Maximising skills development

for a sustainable future

PRESENTATION TO PUBLISHING

SUB-SECTOR

FEBRUARY 2015

About the FP&M SETA

• VisionCredible and effective skills development partner ensuring the delivery of service excellence that will produce a highly-skilled world-class workforce through various skills development interventions.

• Mission“To establish a credible institutional mechanism that facilitates an efficient and effective skills development process, through a range of quality services and partnerships, to contribute to the achievement of sector competitiveness, transformation and economic growth.”

About the FP&M SETA

• Values– Integrity

– Accountability

– Respect

– Service excellence

– Inclusive, sustainable socio-economic transformational interventions

– Uphold Anti-corrupt behaviour

New FP&M SETA Organogram

Chief Executive Officer

Acting Chief Financial Officer

Financial Accountant

SCM Manager

IT Manager

Executive Manager: Research, Planning

and Reporting

Communications & Stakeholder

Engagement Manager

Skills Planning & Reporting Manager

Human Resources Manager

Research Coordinator

Executive Manager: Quality Assurance

Learning Programmes Manager

Qualifications Manager

Executive Manager:

Governance, Risk, Compliance and Legal

Monitoring & Evaluation Manager

Risk/Company Secretariat

Executive Manager:

Projects

Regional Manager: Western Cape

Regional Manager: KZN

Regional Manager: Gauteng

Results of the Turn-Around Strategy

• Results of the turn-around strategy:

– FP&M SETA entered a growth trajectory and is heading towards sustainable maturity

– Marked improvement in terms of the overall SETA performance

– Successfully addressed huge volumes of discretionary grant commitments (including the ex-SETAs)

• Utilising additional human resource capacity & a functional integrated MIS.

– Implemented a dedicated project to present an “integrated Commitments Register”

Results of the Turn-Around Strategy

• Implemented action plans to resolve the previous year’s audit findings

• Process was managed through regular management meetings to ensure root cause of findings is addressed.

• Continuous observation by the FP&M SETA Executive Committee and Independent Audit Committee

• The FP&M SETA has effective and efficient governance structures in place to ensure good corporate governance, strong leadership and sound financial management.

Results of the Turn-Around Strategy

• Auditor-General of SA opinion on financial statements for the period ending 31 March 2014:

– The financial statements present fairly, in all material respects, the financial position of the FP&M SETA as at 31 March 2014

– The financial statements receiving an UNQUALIFIED audit opinion

• Conclusion on usefulness and reliability of the reported performance information:

– No material findings were raised on the usefulness and reliability of the reported performance information

Strategic Objectives

• The FP&M SETA Strategy is based on 7 pillars:Fi

nan

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Co

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ce

Sect

or

Skill

s D

evel

op

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Stra

tegi

c Pa

rtn

ersh

ips

Co

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un

icat

ion

s

Org

anis

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nal

Stru

ctu

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Res

earc

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Income Trends

16 642 340

19 300 705 20 248 386

11 884 238

-

5 000 000

10 000 000

15 000 000

20 000 000

25 000 000

80% Levy Income2011/12

80% Levy Income2012/13

80% Levy Income2013/14

80% Levy Income2014/15 YTD

Publishing Levy Income Trends

Income Trends

Statement of Financial Performance

• Total levy split per sector 2013/14

8%

0.2%

3%

6% 6%

1% 1%

13%

4%

21%

6%

3%

12%

15%

0%

5%

10%

15%

20%

25%

Levy Paying Firms

24587

1502

1082

60251

27 33

1121

8 5126

25 1 6 2 0109

0200400600800

1000120014001600

2014/15 Levy Paying Firms (4,408) Publishing Firms (282)

Levy Paying Firms Publishing Firms

Levy Paying Firms

302

289

284282

270

275

280

285

290

295

300

305

2011/12 Numberof levy paying firms

2012/13 Numberof levy paying firms

2013/14 Numberof levy paying firms

2014/15 Numberof levy paying firms

Publishing - Levy Paying Firms

Mandatory Grant Trends

WSP/ATR submission trends

1055 1041

12871218

0

200

400

600

800

1000

1200

1400

FY 2011/12 FY 2012/13 FY 2013/14 FY 2014/15

Mandatory Grant Trends

WSP/ATR submissions per sub-sector (2014/15)• More than 90% of firms received grant payments• Issues: Banking details / no levies received / overpayments

due to SARS reversals

166

49

9767

23 19

79

38

244

88

292

214

103

0

50

100

150

200

250

300

DG Expenditure Trends

R 38

R 55

R 127

R 0

R 20

R 40

R 60

R 80

R 100

R 120

R 140

1

FY2011/12 FY2012/13 FY2013/14

131% increase in discretionary grant expenditure (from 2012/13 to 2013/14)

2014/15 DG Allocation

10%

3%

10%

6%3% 2% 1%

19%

3%

11%8%

3%

19%

0%

5%

10%

15%

20%

25%

30%

35%

40%

Income Trend 2014/15 DG Allocation

Other = non-sector specific strategic projects.

Flagship Projects (Publishing)

FY Organisation Name Description DG Amount Number of Beneficiaries

Sub-Sector

2014-2015

Highbury Safika MediaWork Experience/Internship 150,000.00

10 Publishing

2014-2015

Rimele Traders cc Disability Projects183,000.00

15 Publishing

2014-2015

Times Media (Pty) LtdWork Experience/Internship 210,000.00

14 Publishing

2014-2015

Concept Interactive (Cape) (Pty) Ltd

Learnership Unemployed250,000.00

10 Publishing

2014-2015

Southern Globe Work Integrated Learning(6 Months) 300,000.00

20Publishing

2014-2015

Concept Interactive (Cape) (Pty) Ltd

Skills Programme Employed & Unemployed 396,000.00

55 Publishing

Flagship Projects (Publishing)

FY Organisation Name Description DG Amount Number of Beneficiaries

Sub-Sector

2014-2015

Macmillan South Africa Bursary Employed315,000.00 3

Publishing

2014-2015

Publishers Association Of South Africa

Work Experience/Internship 450,000.00 30

Publishing

2014-2015

Publishers Association Of South Africa

Sectoral Priorities -Publishing Entrepreneurship

3,340,000.00 50

Publishing

2014-2015

Independent Newspapers Pty Ltd

Work Experience/Internship 150,000.00 10

Print Media

2014-2015 Bidvest Paperplus Pty Ltd Disability Projects 244,000.00 20

Print Media

2014-2015 Group Editors Co Pty Ltd

Apprenticeship Employed & Unemployed 278,700.00 2

Print Media

2014-2015

Newspaper Head Office / Dienste Hoofkantoor Rural Development 304,000.00 50

Print Media

2014-2015 Creative Warehouse Learnership Unemployed 500,000.00 20

Print Media

QCTO Qualifications Development

• FP&M SETA Board committed approximately R50 million rand to review and re-register trade and occupational qualifications in 10 industrial sub-sectors within the FP&M sector.

• In total 54 qualifications to be reviewed & registered with QCTO, of which 20 are trade related.

• FP&M SETA is the DQP & AQP for all occupational qualifications

within the sector.

QCTO Qualifications Development

Project Partner Sector Served Occupational Title OFO Code

Publishing SA Publishing Publisher 134917

Publishing SA Publishing Scriptwriter - Editor 264102

APP Targets 2015/16

NSDS Outcomes/Outputs

APP ANNUAL

TARGET

2015/16

Establishing a credible

institutional mechanism for

skills planning

Large Firms 391

Medium Firms 410

Small Levy Paying Firms 539

Increase access to

occupationally directed

programmes

Unemployed Entering Learnerships 1120

Unemployed Entering Bursaries (including post-

graduate bursaries)125

Unemployed Entering Internships/Workplace

Experience250

Unemployed Entering Skills Programmes 800

Unemployed Completed in Learnerships 560

Unemployed Completed in Bursaries (including post-

graduate bursaries)62

Unemployed Completed in Internships/Workplace

Experience125

Unemployed Completed in Skills Programmes 400

Artisans Entered 360

Artisans Completed 180

APP Targets 2015/16

NSDS Outcomes/Outputs

APP ANNUAL

TARGET

2015/16

Encouraging better use of

workplace-based-skills

programmes

Workers Entering Learnerships 650

Workers Entering Bursaries 75

Workers Entering Skills Programmes 1000

Workers Completed in Learnerships 325

Workers Completed in Bursary 35

Workers Completed in Skills Programmes 500

Candidacy Programme Entered 0

Candidacy Programme Completed 0

Recognition of prior Learning (RPL) 100

APP Targets 2015/16

NSDS Outcomes/Outputs

APP

ANNUAL

TARGET

2015/16

Promoting the growth of a public TVET

college system that is responsive to

sector, local, regional and national skills

needs and priorities

TVET Student Placement Entered 300

TVET Student Placement Completed 150

Universities Student Placement Entered 155

Universities Student Placement

Completed 75

SETA/TVET College Partnerships 10

SETA/Universities Partnerships 2

SETA/Employer Partnerships 10

Lecturer Development Programmes

Entered2

Lecturer Development Programmes

Completed 1

Addressing the low level of youth and

adult language and numeracy skills to

enable additional training

AET Programmes Entered 750

AET Programmes Completed 375

APP Targets 2015/16

NSDS Outcomes/Outputs

APP

ANNUAL

TARGET

2015/16

Encouraging and supporting the co-

orperatives, small enterprises, worker

initiatives, NGO and community training

Initiatives

Cooperatives Supported 20

Small Business Supported 20

Building Career Guidance and Vocational

guidance Career Guidance Events 5

NSDS III Projects Rural development 5

Challenges

• Administration budget under strain due to SARS reversals

• SETA Performance hampered by delays

– Project implementation / invoicing / reporting delays

– Processing of payments

• Large number of contractual discretionary grant commitments due for monitoring & evaluation

• Compliance requirements increasing year-on-year

– Striving for CLEAN audit

• Changes in National SETA landscape imminent

– Application for relicensing in 2016

New Endeavours

• International Leadership Development Programme

– In partnership with top international university

– Aimed at development of leadership skills for current and upcoming leaders in the FP&M sector

• Research Chair Partnership

– In partnership with University of Witwatersrand (Wits Real)

– Aimed at enhancing the quality of FP&M SETA research initiatives including the development of a credible Sector Skills Plan and other sector related research studies.

Thank you

•Any Questions?