Transcript Document

BANKSETA
The way forward
Frank Groenewald
11 November 2004
Objectives of the Skills
Development Act
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Developing a culture of high quality lifelong
learning;
Fostering skills development in the formal
economy for productivity and employment growth;
Stimulating and supporting skills development in
small businesses;
Assisting new entrants into employment;
Objectives of the Skills
Development Act
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To make South Africa a more equal place for
everyone;
Stimulate and support skills development in
SMME’s;
Improve employment prospects for previously
disadvantage persons and Assist new entrants into
the labour market;
Promote opportunities for skills development in
development initiatives.
Mission statement
To promote and give effect to legislation
by establishing an education, training and
development framework to enable
stakeholders to advance the national
and global position of the banking sector.
Stakeholders
1. Business
2. Labour
3. Government / Departments of Labour, Education and
Finance
4. Parliament and Portfolio Committees
5. NSA
6. NGOs / CBOs and Youth organisations
7. Unemployed
8. Education and training providers
9. Consultants / Vendors
Many Voices = Many needs
1. Social transformation
2. Employment creation
3. Employability
4. Poverty alleviation / eradication
5. Skills development
6. Charter implementation
7. HIV/Aids education
8. Crime prevention
9. Adult Basic education
10. Consumer education
11. Access to Learning
Strategy setting
in the SETA
environment
BANKSETA Scope
 Central banking
 Discount houses, commercial and other
banking
 Building Societies
 Financial mediation
 Lease financing
 Securities dealings
 Activities ancillary to financial mediation
Strategy Process
1. Collect and interpret information
2. Develop strategies
3. Implement Strategies
4. Evaluate Strategies
Strategy Process
Step 1
Collect and interpret information
1. International (Trends on Finance, Banking and
People development)
2. National (GDS, NSDS, EE, BEE and Current
and Future focus areas)
3. Sectoral Initiatives ( FSC, IIP)
4. Stakeholders (Business, Labour, Youth,
Providers, Learners)
NATIONAL ISSUES FACING
THE SECTOR
• State of the Nation address
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• Unemployment
• Poverty alleviation
• Employment Equity
• Broad Based Black Economic Empowerment
HIV/AIDS
Lack of available skilled resources
Challenges in supply side of educated labour
Transformation
Financial Sector Charter
Sectoral shifts in the
economy
Contribution to gross value added
Average of annual figures by decade (current prices)
80
70
60
Primary sector
Secondary sector
Tertiary sector
50
40
30
20
10
0
1950s
Source: SARB
1960s
1970s
1980s
1990s
2001
Sectoral issues to
be considered
Finance Sector Charter
Transformation Charter; developed voluntarily by
sector and sets Principle and Targets for EE and BEE
implementation
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Access To Financial Services, unbanked
Human Resource Development
Procurement Policies
Enterprise Development
Empowerment Financing
Ownership In Financial Sector
Control In Financial Sector
Shareholder Activism
Corporate Social Investment
TREND ONE:
Shrinking employment
Current employment in the region of 136 000 people
2003
Nedcor
6.3
10.9
22.45
Standard
ABSA
18.25
FirstRand
22.37
19.73
Investec
Other
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TREND TWO:
Profile of Skills
Skills requirements change
History of employing skilled people
Future of employing Highly Skilled people
Require multi-skilled people on a higher level
Employment Patterns
120%
100%
8%
8%
2%
80%
60%
79%
78%
74%
Skilled
Highly Skilled
40%
20%
Unskilled
13%
14%
24%
0%
1970
1980
1998
Professionals and
Associated Professionals
in the broader banking
sector
Year
%
2001
30
2003
40
EMPLOYMENT BY RACE
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5% increase in Africans
1% increase in Coloureds
3% increase in Indians
9% decrease in Whites
Compared to 2001 data
24%
African
Coloured
50%
Indian
15%
11%
White
TREND THREE:
Demand for Skills
• Senior officials and managers including credit
managers, risk managers, call centre managers
• Professionals including E-commerce specialists, IT
experts, risk and credit
• Associate professionals and technicians including
product developers, credit analysts
• Advancement of Historically Disadvantaged Individuals
with these skills.
SKILLS DEVELOPMENT
PRIORITY AREAS (critical)
1. Information Technology related skills development
2. Management and Leadership skills development
3. Customer Interface related skills development
4. Specialist Financial skills development
5. Legislative Compliance relates skills development
Strategy Process
Step 2
Develop strategies
Objectives
Current Strategic Focus
1.
Transformation (Including EE and BBBEE)
2.
Finance Sector Charter
3.
Youth development
4.
Consumer Education
5.
SMME Development
6.
National Skills Development Strategy
Objective 1:
Transformation
The BANKSETA will initiate and support national and
sector transformation by supporting BBBEE and EE
related initiatives.
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Targeted skills development initiatives (gender
and equity sensitive)
Preferential procurement
Provider development initiatives
Objective 2:
The Finance Sector Charter
The BANKSETA will support the implementation of the
Financial Sector Charter by creating Projects,
initiatives and funding windows that will enable the
development of employed people, unemployed
potential employees and consumers
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Neutral Data Collection Hub
Learnerships (Letsema)
Woman MBA programme
Wholesale Banking Exchange programme
Objective 3:
Youth Development
The BANKSETA will implementation Projects, initiatives
and funding windows that will enable the development
of unemployed people and unemployed potential
employees.
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CiDA bursaries
General Learnerships (18.2)
Letsema l, ll, lll
Objective 4:
Consumer Education
The BANKSETA will provide consumers of banking and
micro finance product with development opportunities
that will result in financially literate consumer base
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MFSP deliverables
To be determined
Objective 5:
SMME Development
The BANKSETA will support SMME Development with the
creation of targeted initiatives for this sector.
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SMME Voucher scheme
• Current product range
• Expanded product range (IIP Support, MFSP
training products)
MFI related research and training initiatives
Skills Audit
Objective 6:
National Skills Development
Strategy
The BANKSETA will support the implementation of the
National skills development strategy by creating
Projects, initiatives and funding windows.
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2000-2005
9 targets ( Meet of exceed all)
2005- 2009
To be finalised.
(Potentially 15 different types of grants)
Strategy Process
Step 3
Implement Strategies
Business plan
Strategy Process
Step 4
Evaluate Strategies
Gap Analysis
Customer Satisfaction Survey/
Board Reporting
Quarterly Reporting to DoL / Treasury
Customer satisfaction Survey 2004
The Executive Scorecard
Leveraging Human Capital Performance
Headline People Measures
Income per
FTE
Net operating
costs per FTE
Profit per FTE
Human
Investment
Ratio
Wealth
Created per
FTE
HR Deliverables
What
you
have
Productivity
Remuneration / Revenue
True Labour Costs
Value Creation
Training hours per FTE
HR Efficiency
HR Costs / Total Costs
Performance pay / Rem.
FTE / HR FTE
Resignation rate
Remuneration. / Costs
Recruitment & promotion rates
Average Remuneration
Outsource Rate
Acceptance Rate &
Time to fill
Absence rate
Demographic Representation
HR Professionalism
What
you
want
Strategy Gap Analysis
Project Clusters
SMME
HDI Scarce
Compliance
SAQA
and Strategic
Training Skills
Research
Dev. Skills
Training
NQF
Priorities (Down)
Dev.
Transformation
Employment
Equity
BEE
Learnerships
Lifelong
Learning
Training
Infrastructure &
Quality
Sector
Participation
Youth
Development
Small Enterprise
Promotion
Consumer
Education
18
18
23
7
2
9
6
13
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11
3
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11
5
14
3
5
12
12
21
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4
9
5
4
1
7
5
3
9
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4
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2
1
2
10
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20
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2
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1
1
1
3
2
3
NSDS success
indicators
SETA five year
target
SETA target
achievement
2001/2
SETA target
achievement
2002/3
SETA target
2003/4
SETA target
achievement
2003/4
NSDS Objective 1 : Developing a culture of high quality lifelong learning
1.1
1.2
1.3
By March 2005,
70% of all workers
to have at least a
Level 1
qualification on the
NQF
80% of all employed
workers have an
NQF Level 1
qualification
973 workers
received training
709 workers
received training
700 workers to
receive training
1284 workers
By March 2005, a
minimum of 15%
of workers to have
embarked on a
structured learning
programme, at
least 50% of
whom will have
completed their
programme
satisfactorily
20% of workers to
have embarked
successfully on a
structured skills
development
programme
141 335 workers
received training
101 026 workers
received training
90 000 workers or
69% (131 212 as
at June 2002)
115 090
By March 2005,
an average of 20
enterprises (to
include large,
medium and small
enterprises) and at
least national
government
departments, to be
committed to, or to
have achieved the
Investors in
People standard
30 private sector
firms to have
committed to or to
have achieved an
agreed national
standard for
enterprise-based
people development
(5 large, 15
medium, 10 small)
No targets required
in this period
50 sites from 4
large banks and 5
medium and small
banks have
committed
8 private sector
firms/business
units are
committed to
implement an
agreed national
standard for
enterprise based
people
development (2
large, 5 medium
and 3 small)
66 sites from 4
received training
workers received
training [update
with new
information]
large banks, and
18 medium and
small banks,
including microfinance, have
committed
NB: Cumulative
totals
BANKSETA Principles of
Operations
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Leverage resources to the strategic benefit of the
stakeholders.
Place value on the swift delivery of services at the
lowest cost through the cost effective employment of
leading edge technology and best management
practices
Co-source non-core delivery mechanisms.
Comply intelligently and proactively with the changing
environment
Utilise research and benchmarking to improve the
sector’s competitiveness through skills development.
Establish the BANKSETA as hub for sector cooperation
BANKSETA biggest threats
1.
2.
3.
4.
Lack of focus
Many small initiatives / no critical mass
Negative public perception
Unrealistic expectations (Cannot be all things
to all people)
5. Over Regulation
BANKSETA Success Factors
• Committed and Informed Sector
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Competent Council/Board providing strategic
direction.
Strong culture of corporate governance,
ownership and ethics.
Clear vision, strategies and objectives.
Knowledgeable, competent, committed staff.
Strong culture of needs driven delivering.
Strong focus on evaluation and feedback
The Future
Operational
• SETA Operational Landscape ( Mergers)
• Structural Efficiency
Strategic
• Transformation
• Finance Sector Charter
• SMME Development
• Youth development
• Consumer Education (Broad interpretation)
• National Skills Development Strategy
THANK YOU