Bidcorp and all the management of the businesses in South Africa are committed to transformation and the building of a sustainable economy reflective of the dynamics in the country where access to the majority of South Africans is afforded. We continue to develop, invest and refine initiatives in pursuit of maximising performance against the new B-BBEE Code. Bidcorp remains committed to broad based transformation.
Our integrated approach leverages our core business to support long-term economic development and participation through a principal focus on management control, supplier and enterprise development. The recently introduced revised B-BBEE codes have necessitated a recalibration of focus in each business and new plans have been implemented to achieve these goals.
Management control and Employment equity – all businesses have succession plans in place and are developing the identified individuals. There is a continuous commitment to fill positions as they become available with previously disadvantaged individual candidates, with the focus on females and people living with disabilities. Due to low staff turnover, achieving the desired levels remains a challenge.
Supplier development – our existing supplier network are experiencing challenges in achieving meaningful transformation which directly impacts the businesses ratings and does put pressure on the Bidfood business where certain customers have minimum rating requirements. The development of new suppliers remains difficult where new entrants are faced with stringent food safety regulations and technical requirements of product developments.
Enterprise development – businesses have incurred significant costs in funding and developing small enterprises where opportunities exist to integrate these businesses into small business opportunities.
In other areas, skills development plans are in place, and training continues within all businesses. There are on-going learnerships across our businesses and new learnerships are due for roll-out during the new financial year. Socio-Economic Development initiatives were well supported during the year, with all businesses exceeding the target of 1% of net profit after tax.
In South Africa each subsidiary business is responsible for their own transformation ratings and initiatives.
- BF has improved their management control score in the period, but marginally fallen back on skills development due to a lower overall spend. BF has achieved a Level 4 rating.
- CFG improved in the areas of skills development, as well as Preferential Procurement. Management control has moved marginally backward. Enterprise and Supplier development projects were delayed; however these projects are expected to bear fruit in the new financial year. CFG anticipates maintaining its Level 8 rating.
- CP has made improvements in all areas, and has improved their rating to a Level 4.
- Bidcorp has recently been awarded a level 5 rating as a consolidated entity of the South African operations.
Our goal is to continue to implement programmes and solutions that are suitable and commercially beneficial to all stakeholders and well situated for business growth.