BEE

BEE – a system that could end ‘lazy’ purchasing

Great intelligence is required to create possibilities to optimise supply chains within the rules of black economic empowerment (BEE), Gerd Kerkhoff, CEO of purchasing consultancy Kerkhoff Consulting, told SmartProcurement. Kerkhoff Consulting is a recognised leader in purchasing optimisation with over 500 clients worldwide. “If you don’t break-open rules that govern or restrict purchasing activity they […]

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“Box ticking” affirmative procurement does more harm than good

Over the last 15 years or so, the Government has tried various means to spread South Africa’s wealth more equitably among its people. Good progress appears to have been made, however, there is a growing move towards a complex political box-ticking ‘compliance’ approach to affirmative procurement and associated policies which may, in the long run,

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Black-owned firms penalised for using white talent

The chairperson of South Africa’s largest wholly owned black auditing firm has expressed concern over BEE codes which penalise black-owned firms who expand their skills base with white talent. “Gobodo Incorporated needs to further expand its skills base and attract top auditing minds for the large accounts for which it is responsible. Based on my

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Equity equivalents counter low BEE procurement scores

Most foreign-owned companies operating in South Africa are not going to sell shares locally and consequently have a lower B-BBEE scoring. Therefore, if they are your vendors then your Preferential Procurement scoring is negatively influenced. However, the Department of Trade and Industry’s (DTI’s) codes of good practice make provision for Equity Equivalents, Benni North of

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Implementation of BEE hampered by bad information

  Insufficient information is one of the biggest hurdles to the implementation of Black Economic Empowerment (BEE) policies and legislation in the workplace, which perpetuates negative attitudes towards BEE, distorts the BEE process, and also devalues those legitimate BEE business owners in the marketplace, Alex Soare of BEESA BoxSmart told SmartProcurement Referring to the results

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Has there been an effective change in the public sector tender regimes since 2003?

In 2003 Business Day reported on the Black Business Media Summit. At this summit, Shadrach Appanna, then an Economist from the Development Bank of South Africa (DBSA), spoke on the topic of ‘Preparing black businesses to excel in Public Private Partnerships’ (PPPs). In this specific talk, Mr. Appanna, pointed out that when PPPs are used

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A minefield of misinformation – Tackling the challenges of BEE perception

It’s been two years since the introduction of BBBEE (Broad Based Black Economic Empowerment) and yet there is still a critical need for information about this phenomenon. This lack of information perpetuates misconceptions around BEE – rather than empowering employers with the right framework for implementation, the limited knowledge available creates an emotional environment that

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Finally, first BEE verification agencies accredited

The Association of BEE Verification Agencies (ABVA) has welcomed the announcement by the Minister of Trade and Industry, Mandisi Mpahlwa, in terms of verification agencies that have completed the accreditation process conducted by the South African National Accreditation System (SANAS) on behalf of the Department of Trade and Industry (DTI).

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The impact of the financial crisis on SA, and why BEE is now more important than ever

When the current global financial crisis peaked in 2008, the South African economy was held together by its strong foundation which benefitted from several past regulations that minimized investment flows out of the economy. Factors that have been in South Africa’s favor include our exchange control, our healthy banking system, the infrastructure investment by government

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