South African Women's Entrepreneurship Network (SAWEN) Presentation to Portfolio Committee

1. Presentation to the Portfolio Committee of Small Business Development on 12/05/2015

2. Delegation Details • Ms Gail Downing – Chairperson of the Board • Acorn Group of Companies – Executive Director • Telephone : 011 704 6100 • Mobile: 083 251 2262 • Email: gail@acorngroup.co.za • 2. Ms LindiweNgcobo –Board Member • Inhlansi Business Enterprise (Pty) Ltd • Director & Deputy Chairperson • Telephone: 033 396 1297 • Mobile: 083 303 1697 • Email: ngcobol@mweb.co.za • 3.. Ms. Ruth Masokoane – A/CEO • SAWEN • Telephone: 011 403 1048 • Mobile: 083 677 9497 • Email: ruth@sawen.org.za

3. Who are we? • Non Profit Company (formerly S21) • - National Patron – Deputy Minister Hon. E. Thabethe (MP) • - Presidency • - Board of Directors • - Provincial Executive Committees • - 9 Provincial Chapters • - 3 offices (Gauteng, KZN, WC) • NationalMembership

4. Why do we exist? • Beijing Platform Action Plan • -Women economic empowerment • - Advocacy for gender equality • Status quo in South Africa (Challenges faced by Women-owned SME's and Co-operatives)

5. Challenges faced by Women-owned SME's and Co-operatives • Majority of the population of South Africa are women yet their participation in the economy is poor. • Access to finance, information, technology and markets. • Women operate primarily in the informal sector. • Low levels of appropriate skills & education. • Poor access to domestic and global markets. • Weak platforms for advocacy and recognition. • Poor coordination of women support interventions. • Inadequate monitoring and evaluation mechanisms of women’s information • Uneven geographical spread of the programs.

6. SAWEN Historical Background Timeline • Launched in 2002 • Registered as a Section 21 Company in 2004 • Fund Manager – Khula (now Sefa) -2004 to 2012 • Offices established and operational – 2005 - 2009 • Uncertainty & closure of offices – 2009 -2010 • Relaunched in 2011 • Re-established offices - 2011 - 2012 • Rebuilding & capacity building – 2011 to date • Fund Manager – Seda 2012 to date

7. Policy Instruments Body copy to be inserted here

8. SAWEN Identity Vision A premier national women’s agency providing holistic entrepreneurship support to existing and aspiring entrepreneurs Mission • Facilitate and monitor the advancement of women entrepreneurs and their impact on the economy of South Africa through: • Business networking and linkages • Training, development and support • Research, advocacy and lobbying • Recognition of achievements

9. Alignment of Strategic Objectives

10. Alignment of Strategic Objectives cont.

11. Alignment of Strategic Objectives cont.

12. SAWEN Target Market • Women who are engaged in informal income-generating activities but have aspirations to grow their enterprises and become formal entities in the future. • Women who have an interest in operating businesses and Co-operatives but lack the “know-how” to start. (facilitation and referrals to various partners such as CIPC, SARS, Seda, Sefa) • Women who own and operate SMEs and Co-operatives within the broader economy of South Africa. They must be self-employed and their companies must be registered.

13. SAWEN Values • Perseverance • Respect • Integrity • Collaborations • Excellence

14. SAWEN Programmes • Phakama – Connecting and uplifting women entrepreneurs • Farisanani – Leveraging and achieving through others • Menyetla – Linking opportunities to women entrepreneurs • Zabalaza – Shifting mindsets through advocacy • Halala! – Recognising and celebrating excellenceof women entrepreneurs

15. Service Offerings • Networking platform • Quarterly provincial networking sessions • National annual meeting • Conferences & summit • Business information and resources • Partnerships and resource mobilisation • Collaborations • Stakeholder engagement

16. Service Offerings cont. • Access to opportunities • Training and capacity building • Market Access Platforms • Advocacy & Lobbying • Research • Stakeholder engagement • LiguguLamiAwards

17. Membership Information Current Membership Fees = R350.00 per annum Number of members in Good Standing as at 31 March 2015 = 972

18. Membership profile The current membership profile is: 39% of members are within 18-35 age group 47% of members are in the informal sector 41% of members reside in rural areas 51% of members are township residents 82% of members are African We do have members who are disabled, however our current reporting does not include reporting separately on these members. This will be corrected going forward. Furthermore, Presidential Nodal Areas will be added to future reporting requirements.

19. Performance Overview April 2014 – March 2015 Body copy to be inserted here

20. Performance Overview April 2014 – March 2015

21. Performance Overview April 2014 – March 2015

22. Organisational Challenges • Limited Budget since inception • Inadequate Organisational Capacity • Stagnant Membership • Relationship with Principal (Gender & Women Empowerment Unit) • Fund Management

23. Organisational Challenges Limited Budget since Inception

24. Organisational Challenges Inadequate Organisational Capacity • Lack of internal organisational capacity due to limited budget allocation. • Focus limited to programme delivery and maintaining membership. • Primary focus on programme delivery – 65% of budget allocation to programme work

25. Organisational Challenges Inadequate Organisational Capacity • Human Resources • Current structure • 16 approved positions • 11 staff members • 5 vacant positions to be filled by end June 2015. • Acting CEO seconded from SEFA 2009 to date

26. Organisational Challenges Inadequate Organisational Capacity • Human Resources • Proposed structure 2015/16 • Increase headcount to 21 (growth by 5) • 5 vacant positions to be filled • Acting CEO seconded from SEFA 2009 to date

27. Organisational Challenges Inadequate Organisational Capacity • Human Resources & development • Lack of Human Resource function • Inadequate headcount • Fixed-term employment contracts linked to SAWEN’s budget allocation • Low staff morale due to lack of employee benefits and development

28. Organisational Challenges Inadequate Organisational Capacity • Systems • Policies, procedures • Monitoring & evaluation • Administration • Geographic footprint – Offices in Pietermaritzburg, Cape Town and Braamfontein • Limited reach

29. Organisational Challenges Relationship with Principal (Gender & Women Empowerment Unit) • Business plan approval processes • Fragmented related programmes e.g. TWIB, Techno Girls, Bavumile, etc.

30. Organisational Challenges Fund Management • 5% management fees paid to SEDA • MOU between Department and SEDA, excluding SAWEN • Delays in fund transfers due to administrative processes between Department and SEDA

31. Example of Interventions Training • Productivity SA (business improvement processes and after-care) • waste reduction • lower abseentism • increased sales • profit maximisation • quality focus • General Business Training • skills developed in costing, compliance, competitor analysis, presentation, business etiquette, marketing,etc. • Digital Literacy • learned to use computers • preparation own quotations and invoices • going online to search for business information and opportunities • Train the Trainers

32. Example of Interventions Market Access • Members are given the opportunity to exhibit their products/services in various platforms. • Décor Excellence exhibited at Decorex Gauteng at Gallagher Estate and generated sales of R150k from one event. • The following exhibited at the recent Wedding Expo at Northgate Dome and feed back on orders received is: • Diamond Love Bridal = R80k • Mokgalaka Creations = R10k • Gloria’s Design = 4 matric dance dresses ordered • Ledikana Creations = R2k

33. 2015-2016 PERFORMANCE PLAN

34. Performance Plan 2015/16

35. Performance Plan 2015/16

36. Performance Plan 2015/16

37. Performance Plan 2015/16

38. 2015-2016 FINANCIAL PLAN

39. Budgeted Income dsbd allocation increase – 4% Interest rate used – 2%. Increase based on actuals. Due to increased membership fees and the actual payments received in 2014/15 membership fees have been calculated at 880 fee payments of R350.00 Commitment fees of R50 by 400 members attending capacity building or training courses Co-payments of R250 by 100 members attending National events The income received from members is utilised for capacity building and training courses Retained Income of R5.2mil to be utilised on programme costs in 2015/16 financial year.

40. 2015/16 Budget Allocation Ratio • 2015/16 budget increase is 4% • Programme costs are 65 % of the overall budget expense and 35 % towards operating related expenditure. This is inline with statutory prescripts i.e. PFMA which proportional income of SAWEN is derived from. Going forward programme performance will monitor and reported in line with expenditure trends.

41. 2015/16 Budget Allocation Programme Costs Programme costs exclude provincial administration and overheads charges Programme costs are 65% of overall expense budget. A 32% increase in programme cost budget is due to the retained income from 2014/15 budget which will allow for the Co-operatives Support Initiatives programme to become a reality.

42. 2015/16 Programme Costs Phakama • National AGM Budget has been increased to cater for the transport costs. • Marketing Strategy – to assist with the finalisation and implementation of an overarching Marketing strategy incorporating fundraising, recruitment of members, communication, rebranding etc. • Outreach activities – where called upon by other institutions to present information relating to SAWEN • Provincial networking – caters for 36 networking sessions in the provinces for the year • PEC Development – Existing Provincial Executive Committee (PEC) members will be provided with mentoring, leadership skills and general support during the financial year until such time that the structures are dissolved in March 2016.

43. 2015/16 Programme Costs Farisanani • Partnerships – a small budget is set aside to assist with the process of entering into partnerships with 2 entities e.g. SEDA, Productivity SA, etc. • Joint Initiatives – this budget allows for two joint initiatives to be undertaken with 2 other organisations e.g. WEISED; Mzansi Women Chefs, etc.. • Stakeholder Engagement –International and/or National engagements with stakeholders to expose members to international best practice on Women Economic Empowerment issues as well as advocacy. E.g. Global Women’s Summit in Brazil; SAWEN’s involvement in the Atlanta Showroom to facilitate members’ participation in the market access project.

44. 2015/16 Programme Costs Menyetla Market access platforms – to facilitate 30 members to exhibit in 7 local and/or international fairs and expos like Decorex, Macufe, Rand Easter Show, Polokwane Show, etc. A large portion of the budget is set aside for various training initiatives that will assist members in growing their businesses. We aim to train 585 members in various areas of business and development.

45. 2015/16 Programme Costs Zabalaza • To publish the report of the research commissioned in 2014/15 and present to relevant stakeholders and lobby for improvements as per recommendations.

46. 2015/16 Programme Costs Halala! R1m of the dsbd’s allocation will be ring-fenced for the prizes of LiguguLami Awards. The award allocation is used to further enhance the winners’ businesses by funding identified needs. Should the amount not be utilised fully during the financial year, it is recommended that the balance be redirected to other programmes. Expenses included are for adjudication costs, promotion of competition, DVD and magazine production, certification and presentation costs. Included in this cost is the post competition monitoring and evaluation of entrants and winners.

47. 2015/16 Programme Costs Co-operatives Enterprise Development (As a pilot project) • Identify opportunities in catalytic sectors for women-owned co-operatives. • Mobilising support from Seda for Incubation support services and Sefa for finance support. • Facilitating the participation of identified Co-operatives to engage in value chain manufacturing • Ideal scenario - Massification of value chain manufacturing initiatives • Clothing & Textile - 30 Co –operatives @ R10m = R300m per annum (minimum) = at least 3 per province • Sanitary , surgicals and related products = 20 Co-operative @ R10m = R200m per annum (minimum ) = at least 2 per province • Protective gear = 10 co-operatives @ R10m = R100m (minimum per annum) = at least 1 per province

48. 2015/16 Programme Costs Organisational Development • Recruitment cost to employ 5 new staff members and to fill existing vacancies • To upgrade the CRM for efficient monitoring of members’ involvement in activities and training and to cater for automated invoices with online payment options.

49. 2015/16 Programme Costs Organisational Development • Expand geographic footprint by co-locating with Departments or Agencies in Limpopo and Northern Cape

50. Wish List for the Future of SAWEN