Construction Management Summit 20 June 2012

1. Construction Management Summit 20 June 2012

2. CONTENT 1. INTRODUCTION OF MASTER BUILDERS SOUTH AFRICA 2. MBSA AND STATE OF INDUSTRY 3. ROLE OF A CONSTRUCTION MANAGER 4. MBSA AND SKILLS DEVELOPMENT 5. ROLE OF MBSA WRT THE DEVELOMENT OF A CONSTRUCTION MANAGER

3. About the Organisation • National body • Federation, Labour Relations Act • Founded in 1904 • Known as BIFSA since 1960s • Changed name in 2004 • MBAs are Corporate Members (9) • Affiliate Members (3) • Voluntary Membership (4 000) West Boland BUILDING SOUTH AFRICA

4. Membership Services • Education and Training: QCTO - DQP and AQP • Occupational Health and Safety: Audits, Star ratings, National and Regional Safety Competitions • Contractual and Procurement issues • Code of Conduct / Dispute Resolution • Insurance • Publications: BUILDER, Contract documents, OH&S tools, Members Survey BUILDING SOUTH AFRICA

5. Membership • African Federation of Construction Contractor’s Associations (AFCCA) Initiatives • Building & Construction Forum Interaction • JBCC • Government (DPW, DoL, Human Settlements) • Public sector organisations (SACPCMP, NHBRC, CIDB, CETA) • Construction Charter BUILDING SOUTH AFRICA

6. Turnover of MBSA Members • Majority small companies • 45% Less than R10m per annum • Extrapolated – • R100 billion plus annually Average Number of Employees • More than 80% - employ less than 100 people • 27% employ less than 20 people • MBSA membership employ more than 200 000 people Sector Engagement by type of Contracting • 80% from private sector

7. STATE OF THE INDUSTRY • To put the discussion into context: • industry and professions within the industry regulated by government and experiences rapid change in regulation and technical standards • industry experiences booms and busts which can be disruptive • it is an industry dominated by contractors and sub-contractors who employ few staff • Procurement and payment issues are prevalent

8. STATE OF THE INDUSTRY • Various factors have changed the scope/nature of the industry (the era of bricks upon bricks long gone): • Globalisation, modernisation, new technologies; complex multi purpose structures emerging, client demands for construction in line with all of the above

9. value, scope, resources, stakeholders, resources, no boundaries

10. Role of a construction manager • Planning and leading the construction team – cost measures, health and safety measures, budget, quality, design; • coordination and cooperation with other teams to achieve the targets • Management of various stakeholders – suppliers, client, sub-contractors • Supervision of labour • Monitoring of construction programmes to ensure

11. ROLE OF MBSA – development of skills • One of the main areas of focus is the development of the skills required by the industry in order to meet the requirements of a developing country • “Building South Africa”, a slogan used by Master Builder South Africa, could not put the activities of our member companies more clearly. We are building South Africa together with various industry stakeholders

13. Adopting a multi-sectoral approach : • MBSA role within the approach • Ensuring co-ordination of legislators, regulators, educators and commercial mechanisms • skills and qualifications development with relevant authorities; • Play a leading role in providing guidelines on development of materials for relevant qualifications to support the industry • Benchmarking and best practice internationally • Training needs of the graduates, • Voluntary skills levies ???– done before by the MBSA through the National Development Forum before • Public sector to provide an enabling environment: unlock building and construction project expenditure; regulate the profession BUILDING SOUTH AFRICA

14. ROLE OF THE MBAs • The continuing relationship between MBAs in the different provinces and tertiary institutions to ensure that industry needs are being met in the development of course materials for the construction management qualifications; • Training opportunities for graduates within the member companies of MBSA are being implemented • Use of a Youth Wage Subsidy to employ and train young graduates within construction companies

15. ROLE OF MBAs Western Cape • Interaction with UCT Building Sciences Department on the qualification of construction management • Meetings held with CIOB Eastern Cape • Interaction on development of CM course with the UNMMU, technikons, • Industry liaison meetings; • Content and legacy programmes; • Tracking no of entries into universities • Contractor members programmes employing CM students for holidy programmes

16. ROLE OF MBAs GAUTENG • Advisory Body at the University of Pretoria Building Management School • 2 Awards for the top student in CM degree KWAZULU NATAL • Advisory Body of the Durban University of Technology (DUT) • UKZN – on-going engagements re: standards, qualification development, industry needs • Workplace experience for CM students

17. WAY FORWARD • Leadership is of primary importance to ensure increased Coordination with various role players – CETA, CIDB, of SACPCMP, CBE on the promotion of the CM; • Increased involvement by MBAs / contractors nationwide in different parts of the country; • Youth Wage Subsidies to be utilised – to employ graduates