foodbev seta food and beverages manufacturing
Post on 11-Jan-2016
60 Views
Preview:
DESCRIPTION
TRANSCRIPT
FOODBEV SETA
FOODBEV SETAFood and Beverages Manufacturing
Higher Education and Training Portfolio Committee
27th October 2010
Ravin Deonarain
CEO
Introduction and Appreciation• Thanks and Appreciation:
– Hon Minister of Higher Education and Training– Hon Chairperson of Higher Education and Training Portfolio
Committee – Hon Committee Members
• Representatives of FoodBev Seta– Council Chairman: Mr Willie Prinsloo– Corporate Services Manager: Ms Liezl Gerryts– CFO: Mr Raj Rajcoomar– Skills Development Projects Manager: Mr Khotso N Potele– CEO: Mr Ravin Deonarain
Ravin Deonarain
Presentation Outline• Food & Beverages Manufacturing Sector
• Funds Management
• NSDS Performance
• Customer Satisfaction
• Portfolio Committee’s Specific Emphasis
• Strategic Plans F2010/11
• SWOTs Analysis
• Provincial Allocations
• Youth Unemployment
Ravin Deonarain
FoodBev SectorEconomic Characteristics
• Diverse sector
• Price sensitive products
• High production volumes – costs driven
• Capital intensive and technology driven
• Intense brand competitiveness
• Dominance - large companies and multinationals
• Large number small food manufacturers (85%)
• Mergers and acquisitions (brands)
Ravin Deonarain
FoodBev Sector
• Typical Companies
SA Breweries, Kellogg's, Nestle, Frito-Lay Simba, ABI, Coke
Cola, Tiger Brands, Pioneer Foods Premier Foods, Clover,
Oceana Fishing, Enterprize Meats, Nabisco, McCain's Foods,
Beacon, Cadbury’s
Bokomo, Distell, KWV ………….
Ravin Deonarain
Ravin Deonarain
Economic Characteristics
• Manufacturing Sector Output 28 % of GDP
• FoodBev Contribution 18% of manufacturing sector
• Wages 13,7 % of manufacturing
• GDP Contribution 5% of GDP
• Employment 2 % of total economy
• Employees 220 000 (80% large comp)
• Companies 7 500 registered/1800 levy
(BER, 2009)
Income/Expenditure Trend (Rm)
Ravin Deonarain
Highlights
• Unqualified Audit Report (10 yrs)
• Expenditure Rate 96%
• Surplus R 7 m– Ploughed back into grants
• Sector Challenge – Companies to accelerate progress of learning programmes– Increase Disbursement Rate - Reduce cash-on-hand
Ravin Deonarain
NSDS Targets Performance
Service Level Agreement
2009/10
Ravin Deonarain
Ravin Deonarain
2.1 80% OF LARGE FIRMS’ AND 60% OF MEDIUM FIRMS’ EMPLOYMENT EQUITY TARGETS SUPPORTED BY SKILLS
DEVELOPMENT. IMPACT ON OVERALL EQUITY PROFILE OF FIRMS AND SECTORS MEASURED
Success Indicator 2009/10
TargetPERF %age
80% LARGE 118 148 125%
60% MEDIUM 130 162 125%
Ravin Deonarain
2.2 SKILLS DEVELOPMENT IN AT LEAST 40% OF SMALL LEVY-PAYING FIRMS SUPPORTED AND
IMPACT MEASURED
Success Indicator 2009/10
TargetPERF %age
40% SMALL 330 435 132%
Ravin Deonarain
2.5 ANNUALLY INCREASING NUMBER OF SMALL BEE FIRMS AND BEE CO-OPERATIVES SUPPORTED BY SKILLS
DEVELOPMENT. SURVEY PROGRESS AND MEASURE IMPACT.
Success Indicator 2009/10
TargetPERF %age
BEE Co’s supported 32 48 150%
Ravin Deonarain
2.7 700 000 workers have achieved ABET Level 4
Success Indicator
ABET Level 1- 4
2009/10
TargetPERF %age
– Entered 367 998 272%
– Completed 75 503 671%
Ravin Deonarain
2.8. 125 000 WORKERS ASSISTED TO ENTER AND AT LEAST 50% SUCCESSFULLY COMPLETE
APPROVED PROGRAMMES
Success Indicator
Learning Programmes
2009/10
TargetPERF %age
– Entered 768 1760 229%
– Completed 460 1058 230%
Ravin Deonarain
3.2. 2000 non-levy paying enterprises, NGOs, CBOs, and community-based co-operatives supported by skills development. Impact of support
on sustainability measured with a targeted 75% success rate.
Success Indicator
Skills Dev Support
2009/10
TargetPERF %age
NGOs, CBOs, Co-ops
Non Levy Paying
Companies
66 115 174%
Ravin Deonarain
4.1. 125 000 unemployed people assisted to enter and 50% successfully complete programmes
Success Indicator
Learning Programmes
2009/10
TargetPERF %age
– Entered 500 1057 211%
– Completed 385 695 181%
Ravin Deonarain
4.2. 100% of learners in critical skills programmes covered by sector agreements and Nat Priorities from local FET and HET institutions
assisted to gain work experience. 70% find placement in employment or self-employment.
Success Indicator 2009/10
TargetPERF %age
To Gain Work Experience
- - -
Find placement after
completion
50 69 138%
Ravin Deonarain
4.3. 10,000 young people trained and mentored to form sustainable new ventures and at least 70% of new ventures in
operation
Success IndicatorNew Venture Creation
2009/10
TargetPERF %age
– Entered - 31 310%
– 70% operational after 12 months
21 47 224%
Ravin Deonarain
5.1. By March 2010 each SETA recognises and supports at least five Institutes of Sectoral or Occupational Excellence (ISOE) within public and
private institutions and through Public Private Partnerships (PPPs)
Success Indicator 2009/10
TargetPERF %age
ISOE’s recognised/supported
1 1 100%
Ravin Deonarain
5.2. Each province has at least two provider institutions accredited to manage the delivery of a new venture creation
qualification. 70% of new ventures still operating after 12 months
Success Indicator 2009/10
TargetPERF %age
New Venture Creation Provider
4 5 125%
Ravin Deonarain
5.3. Measurable improvements in the quality of the services delivered by skills development institutions
Success Indicator 2009/10
TargetPERF %age
SAQA Audit of FoodBev SETA
1 1 100%
Customer Satisfaction
Ravin Deonarain
Customer Satisfaction
Ravin Deonarain
Major Highlights• Exceeded Targets
• Unqualified Audit Report – 10 yrs
• Strong Focus
– Artisan Development
– Processing and Packaging Operations
– Leadership and Management Development
• World Cup 2010
– Training of food and beverages vendors/suppliers - fanparks
Ravin Deonarain
Performance ScorecardF 2009/10
Ravin Deonarain
Percentage Score
0% - 60% 61% - 80% 81% - 100% 101% - 120% >120%
Rating 1 2 3 4 5
Performance Description
Performance is Poor
Performance is below
Requirements
Performance meets
Requirements
Performance is above
Requirements
Performance is Excellent
Score: 4.80 = Excellent
Year-on-Year PerformanceYear 2003/4 2004/5 2005/6 2006/7 2007/8 2008/9 2009/10
DoL
Rating
Excellent
5/5
Excellent
5/5
Excellent
5/5
Above
Reqm
4/5
Above
Reqm
4/5
Excellent
5/5
Excellent
5/5
NSDS 1 NSDS 2
• NSDS/SLA target performance for sector• Financial Performance
Ravin Deonarain
Committee’s Specific Emphasis
• SWOT’s Analysis
• Strategic Plans F2010/11
• Provincial Allocations
• Youth Unemployment
Ravin Deonarain
Potential Internal StrengthsYES NO
Core competences in key areas
Adequate financial resources
Well thought of by market
Well-conceived functional/operational strategies
Access to economies of scale
Insulated from strong competitive pressures
Proprietary technology e.g. Learnerships
Ravin Deonarain
Potential Internal Strengths
YES NO
Cost advantages Better advertising campaigns Product innovation skills Proven management Ahead on experience curve Better processing capability Superior technological skills
Ravin Deonarain
Potential Internal WeaknessesYES NO
No clear strategic direction
Obsolete facilities
Subpar effectiveness because…
Lack of managerial depth and talent
Missing some key skills or competences
Poor track record-implementing strategy
Plagued with internal operating problems
Ravin Deonarain
Potential Internal Weaknesses
YES NO
Falling behind in R & D Too narrow a product range Weak market image Unable to finance needed changes in strategy
Higher overall unit costs relative to key competitors
Potential External Opportunities
YES NO
Serve more customers Enter new/other markets or segments Expand product line - broader range of customer needs
Look into related products Faster market growth
Ravin Deonarain
Potential External ThreatsYES NO
Entry of lower-cost competitors Rising attractiveness of substitute products (non accredited skills)
Costly regulatory requirements Vulnerability to recession and business cycle
Changing customer needs
Ravin Deonarain
BUDGET F2010/11SKILLS LEVY BUDGET SPLIT
NSF 46.3
ADMINISTRATION 21.2
MANDATORY GRANTS 106 .0
DISCRETIONARY GRANTS 42.4
NSF PROJECT 5.2
INTEREST/PENALIES 10 .1
TOTAL 231.2
Ravin Deonarain
Discretionary Projects
Ravin Deonarain
Ravin Deonarain
Youth UnemploymentProjects Spend (Rm)
Entrepreneur Development through New Venture Creation 1 500 000
Young Entrepreneur Support
o Mentorship
oBusiness Plans
o Linkages - support organizations (SEDA, banks, etc.)
o CIPRO Registrations
750 000
Community Based Organisation Grants 1 800 000
Internships & Work Experience Grants 9 600 000
Ravin Deonarain
PROVINCIAL SPREAD (Poverty Alleviation)
NVC
NGO
Ravin Deonarain
Ravin Deonarain
“……the SETAs do not provide training. They have a legal duty to disburse 80% of the skills development levy funds and are constituted in governance structures to represent a partnership between government, business and labour to direct skills training in various sectors. The SETAs also work at different levels of the training hierarchy and are intermediaries between business and training institutions using organised networks for workplace training.”
Min Blade NzimandeSkills Summit9 Sept 2010
Thank You
Ravin Deonarain
top related