PRESENTATION TO THE PORTFOLIO COMMITTEE ON

LABOUR

ANNUAL REPORT PRESENTATION (2008/09)

27 October 2009

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VISION AND MISSION

Vision

• To lead and inspire a productive and competitive South Africa.

Mission

• Productivity SA is a tripartite organisation dedicated to the development and

enhancement of South Africa’s productivity by unleashing the spirit of continuous

productivity improvement in all South Africans.

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KEY FOCUS AREAS FOR 2008/09

• Inspiring a culture of Productivity among South Africans • Productivity Knowledge and Information• Enhancing Productivity Skills and Competencies• Public Sector Productivity • Turnaround solutions for companies• Industry sector collaborations and strategies• Corporate Services

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KEY HIGHLIGHTS FOR 2008/09

• Productivity SA re-branding consolidation • Hosting the World Productivity Congress (first in Africa)• Productivity research projects• Productivity interventions in SMME's (PCBP) • Turnaround solutions for companies• Industry sector collaborations and strategies• International collaboration (skills development)• Unqualified Audit Report

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INSPIRING A CULTURE OF PRODUCTIVITY AMONGST SOUTH

AFRICANS

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INSPIRING A CULTURE OF PRODUCTIVITY

• To promote understanding and importance of productivity in South Africa

• Cultivating a Productive attitude among

learners and teachers

• To create a forum for exchange of productivity knowledge and skills locally, regionally and internationally

Objectives Achievements• Successful hosting of the World

Productivity Congress

• Productivity Movement campaign

– Productivity awards

– Media and advertising campaign

– Awareness workshops

• International Partnerships

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Achievements

ACTIVITY/TASK OUTPUTS TARGETS PROGRESS

Productivity-related knowledge at a strategic level to support the National Productivity Campaign. WPC 2008 will provide the core content for the first year.

Content consists of information emanating from research and statistics reports, to be disseminated by all programmes.

Website to be developed to support the National Productivity Movement - a dedicated website for WPC in 2008.

1 Website developed and ongoing maintenance in progress.

Strategic abstracts on key issues influencing productivity.

50 58 media exposures attained.

Electronic newsletters 10 10 electronic newsletters produced.

Productivity magazine 6 One magazine produced.

Annual reports 1 Productivity SA annual report done. Social Plan Annual report done.WPC annual report done

Hosting of the World Productivity Congress.

World Productivity Congress 2008.

1 Successfully hosted.

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International Partnerships

• To create a forum of transferring cutting-

edge productivity knowledge and skills to Productivity SA and other National Productivity Organisations in Africa

Objective Achievements

• Implementation of partnership projects with:– Asian Productivity Organisation (APO) – Japan Productivity Centre for Socio

Economic Development (JPC-SED)– Productivity SA still serves as PAPA

Secretariat of Pan African Productivity Association

– AU Labour and Social Affairs Commission

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PRODUCTIVITY KNOWLEDGE AND INFORMATION

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Knowledge Management and ResearchObjectives Projects

• Annual Public Sector Study;

• Contribution to the IMD Competitiveness Yearbook;

• Impact Assessment of the influence of the government framework, including labour legislation, on productivity and competitiveness;

• Annual Productivity Statistics; and the Impact of

Skills Development on Productivity Study

Initiate, conduct and coordinate productivity-related research by means of a network of research partners in order to produce at least four reports a year

Generate information to positively influence policydebates and formulation and therefore impact productivity and competitiveness

Distil lessons learnt and best practices from successful cases inside and outside the country for adaptation and application

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Knowledge Management and Research

KEY RESULT AREA MEASURE / INDICATOR RESULTS

Publish one annual Productivity Statistics Research report to support the competitiveness and growth of the economy.

Productivity Statistics Report Productivity Statistics Report completed and ready for publishing.

Publish two annual sector research reports.

Benchmarking Report on the Clothing and Textile Sector. Benchmarking Report on the Furniture, Footwear and Leather Sectors.

Benchmarking Report on Clothing and Textile Sector completed. Benchmarking Report on Furniture, Footwear and Leather Sectors completed.

Contribution to the IMD Competitiveness Yearbook

IMD Report IMD report published

Develop one research report detailing the Impact of Labour Legislation on Productivity.

Draft a literature review. Draft of the literature review has been completed

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PUBLIC SECTOR PRODUCTIVITY

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Enhancing Productivity Skills and Competencies

• To lead the development, customisation and distribution of productivity competencies and mindsets among South Africans and to provide productivity improvement solutions to public-benefit

• To incorporate productivity concepts, values and applications into the National Curriculum Statement

Objectives Projects

• National Schools debates

• Training of Productivity facilitators

• Training of government and SOE managers on productivity

• Incorporation of productivity concepts and values into the National Curriculum statement

• Training of small enterprises, coached and mentored to measure and improve productivity in their own organisations

• To develop increased number of sustainable small micro enterprises through productivity improvement

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OVERALL PERFORMANCE

KEY RESULT AREA MEASURE/INDICATOR RESULTS

Educators trained in productivity concepts

480 1 057

Small & micro enterprises trained

1 800 935

Productivity trainers trained 26 55

Accreditation systemProcurement of the Learner

Management System in progress

Skills development facilitators trained

120 79

Workers trained 480 625

Government & SOE Managers trained

50 106

Signed agreement with on implementation of productivity toolkit

One government department

Toolkit on the improvement of transaction cycles was implemented

at the SA Nursing Council

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TURNAROUND SOLUTIONS FOR COMPANIES

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Social Plan Interventions

• To provide technical support to prevent job losses and ensure the survival of businesses by returning them to profitability through:

– Developing enterprise turnaround strategies

– Promoting collaboration between management and employees in turning around the companies through future forums

Objective

Projects for 2008/09

•Establish Future forums in distressed companies•Develop Turnaround Strategies•Establish Proactive Future forums in Stable Companies•Develop Early Warning Systems•Conduct Impact Assessments•Conduct Desktop Sector Studies

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Social Plan InterventionsKEY RESULT AREA MEASURE/INDICATOR RESULTS

Contribute to preventing Job

losses

Establish 120 Future forums in distressed companies

• 105 Future forums established

Turnaround interventions to prevent job losses in terms of the Social Plan

Compile 70 turnaround strategies (Work plans)

• 59 Turnaround Strategies compiled

Establish Proactive Future forums in stable companies

Establish 137 proactive future Forums Develop 64 Early Warning Systems

• 115 Proactive future forums established

• 90 Early Warning Systems developed

Identify Sector Projects to prevent job losses

Conduct 6 Sector Desktop Studies

• Research on 4 Sector Studies completed

Turnaround Strategies Completed

Conduct 50 Impact Assessments• 29 Close-out reports compiled

(impact assessments)

Marketing Campaign

• Conduct 20 awareness seminars

• Publish 20 success stories• Develop 3 case study videos• Launch print advertisements• Launch personal interviews

on radio

• 21 awareness seminars conducted

• 17 success stories published• 2 case study videos

developed• Print and electronic campaign

done

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Social Plan Interventions

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SECTORS

Agriculture ,Hunting,Forestry & Fishing

Metal, Steel & Iron

Clothing & Textiles

Wood

Printing

Security Service

Food Processing

Arts & Crafts

Transport

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INDUSTRY COLLABORATIONS AND STRATEGIES

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Workplace Challenge Programme (Best Operating Practices)

• To facilitate government and industry partnerships to improve the performance and

competitiveness of sectors, industries and business through:

– Improved value-chain efficiencies

– Promoting constructive labour relations at the workplace

– Developing world class practices for continuous productivity improvement

– Sharing and disseminating experiences and lessons

Objective

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OBJECTIVE 1: Workplace collaboration between employers and workers

KEY ACTIVITIES PERFORMANCE INDICATORS

TARGETS / OUTPUTS RESULTS

Facilitate constructive dialogue between social partners, managers and workers, and participating enterprises on improving productivity andcompetitiveness in the workplace.

Number of companies nurtured (for participation in clusters or user groups).

64 enterprises nurtured (average of eight per cluster or user group).

79 companies nurtured.

Develop the capacity of employers and workers to jointly participate in the programme.

Number of capacity building workshops (for clusters or user groups) which includes the 3- day BOP and Leadership workshops.

22 capacity building workshops across 11 clusters or user groups.

6 workshops

Programme performance

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OBJECTIVE 2: Improve workplace practices in South African Enterprises to improve productivity and competitiveness

KEY ACTIVITIES PERFORMANCE INDICATORS

TARGETS / OUTPUTS RESULTS

Pilot transformation in between six to nine enterprises within clusters and user groups. Each organisation should be striving for best operating practices.

Number of participating clusters and user groups.

11 participating user groups at year-end.

Two participating clusters at year-end.

12 participating user groups/clusters.

Provide aftercare programme (Workplace Transformation) for graduate clusters and user groups.

Number of participating clusters and user groups participating in the aftercare programme

8 participating user groups and clusters at year end.

15 participating groups/clusters.

Refine prescriptive material for workplace transformation (Workplace Transformation Toolkit technical write-ups, plant visits, published book and case studies.

Refine and field test Workplace Transformation Toolkit.

Refine and field test Workplace Transformation Toolkit (establish user group as platform).

Tested in user groups.

Programme Performance

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CORPORATE SERVICES

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Human Capital

Objectives

• To create an enabling environment that continuously ensures alignment of human capital with Productivity SA mandate.

• To acquire cutting-edge productivity knowledge and skills from the Asian experiences

Achievements

• Annual Equity and Workplace Skills reports submitted to DoL

• Intervention through APO/JPC-SED partnerships funded by the Japanese government:

• 12 employees trained on the APO’s Basic Course for Productivity Practitioners (Total 30 from PAPA

members countries)

• 2 employees participated on an observational study mission to Japan (Total 12 from Africa)

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10%

28%

17%

45%

Gov Grant

WPC

SP

Other

Sources of Revenue 2008/09

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Thank You

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