Transcript Document

Improving the relationship between
Businesses and Government
Contents
1.
2.
3.
4.
5.
6.
7.
Why is there a need for relationships?
What actions can Business take?
What action should government take?
The need for Regulation.
Practical examples in reducing Red Tape.
Tools for successfully reducing Red Tape.
How to develop a Red Tape reduction action
plan.
Why Should Businesses Work in Partnership
with Government to Reduce Red Tape?
• Businesses may have first-hand experience of what
the Red Tape problems are, as well as ideas on
solutions.
• Business is interested in cutting Red Tape in order to
reduce its costs of doing business.
• Government is interested because of the direct effect
of cutting administration costs and contributing to
economic development.
What actions can business take to Reduce Red Tape?
• Ensure that there is a formal consultation mechanism between its
structures and government to raise issues and concerns, and
discuss solutions and processes.
• Work with government, via an agreed process, to identify priority
Red Tape problems that are negatively impacting on them.
• Place pressure on the government to reduce Red Tape Red Tape
via the public media or other channels of communication. (e.g.
the office of the Public Protector).
• NB: Business must ensure that they don’t engage in illegal
activities and if they become aware of these, report them to the
Police or Anti-Corruption HL.
What action should government take?
• Cutting the burden of regulatory requirements on
businesses;
• Cutting the information demands on businesses;
• Creation of One Stop Shops and enhancing the use of
electronic services to reduce compliance costs
• Getting the LG regulatory system in order;
• Adopting “Tell Us Once” initiatives within departments,
this will allow the recycling and reuse of information
already provided; and
• Develop an electronic “single windows” system for
information on regulatory requirements.
http://en.wikipedia.org/wiki/Single-window_system
• Setting and being accountable for meeting service
standards;
• Building a culture of service excellence and
professionalism;
• “Connecting the dots” for small businesses that
must deal with many regulators; and
• Using plain language and providing clear,
definitive interpretations.
• Better understanding the impact of regulations on
small businesses.
Cutting Red Tape …Freeing Business to Grow, Recommendations Report, RTR
Commission, Government of Canada, Jan 2012
The need for relevant and effective
regulation for security?
Many businesses actually demand regulations to protect
themselves by creating entry barriers, standards, checks and
balances.
Tourism provides an example where guest houses often complain
that ‘new entrants’ don't comply with certain standards.
Therefore, while businesses may complain about regulations, they
would also be the first to complain if all the regulations were
abolished.
Starting a B&B
• Business registration CIPC
• Financing
• Regulation
– Re-zoning
– Building plans
– Food handling and preparation
– Liquor license
– SARS
– Grading (SAGC or equivalent)
– Advertising (By-laws)
– Labour (UIF, Minimum Wage, OHSA and others)
– Procurement policies
Western Cape ‘red tape team’ saves 85 jobs
• CEO of AMC Daneel Diamond Ventures, Mr. Gert
Janssen who is a Belgian citizen, was battling to
obtain a permanent residence permit .
• In June 2013, he was told to be patient by the
Department of Home Affairs where he applied for
a permit 6 years ago.
• He reached a point where he seriously considered
relocating the company to another country.
Intervention by the W C ‘red tape team’
• After proper intervention, his application was
finalised within 2 weeks.
• In addition to creating 85 jobs for locals, AMC
Daneel-Diamond Ventures has an annual
turnover of close to R300m.
http://www.bdlive.co.za/national/2013/09/25/wes
tern-cape-red-tape-team-saves-85-jobs
CIPC and FNB Partnership
• FNB will help to register your private company
with CIPC when you apply for a Business
Account.
• No need to visit the CIPC’s offices and stand in
long queues.
• You will only pay the CIPC registration fee of
R125. (No additional charge for registration by
FNB)
• Using an enterprise number for trading, no need
to wait for lodgement for name reservation.
e-Tshwane
Is a secure free online service that allows home owners, companies,
property managing agents and tenants to view, download and make
payments for all utilities accounts electronically anywhere and at any
time.
Benefits:
1. Reduction in long queues. (time and money)
2. No manual input or human errors in capturing references.
3. Removed human error and payment delays which are two of the
most common reasons for erroneous termination of services.
4. The system is fully integrated with major Banks. (Immediate
payment systems)
5. Access to full history of accounts and payments made ,
6. The ability to interact with the Municipality in the form of
lodging complaints and queries and compliments electronically.
Service Delivery Excellence
There are three main determinants of customer service excellence
- people, processes and technology.
People
Processes
Technology
Knowledge and Skills
Clear objectives and goals
Simple and clear UI
Motivation
Aligned with technology
Reliable
Capacity
Effective and Efficient
Secure
Communication
Continuous improvement
Be of assistance
Continuous training
Increased customer focus
Linked to CRM
Performance management
Synergy
A good process and process management system
should have the following:
• A process champion, to ensuring that specific processes function
well;
• A process goal or objective;
• Process key performance indicators or standards and targets that
identify acceptable levels of service and/or time frames;
• A monitoring and information system that measures, tracks, and
reports on the key performance indicators daily;
• A management process that reviews the performance of the
process and takes corrective action to address underperformance if necessary.
1. How to develop action plans? SCM
1. Define the Red Tape problem
Ineffective and inefficient supply chain
management (SCM) processes and controls
result in municipal under-expenditure,
corruption and not paying SP within 30 day’s
2. Identify causes of the Red Tape
problem
• Insufficient SCM staff capacity and/or skills
and experience.
• Political interference in SCM processes .
• Poorly designed SCM process and tender
documents.
3. Identify Impacts of the Red Tape
Problem
• Lengthy payment time frames to service
providers
• Under-expenditure contributes to a poor
business environment
4. Develop Action Plans
• Provide budget, to put in place scarce SCM
skills/staff.
• Ensure Municipal fraud and anti-corruption
policies are in place and enforced.
NATIONAL STEERING COMMITTEE
PROVINCIAL
DED
Thank you!!!
Dimakatso Kgomo
012 394 1462
[email protected]