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CEO PRESENTATION FOR THE OCTOBER 2017 GOVERNANCE CYCLE

CEO PRESENTATION FOR THE OCTOBER 2017 GOVERNANCE CYCLE. CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability. OVERVIEW OF UPDATE. National Updates Strategic Focal Areas New SETA Landscape Planning Strategically for Skills Development Emerging priorities.

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CEO PRESENTATION FOR THE OCTOBER 2017 GOVERNANCE CYCLE

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  1. CEO PRESENTATION FOR THE OCTOBER 2017 GOVERNANCE CYCLE

  2. CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability OVERVIEW OF UPDATE • National Updates • Strategic Focal Areas • New SETA Landscape • Planning Strategically for Skills Development • Emerging priorities

  3. CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability NEW SETA LANDSCAPE • No further developments to report on regarding the new SETA Landscape from 1 April 2020 • Possibilities for the future, centralization of funding OR SETAs to remain largely as they are, and service the skills needs of their economic sectors • NSDS III extended to March 2020, Boards of SETAs to change and new Board appointed effective 1 April 2018. • The importance of all private providers at the FET and HET levels to become registered with DHET.

  4. CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability PLANNING STRATEGICALLY FOR SKILLS DEVELOPMENT • CHIETA’s track record of exceptional delivery in an accountable and responsible manner, with no skills development funds wasted and all set targets reached or exceeded in a sound governance environment. • 16th unqualified audit outcome from AGSA and 3rd consecutive clean audit outcome. • Blue print for partnerships with TVET Colleges and Industry • Linkages with DBE for support of comprehensive schools • Excellent electronic skills planning system and grant application and disbursement system using the “follow the money “principle. • This has put CHIETA in a good space for the future landscape • Integration of strategic skills planning, with scenarios and risk management to further increase CHIETA maturity level and strategic agility as external and transactional environments changes are progressing well and an update will be provided via the Governance and Strategy Committee of the Board.

  5. POSSIBLE SCENARIOS FOR THE CHEMICALS MANUFACTURING INDUSTRY FORK IN THE ROAD Global economic and commodity bounce back Reindustrialisation shapes SA GDP structure SA develops global mining/agriculture/manufacturing competitiveness Significant investment in oil/gas/coal /nuclear Skills base increasing and unemployment falling Despite being well funded SETAS out of touch, out of date Industry “goes it alone” on skills training, imports skills Expanded chemicals industry HIGHWAY TO PROSPERITY Global economy drives commodity recovery SA attracts massive new industrial investment Mining/agriculture/manufacturing competitiveness picks up Demand/policy sees much new oil/gas/coal/nuclear investment Skills base increasing and unemployment falling SETAS responsive to expanding chemicals industry Industry/SETA collaboration =global best practice example Collaborative skills environment Prescriptive skills environment POTHOLES AHEAD Global economy stalls and commodity prices flat SA deindustrialises further, services share of GDP up Investment in mining/agriculture/manufacturing declines Little new energy investment (no nukes, no fracking) Low skills, high unemployment economy SETA funding slides and SETA offering seen as out of touch with industry Little demand for new skills, skills imports 4X4 OFFROADING Global economy stalls Industrial disinvestment out of SA Mining/agriculture/manufacturing competitiveness declines Little investment in oil/gas/coal/nuclear High unemployment and low skills base Seta funding falls off Industry and CHIETA engage in highly creative collaboration to shore up niche industries against the odds – another global best practice case study in a chemicals unfriendly world Contracting chemicals industry

  6. SCENARIO 4: FLAGS FOR 4X4 OFFROADING AND SOME EMERGING PRIORITIES BEING SIGNALLED • RPL and accelerated skills training pipeline are embarked upon between Industry and CHIETA to deliver even faster on quality skills needed. • CHIETA and Industry are recognised for high quality and stakeholder driven research that enrich the skills planning and delivery process • Impact studies in partnership with Industry clearly demonstrates on a continuous basis that CHIETA impact beyond just pure learner numbers • A concern is that well educated South Africans, black and white, leave South Africa for better career opportunities abroad and losing our much needed Intellectual Capital • At the centre is the economy and by implication Industry, that cannot under these circumstances create the wealth and employment needed to meet popular expectation for improved living standards • Small business support and expansion occurs through collaboration with Industry and Government agencies on niche chemical companies and offerings • South African and Industry Policy makers through collaboration keep engaging to find sustainable solutions for the growing economic crisis

  7. CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability SKILLS DEVELOPMENT ACRONYMS

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