 39m
Total Learners 35 192 R 945m
SUMMARY OF PROJECT TARGETS 2013/14
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Project Target Project Targets
Hiring Services 1135 Real Estate 3425
Household, domestic, cleaning and gardening services
2830 Management Development (Universities)
500
Marketing and Communications
590 NGOs, CBOs, NPOs 500
Call centres 1115 FET college project 5645
Postal services 1160 Disability 382
Collective services 440 Cooperatives 1000
Management and business services
2860 Rural Development 1730
Hair and Beauty 2720 Strategic Infrastructure Projects
6450
Funeral services 890 Unallocated 1820
The above targets are not in the SLA but are the targets that the SSETA is setting per project s so as to address the all sub-sectors and cross-cutting needs in the sector.
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EXPRESSION OF INTEREST FIGURES
SSETA Expression of Interest
Time lines
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April 2012 – March 2013
Quick win projects started: FET colleges; Universities; rural areas; planning policy review
January – March 2013: Finalisation of project plans; Expression of Interest and applications; putting in place systems and processes for new model
April to June 2013Evaluation of R2.8 billion in grant applications received through the EoI process; appointment of project staff
July – Dec 2013Roll-out of 2012/13 funded programmes; New EoI process for PIVOTAL 2013/14 funded programmes
Jan – March 2014Roll-out of learnerships and other programmes; EoI process for 2014/15 funded programmes
April - June 2014
Aim to roll out programmes funded from the 2014/15 budget;
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EOI Numbers 2012/13
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Concluding Remarks…
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The EoI process made it possible to determine over-supply and under-supply, well before any commitments were made.
Concluding Remarks…
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