|
|
|
|
The Partner
Programme - The Benefits |
|
|
|
|
|
|
|
|
The Adopt-a-Pothole programme is a very visible and high impact project that enables businesses to gain the following benefits:
- CSR
& BBBEE - for companies with turnover greater than R 35
million
- BBBEE
- for companies with turnover between R 5 million and R 35
million
|
|
|
|
|
Because businesses continue to experience increasingly rapid change, greater business risk, and more complexity in every aspect of their business, businesses need creative visibility programmes that promote their brand, create awareness of their products and motivate consumers to invest their hard-earned cash with them.
One of the ways to do this is by aligning your business with a social programme that gives you high visibility in the market place. The Adopt-a-Pothole does just this.
The Adopt-a-Pothole programme enables your company brand to reach thousands of potential clients in a very cost effective manner, day-in and day-out on the Internet.
When, you partner with the Adopt-a-Pothole programme, your brand gets exposure for a period of 12-months in the programme site. It is seen by site visitors, it gets picked up by search engines and appears on Google searches. But most importantly, your business is seen as a caring company that respects humanity and the planet and is doing something about addressing the current challenges facing both.
Top
of page
|
|
|
|
|
|
|
The 21st Century is the era of reputation management and the management of intangibles, and although corporate image can be created, corporate reputation can only be earned.
The last two decades have witnessed a revolution - transfer from industrial capitalism to a new knowledge-based economy, and industrial capital, which was based mainly on physical assets moving to include intangible assets, value creation and value exchange principles.
This means that the old type ruthless organisation will not survive unless they change, and adopt a socio-economic approach to business sustainability strategies, so that it can develop strong brand equity both internally and externally, and integrate CSR and BBBEE as the way forward and not as a simple
defense mechanism, or just to comply with legislation.
The above, reflects the reputation management trend, but a constraint that we have identified, is finding socio-economic projects that act as enablers of reputation management strategies.
The Adopt-a-Pothole is the perfect project to assist you in managing your reputation, because of its integrated approach, triple bottom-line components and consideration of stakeholder needs across the entire economic pyramid, managed within a multistakeholder framework.
Top
of page
|
|
|
|
|
|
|
- CSR and BBBEE if your business turnover is more than R 35 million per annum or if you are a listed company or a subsidiary of a listed company.
|
Corporate Social Responsibility (CSR) and Sustainability Reporting
The Adopt-a-Pothole project adds value to your CSR reports, because it provides quantifiable data of impact on unemployment, poverty, environment and a good road infrastructure.
The cost of a poor road infrastructure to your organisation has a direct impact on your business bottom-line profits. By participating in this project, you are in fact addressing the mandate of your investors and shareholders, and ensure that you reduce risk in your organisation that can impact on your company financial returns, and share
performance.
There is growing acceptance that as well as helping to address reputation
risks, CSR reports can now help to deliver improved financial performance; improved stakeholder performance; improved risk management; improved investor relations and improved access to new markets. Businesses of tomorrow have to spend time
analyzing how global challenges such as poverty, rising unemployment and climate change affect their industry, and they must use this understanding in the search for new business opportunities, and better returns on investment.
There is a growing awareness among investors that a well-produced CSR report gives an excellent oversight of many of the risks a business faces. Financial statements capture less than 20 per cent of corporate risks and value-creation potential, with the balance
derived from intangible factors such as human capital and resource efficiency. CSR reporting helps to explain these intangibles – environmental, social and governance data that is relevant, which is information that investors want as a means to better gauge the longer-term risks of businesses that they invest in.
Your investment in the Adopt-a-Pothole project showcases your commitment to your investors, shareholders and humanity at large and we believe that it will manifest in your company’s share performance and value creation over time.
Top
of page
Broad-based Black Economic Empowerment (BBBEE)
In South Africa, it is a legislated imperative that your company addresses BEE in earnest.
The Adopt-a-Pothole project assists your organisation in meeting the Enterprise Development and Socio-Economic Development targets in the generic BEE Scorecard.
Meeting the above targets can enable your organisation to improve your BEE rating by one or more levels, and position your organisation more competitively to being awarded contracts by your clients, especially if your marketing strategy include government tenders, or large
parastatals.
According to research, more than 85.4% of all companies that were rated in the past year by verification agencies have failed to address this element. With only 6.7% showing excellent compliance, 1.5% good compliance, 2% moderate compliance and 4.4% low compliance. In addition, of all
the registered companies with
CIPRO with incomes over R 35 million per annum, 69.1% of businesses have no real BEE development programme in place yet.
The Adopt-a-Pothole project will greatly assist you and your organisation in addressing this element of the BEE scorecard in a
painless and effortless manner.
|
|
Top
of page
|
How does the Adopt-a-Pothole project act as a BEE target compliance enabler?
Enterprise Development Target: 3% NPAT to gain 15 points
By providing your organisation with a certificate that indicates your financial or in-kind contribution in line with the table below.
|
| Contribution
Type |
Contribution
Amount |
Benefit
Matrix |
Claimable
Contribution Adopt-a-Pothole Project |
| Grant/sponsorship contribution |
Full grant amount |
100% |
YES |
| Enterprise development direct cost |
Verifiable cost (both monetary as well as in-kind contribution) |
100% |
YES |
| Time of your employees productively deployed in assisting the Adopt-a-Pothole programme |
Total annual cost to company of the employee divided by 160 |
80% |
YES |
| Professional services rendered by a rated enterprise to the project at no cost |
Commercial hourly rate of professional |
80% |
YES |
| Professional services rendered at a discount |
Value of discount based on commercial hourly rate of professional |
80% |
YES |
|
|
Top
of page
|
Where will funds or in-kind contributions be allocated to in the Adopt-a-Pothole project?
Funds or in-kind contributions will be allocated to any of the claimable items detailed in the table below.
|
| Items that must comply for reporting purposes in the Adopt-a-Pothole project |
Actions / Actual |
| Consulting fees |
Part of programme |
| Socio-economic license fees |
Programme enabler |
| Infrastructure and programme support costs |
Part of programme |
| Legal costs, agreements,
licenses, etc |
Part of programme |
| Recruitment, selection taking into account that to qualify, any project must create “employment” for at least 3 people per micro-enterprise |
Recruitment, selection and induction programmes, including medicals for each business unit cluster (5 business unit) will create 75 long-term income-earning opportunities per cluster. |
| Beneficiaries must be 50% black or 30% black women |
Trust structure with no direct ownership, target is 70% black beneficiaries
(Men, women and youth) |
| Needs analysis cost |
Full feasibility study and needs analysis.
Monitoring, evaluation and course correction |
| Compile business plan and action plans |
Part of programme |
| Compile operation manuals, policies and procedures and the associated skills transfer cost |
Part of programme |
| Costs associated with creating and implementing a skills development plan |
Part of programme |
Skills transfer process
implementation
(Management and labour) |
Part of programme |
| Compiling and implementing admin and cost control systems |
Part of programme |
Costs associated with training programmes for:
- Business skills
- Negotiation skills
- Planning skills
- Technical skills
- Socio-economic development skills
- Entrepreneurism skills
- Social Entrepreneurship skills
- SHEQ training (Safety
Health Environmental & Qualiy)
- Any other training programme that is deemed needed
|
Part of programme |
|
|
Top
of page
|
|
|
Socio-Economic Development Target: 1% NPAT to gain 5 points
Target beneficiaries are 75% black
|
| Contribution type |
Contribution amount |
Benefit Matrix |
Claimable
Contribution Adopt-a-Pothole Project |
| Grant/sponsorship contribution |
Full grant amount |
100% |
YES |
| Costs incurred in supporting Social Economic Development or approved contributions |
Verifiable cost (both monetary as well as in-kind contribution) |
100% |
YES |
| Discounts in addition to normal business practice |
Discount amount (in addition to normal business discount) |
100% |
YES |
| Professional services rendered by a rated enterprise to the project at no cost |
Commercial hourly rate of professional |
80% |
YES |
| Professional services rendered at a discount by a rated company to the Adopt-a-Pothole project |
Value of discount based on commercial hourly rate of professional |
80% |
YES |
| Time of your employees productively deployed in assisting the Adopt-a-Pothole programme |
Total annual cost to company of the employee divided by 160 |
80% |
YES |
| Payments made by you to any third party to perform social economic development |
Actual fees paid by you to selected organisation |
100% |
YES |
| Facilitation or fees paid to any organisation for training or mentoring of beneficiary communities which will assist them in increasing their own earning capacities |
Actual fees paid by you to selected organisation |
100% |
YES |
|
|
Top
of page
|
|
|
- BBBEE - businesses with annual turnover ranging between R 5 and R 35 million
|
Broad-based black economic empowerment (BBBEE)
Small enterprises make up the largest percentage of the South African economy, accounting for 67% of all registered organisations.
According to research conducted last year 63.5% of all businesses with a turnover ranging between R5 million and 35 million stated that they do not have a BEE scorecard, while 8.4% stated that they had done the rating themselves and 11.8% did not know where and how they got their certificates.
85.4% of the businesses surveyed have not considered Enterprise Development as a tool to gain maximum BEE points, and 81% have not considered Socio-economic development.
Taking into account that with the Adopt-a-Pothole project a QSE (Qualifying Small Enterprise) can gain immediately 50 points on your BEE scorecard, it makes good business sense to participate as a sponsor in the project and allocate 3% of your net profit after tax (NPAT) to the project, being 2% allocated to the enterprise development element and 1% to the socio-economic one.
I am sure that you will agree with us, the Adopt-a-Pothole project makes it easy for you to comply with BEE. One project, the Adopt-a-Pothole, and your business is immediately rated as a level 6 on the QSE BEE Scorecard.
But if you can get another 6 points in any of two other elements, that will result in your business being BEE rated at a level 5, or another 16 points in any of two elements as a BEE rated business at a level 4. This is the minimum BEE requirement at present that most of your clients are asking you to comply with.
Sponsoring the Adopt-a-Pothole programme can
translate to up to 50 points
in your BEE rating certificate immediately.
|
|
|
|
|
|
