Issued by: Government Communication Information System
22 October 2002
1. PURPOSE
To provide a framework and briefing notes for the communicating Business Summit intentions and for public private partnership on social development.
2. BACKGROUND
The Human Development Report, 2002, ranks South Africa 107 out of 162 countries in terms of Human Development Index (HDI), measuring income inequality, this is significantly lower than the 2001 figure of 94. This indicator includes three dimensions, longevity, knowledge and a decent standard of living. This HDI exposes the disparity existent in South Africa especially when it is contrasted with the Technological Achievement Index (TAI) ranking of 39. In fact Gauteng along with Silicon Valley are two of the world's 47 technology hubs.
Massive poverty continues to be the one of the biggest challenge threatening South Africa's eight -year old democracy. Rural communities, particularly women, children, people with disabilities and older persons being the worst affected. It is in this context that Minister Skweyiya has declared this year Abantwana Kuqala/Children First. Ban Pele/Kinders Eerste.
Given the position that the Department of Social Development (DSD) occupies, as the catalyst of development for the lives of the millions of the most vulnerable of our society, the task is daunting and DSD realizes it cannot achieve the desired results alone. The Department of Social Development has identified the necessity to develop a partnership with business around social development. The framework or context of such partnerships will focus on mutually beneficial areas whilst capitalising on the competencies and capacities of either parties.
3. BUSINESS LEADERS ROUNDTABLE/LEKGOTLA
The Minister together with the two patrons, Messrs Cyril Ramaphosa and Raymond Ackerman called together a "Think tank on building sustainable partnerships."
This Round table, facilitated by the Minister of Social Development, allowed business the platform to contribute to the strategic direction of the partnership.
As this partnership initiative and approach is new in South Africa, initial conceptualisation and planning included both business and government leaders, in a task team. The Roundtable discussion was hosted by the Minister and Mr. Cyril Ramaphosa at which thirty two top business leaders were invited to "survey the terrain".
Here an initial common vision was built with the parties investigating amongst other things hindering factors for social development, how to link social development to the core business of corporate South Africa and incentives for social development in that sector. The leaders isolated the following as strategic areas for the development of partnerships:
In order to address these challenges, coordination, information sharing and integration would have to be addressed. This would require,:
In seeking to immediately address these, it was agreed that the collective would seek to address the issues surrounding access to available social grants whilst also engaging on individual projects with a view of carrying through lessons to the Business Summit in October.
It was agreed partnership would be driven by either party's core competencies and thus would not necessarily require a deviation from day to day activities and Corporate Social Responsibility Programmes.
Subsequently, the Ministry met all the participants and have solicited support for the Summit and the agreed upon programme.
4. Goals
The Department of Social Development seeks to enable the poor, the vulnerable and the excluded within South African society to secure a better life for themselves, in partnership with all those who are committed to building a caring society. The agenda is attached and the goals of the Summit can be summarised as:
Short-term
Medium-term
The medium term objective is the synchronizing and integration of investment in impoverished communities, thus maximising impact.
Long-term
The long-term objectives are organisational and financial sustainability for community level initiatives aimed at poverty eradication and community empowerment is the ultimate goal.
Given the limited access to services and resources in rural communities, poverty is highest in those areas. Through targeting these areas in the context of the Integrated Sustainable Rural Development Strategy it is envisaged that most of the development imperatives will be met. It is through an increased self-reliance in the targeted pockets of poverty and the improved social cohesion of specific demographic groups (e.g. Women, youth, children, infirm, disabled and aged) who are particularly vulnerable to the conditions associated with poverty, that poverty could be seriously addressed. This would foster an increased economic activity thus eventually translating to human and economic growth led from the lowest part of society.
5. CURRENT PROGRAMMES
Government initiatives
Through the Integrated Sustainable Rural Development Programme (ISRDP) and the Urban Renewal Strategy (URS), Government aims to target specific pockets of poverty, whilst integrating its input to those specific areas. Through the different service delivery agencies and Poverty Relief Programmes, specific focal areas and demographic groups will be addressed.
In an attempt to meet these developmental objectives the Department of Social Development has, over the past three years, invested in some 3 000 community based organisations located at the lowest level of our society.
72% of those are in rural areas. Access to markets and insufficient capacities, amongst other developmental challenges, have ensured that these project beneficiaries continue to rely on the state and make a slower progression out of the poverty trap. Possibility for various forms of collaboration could be devised in this area. E.g. maybe corporate support to provide advice and possible funding on how these organisations can become self-reliant can be solicited.
Corporate Initiatives
The South African corporate sector is arguably the biggest on the continent with the Johannesburg Stock Exchange (JSE) competing with global markets in Europe, America and Asia, for investor attention.
The business sector plays a pivotal economic and social development role.
Over the years some of South Africa's businesses have taken a leading role in ensuring that economic empowerment of poor communities is central in their implementation strategies. It has been reported that R2 billion was spent, last year alone, by corporate South Africa on Corporate Social Investment (CSI).
Initiatives such as the Business Initiative and the Proudly South African Campaign seek to coordinate corporate social investment whilst maximizing impact of corporate input to social development.
Had these efforts not been isolated the impact would have been greater. In order to ensure greater impact businesses of all sizes and competencies have to work together in partnership and within a developmental framework facilitated by government and developed by businesses and communities in South Africa.
6. DEVELOPING THE PARTNERSHIP
Whereas the Department has six developmental objectives amongst them the provision of welfare services, the Poverty Relief Programme has seven objectives. It is believed that a more focused and institutionalised partnership with the Inter Departmental Social Cluster will reap optimum benefit for both parties and the intended beneficiaries of the partnership.
Economic contribution and the socio-economic impact of poverty and HIV/AIDS are not limited to larger businesses. Medium and small enterprises are also at the receiving end of these twin developmental challenges. The Department of Social Development and government in general is at the cutting edge of these socio-economic challenges.
Task team
The Minister of Social Development, in order to inform and give guidance to the process, has assembled a task Team, including representatives from the business community. This team currently includes CSI practitioners, financial institutions, marketing and communication specialists and social cluster officials from government.
Internal workshops and communication
An internal workshop was undertaken to ensure all relevant department personnel are part of the process.
A communication strategy has been developed which encompasses internal and external role players. The task team reports to the Minister of Social Development whilst it briefs the Director General on a fortnightly basis.
Face-to-face meetings
Consisted of six intimate consultations, hosted by the Minister, with 20 prominent business leaders. The objective is to allow the Minister an opportunity to outline his vision and to allow these leaders opportunity to research and develop their contributions to this process. These contributions were submitted and discussed at the Roundtable.
Greenfield projects
The Minister has identified 50 projects, which he intends to table to the Summit and receive support for them as a manner of planting the seeds of the partnership. These projects seek to address the areas identified by the roundtable and some will be adopted by Summit participants which will form part of Summit outcomes.
Stakeholder Management Infrastructure
Stakeholders identified in the social development sector are Government, Business, Civil Society, Organized Community and Community.
For the purposes of the Business summit, specific stakeholders include:
Stakeholder contributions:
Government: creation of an enabling environment via policy, research and international knowledge in social development, financial resources via grants, other resources including person power and infrastructure within provinces and rural areas.
Business: Knowledge, expertise and training in sustainability planning, governance and financial control, financial resources and access and to their business partners,
Civil Society: Knowledge, expertise and capacity in social development trends and practices. Resources, including person power and infrastructure for implementation of selected projects.
Organized Community: Knowledge and expertise on the situation at community level. An acute understanding of the cultural environment and existing structures, as well as human resources for implementation within these communities.
Community: Feedback on the success of the projects and ultimately the partnership.
7. TARGET AUDIENCE
150- 200 South African Corporate companies
8. THEME
"An integrated business and government poverty eradication strategy"
To be reinforced by a sub-themes
9. Plan Of Action
It is envisaged that a plan of action will emerge with specific deliverables
Possibilities of institutionalising these relations will also be looked at during the summit in order to enhanc e monitoring and evaluation Short, medium and long term partnerships will also be given attention.
Enquiries : Mbulelo Musi
Cell : 082 904 3395