Transcript TOTAL SOUTH AFRICA

TOTAL SOUTH AFRICA
A presentation to the
Parliamentary Portfolio Committee on progress made since signing
of the Liquid Fuels Charter
Parliament, Cape Town
1 September 2006
Subsidiary – Author - date
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Agenda
• Introduction
• Transformation imperative
• Key elements of the Charter:
- Ownership
- Management and Control
- Employment Equity
- Capacity Building
- Supportive Culture
- Affirmative Procurement
- Enterprise Development
- Corporate Social Investment
• Challenges
Dr J. Gule 30 August, 2006
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Transformation our imperative 1
“The empowerment we speak of is an inclusive
process and not an exclusive one. No economy
can meet its potential if any part of its citizens is
not fully integrated into all aspects of that
economy.”
President Thabo Mbeki
(The State of the Nation Address, 14 February 2003)
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Transformation our imperative 2
Transformation is “… an integrated and coherent
socio-economic process that directly contributes
to the economic transformation of South Africa
and brings about significant increases in the
numbers of black people that manage, own and
control the country’s economy, as well as
significant decreases in income inequality”.
dti policy document 2002
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The Charter drives our mission
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TOTAL SOUTH AFRICA
STRUCTURE
TOTAL
OVERSEAS
Remgro
TOSACO
50.1%
25%
24.9%
TOTAL SA
36.36%
NATREF
(Crude oil Refinery)
19.0%
SAFOR
(Base Oil Refinery)
30.0%
TOTAL
100.0%
Namibia
TOTAL
100.0%
Botswana
TOSAS
TOTAL
(Bitumen)
Lesotho
100.0%
100.0%
24,9%
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TOTAL COMMERCIAL
SERVICES
(TCS)
TOTAL
Swaziland
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Equity ownership
• Agreement for TOSACO to own 25% equity in
Total South Africa(TSA) signed in May 2003.
• TOSACO participation in full value chain
including all TSA subsidiaries e.g. Natref and
Safor.
• Solid financial model over 10 years
• TOSACO has majority (75.1%) ownership in
TOTAL Commercial Services (TCS)
• TCS is managed by a member of TOSACO
• Following payment of special dividends
repayment schedule is to be brought forward
from 2013 to 2010
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Management and control – TSA Board
Director
Status
Prof TW
Kambule
Non-Executive Male
Chairman
Black
PW Jordan
Executive
Male
CEO MD
White
ME
Shuenyane
S Stewart
Executive
Male
Deputy CEO
Black
Executive
Female
Director
White
TE Skweyiya
Non-Executive Female
Director
Black
MR Faku
Director
Black
EZ Jali
Non-Executive Male
Non-Exective
Male
Director
Black
EH Hertzog
Non-Executive Male
Director
White
P Chevardiere
Non-Executive Male
Director
White
DM Falck
Non-Executive Male
Director
White
A Champeaux
Non-Executive
Director
White
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Gender
Male
Designation Race
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Management and Control – TSA Board 2
• 45% of the Board members are Black people
• TOSACO appointed directors from day one
• TOSACO full voting rights from day one
• TOSACO fully involved in all Board Committees
(Audit, Remuneration,Transformation) and chairs the
Transformation Committee.
• The Transformation Committee requested the setting up of
the Charter Compliance Committee
– Elected by employees across all levels
– Union representatives members of committee
– Meets monthly
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Transformation Committee
• Members
• Ms T. Skweyiya – TOSACO, Chairman
• Mr M. Faku – TOSACO
• Dr Edwin Hertzog – Remgro
• Mr. M. Shuenyane – TOTAL
• By Invitation
• Mr P. Jordan
– MD & CEO
• Ms C. Botes
– GM: Human Resources
• Dr J. Gule
– GM: Transformation
• 1 General Manager each time (rotational)
• 2 TOSACO members each time (rotational)
• Committee meets minimum four times a year
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EMPLOYMENT EQUITY
Definitions:
• ACI = African, Coloured and Indian
• TGT = Target
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General Management
Chief Executive Officer
Philip Jordan
Deputy CEO & Executive Director
Morakile Shuenyane
GM: Strategy & Planning
Nosizwe Nokwe
GM: Finance
Sandy Stewart
Company Secretary
Andre Barwick
GM: Human Resource
Christa Botes
GM: Transformation
Dr. Jerry Gule
GM: NBLS
Cecil Mahloko
GM: Retail
Craig Lourens
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GM: Commercial
& Specialities
Anil Mooloo
Chief Executive Officer
TCS
Zamani Jali
GM: Manufacturing
& HSEQ
Robert Cosic
GM: Logistics
Jonathan Molapo
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STAFF PROFILE: ACI – ALL GRADES
68%
62%
51%
53%
69%
70%
72%
64%
55%
TSA 2000
TSA 2001
TSA 2002
TSA 2003
TSA 2004
TSA 2005
Jun-06
TSA TGT 2006
TSA TGT 2007
TSA
2000
TSA
2001
TSA
2002
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TSA
2003
TSA
2004
TSA
2005
Jun-06
TSA
TGT
2006
TSA
TGT
2007
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STAFF PROFILE: ACI – MIDDLE MANAGEMENT
56%
51%
52%
58%
52%
44%
41%
TSA 2000
TSA 2001
33%
TSA 2002
TSA 2003
TSA 2004
21%
TSA 2005
Jun-06
TSA TGT 2006
TSA TGT 2007
TSA
2000
TSA
2001
TSA
2002
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TSA
2003
TSA
2004
TSA
2005
Jun-06
TSA
TGT
2006
TSA
TGT
2007
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STAFF PROFILE: FEMALE – ALL GRADES
40%
37%
38%
36%
36%
35%
34%
32%
27%
TSA 2000
TSA 2001
TSA 2002
TSA 2003
TSA 2004
TSA 2005
Jun-06
TSA TGT 2006
TSA TGT 2007
TSA
2000
TSA
2001
TSA
2002
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TSA
2003
TSA
2004
TSA
2005
Jun-06
TSA
TGT
2006
TSA
TGT
2007
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STAFF PROFILE: FEMALE – MIDDLE
MANAGEMENT
33%
25%
26%
27%
28%
29%
34%
28%
26%
TSA 2000
TSA 2001
TSA 2002
TSA 2003
TSA 2004
TSA 2005
Jun-06
TSA TGT 2006
TSA TGT 2007
TSA
2000
TSA
2001
TSA
2002
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TSA
2003
TSA
2004
TSA
2005
Jun-06
TSA
TGT
2006
TSA
TGT
2007
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SKILLS DEVELOPMENT
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Capacity Building Prioritized
•
•
•
•
Focussed training and development programmes
Training spend up to 5% of total payroll
77% of total training spend on Black employees
Specific focus on capacity building and having a skills pipeline:
- Internship programme
• 17 interns in 2006
• 12 females
• 100% Black
• 2 young persons who have a disability
- Bursary Programme
• 10 places available - focus female technical
- Accelerated development programme
• Employees with potential put on an ADP
- International placements
• Graduate student to spend a year in the Total Group and overseas
studies at Masters level.
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Capacity building prioritized ..2
• Leadership in Oil and Energy Programme
- Enrolled 11 women employees (9 Black) in 2006, to
continue in 2007
• Trading Skills Development Programme
- Trainee identified for local and international
development. Initiative driven with TOSACO
• Participation in ASGISA
- Access database and enrol up to 15 trainees for 2007
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Supportive Culture
• Culture or climate surveys conducted annually
- IPSOS, Leadership survey and Best Company to
work for
• Company-wide diversity workshops
•
- All employees and diversity management events
Women Empowerment Programme
- Steering Committee on women issues
- Focus groups identified issues confronting women
- Remedial action plan
- Support to WOESA
• Transformation Department established
- Monitors, evaluates and guides corrective actions
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Employee Wellness
• National Employee Assistance Programme
• Disease management
- HIV/AIDS
• Knowledge, Attitude and Practice (KAP) survey
• Voluntary Counselling and Testing
• Treatment
• Health awareness days
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Disability management
• Gainful employment of people with disabilities
• Management and staff awareness and education
sessions
• Auditing – policies and facilities
• Attitude survey
• Self declaration in line with employment Equity Act
to enable target setting
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Affirmative Procurement
Year
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
Total
Controllable
Spend (excl
Crude)
R510m
R614m
R747m
Total BEE
Spend
% BEE
Spend
% BEE
Internal
Target
R10m
R100m
R157m
2%
16.2%
21%
0
15%
20%
R749m
R1052m
R1000m
R1060m
R184m
R330m
R305m
TBA
24.5%
31%
30%
TBA
25%
30%
35%
35%
40%
45%
55%
2010
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70%
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Enterprise Development
• Aim – growth and sustainability of HDSA companies
• Focus – HDSA-owned enterprises committed to
operating in the Energy and Liquid Fuels Sector.
- Examples:
• Ezethu Logistics: support in kind and skills transfer
• Inkwali Engineering: commercial and technical support
• Preferential terms HDSA companies
- Premium payment
- Fast track payment of invoices
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Enterprise development …2
• Retail Entrepreneurship Empowerment Programme
- Training and development, start up financial support
and guaranteed initial business guidance
- Aim:
• To transform retail network
• Today 38% of network operated by HDSAs
• Robust dealer placement policy (85% of all dealer
placements to be HDSA’s in Company Owned sites)
• National Dealer Council Transformation Committee
• Support for SA Supplier Development Agency
(SASDA)
- Contribution for operational costs and capital
- Staff secondment
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Corporate Social Investment
• Main focus areas:
- Education
• Science, Maths, Chemistry and English Further Education
and Training – Eastern Free State
• Technology Teacher Training – Kwa Thema and Tsakane
- Environmental Conservation
• Arbor Week – with Dept of Water Affairs and Forestry
• Kruger National Park / My Acre of Africa
- Heritage
• The arts (Sibikwa Community Theatre, MIAGI)
- Social development
• Community based care
• Support for children with disabilities
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Challenges
• Scarcity of requisite skills
• Knowledge transfer
• Retention of talent
• Genuine and sustainable affirmative procurement
• Attaining appropriate balance between managing
the expectations of all stakeholders in a rapidly
changing environment where the average age of the
Company is now less than 40.
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