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ECIAfrica News: 2010
■15 Jul 2010: Questions and Answers with Dr Claudia Manning, Managing Director of ECIAfrica
Following the recent announcement that ECIAfrica has joined forces with Sangena Investments to provide new leadership at ECIAfrica, this question and answer session with Dr Claudia Manning provides some insight into the thinking behind this decision and the work of ECIAfrica.
■15 Jul 2010: ECIAfrica Appointed to Implement New Project on Private Sector Led Rural Growth in Northern Mozambique
ECIAfrica is pleased to announce that it has been selected by the Swiss Agency for Development and Cooperation (SDC) to implement and manage a strategic new project promoting agricultural development in Mozambique. Working with farmers and private sector to reduce poverty and promote agricultural and rural development, this project is valued at approximately US$1 million per year, and runs from 2010-2013, with a possibility of being extended until 2018.
■Download the Project Brochure (PDF)
■30 Jun 2010: Lonmin IFC Supplier Development Programme
Training Certification Ceremony
This event took place on 9 June 2010 and was the final of two ceremonies in which the hard work of the trainees over sixteen months of training was celebrated in the awarding of certificates. The first certification ceremony was held on the 19th October 2009.
Certificates were awarded to 40 graduates that completed three levels (1, 2 and 3) of competency in areas ranging from Basic Business Management to detailed modules on supplying large corporations.
The event was a celebration of substantial progress made in empowering suppliers in the Greater Lonmin Community and was attended by high level representatives of Lonmin, the IFC and ECIAfrica. ECIAfrica was congratulated in managing a very effective training programme.
■11 Jun 2010: ECIAfrica Concludes Agreement on the Strengthening of the dti's Black Business Supplier Development Programme
ECIAfrica has signed an Memorandum of Agreement with the Department of Trade and Industry (the dti) for the strengthening of the dti's Black Business Supplier Development Program (BBSDP). ECIAfrica's role in the project is to leverage on the expertise of its South African International Business Linkages Programme (SAIBL) and enhance the redesign and implementation of the BBSDP. In particular, ECI’s efforts will be focused on: • Building the capacity of BBSDP staff and Network Facilitators so that SMEs can be supported • Quality management and assurance of work carried out by Network Facilitators. • Advise and assist in designing a Monitoring and Evaluation (M&E) and Management Information System (MIS) to enable the programme to capture data and report on outputs and outcomes/impact. This project is significant as it underpins the bilateral agreement between USAID and dti.
■ 13 May 2010: New Leadership for ECIAfrica
ECIAfrica is pleased to announce that it has joined forces with Sangena Investments of Johannesburg to provide new leadership at ECIAfrica. In terms of the agreement, which was finalized last week, Sangena has acquired an initial equity stake in ECIAfrica, and both DAI and Sangena have committed to Sangena increasing its interest in ECIAfrica during the next few years. Principals from Sangena who are joining ECIAfrica and comprising a new executive team include Principals from Sangena who are joining ECIAfrica and comprising a new executive team include Dr Claudia Manning, who will serve as ECIAfrica managing director, Bahle Sibisi, and Sagay Moodliar. The three will join ECIAfrica’s Sipho Dayel in guiding the ongoing growth and development of DAI's southern African subsidiary.
DAI’s Denis Gallagher, the current ECIAfrica managing director, supervised the transaction, and is working with the Sangena team as it implements a smooth transition and handover.
Launched in 1994 as a joint venture between DAI and South African development experts, ECIAfrica remains a strategic partner of DAI with deep corporate ties to the company, including overlapping history, personnel, and mission. ECIAfrica benefits from seamless cooperation with DAI and access to the company's global network of resources, technical expertise, and project management systems.
Sangena Investments is a South African consulting and investment company with strong expertise in economic development, infrastructure finance, and industrial and trade policy issues.
■ 06 May 2010: Limpopo Pilot Project Shows Rural Enterprises Work, Says Trust
A PILOT project in rural Limpopo in which emerging farmers were assisted and linked to markets has attracted investment of more than R1,5bn, according to a report from Business Trust.
Read the complete article in Business Day >>>
Read more about the Mabedi Project >>>
■ 12 Apr 2010: Successful Implementation of the Infrastructure Delivery Improvement Programme (IDIP) Phase II
Following a sterling performance in the implementation of the Infrastructure Delivery Improvement Programme (IDIP) for the past four years, the current (second) phase came to an end on 31 March 2010. Amongst the milestones reached in the second phase, provinces have developed Calculation Models and Service Delivery Models. The programme has also enabled provinces to comply better with the Government Immovable Asset Management Act (GIAMA).
In 2001 the National Treasury commissioned a review of provincial service delivery systems with the view to enhance infrastructure delivery. The review identified various deficiencies that impacted negatively on the effective and efficient delivery of infrastructure by the provincial departments. The review recommended, amongst others, that a framework be developed to guide and structure the management of infrastructure delivery and that support be provided to provincial departments to develop their capacity to plan, manage and sustain infrastructure delivery.
The implementation of the pilot phase of IDIP commenced in July 2004 with the establishment of IDIP partnership agreements between the National Treasury, the Construction Industry Development Board (CIDB), the Development Bank of Southern Africa (DBSA), and the National Department of Public Works. A Programme Management Unit was established in National Treasury and a programme manager was appointed. The full roll-out of IDIP commenced in 2005/2006 with ECIAfrica commencing implementation and management of IDIP in four provinces - Eastern Cape, Free State, KwaZulu-Natal and Western Cape.
Successes and milestones for IDIP II included the alignment of infrastructure delivery amongst the provincial and national government strategies; cooperative governance within and between the spheres of government; the development of systems and processes for measurable infrastructure delivery; strengthening capacity at provincial Treasuries to fulfil functions; establishment of service delivery "best practices" through a Knowledge Management toolkit; as well as contribution to national policy including the Division of Revenue Act (DoRA), Construction Industry Development Board (CIBD) Act and the Public Finance Management Act (PFMA).
As part of the project closure, ECIAfrica coordinated close-out workshops in the provinces. During these sessions, expressions of gratitude and appreciation were uttered by officials from provincial Treasuries and beneficiary provincial departments of Education, Health and Public Works.
In line with government’s increasing emphasis on improving service delivery, agreement has been reached on a new three-year phase, to commence in June 2010. The IDIP content will remain largely unchanged. ECIAfrica is grateful for the opportunity of building capacity in the public sector to inculcate the culture of aligning infrastructure delivery with planning procedures.
■ 07 Apr 2010: The Lonmin-IFC Supplier Development Programme Creating Wealth and Skills in the Greater Lonmin Community
The Lonmin-IFC Supplier Development Programme is boosting capacity for SMMEs and delivering economic empowerment to the communities surrounding Lonmin’s mining operations in the Greater Lonmin Community (GLC) around Marikana in the North-West Province. The main objective of the programme is to increase Lonmin’s spend on locally produced goods and services as well increase the number of GLC SMMEs doing business with Lonmin.
Concentrate Carriers (CC) is a joint venture between local youth-owned Badumela Transport and Eccose Transport. CC has been awarded a R42-million contract to run for five years until 2013. This arrangement has afforded four local young people an empowerment opportunity, through which they own 51% of CC operations. The local shareholders also hold full-time positions in CC. Thus, the socio-economic impact of the project is further enhanced, as the young gain work experience and skills in addition to financial benefits. A further R20-million worth of Lonmin contracts have been awarded to CC since the start of operations.
Phakwe Mining Services is a joint venture between a consortium of three GLC companies and an expert mining company. Phakwe was awarded a R30-million, five-year contract to conduct underground sweeping and vamping for Lonmin’s Marikana mines. This deal has the significance of being the first core-business contract to be awarded to a local operator. This is a reflection of Lonmin’s increased confidence in the historically disadvantaged enterprises, and a testament to the programme’s impact. The joint venture has managed to double its orders to R60-million in a short period of time, as it has acquired contracts from other (non-Lonmin) mining houses in the area.
Elvis Mabale of Ditlou Di Buile Contractors is another GLC contractor who has built a successful track record through a number of prominent projects awarded by Lonmin. Elvis has acquired more than R6-million worth of contracts over the past three years, starting out with small, ad hoc orders and moving on to high value and more complex construction projects. Among others, Elvis’s major contracts include the building of ablution facilities and renovation work for local schools. Elvis’s life story is one of perseverance and overcoming significant odds to build a successful construction company. He was imprisoned in his youth. While in prison he focused his energy in developing building and construction skills which he has put to good use in starting and growing his construction business. The Supplier Development Programme has lended a hand to the growth of Elvis’s business by furnishing him with the necessary business management skills and administrative systems.
Little Rock is an all-women construction company established in 2003, and one of the most noteworthy success stories of the Lonmin-IFC Supplier Development Programme. To date, the company has executed well over R29-million worth of contracts with Lonmin alone. Little Rock has successfully executed projects in the area of hostel conversion, which involved the renovation and conversion of single story hostels into family and bachelor flats and renovation of schools.
■ 02 Mar 2010: Head of ECIAfrica Programme Appointed to National Small Business Advisory Council
ECIAfrica is proud to announce that the Minister of Trade and Industry has requested John James, the Chief of Party of the South African International Business Linkages Programme (SAIBL), to serve on the National Small Business Advisory Council. The body will advise the Minister on a variety of issues, such as strategies to address identified market failures affecting the sector; the impact of legislation on small business; national standards for small business development and regulation; business infrastructure creation, skills development, value chain access; and constraints affecting the viability of the small business community.
Commenting on his appointment, John James said that he was humbled by the privilege and honour to serve as advisor to the Minister and the nation in this high priority sector. "I firmly and passionately believe that our country's economic development and success, as a thriving democracy, will depend significantly on the pace at which small enterprises, particularly black enterprises, integrate and become involved in the mainstream economy", said James. "My focus will be on improving the environment and space in which large corporations can play a leading role in supplier diversity through increased targeted procurement and enterprise development focused on black suppliers. We have to move our thinking and practices beyond BEE compliance to doing this based on sound business reasons. A nation that does not use a significant part of its talent cannot thrive. A corporation that does not have suppliers representing its market and citizen base cannot win against its competitors. Developing black suppliers without giving them opportunities is wasteful and counter-productive."
■ 01 Mar 2010: Chamber of Commerce Vows to Help South Africa Meet Diversity Goals
Many foreign companies wish to do business in South Africa while also investing as required in the country’s black economic empowerment (BEE) objectives. But BEE legislation, designed to help black entrepreneurs and workers overcome the legacy of apartheid and enter the business mainstream, can be prohibitive to the greater business community. So can other barriers to trade.
These issues took center stage last week at the Hilton Hotel in Sandton, Johannesburg, during the American Chamber of Commerce in South Africa’s 32nd Annual General Meeting. ECIAfrica, a partly owned subsidiary of DAI, sponsored the meeting, which convened more than 100 business leaders. U.S. Ambassador Donald Gips delivered the keynote remarks.
Ambassador Gips told attendees that removing barriers to trade in South Africa was a main focus of the embassy, adding that the U.S. Agency for International Development (USAID) welcomes ideas from Chamber members on how to improve the business climate. Compliance with the country’s Broad-Based Black Economic Empowerment (B-BBEE) Act of 2007 and the crafting of equitable labor laws are chief concerns of both domestic and foreign businesses, as well as the country’s labor force.
The Chamber vowed at the meeting to continue its consultations on these issues with the country’s Department of Trade and Investment, appreciative that South Africa’s diversity initiatives strive to create and develop enterprises, prompt investment, empower black women and youth, and improve the skills and education of the labor pool, with the ultimate aim of enabling sustained growth.
To comply with South Africa’s B-BBEE scorecard, businesses operating in the country are required to invest for black laborers and businesses in the areas of ownership, management control, skills development, preferential procurement, enterprise development, and socioeconomic development. Denis Gallagher, Managing Director of ECIAfrica, noted that ECIAfrica designs and implements solutions around the procurement and economic development portions of the scorecard.
ECIAfrica's highly successful, USAID-funded South African International Business Linkages (SAIBL) program, currently in its ninth year, has just facilitated the creation of a South African Supplier Diversity Council (SASDC), whose member corporations work together to leverage resources and share knowledge, experience, and best practices in supplier diversity development.
“The member corporations of SASDC will commit to opening up more opportunities for black suppliers, whom they will certify, and where necessary also invest in the development of the certified suppliers,” Gallagher said, adding that the council is modeled after the acclaimed, New York-based National Minority Supplier Development Council.
Attendees at the Chamber meeting included some of the largest companies doing business in South Africa, including Coca Cola, Hewlett Packard, Nike, Cummins, GM, Estee Lauder, The Bank of New York Mellon, Hyatt Regency, Motorola, 3M, and Deloitte.
“ECI designs and implements solutions around procurement,” Gallagher said in his closing remarks. “For all of you who grapple with procurement and economic development as part of your [BB-BEE] scorecard, please know we can customize a solution to suit your needs.”
■ 26 Feb 2010: ECIAfrica Developing a Tourism Master Plan for the Free State
ECIAfrica has been contracted by the Free State Department of Economic Development, Tourism and Environmental Affairs (DETEA) to develop a Tourism Master Plan. The assignment seeks to integrate the three tourism strategies that the DETEA has developed into a Blue Print for the management and development of Free State tourism. The Master Plan attempts to harmonize and streamline roles and responsibilities of key role players in Free State tourism, outline strategic activities to be undertaken to realize growth objectives set out in the tourism strategies, and provide a framework for the implementation of the provincial tourism strategy. ECIAfrica has already contributed significantly to the development of the tourism industry in South Africa through the management of the Tourism Enterprise Programme under the Business Trust and the Department of Tourism and Environmental Affairs, growing the revenue contribution of small, medium and micro enterprises by more than R2.1 billion. In developing this Master Plan for the Free State, ECIAfrica draws on its experience in the tourism industry within South Africa and the region in the belief that it has immense value to add to this assignment.
■ 17 Feb 2010: ECIAfrica Bids Farewell to MD Job Mokgoro
ECIAfrica is sad to announce that during the past holiday period Prof Job Mokgoro reflected on the next steps in his professional life and has decided to move on from direct day-to-day engagement with ECIAfrica as the Managing Director. He has an outstanding history of service in South Africa that is closely aligned with ECIAfrica's development philosophy. He served as ECIAfrica's Managing Director until the end of 2009. With a Masters and Honorary Doctorate in public administration from the University of Toledo, Job served with the University of Bophuthatswana for 10 years before becoming a lecturer at the University of the Western Cape. Since 1994, he has played a significant role in the transformation of South Africa. In January 1994, he moved to the Development Bank of Southern Africa, where he was the Associate Director of the Centre for Policy Analysis and Information. In April of the same year, he became the first Director-General of the North West Province where he managed a R7 billion budget and was tasked with rationalising and integrating three government administrations into one North West Province. From the end of 1999 until January 2003, Job served as the Director-General of the South African Management Development Institute. Since then, until January 2006, he was the Managing Director of Job Mokgoro Consulting where he focused on issues of local government development, intergovernmental relations, and institutional transformation. Job has published widely in the areas of public management, public policy, and public-sector transformation. He will remain a senior adviser, shareholder, Board member, and friend of ECIAfrica and we wish him well in his various professional and intellectual pursuits over the coming years.
■ 10 Feb 2010: ECIAfrica to Develop a Macroeconomic Model for Swaziland
ECIAfrica has been appointed by the Ministry of Economic Development and Planning in Swaziland to develop a macroeconomic model. This twelve month project will be undertaken in collaboration with the African Institute for Economic Modelling at the University of Pretoria. The contract value is US$255,298.00 and is funded by the World Bank.
■ 29 Jan 2010: Call for Entries: 2010 South Africa SMME Awards Competition
Do you own/manage an established small, medium or micro enterprise (SMME)? Is the business older than two years and is the business idea original and do you contribute positively to the image of business in Africa? If so, you may be in line to be honoured as the top SMME in South Africa.
The Africagrowth nstitute is calling for entries and SMMEs can enter in any one of the sector award categories. Please visit www.africagrowth.com to enter.
■ 14 Jan 2010: Statement by ECIAfrica on the Earthquake in Haiti and the Safety of DAI Staff
ECIAfrica joins people around the world in mourning the death and destruction in Haiti following yesterday’s devastating earthquake. We send our profoundest condolences to the people of Haiti.
As as a partly owned subsidiary of DAI, our thoughts and prayers go out to our friends, collaborators and employees of DAI’s current project, Haiti DEED (Economic Development for a Sustainable Environment). Efforts to locate and account for all our fellow employees in Haiti are still under way but the DAI staff for whom we have been able to account for are safe.
Haiti DEED’s Chief of Party, Mike Godfrey, yesterday gave CNN an eyewitness account of the earthquake and its aftermath from Port-au-Prince. View the video here.
ECIAfrica stands ready to assist in the relief and recovery effort in support of DAI, as well as our friends and colleagues in Haiti.
For more information, contact ECIAfrica onTel: +27-11-602-1200 or Email: info@eciafrica.com
Issued by the Office of the Managing Director
ECIAfrica (Pty) Ltd
Johannesburg, 14 January 2010
■ 07 Jan 2010: ECIAfrica Organizing Business Council to Promote Black South African Suppliers
ECIAfrica, a partly owned subsidiary of DAI, is playing a key role in the establishment of the South African Supplier Diversity Council (SASDC), which will link black-owned small enterprises in South Africa to larger corporations and their supply chains.
The SASDC will integrate the country’s growing pool of previously under-used and marginalized black suppliers using targeted procurement and enterprise development, joining them in sustainable ways with potential buyers in South Africa and abroad.
The SASDC start-up will be championed and managed by the National Business Initiative, in partnership with the U.S. National Minority Supplier Development Council Inc. (NMSDC), with initial support from theECIAfrica led South African International Business Linkages (SAIBL) program, which is funded by the United States Agency for International Development. The SASDC will draw its membership from corporations based or operating in South Africa, and be funded by member subscriptions and services fees.
“We are confident the SASDC will create and nurture outstanding and profitable business relationships for both entrepreneurs and their corporate customers,” said John James, the SAIBL chief of party. “South Africa already has a sound business infrastructure and enabling environment. This council will speed up the participation of black entrepreneurs in the mainstream economy.”
The SASDC will be modeled after the NMSDC, a New York City-based U.S. corporate membership organization with nearly 40 years of experience in promoting and facilitating supplier diversity. The NMSDC has previously helped found organizations in Canada, the United Kingdom, China, and Australia that link historically-excluded populations and corporate purchasers to create mutually beneficial economic partnerships.
“Economic empowerment is one of the great equalizers,” said NMSDC President Harriet R. Michel. “I hope the SASDC will enhance economic integration and stability through black business development.”
National Business Initiative CEO Andre Fourie said that the establishment of the SASDC reinforces his organization’s commitment to equitably promote South Africa’s economy and job creation opportunities.
“South African corporations are exploring meaningful ways to support transformation that will enhance their competitiveness and sustainability, and underpin the stability of this young democracy,” Fourie said. “We need to deal with the ongoing economic consequences of the apartheid era, while ensuring that we become globally competitive.”
■ 07 Jan 2010: ECIAfrica to Sponsor the 2010 AGM of the American Chamber of Commerce in South Africa
ECIAfrica is sponsoring the Annual General Meeting of the American Chamber of Commerce in South Africa (AmCham). The meeting takes place at the Hilton Hotel in Sandton on 18 February 2010. The keynote speaker is US Ambassador Donald H Gips.
AmCham is affiliated to the US Chamber of Commerce, the world's largest business federation which represents nearly 3 million businesses of every size and which is based in Washington DC.
