Strategic Plan Strategic Plan RP55/2017 ISBN: Strategic Plan PAGE 1

Transcription

1 Strategic Plan Strategic Plan RP55/2017 ISBN: Strategic Plan PAGE 1

2 Strategic Plan PAGE 2

3 Strategic Plan Chairperson s Foreword Consistent with the PFMA and Treasury regulations, TETA Board has formulated a three-year Strategic Plan that specifies how the Board will discharge its legislative mandates and functions over the 2017/18 to 2019/20 period in line with the Medium Term Expenditure Framework (MTEF) for the same period. Annual revisions have been made to the Strategic Plan and the current plan is for 2017/ /20. This period extends beyond the licensing period of TETA and serves only to reflect the projected needs of the sector. The Minister of Higher Education and Training, Dr BE Nzimande, has consistently emphasised the critical role of SETAs in the Human Resource Development of South Africa Strategy (HRDSA), especially in the development and building of capabilities for sustainable economic development. The Minister also reiterates the need for fostering partnership and collaboration between SETAs, TVETs and HEIs. In response to this call, TETA has optimised and aligned its strategy and delivery mechanisms accordingly. This ensures the organisation remains relevant to contemporary and emergent national priorities and compliant to legislation and dictates of NSDS III. TETA s strategic goals focus on the development of a skilled and capable workforce that will support significant increase in the number of artisans trained and placed. The goals also prioritise TVET and university learner workplace experience that leads to permanence in the targeted jobs. Our strategy also prioritises empowerment of designated groups and facilitation of their access to education and training and seeks to redress imbalances brought about by class, race, gender, disability and HIV/ AIDS. TETA is aware of the diverse nature of skills development challenges that lie ahead in the Transport Sector in particular and in the society in general. As we begin to grapple with the challenges introduced by the advent of NSDS III, we recommit ourselves to meaningfully contribute to the achievement of the socio-economic transformation of South Africa through development of programmes that are cognisant of the socio-economic realities of our country. Mr June Dube TETA Board Chairperson PAGE 3

4 Strategic Plan Chief Executive Officer s Foreword The Transport Sector plays a central role in the South African economy. It contributes significantly to Gross Domestic Product. The Sector presently employs approximately 895,000 people, who represent 6% of the national workforce and contributes 8.2% of GDP and 5.9% of national employment. (Source: TETA 2016/17 SSP; Stats SA 2016) Contrary to its position as a key sector in the economy, only 12.7% of people in the sector have a tertiary education; 36.8% have a secondary education; 13.2% have not completed secondary education; 1.6% have not completed primary education and 0.6 % have not been to school. It is necessary for the sector to improve the proportion of people with tertiary education from 12.7% to potentially about 25% over the next few years. (Source: TETA 2016/17 SSP; Stats SA 2016) In line with the Government prioritisation of job creation, social and economic development, recent years have seen significant infrastructural investments in the sector aimed at the improvement of road, rail, air and sea networks. The introduction of Operation Phakisa s Ocean Economy initiative calls not only for greater impetus for training of artisans and professionals, but also necessitates speedier turnaround times for a highly skilled workforce and calls for readiness on the part of TETA and its stakeholders to respond positively to this challenge. TETA and its partners are, therefore, key players in the Phakisa initiative. TETA will also position itself to play a meaningful role, alongside other key stakeholders, in the transformation of the Aviation industry under the auspices of the Aviation Industry Transformation Letsema. TETA will play a leading role in the crafting of a transformation strategy for this sector. Given the number, significance and the magnitude of emerging national and sector initiatives, TETA will seek fresh mandate from its Board that will provide for speedier response mechanisms to the said priorities. We will also form new partnerships and revitalise existing ones with training institutions, captains of industry and other committed stakeholders to ensure meaningful contribution and stewardship of these initiatives. Our strategy is guided by our overall mandate, as espoused in the NSDS III, and the recent proposed roles of SETAs as outlined in the White Paper for Post School Education and Training. Key elements of the transformational imperatives, Medium Term Strategic Framework, rural development agenda, Public Transport Strategy and Strategic Infrastructure Projects have been integrated into our strategy to lend its relevance to contemporary policies and debate. Ms Maphefo Anno-Frempong - TETA Chief Executive Officer PAGE 4

5 Strategic Plan Official Sign-Off It is hereby certified that this Strategic Plan: Was developed by the management of the Transport Education Training Authority (TETA) under the guidance of the TETA Board and the Department of Higher Education and Training Takes into account all the relevant policies, legislation and other mandates for which TETA is responsible Accurately reflects the strategic outcome oriented goals and objectives which TETA will endeavour to achieve over the period Khotso Ndjwili-Potele Date: 15 November 2016 Chief Operations Officer Signature: Simon Ndukwana Date: 15 November 2016 Chief Financial Officer Signature: Ms. Maphefo Anno-Frempong Date: 15 November 2016 Chief Executive Officer Signature: Approved by: June Dube Signature: Date: 15 November 2016 PAGE 5

6 Strategic Plan Table of Contents CHAIRPERSON S FOREWORD 3 CHIEF EXECUTIVE OFFICER S FOREWORD 4 OFFICIAL SIGN-OFF 5 PART A 9 1. STRATEGIC PLAN OVERVIEW STRATEGIC INTENT LEGISLATIVE AND OTHER MANDATES CONSTITUTIONAL MANDATES LEGISLATIVE MANDATES POLICY MANDATES SITUATIONAL ANALYSIS Transport Sector OVERVIEW PERFORMANCE DELIVERY ENVIRONMENT Transport Sub-sectors Transport SETA Sub-sector Profiles ORGANISATIONAL ENVIRONMENT Strengths, Weaknesses, Opportunities and Threats (SWOT) Analysis PESTEL Analysis Boston Consulting Group Matrix Organisational Critical Success Factors Organisational Strategic Objectives SECTORAL CHALLENGES AND OPPORTUNITIES Transport SETA Skills Development Priorities TETA Strategic Goals Emergent Policies, Legislation and other Strategic Initiatives Programme Alignment to National Imperatives DESCRIPTION OF THE STRATEGIC PLANNING PROCESS 33 PART B STRATEGIC OBJECTIVES OVERALL STRATEGIC GOALS PROGRAMMES RESOURCES CONSIDERATIONS MATERIALITY 59 PAGE 6

7 Strategic Plan Any Amount which Results from Criminal Conduct Significance Main Sources of Revenue BUDGET AND BUDGETING PROCESS Budgeting Processes Budget Assumptions Income Expenditure Grant Regulation Promulgation Medium Term Revenue Estimates (amounts in R 000) 62 PART C LINKS TO OTHER PLANS LEGISLATIVE FRAMEWORK PURPOSE OF ANNUAL STRATEGIC FRAMEWORK OBLIGATIONS OF THE SETA MEASURING AND EVALUATING SETAs PERFORMANCE GENERAL Proposed NSDS III Framework-SSP Salient Points PIVOTAL Occupational Programmes 66 (Professional, Vocational, Technical and Academic Learning) 6.6 PROGRAMME DELIVERY PARTNERS 66 ANNUAL PERFORMANCE PLAN 67 TECHNICAL INDICATOR DESCRIPTIONS 103 PAGE 7

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9 Strategic Plan PART A 1. Strategic Plan Overview 1.1 Strategic Intent Our Vision, Mission and Values have been crafted to reflect our intent of driving skills development innovation through partnerships with local and global HRD players, at both institutional and industry levels. Vision Mission Values Key Strategy To be at The Heart of Skills Innovation in the Transport Sector. To provide an innovative Quality Assurance and Skills Development (QASD) Framework to the Transport Sector by exceeding the SLA and stakeholder requirements in a cost effective manner by our motivated competent people. Trust Respect Responsibility Accountability Positive Attitude Commitment Innovation Economic Development Industry Skills Needs National Priorities Transformation Innovation PAGE 9

10 Strategic Plan Legislative and other Mandates The Transport SETA is established in terms of the Skills Development Act, 1998 (Act No. 97 of 1998). TETA, a public entity that reports to the Minister of Higher Education and Training and operates under the oversight of National Treasury in terms of performance management and financial administration, is a Skills Education and Training Authority responsible for skills development in Transport Sector. The primary functions of TETA are to develop a Sector Skills Plan; facilitate the development, registration and implementation of learnerships, skills programmes and strategic initiatives; approval of workplace skills plans; disbursement of grants to stakeholders; and quality assurance of education and training that falls within the scope of the sector. The Transport Sector is demarcated into 8 subsectors. Each subsector falls under relevant Chamber responsibility: Road Freight Chamber, Freight Handling Chamber, Aerospace Chamber, Road Passenger Chamber, Taxi Chamber, Maritime Chamber, Forwarding and Clearing Chamber and Rail Chamber. Moreover, the Transport SETA operates within the following legislative mandates: 2.1 Constitutional Mandates The sections within the Constitution of the Republic of South Africa, 1996 (Act No. 108 of 1996) that guide the operations of the Transport SETA include the following: Promoting and maintaining high standards of ethics Providing service impartially, fairly, equitably and without bias Utilising resources efficiently and effectively Responding to people s needs; the citizens are encouraged to participate in policy-making Rendering an accountable, transparent and development-oriented administration. 2.2 Legislative Mandates Skills Development Act 1998 (Act No 97 of 1998) as amended Skills Development Levies Act, 1999 (Act No 09 of 1999) Regulations published in the Government Gazette, No , 03 December 2012 regarding Monies Received by a SETA and Related Matters South African Qualifications Authority Act, 1995 (Act No 58 of 1995) PAGE 10

11 Strategic Plan The National Qualifications Framework Act, (Act No. 67 of 2008) Public Finance Management Act (Act No 29 of 1999) Employment Equity Act, 1998 (Act No 55, 1998). The Other Frameworks Include: In developing the Transport SETA Strategic and Annual Performance Plan, the following frameworks and priorities were taken into consideration: National Transport Master Plan 2050 Human Resources Development Strategy of South Africa 18 March 2009 National Skills Development Strategy (NSDS III) 2011/ /16 Medium Term Strategic Framework ( ). National Development Plan The Medium-Term Strategic Framework (MTSF) HRD Strategy New Growth Path (NGP) Industrial Policy Action Plan (IPAP) National Skills Accord Strategic Integrated Projects White Paper for Post School Education and Training Comprehensive Rural Development Programme Corporate Governance of Information and Communication Technology Policy Framework (CGICTPF) These policy frameworks and programmes have one objective in common and that is addressing the triple ills of inequality, poverty and unemployment. These policies provide good guidelines and frameworks for the TETA strategy. PAGE 11

12 Strategic Plan Policy Mandates The policy mandate of the Transport SETA is addressed in its Constitution and covers the following: Implement the Sector Skills Plan Promote learnerships in each of the sub-sectors of the SETA Perform the functions of an Education and Training Quality Assurance Body Iiaise with the National Skills Authority on skills development matters Conclude a service level agreement with the Director-General of the Department of Higher Education and Training in terms of section 10A of the Act Promote the national standard established in terms of section 30B of the Act Submit budgets, reports and financial information that are required in terms of the Public Finance Management Act, 1999 to the Director-General of the Department of Higher Education and Training Facilitate the involvement of relevant government departments in the activities of the SETA to: - address the competency requirements for social delivery - address the learning needs of the most vulnerable segments of the Sector Promote training in SMMEs to enable them to qualify for public contracts Perform any duties imposed by the Act and to actively pursue concrete measures to achieve the objectives of the Act. PAGE 12

13 Strategic Plan Situational Analysis 3.1 Transport Sector Overview The Transport Sector contributes significantly to the economy of South Africa in terms of the country s gross domestic product and employment. Since 2012, the Transport Sector contributes approximately 9% to the country s Gross Domestic Product (GDP). The sector revenue contribution increased from R 242 billion in 2012 to about R 256 billion in At the same time, this sector is home to 6% of the working labour force of the country. Gauteng Province serves as the region with the highest economic and labour activity for the Transport Sector; the coastal provinces of KZN, Western Cape and Eastern Cape, which are largely driven by ocean business, trail directly behind Gauteng. As noted in earlier SSPs, the Transport Sector continues to be among the least gender transformed sector. Between 2015 and 2016, gender and racial transformation was estimated to have increased by less than 1% of total employment in favour of previously disadvantaged groups. Of the working Africans, the Transport Sector absorbs only 5.9%. Consequently, it is recommended that TETA continues to review interventions aimed at empowering the formerly disadvantaged groups in order to monitor achievements of intended goals. Source: TETA SSP Performance Delivery Environment The Transport Sector is at the heart of the South African economy, growth and social development. Given the low level of tertiary education in this Sector, innovative skills development solutions are critical components in ensuring that the Sector responds proactively and satisfactorily to national and global demands directed at both infrastructure and human resource development. South Africa has a modern and well-developed transport infrastructure. The air and rail networks are the largest on the continent and the roads are in good condition. The country s ports provide a natural stopover for shipping to and from Europe, the Americas, Australasia and both coasts of Africa. The Transport Sector is technology-driven and, as such, is dynamic and has many risks associated with obsolescence of skills and technology. Transport SETA, therefore, has to ensure a good understanding of this environment to be able to facilitate development of appropriate strategies that will ensure relevance of technology and enablement of cutting-edge HRD programmes that provide the right skills at the right levels. The Government has prioritised the development of the transport industry for job creation, social and economic development and the competitiveness of the economy as a whole. This is embodied in the recent launch of the Ocean Economy initiative by the Office of the President. Demand and supply of labour in the sector are highly affected by socio-economic and policy factors such as education levels and government regulations (Broad Based Black Economic Empowerment). The Transport Education and Training Authority and its subsectors has a key role as a support sector to all other sectors) to play in the country s development and growth strategy as outlined in the National Development Plan. The PAGE 13

14 Strategic Plan WSP and ATR survey dictate very small samples for skills demand estimations and lack the ability to capture emerging sectorial trends. Participation of transport companies in the WSP/ATR remains a challenge to TETA. The traditional education institutions are not adequate suppliers of sector skills demand. Smaller and privately owned training institutions appear better positioned to accommodate sector context in their curriculum than traditional education institutions. The study recommends the sector needs to work towards building the capacity of key training institutions such as Universities and TVET colleges in developing curriculums that are relevant to sector needs. Source: TETA SSP Whilst TETA has a mandate to deliver services to the Transport Sector as a whole, there are challenges. Some of these include the growing demand for skills and the inability to fund those skills due to budgetary constraints as well as the high costs of training, typified by Aviation industry. Participation levels of the Taxi industry in skills development and a few other subsectors remains a challenge for TETA and requires focused turnaround strategies. In general, the levy income from the Transport Sector remains low and this calls for increased advocacy on the part of all management and stakeholders Transport Sub-sectors The Transport Sector consists of at least four broad sub-divisions which are defined by modes of transport as illustrated in the following diagram: PAGE 14

15 Strategic Plan The following table classifies the eight TETA chambers according to the different modes of transport or main activities: Table 1: Modal Classification of TETA Chambers Air Sea Land Aerospace Maritime Rail; Road Freight Road Passenger; Taxi Intermodal/Multimodal Forwarding & Clearing; Freight Handling Logistics Aerospace; Forwarding & Clearing; Freight Handling; Maritime Rail; Road Freight; Road Passenger; Taxi Supply Chain Management Forwarding & Clearing Freight Handling Passenger Aerospace; Maritime; Rail; Road Passenger; Taxi Freight Aerospace; Forwarding & Clearing Freight Handling; Maritime; Rail; Road Freight Transport SETA Sub-sector Profiles The Transport Sector is demarcated into 8 subsectors. Each subsector falls under relevant Chamber responsibility: Road Freight Chamber, Freight Handling Chamber, Aerospace Chamber, Road Passenger Chamber, Taxi Chamber, Maritime Chamber, Forwarding and Clearing Chamber and Rail Chamber. The Road Freight subsector, which represents a workforce of approximately employees, recently experienced an increase in the volume of goods transported between production sites or ports and markets. It is estimated that 80% of all freight in South Africa is through road. The Road Freight market accounts for about 640 million tons of freight per annum. The Freight Handling sub-sector has approximately employees. There are eight commercial ports serving the industry. Their operational performance has a bearing not only on the sub-sector, but also on the national economy. In their efforts to bolster efficiencies, all eight ports are now using the new web-based Integrated Port Management System (IPMS). This follows after the rollout of the system to the Port of Richards Bay towards the end of The system replaces manual processes that were previously used to monitor, among other things, Terminal Performance. This new system has improved efficiencies by enabling key port operations to be managed online and across the eight ports. PAGE 15

16 Strategic Plan The South African aviation industry is highly concentrated by a few large organisations. Despite this, the segment of Small Medium and Micro Enterprises (SMMEs) is rapidly growing and has recently been estimated to comprise about 75% of the sub-sector. The Aerospace sub-sector employs approximately employees. The biggest employer-companies are Stateowned enterprises, such as South African Airways, South African Airways Technical, Denel, SA Express and SA Airlink. The sub-sector is estimated to transport about 70% of passengers and 60% of goods in the country. The Road Passenger sub-sector has about buses in South Africa, of which approximately are involved in formal public transport activities. Approximately buses are found in commerce industry and government institutions. The formal public sector provides direct employment to about people throughout the country, with about people indirectly dependent on the sub-sector. Public operators transport approximately 816 million passengers per annum. The Taxi industry employs between and people. 95% of workers in the Taxi industry are African and less than 2% are women. 69% of households use taxis daily. There are over taxi operators/owners in South Africa, with most of them operating as sole proprietors who may not necessarily be tax-paying entities. The sub-sector represents a workforce of employees, drawn mainly from port authorities, fishing and the merchant shipping subsectors. More than 95% of South African trade (by volume and by trade) is moved by sea through the country s seven commercial ports, thus placing South Africa in the top12 sea-trading nations. It is estimated that 0.3% of global carrying capacity is currently controlled by South African companies. This highlights the significant growth opportunities available in this sub-sector. The national demand for sea space exceeds its control of vessel supply by a ratio of about 20/1. PAGE 16

17 Strategic Plan The Forwarding & Clearing sub-sector employs approximately employees, including international couriers and shipping agents. This sub-sector makes a major contribution to trade facilitation within South Africa and manages over 80% of South Africa s international trade within various supply chains. The sub-sector is recognised as the industry that influences freight management. The estimated cost of logistics in South Africa, as a percentage of GDP, is 12.8% compared to the USA at 8.2%. In facilitating and managing the supply chains within international trade, the cost of freight management is a major factor contributing to South Africa s GDP. The Rail industry employs over employees. The current rail freight capacity is 200 million tons per annum. The main companies in the sub-sector are Transnet SOC Limited, Passenger Rail Services South Africa (PRASA) and a number of medium-sized rail enterprises. To improve the quality of the railway lines in South Africa, Transnet has invested R300 billion for infrastructure development and refurbishment. This investment is meant to invigorate the economy, create jobs and address poverty. On the other hand, the Prasa-Gibela project was expected to create around indirect and 300 direct sustainable jobs when the R51 billion train manufacturing started. PAGE 17

18 Strategic Plan Organisational Environment This section discusses TETA s organisational environment, capacity issues and key determinants of performance. It also provides analyses of the Transport SETA as an entity and how it is impacted by its environment. The SWOT, PESTEL and BCG Matrix were used to identify various factors that may impact on the Transport SETA. These were then integrated into TETA s business strategy. The outputs of these analyses provided an important guideline in the crafting of the Transport SETAs critical success factors, attendant objectives and strategies that will not only strengthen organisational capacity and coherent delivery, but also enhance the way the organisation views and understands its mandate Strengths, Weaknesses, Opportunities and Threats (SWOT) Analysis The Transport SETA is continually faced with challenges, some of which are beyond its control. These challenges have the potential of limiting TETA s effectiveness and achievement of optimal performance in the execution of its mandate, such as achievement of the SLA targets. The SWOT analysis was used to contextualise TETA s internal and external environments, as illustrated in the matrix below. In essence, the SWOT analysis identifies areas of strengths and opportunities that TETA can leverage in the design and implementation of its strategies. Weaknesses and threats afford the organisation opportunity to reflect on how to turn these into opportunities. The results of the SWOT analysis are discussed below, with suggested mitigations for the challenges identified. Equally, the opportunities and strengths can be harnessed and leveraged to enhance TETA s organisational performance in the execution of its mandate. STRENGTHS Levy income level Innovation International footprint in collaboration Decisive leadership Good governance Strong culture Good staff morale WEAKNESSES Inadequate TETA provincial representation/ presence Lack of integrated ICT systems Lack of knowledge repository/loss of institutional memory Financial and human resource constraints OPPORTUNITIES Sector skills deficit and high unemployment Improved stakeholder relations THREATS Lack of control over levy income Inadequate administration fee (10%) and capping of expenditure Devolution of QCTO functions to new structures Changes in Government or regulations PAGE 18

19 Strategic Plan Strengths TETA s levy income is not yet at full potential. However, the income is consistent and affords some level of comfort in planning The operational team is experienced and has, over the years, established rapport and robust mutual relationship with TETA stakeholders that engender significant participation and input into our qualification development and implementation of innovative programmes The research function is now bedded in and has successfully built collaborative research vehicles with research institutions that is returning credible labour market data that supports accurate planning Our sector is one of the key economic drivers in South Africa and, as such, holds the key to economic growth, prosperity and demand for training; this strengthens the role of TETA. Weaknesses Albeit a major portion of TETA s budget is on monitoring travel to stakeholder sites across the country, this does not adequately compensate for lack of in situ representation in all the provinces. To a large extent, budgetary constraints make local presence in the provinces difficult to achieve Inadequate ICT systems integration results in data redundancy and compromises information accuracy and integrity Lack of optimal alignment between business strategy and the delivery structure compromises realisation of immense potential for increased operational efficiencies and service levels that would delight our stakeholders Albeit TETA has numerous and effective delivery partners in the public sector, the same cannot be said of its partnerships in the private sector. This lack of public-private complementarity means our delivery systems and, consequently, our achievements are not at their optimum Numerically, the Transport industry is dominated by the small enterprises, most of whom are not participating in TETA activities. This robs TETA of important contribution by these enterprises with regard to invaluable labour market statistics, skills investment and other support opportunities for these entities. Opportunities Skills deficit and unemployment in the Transport Sector present TETA with opportunities of developing and facilitating delivery of remedial programmes to address and reverse these challenges Emerging national priorities, such as Strategic Infrastructure Projects (SIPS 2, 7, 9), Operation Phakisa and Letsema, present real opportunities for TETA to play a leading role in influencing policy and strategy and formation of collaborative partnerships in programme design, implementation and funding TVET Colleges partnerships offer TETA an opportunity to increase its footprints across the country to PAGE 19

20 Strategic Plan give training opportunity to many communities, rural and urban Rural development is an opportunity for TETA to come up with innovative programmes that will address rural challenges TETA embraces training opportunities offered by the Ocean Economy s Operation Phakisa in the area of apprentice training and artisan placement on maritime-related infrastructure projects UIF-TETA joint projects afford TETA access opportunities to much-needed additional funding to increase the scale and reach of our training initiatives. Threats The SETA administration fee of 10% has a restraining effect on the ability of TETA to deliver on its mandate in the following manner: Changes in Skills Development regulations may impact negatively on TETA s role and organisation Lack of control and unpredictability of levy income flows inflict and seriously impairs the ability of TETA to plan accurately or achieve its milestones timely Devolution of QCTO functions to new structures may render ETQAs obsolete. The new structure may experience teething problems that may compromise the level of services provided to SETAs The implementation of the BUSA ruling will effect the reversal of the Discretionary and Mandatory Grant allocations to original percentages. This state of affairs would have a significant reduction of funding available for Discretionary Grants and become detrimental to programme implementation PESTEL Analysis The following political, economic, societal, technological, environmental and legislative factors are identified as having a bearing on the effective delivery of skills development solutions in the Transport Sector and, therefore, have to be addressed by the TETA strategy. PAGE 20

21 Strategic Plan POLITICAL SETA landscape, changing political focus areas, changing SETA goals and focus areas SETA mandate being stretched, but budget remaing the same. ECONOMIC SA economic growth low; low opportunity for employment Labour issues retarding employment, leading to possible automation of industry Need for economic growth to increase employment opportunities. SOCIETAL HIV/AIDS incidence Rural areas are difficult to research; reliance on technology excludes rural role-players Significant societal disparities between provinces (e.g. rural and urban). TECHNOLOGY Shift to technology increases elitist group of participants Severe connectivity/power/ communication challenges for semi-urban and rural population. ENVIRONMENT Focus on clean environment and green economy provides opportunity of research and awareness programmes. LEGISLATION POPI, BBBEEE Charter, SETA landscape to affect TETA strategy Post School White Paper required reassessment and tuning of TETA delivery approach. Our strategy recommits TETA to the support of policies that reposition the objectives and approaches to skills development. We will continually keep abreast of emerging trends and adjust our programmes and systems to responds promptly and adequately these changes. TETA will integrate new legislative requirements into the design of its control mechanisms and align its programmes accordingly. Our information systems will be reviewed and a compliance process initiated to embrace good governance and compliance in areas such as POPI, ICT governance framework, etc. Despite the unfavourable macroeconomic outlook with regard to high unemployment rate and slow growth, we will continue with our training initiatives to ensure the country has a pool of work-ready artisans, graduates and self-employment through entrepreneurship development. We will harness technology in the sector to enhance our delivery methods and communication with our stakeholders. We will enable online access to information, applications, submissions and reporting. We will also use cellular technology to communicate with our stakeholders and beneficiaries in the deep rural areas, where connectivity is poor. Through our programmes, TETA will advocate for clean environment and HIV-AIDS awareness Boston Consulting Group Matrix The BCG Matrix was applied to determine the level of resonance of TETA s skills development programmes with sector stakeholders, growth potential and popularity of same. The resulting plot indicates programmes to prioritise for implementation based on mileage for the sector and their scope in addressing stakeholder needs. PAGE 21

22 Strategic Plan HIGH LOW STARS G R O W T H Leadership Development Programmes Graduate Internships Small Business Development QUESTION MARKS Pilot Training Graduate Placement Apprenticeships UIF Partnership Programmes SIPS H I G H P O T E N T I A L CASH COWS Learnerships Skills Programmes Bursaries DOGS Recognition of Prior Learning Adult Basic Education & Training (AET) Foundational Learning Competence (FLC) Bridging Programmes L O W Candidacy Programmes POPULARITY/DEMAND WITH STAKEHOLDER The BCG matrix tells us the following: Stars: the ILDP, graduate internships and Small Business support are popular within the Sector. These programmes are also growing significantly with respect to enrolment and stature Question Marks: these are the up and coming programmes that may be on the path to becoming Stars, if proper advocacy is built around them to stimulate uptake by industry players. These are the SIPs, UIF-supported projects and pilot training programmes Cash Cows: these are popular programmes, but exhibiting no propensity to grow significantly and requiring no advocacy for industry uptake; these are skills programmes, learnerships and bursaries Dogs: characterised by either non-performance, under-subscription, or newly introduced programmes with little traction. In the case of TETA, these are characterised by Recognition of Prior Learning, Adult Education and Training programmes. PAGE 22

23 Strategic Plan The outputs of the BGC analysis are important in that they highlight programmes that are likely to achieve higher traction and impact for the Transport Sector and, consequently, derive the highest value per Rand invested for TETA. The matrix also tells us which programmes TETA need to promote aggressively to increase stakeholder participation and achievement of national targets Organisational Critical Success Factors Based on the consolidation of inputs from various fora, such as stakeholder engagements and strategy planning sessions, the following factors have been identified as critical to TETA s achievement of its mandate of skills development delivery in the Transport Sector. 1. Integrated learner database 2. Efficient contract management 3. Effective records and document management 4. Availability of competent, diligent and professional staff 5. Increased stakeholder participation (levy-paying and WSPs) 6. Good stakeholder contract performance 7. Effective institutional and industry collaborations 8. Comprehensive, relevant and up-to-date TETA programme funding model 9. Agility and responsiveness to emergent national and industry priorities 10. Achievement of SLA targets. PAGE 23

24 Strategic Plan Organisational Strategic Objectives The following constitute short-term objectives that will ensure TETA addresses the critical success factors through capacitating and positioning itself as the rightful Skills Development authority in the Transport Sector. OBJECTIVES Implementation of a key contract management system and integrated learner database STRATEGIES Reduce paper records by implementing an electronic records and document management system Eliminate manual learner Excel spreadsheets to ensure information integrity Automate reporting to reduce manual intervention and attendant errors. Efficient business processes Improve business process efficiencies through business process reengineering Automated processes to reduce manual interventions. Aligned operational strategy and organisation structure A comprehensive funding framework Match operational roles and responsibilities to strategic objective roll down to achieve optimal structure and resource loading. A broad-based funding framework to be implemented to cater for emerging requirements and ensure relevance. 3.4 Sectoral Challenges and Opportunities The Transport Sector is characterised by challenges that require innovative approaches to addressing skills development, equitable access to training opportunities and environmental awareness. The Sector is faced with gender imbalance, casualisation of work, perennial strike actions, HIV-AIDS and exemption of many companies from paying levy. TETA, in conjunction with sector stakeholders, continually work to find solutions that mitigate these challenges. The Transport Sector is dominated by a few large companies, especially in aerospace, road freight, maritime, rail, road passenger and freight handling. Albeit there are numerous companies in this Sector, most of them are small and contribute no levies. As a result, TETA is faced with the challenge of empowering these companies to encourage sufficient growth of revenues and facilitate registration of these enterprises as sustainable levy payers to TETA. TETA will continue with advocacy programmes for small, medium and microenterprises to engender professionalism that will lead to achieving levy-paying status. Casualisation of employment is a peculiarity of the Transport industry. This causes low motivation levels due to lack of benefits, such as medical care, retirement saving and security of tenure. Casualisation, coupled with the fact that a significant part of the industry is informal in nature, makes for an unstable environment with a propensity for labour unrest. This impacts negatively on industry staff and productivity. Providing access to training for these employees improves their employability and morale. The gender disparity in the Transport Sector still presents challenges in the participation of women. About 80% of the industry is male-dominated. TETA has to continually devise strategies to bridge this gap, such as PAGE 24

25 Strategic Plan women-focused development programmes, designated participation ratios that favour girls and women and provision of mentorship opportunities for them. The Transport Sector is experiencing the highest incidence of HIV-AID infections. If the situation is not arrested soon, it may have a negative impact on the industry s productivity and competitiveness in the global market. To meet this challenge, TETA will continue to incorporate HIV-AIDS awareness campaigns into its training programmes and also directly fund related interventions. Although most HEI s offer Transport related studies, the same cannot be said of TVET colleges. This reality poses serious challenges in the promotion of and access to Transport-related careers. The high TVET college accessibility to learners from all walks of life makes them ideal vehicles for delivery of priority industry training programmes. There are, at least, 50 TVET colleges against a meagre 23 universities and, in contrast to universities, which are mostly situated in more developed locations (such as cities or towns), a significant number of TVET colleges are found in rural areas. To ensure traction in the uptake of Transport studies, TETA will continue with its programme of TVET and HEI capacitation in the areas of curriculum development, lecturer moderator/assessor training and bursary provision Management development remains a critical area that seeks to redress skills disparities that still exist in the Transport Sector. TETA will, therefore, continue to innovate and implement leadership development programmes in collaboration with local and international partners. In order to stimulate thought leadership, innovation and build sector knowledge base, TETA will encourage doctoral studies in Transport-related themes, such as green economy, logistics and related topics. In this era of Green Economy advocacy, the Transport Sector is still grappling with the issue of unwanted emissions and lack of compliance. In the quest of generating knowledge and awareness on the subject of Green Economy, TETA will continue to seek partnerships with relevant institutions in the areas of research and advocacy. Proper skills planning necessitates the identification and characterisation of challenges and opportunities in the Transport Sector which require access to up-to-date statistics and credible information. Unfortunately at this point in time, besides Statistics South Africa, there are no credible data sources on critical aspects of the sector, such as labour markets. The lack of good sources of data poses a risk to TETA s ability to accurately plan for skills needs of the sector. In an effort to build a reliable knowledge repository for the sector, TETA will continue to foster research partnerships with HEIs and research-based institutions, such as HSRC, CSIR and others. PAGE 25

26 Strategic Plan Transport SETA Skills Development Priorities Our strategy will be driven by the following skills development priority framework, drawn from the dictates of the NSDS III, contemporary national priorities, transformation agenda and Transport Sector needs. Facilitate equitable skills development in the Transport Sector to ensure empowered workers Ensure access to training, education and workplace for graduate and the unemployed Alignment of skills development initiatives to emergent needs and national imperatives Facilitation of workplace learning and partnerships between employers and educational institutions Collaboration with and support for TVET capacitation Collaboration with Higher Education Institutes Research SMMEs Green Economy Artisans Access TVET Colleges Rural Development Career Guidance Leadership Development Mandatory Grant 1. Skills Planning and Research 2. Access to occupationally directed programmes 3. Strengthening the quality assurance system 4. A post-school strategy for youth for further access and work experience to improve employability 5. Small Enterprise, Cooperatives, NGOs, CBOs and SMME Initiatives Support and Sustainability In addition to foregoing priorities, our strategic plan is also underpinned by the following societal transformation parameters: Gender: provide more access opportunities for women Youth: increase access opportunities for youth Geography: focus to shift to previously neglected rural areas Race: our programs to address racial skill disparities Class: redress imbalances brought about class People with disability: avail more training and workplace opportunities for disabled people HIV-AIDS: our programmes will embrace awareness and education advocacy the subject of HIV- AIDS. PAGE 26

27 Strategic Plan The following table provides a high-level description of each of the 11 strategic priority areas. PRIORITIES STRATEGIC GOALS OBJECTIVE STATEMENT Research Establish a credible Transport Enhance staff capacity in the Research unit Sector institutional mechanism for skills planning, create and sustain More engagement with Sector companies to validate research capacity on labour research findings markets within TETA. The Research unit will conduct tracer studies to enhance research repository More research collaboration agreements will be entered into with HEI s and credible Sector players. Road Safety Career Guidance Increased road safety through awareness programmes and impactful accident prevention projects. Building career and vocational guidance, especially to encourage females to enter the Sector. To form strategic partnership for increased road safety advocacy Creation of a pool of skilled road safety and accident management persons. TETA will undertake career outreach for Grade 9 learners to encourage subject choices that will enable careers in Transport 60% career guidance focus will be in the rural areas. TVET Colleges Management and Leadership Promoting the growth of a public TVET college system that is responsive to Sector, local, regional and national skills needs and priorities. Enhance middle management and executive leadership capabilities. TETA will provide empowerment support to encourage growth of the TVET system through expansion of curricula to include Transport studies, student enrolment through bursaries and lecturer capacitation. We will innovative and implement tailor-made training and mentorship solutions with a global perspective for the Transport Sector. SMMEs Improve the competitiveness and job creation propensity of SMMEs by creating greater access to skills development. We will provide support to the development of small business and NGOs to capacitate them to grow into formal, sustainable and levy-paying entities, where possible. Artisans Rural Development Increase the pool of artisans in the sector. Support rural development, including NGOs, CBOs and other organisations in rural areas. TETA will work with Sector partners to fund artisan development. For the majority of our programmes, we will ensure that they are based in the rural areas. PAGE 27

28 Strategic Plan PRIORITIES STRATEGIC GOALS OBJECTIVE STATEMENT Access Increase access to occupationally directed programmes to address critical and scarce skills shortages. Our programmes will provide more access opportunities to learning institutions and workplaces for youth, women and other categories of deserving beneficiaries We will implement support programmes that provide appropriate coaching to teachers and learners, and governance training for school management structures Bodies across our 56 adopted schools We will support development and delivery of gateway subjects for learners We will provide learner Driving License support WSP / ATRs Green Economy Increasing submissions of WSP/ ATRs, especially for SMMEs. Skills planning for a green Transport Sector. We will provide bursaries to qualifying learners. We will increase our WSP/ATR participation through stakeholder coaching and advocacy programmes. The SBD strategy focus on small levy registered companies will be to provide access to skills development in order to capacitate the companies to participate formally and also grow skills. We will continue to support green economy research and development projects for the benefit of the Transport Sector TETA Strategic Goals Quantified and time-bound goals, consolidated from our defined strategic objectives, are captured into the long-range plans that form part of this document; these are subsequently reduced to quarterly targets in the TETA Annual Performance Plan. Strategic Goal 1 Establish a credible Transport Sector institutional mechanism for skills planning, create and sustain research capacity on labour markets within TETA. Strategic Goal 2 Increase access to occupationally directed programmes within the Transport Sector. Strategic Goal 3 Strengthening the quality assurance system. Strategic Goal 4 Access and work experience for youth to improve employability. Strategic Goal 5 Capacitate Small Entities on Skills Development Initiatives. Strategic Goal 6 Skills Development Support for Safety Initiatives. PAGE 28

29 Strategic Plan Emergent Policies, Legislation and other Strategic Initiatives Our strategy seeks to be responsive to dictates of the day, emergent policies and legislation changes. These are discussed in this section and how TETA intends responding and aligning available resources to achieve compliance. The Post School White Paper POLICY ELEMENTS SETAs to have a narrower focused role. SETAs to play a bigger coordination role between employers, institutions and employees. Role of SETAs will be to supply sectorspecific, reliable quantitative data to a central planning process National Skills Authority will concentrate on monitoring and evaluating SETAs. Focus on mandatory grants will be on the gathering of accurate data on Sector skills needs. STRATEGIES We will align TETA delivery processes and our collaborations in the Sector to focus more on forging closer workplace relationship with education and training institutions to ensure improved information flows and access. We will nurture partnerships with stakeholders and facilitate linkages between education institutions and workplaces. We will enhance our research function and external research partner collaborations to ensure access to reliable data and information. We will explore ways in which we can work with NSA to understand their requirements so that we enable mutual cooperation mechanisms to ensure successful operation. We will enhance our research capacity and WSP/ATR information processing accuracy through training of stakeholders on WSP/ATR completion. SETAs must show alignment between the disbursement and objectives in strategic plans. We will ensure there is alignment between elements of the Strategic Plan and fund disbursements. Form partnerships to fund the start-up costs of TVET programmes and subsidise programmes through periods where learner numbers may not be viable. We will continually monitor financial viability of TETA-supported TVET colleges to ensure early detection of need for additional assistance. TETA will assess best ways of providing such assistance. Establishment of offices representing the SETAs in each college. Collaboration through the clustering of SETAs. Where we are not represented provincially, we will establish partnerships with other SETAs to carry packaged TETA information materials for distribution to interested parties. TETA will enhance existing collaborative agreements and create new ones with other SETAs in areas of mutual interest. PAGE 29

30 Strategic Plan Programme alignment to national imperatives STRATEGIC GOALS PROGRAMMES NATIONAL IMPERATIVES 1. Skills Planning and Research Skills Planning and Research 2. Access to occupationally directed programmes 3. Strengthening the quality assurance system 4. A post-school strategy for youth for further access and work experience to improve employability 5. Small Enterprise, Cooperatives, NGOs, CBOs and SMME Initiatives Support and Sustainability Bursaries Learnerships Skills Programs Strengthening the quality assurance system Internships Work Experience RPL Bridging internships Career Guidance Small Business Development Strategy NSDS III SIPs NDP 9 Point Plan Operation Phakisa Post school White Paper 5. Safety Programmes for Transport Sector Road Safety HIV/AIDS Protection of Personal Information (POPI) TETA acknowledges the importance of protecting its immense information resources, such as the stakeholder information it has accumulated over the years. We, therefore, recognise the need for regulation provided by the POPI Act. Amongst others, POPI requires that organisations, such as TETA, inform data subjects (people whose information is being processed) of the purpose of the collection of the information and to require consent from the data subject for processing such data. Considering the fact that most of the information TETA process emanates from stakeholders, TETA will be required to assure them of proper processing of such information. Operation Phakisa Operation Phakisa was announced by the President in June 2014 and launched in July 2014 at the Inkosi Albert Luthuli International Convention Centre, in Durban. Operation Phakisa is the Government s vehicle for speedier and more effective implementation of emergent policies and programmes, in line with the National Development Plan (NDP) PAGE 30

31 Strategic Plan The first phase of Operation Phakisa seeks to give impetus to the Ocean Economy and has 4 main pillars of: a) marine transport and manufacturing activities and comprises coastal shipping, trans-shipment, boat building, repair and refurbishment; b) offshore oil and gas exploration; c) aquaculture and marine protection services; d) ocean governance. Operation Phakisa will revitalise South Africa s Ocean Economy. The President estimated that this initiative will result in GDP contribution of about R177 billion (R54 billion in 2010) and direct job opportunities of between 800,000 and 1 million (316,000 in 2010). The job creation potential that comes with Operation Phakisa will place immense demand on TETA and its partners to create pipelines of requisite artisanal and project management skills, among others. Aviation Industry Transformation Letsema (Letsema) Letsema is an initiative of the Department of Transport that seeks to enhance the equitable participation of Previously Disadvantaged Individuals (PDIs) in the aviation industry through the mobilisation of resources currently located within the aviation industry. (DoT, 2013). In its most granular form, Letsema seeks to facilitate progressive, sustainable and transformative partnerships of stakeholders in the Aviation industry in order to address the challenges faced by black pilots. At the heart of Letsema is the transformation of the Aviation industry in a way that black pilots will get exposure and experience, achieve proficiency and employability in reasonable time. In the process, Letsema endeavours to remove barriers, racial or otherwise, that have frustrated previous transformation efforts and impeded progression of black pilots beyond Private Pilot License (PPL) to Commercial Pilots License (CPL) that render them highly employable in the current aviation dispensation. The role of TETA and its partners in the transformation of the Aviation space cannot be overemphasised. TETA will have to champion the development of transformative training solutions, cadetship and mentorship solutions that will ensure a departure from the current pilot training regimes that lack impact. This can only be achieved through deployment of clear, authoritative, inclusive and transformative strategies. Corporate Governance of Information and Communication Technology Policy Framework (CGICTPF) The Department of Public Service and Administration, in cooperation with the Government Information Technology Officers Council (GITOC), developed a Corporate Governance of ICT Policy Framework which was approved by the Cabinet of the Republic of South Africa on 21 November This framework applies, amongst others, to all organs of state and public institutions. As such, TETA is bound by the prescripts of the Framework. The introduction of CGICTPF follows the growing realisation of the importance of Corporate Governance of ICT, as emphasised by King III, which places the responsibility for Corporate Governance of ICT squarely on the shoulders of the Accounting Authority. PAGE 31

32 Strategic Plan The Framework emphasises the need for the Executive Leadership and Management of an organisation to understand the strategic importance of ICT, to assume responsibility for the Corporate Governance of ICT, and to place the Governance of ICT on the strategic agenda. TETA has successfully implemented the first phase of the CGICTPF in the following manner: A charter has been approved by the Board ICT stakeholder functions and committees have been defined and appointments made A private firm is in the process of being appointed to facilitate the auditing of the CGICTPF implementation and institutionalisation of the POPI framework within the TETA. Our ICT governance framework is informed by the TETA Business architecture depicted below: TETA GOVERNANCE OF INFORMATION COMMUNICATION TECHNOLOGY FRAMEWORK LEGISLATION STAKEHOLDERS SECTOR INPUTS Environment Scan Stakeholder Needs ICT Environment Scan User Requirements TETA LEADERSHIP Vision Mission Values Strategy GICT STRATEGIC COMITTEE Executive Mgt Governance Champ GITO Chair GICT STEERING COMMITTEE Executive Mgt Senior Mgt Governance Champ GITO Chair GICT OPERATIONAL COMMITTEE Operational Mgt Governance Champ GITO Chair EFFECTIVE GICT Strategic Direction ICT Strategy Implementation Plans Coordination Implementation ICT Risk Mgt TETA governance ICT governance model is depicted below: PAGE 32

33 Strategic Plan Description of the Strategic Planning Process TETA strategy was developed in accordance with: The Grant Regulations on monies received by SETAs published in December 2012 The Skills Development Act Service Level Agreement Regulations The Skills Development Levies Act The Public Finance Management Act (PFMA) and Treasury Regulations Government s Medium Term Strategic Framework goals TETA Medium Term Expenditure Framework (MTEF) budget for , together with Sector Skills Plan. Various sources informed the formulation of this strategy, chief among them: NATMAP 2050 NSDS III The Skills Accord HRDSA II SIPS Programmes Previous strategic plans 2015/16 and 2016/17 Sector Skills Plans Research results provided by the University of Witwatersrand, through our Research unit Various engagements with our stakeholders through the medium of roadshows, focus groups and ad hoc inputs Management strategy planning sessions Statistics South Africa (STATSSA) and South Africa Reserve Bank (SARB) Workplace Skills Plans and Annual Training Reports White Paper on Post School Education and Training. PAGE 33

34 Strategic Plan Learners at the Port of Richards Bay. PAGE 34

35 Strategic Plan PART B 4. Strategic Objectives 4.1 OVERALL STRATEGIC GOALS Strategic Goal 1: Strategic Goal 2: Strategic Goal 3: Strategic Goal 4: Strategic Goal 5: Strategic Goal 6: Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Increase Access to Occupationally Directed Programmes within the Transport Sector Strengthening the Quality Assurance System Access and Work Experience for Youth to Improve Employability Capacitate Small Entities on Skills Development Initiatives Provide Skills Development Support for Safety Initiatives 4.3 PROGRAMMES Programme 1: Programme 2: Programme 3: Programme 4: Programme 5: Programme 6: Skills Planning and Research Occupationally Directed Programmes and Strategic Partnerships Quality Assurance Systems Career Development, Progression and Work Placement for Youth Skills Development Support for Small Entities Safety Programmes for Transport Sector PAGE 35

36 Strategic Plan Strategic Goal 1: Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Goal Statement/ Rationale Justification To facilitate proper planning and informed investment based on reliable and credible research into the supply and demand trends of the provinces and constituencies in the Transport Sector. TETA is tasked with gathering reliable information, credible research and statistics and other relevant information on labour markets skills needs and provision of same to the Transport Sector to enable planning of funding programmes. Links NSDS III The Skills Accord HRDSA II NATMAP 2050 SIPS Programmes The National Development Plan 9 Point Plan Strategic Priorities: Research Green Scarce Skills Critical Skills Strategic Goal 1 on the Annual Performance Plan Operation Phakisa White Paper on Post School Education and Training Road Safety Initiatives. Outcomes Research Strategy implemented. Researched TETA sub-sector SSPs and industry consultation through industry focus groups and SSP workshops. Collaborative research partnerships with university faculties and other research projects/ stakeholders to promote research in the Transport Sector. Resource considerations The research units has been established and resourced. Procurement of additional resources being actioned. Expenditure trends TETA s previous expenditure on research was limited to analysis of WSPs and ATRs for the purposes of developing and updating the Sector Skills Plan (SSP) Since the 2011/12 Financial Year, the external Service Provider was contracted to analyse and update the SSP In 2017/18 a number of research studies will also be conducted to feed into the SSP and this will increase the expenditure. Funding sources Discretionary grants fund. Budget amount R PAGE 36

37 Strategic Plan Strategic Goal 1: Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Risks Management Based on the TETA funding framework, the 10% administration budget may not be adequate to build staff research capacity. Risk mitigation: TETA to find innovative ways of integrating research initiatives into all discretionary projects It is necessary for TETA to review the current training, development and retention policies to facilitate reskilling of internal resources We are developing a knowledge management strategy that will ensure retention of institutional memory. Programme 1: Skills Planning and Research Strategic Goal 1: Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Baseline Previous Year Current Year Strategic Objective Performance Medium Term Targets Target Target Indicators Research Strategy Implemented (1.1a) Number of Research studies conducted. N/A N/A 3 Research studies conducted. N/A N/A (1.1b) Research and Knowledge Information Management system is established. N/A N/A Research and Knowledge Information Management System is established. N/A N/A (1.1c) managers trained in Research and Knowledge. N/A N/A 16 Managers trained in Knowledge and Research. N/A N/A PAGE 37

38 Strategic Plan Strategic Goal 1: Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Baseline Previous Year Current Year Strategic Objective Performance Medium Term Targets Target Target Indicators Industry research and consultations 1.3 Collaborative partnerships with universities or other stakeholders to support research in the Transport Sector 1.4 (1.2a) Tracer Studies conducted. (1.2b) Transport subsector Scarce and Critical skills lists updated. (1.2c) Approved TETA Sector Skills Plan. (1.3a) research partnerships supported Approved TETA SSP Approved TETA SSP Approved TETA SSP PAGE 38

39 Strategic Plan Strategic Goal 1: Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Baseline Previous Year Current Year Strategic Objective Performance Medium Term Targets Target Target Indicators Increased stakeholder participation in the Transport Sector through approved WSP/ATR (1.4a) Mandatory Grant applications received from large firms. (1.4b) Mandatory Grant applications received from Medium firms. (1.4c) Mandatory Grant applications received from Small firms. (1.4d) approved Mandatory Grant applications (80% of submissions). (1.4e) provincial SDF capacitation workshops conducted. (1.4f) sub-sector SDF capacitation workshops conducted PAGE 39

40 Strategic Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes within the Transport Sector Goal Statement To promote and facilitate learning programmes to middle level skills and artisan development within the Transport Sector. Justification To ensure competitiveness of skills supply and continuous upgrading of relevant skills including artisan development. Source of Baseline Sector Skills Plan (Occupational research) HRD Strategy of SA Implementation of previous Transport Sector training revealed the need to improve skills through occupationally directed programmes. Links NSDS III Transport Sector Skills Plan (chapter 3 of the SSP Extent of Skills Mismatches) Strategic Priorities: Access Decent Work Scarce Skills Critical Skills RPL Leadership Development Strategic Goal 2 on the Annual Performance Plan The Skills Accord National Artisan Moderation Body (NAMB) Model QCTO Policies The National Development Plan 9 Point Plan SIPS Programmes Operation Phakisa Road Safety Initiatives White Paper on Post School Education and Training. Outcomes Transport Sector companies are supported through Mandatory and Discretionary Grants to address industry skill shortages. TETA Stakeholders are capacitated on the Mandatory & Discretionary Grants frameworks & processes. Increased learner access to occupationally directed programmes through TVET, HEI and other providers. Sector leadership and managers development programmes. sustainable partnerships with stakeholders, education and training institutions. Resource considerations Expenditure trends Realisation of synergies within Transport sub-sectors and investment in internal RPL. TETA funded occupationally directed programmes in 2016/17 for R in an effort to facilitate access and progression in the Transport Sector TVET and HEI partnerships have also been supported through the Discretionary Grant budget. PAGE 40

41 Strategic Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes within the Transport Sector Trends in number of key staff TETA now offers Provincial support through resources based in loco at various TVET colleges or at other lead SETA locations within the provinces. Funding sources Discretionary grants National Skills Fund Unemployment Insurance Fund Activation Programme Funding. Budget amount R Risks Management Lack of partnerships and collaboration between key stakeholders may hamper successful implementation of this strategic goal Risk mitigation: TETA to sign MoUs/partnerships with TVET and HET institutions offering Transportrelated programs TETA to sign MoUs with State Owned Entities to facilitate learnerships, apprenticeships and internship opportunities. TETA to improve the existing learnerships infrastructure. PAGE 41

42 Strategic Plan Programme 2: Occupationally Directed Programmes and Strategic Partnerships Strategic Goal 2: Increase Access to Occupationally Directed Programmes with the Transport Sector Strategic Objective Performance 2.1 Learner access (2.1a) to occupationally directed programmes through TVET, HEI and other (2.1b) providers Employed Learners granted bursaries. Unemployed Learners granted bursaries. (2.1c) Employed Learners granted Skills Programmes. (2.1d) Unemployed Learners granted Skills Programmes. (2.1e) Employed Learners granted Learnership Programmes. (2.1f) Unemployed Learners granted Learnership Programmes. Baseline Previous Year Target Current Year Target Entered Completed Medium Term Targets PAGE 42

43 Strategic Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes with the Transport Sector Strategic Objective Performance 2.1 Learner access (2.1g) to occupationally directed programmes through TVET, HEI and other providers Number of Learners granted AET programmes. (2.1h) Number of Employed Learners granted an apprenticeship programme. (2.1i) Unemployed Learners granted an apprenticeship programme. (2.1j) Unemployed Cadets trained. (2.1k) Number of Learners granted RPL programmes. (2.1l) learners funded for candidacy programmes. Baseline Previous Year Target Current Year Target Entered Completed Medium Term Targets N/A N/A PAGE 43

44 Strategic Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes with the Transport Sector Strategic Objective 2.2 Transport Industry candidates trained on leadership and management programmes TETA Strategic partnerships and support Performance (2.2a) candidates granted a Leadership Development Programme. (2.2b) candidates granted an Executive Leadership Development Programme. (2.2c) Women granted a Leadership Development Programme. (2.2d) Number of candidates granted Masters programmes in Maritime Affairs. (2.3a) partnerships established with Employer Bodies. (2.3b) Employer bodies partnerships operationalised. Baseline Previous Year Target Current Year Target Entered Completed Medium Term Targets N/A N/A 3 3 PAGE 44

45 Strategic Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes with the Transport Sector Strategic Objective 2.2 TETA Strategic partnerships and support 2.3 TETA Strategic partnerships and support Performance (2.3c) partnerships established with TVET Colleges. (2.3d) TVET College partnerships operationalised. (2.3e) partnerships established with Universities. (2.3f) University partnerships operationalised. (2.3g) SETA provincial offices maintained. (2.3h) Number Lead SETAs partnerships serviced. (2.3i) workshops to capacitate TETA stakeholders on contract management. Baseline Previous Year Target Current Year Target Entered Completed Medium Term Targets N/A N/A N/A N/A N/A N/A N/A 8 8 PAGE 45

46 Strategic Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes with the Transport Sector Strategic Objective 2.4 Stakeholder Consultation and networking Performance (2.4a) provincial stakeholders consultative forums conducted. (2.4b) Number of national strategic conferences attended. (2.4c) International bench- marking conferences attended. Baseline Previous Year Target Current Year Target Entered Completed Medium Term Targets N/A N/A N/A 2 2 Strategic Goal 3: Strengthening the quality assurance system Goal Statement/ To establish delivery partners who will develop learning programmes. Rationale Justification TETA is tasked to support the development of occupationally directed qualifications relevant to the Transport Sector, in line with the new dispensation and to respond to changing needs of the market place. Links NSDS III SAQA Act Transport Sector Skills Plan (chapter 3 of the SSP Extent of Skills Mismatches) Strategic Priority ISOE Strategic Goal 3 of the Annual Performance Plan Skills Development Act TVET Act HE Act QCTO Policies The National Development Plan 9 Point Plan Operation Phakisa Raod Safety Intiatives White Paper on Post School Education and Training. PAGE 46

47 Strategic Plan Strategic Goal 3: Strengthening the quality assurance system Outcomes Approved QCTO Learning Materials and qualifications for Transport Sector Effective and efficient external moderation and evaluation process Capacity building for Public TVET colleges which are responsive to Sector skills needs. Resource considerations Expenditure trends Trends in number of key staff Capacity building resources need to be reconsidered Filling available positions in the development of the QCTO system. Quality assurance is a core function within TETA and is funded from the Discretionary Grants and 10% administration budget Over the MTEF period, significant changes will take place within the ETQA function spurred by the introduction of QCTO (Quality Council for Trades and Occupation) in the Sector. QCTO has delegated responsibilities to the ETQA and this is creating stability in the unit. Funding sources Administration and Discretionary Grant budget. Budget amount R Risks Fraudulent activities by some of TETA accredited providers by using TETA logo for what they Management are not accredited for Undesired assessors/moderators training on TETA DG contracts affect the certification of learners Risk mitigation: TETA accredited providers to adhere to the code of practise and failure could result in their de-accreditation ETQA to become an integral part of the DG contract management (i.e. ETQA to confirm accreditation, assessments and moderation on a need basis) enter into partnerships with key stakeholders in the Sector to ensure that enough facilitators are produced Enter into MoUs with Transport State Owned Entities to ensure that their training centres (SOEs) and training instructors are properly accredited. PAGE 47

48 Strategic Plan Programme 3: Quality Assurance System Strategic Goal 3: Strengthening the Quality Assurance System Strategic Objective Performance Indicator Baseline Previous Year Target Current Year Target Medium Term Targets 3.1 Transport Sector learning materials developed for QCTOapproved occupational qualifications 3.2 Occupational qualifications developed for the Transport Sector 3.3 Service Providers capacitated on ETQA systems (3.1a) learning materials developed for QCTOapproved occupational qualifications. (3.2a) Occupational qualifications developed. (3.2b) Qualification Assessment Specification Addendum developed. (3.3a) training providers capacitated on TETA ETQA systems (3.3b) Entered Entered Entered TVET lecturers trained on TETA quality assurance systems. 100 Completed Completed Completed 100 PAGE 48

49 Strategic Plan Strategic Goal 3: Strengthening the Quality Assurance System Strategic Objective Performance Indicator Baseline Previous Year Target Current Year Target Medium Term Targets 3.4 External moderation and evaluation process 3.5 Industries supported and accredited to offer workplace and practical training (3.4a) Number of external moderations conducted. (3.4b) Number of learning programmes evaluated. (3.5a) workplace mentors trained. (3.5b) workplace coaches trained. (3.5c) Apprenticeship Workplace Approvals. (3.5d) Learnership Workplace Approvals PAGE 49

50 Strategic Plan Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Goal Statement/Rationale Improve and raise the skills base of young people to enable them to take further learning and gain skills through workplace experience and employment. Justification A high percentage (53.3%) of people in the Transport Sector is in the lower skills category. There is an opportunity to move people with low skill levels into the intermediate category. Likewise, there are opportunities of development, access to TVET and progression for young people with poor educational foundation; this will enhance their employability. Links NSDS III SAQA Act Skills Development Act Transport Sector Skills Plan (chapter 3 of the SSP Extent of Skills Mismatches) Strategic Priorities: Access Decent work Career Guidance Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Links TVET Act HET Act The Skills Accord The National Development Plan 9 Point Plan Operation Phakisa Road Safety Initiatives White Paper on Post School Education and Training Outcomes Uptake for learning programmes for Out-of-School and youth that require education & training to address skills needs Youth access to TVET and HEI Institutions through articulation bridging programmes Work-ready apprentices and graduates facilitated through workplace mentorship and coaching Employable youth through workplace-based training Transport Sector career guide opportunity guides/booklets with labour market information distributed Career guidance exhibitions targeting rural stakeholders to provide vocational information within the Transport Sector Career guidance experts and sector specialist coached on career guides. Resource considerations Relevant TVETs, HETs and strategic partners will be identified to address selected programmes for Transport Sector constituencies. Expenditure trends TETA has previously funded programmes through Mandatory Grants, Discretionary Grants and Special projects funding. PAGE 50

51 Strategic Plan Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Trends in number of key staff TETA s current structure allows for the management and support for this goal. Funding sources Administration and Discretionary grant budgets, including NSF funding and UIF Activation Programme Funding. Budget amount R Risks Management Identified interventions may not necessarily be programmes that will successfully address the skills required in the Sector Risk mitigation: Focus on research within specific sub-sectors will assist in identifying relevant programmes that will address Sector-specific needs. PAGE 51

52 Strategic Plan Programme 4: Career Development, Progression and Work Placement for Youth Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Strategic Objective Performance Indicator Baseline Previous Year Target Current Year Target Entered Completed Medium Term Targets 4.1 Youth trained through support programmes for access to Post School Education Learners and graduates put on workplacebased training (4.1a) youth trained through support programmes for further access to HETs. (4.1b) out-of-school youth trained on Grade 12 improvement programmes. (4.2a) Number of learners placed on internship programmes. (4.2b) HET learners on Workplace Experience programmes. (4.2c) TVET learners on Work Experience. (4.2d) apprentices mentored and coached N/A PAGE 52

53 Strategic Plan Programme 4: Career Development, Progression and Work Placement for Youth Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Strategic Objective Performance Indicator Baseline Previous Year Target Current Year Target Medium Term Targets 4.3 Transport Sector career information material developed with labour market information for accessing by youth 4.4 Exhibitions to provide career guidance and vocational information (4.3a) marketing materials developed for transport related careers. (4.3b) Number of career promotional material packs procured. (4.3c) digital platforms used to access information. (4.3d) audio platforms used to access information. (4.3e) print platforms used to access information. (4.4a) TETA career exhibitions conducted to increase awareness ,643 18,000 36,000 36,000 36, ,000 10,000 10,000 10, PAGE 53

54 Strategic Plan Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Strategic Objective Performance Indicator Baseline Previous Year Target Current Year Target Medium Term Targets 4.4 Exhibitions to provide career guidance and vocational information 4.5 Career guidance advisors and Sector specialists coached on career guides 4.6 Adopted schools supported (4.4b) State career exhibitions supported to increase awareness. (4.4c) sub-sector Stakeholder events supported to increase TETA brand visibility. (4.5a) career guidance advisors capacitated on career guides. (4.5b) provincial capacity building workshops for life orientation teachers. (4.6a) Number of schools supported PAGE 54

55 Strategic Plan Strategic Goal 5: Goal Statement To increase small business participation in the Transport Sector by developing and implementing sustainable programmes for capacity building of community initiatives and small enterprises to create employment opportunities that will stimulate the country s economic growth. Justification: Lack of required skills and capacity in small businesses and community ventures creates constraints for business growth and sustainability. Providing support and training will enhance sustainability and job creation, thus reducing the country s unemployment rate Source Of Baseline TETA SMME funded projects in 2015/16 Financial Year TETA SSP (Labour Market context employment analysis by age) TETA SSP Scarce and Critical skills priority list. Links NSDS III Transport Sector Skills Plan (chapter 2 of the SSP Key Skills issues ) Strategic Priority Access Strategic Goal 5 on the Annual Performance Plan NATMAP (National Department of Transport 2050 Strategy) The National Development Plan 9 Point Plan Operation Phakisa Road Safety Initiatives NARYSEC White Paper on Post School Education and Training. Outcomes Support and develop small to medium enterprises, NGOs, CBOs, Cooperatives within the Transport Sector. Resource considerations Expenditure trends Trends and key staff and inputs TETA is well-resourced to execute this programme. TETA funded rural development, SMMEs and NLPEs in 2015/16 for support and training focused on requisite skills for business growth and sustainability. Over the MTEF period, TETA strives to capacitate provincial support representatives so that they can attend to day-to-day inquiries and guidance. Learners will also be assisted to progress into TVET and HE institutions though bursaries, learnerships and apprenticeship. This will help to address the challenge of access, progression, scarce and critical skills shortages. Funding sources Discretionary Grants National Skills Funds Unemployment Insurance Fund Activation Programme. Budget amount R Risks Management TETA s scope has increased significantly during the current dispensation. However, it must be noted that the grants have not necessarily increased to meet the expanded mandate. TETA will have to look at innovative ways of carrying out the mandate through the following areas: National Skills Fund grant Prioritize skills funding based on the top scarce and critical skills list Prioritise youth development in the DG allocation process and focus on sustainable projects to improve skills for the economy. PAGE 55

56 Strategic Plan PROGRAMME 5: Skills Development Support for Small Entities Strategic Objective 5.1 Small Enterprises supported 5.2 Rural Development Projects Supported Performance Indicator (5.1a) small enterprises funded. (5.1b) Cooperatives funded. (5.1c) NGOs funded. (5.1d) Trade Unions funded. (5.2a) rural development projects supported. Baseline Previous Current Year Target Year Target Medium Term Targets PAGE 56

57 Strategic Plan PROGRAMME 6: Safety Programmes for Transport Sector Strategic Goal 6: Skills Development Support for Safety Initiatives Goal Statement To increase road safety and HIV/AIDS awareness in the Transport Sector and support accident prevention campaigns. Justification: Lack of knowledge and disregard of safety measures poses a huge risk resulting in road fatalities. These risks are mainly due to human behaviour. The awareness and prevention programmes will assist in reducing the number of fatalities and thus contributing to the NDoT Decade of Action initiative. Source Of Baseline NDoT Decade of Action Links NSDS III Strategic Priority Road Safety National Road Safety Strategy Road Traffic Management Corporation Strategic Goal 6 on the Annual Performance Plan NATMAP (National Department of Transport 2050 Strategy) The National Development Plan 9 Point Plan Operation Phakisa Road Safety Initiatives White Paper on Post School Education and Training. Outcomes Support Road Safety Initiatives including HIV/AIDS awareness and Prevention Programmes Reduction of fatalities on the national roads. Resource considerations: TETA is well-resourced to execute this programme and will identify strategic partners to work with. Expenditure trends This is a new programme and will be funded from Discretionary grants. Trends and key staff and inputs Over the MTEF period, TETA will utilise available staff complement to implement the programme. Most of these will be done in partnership with relevant agencies. Funding sources Discretionary Grants National Skills Fund Unemployment Insurance Fund Activation Programme Funds. Budget amount R Risks Management TETA s scope has increased significantly during the current dispensation. However, it must be noted that the grants have not necessarily increased to meet the expanded mandate. TETA will have to look at innovative ways of carrying out the mandate through the following areas National Skills Fund grant Unemployment Insurance Fund Activation Programme Funds. PAGE 57

58 Strategic Plan PROGRAMME 6: Safety Programmes for Transport Sector Strategic Objective Performance Indicator Baseline Previous Year Target Current Year Target Medium Term Targets Road Safety Awareness Programmes supported 6.2 Road Accidents prevention programmes supported 6.3 HIV/AIDS awareness and prevention programmes supported (6.1a) road safety partnerships formed. (6.1b) road safety awareness initiatives financially supported. (6.2a) accident prevention projects supported. (6.2b) persons put on accident prevention training programmes. (6.3a) HIV/AIDS awareness programmes supported PAGE 58

59 Strategic Plan Resources Considerations 5.1 MATERIALITY The Accounting Authority has prepared a materiality and significance framework in terms of the PFMA and Treasury Regulations Any amount which results from criminal conduct: TETA is of the view that criminal conduct should not be tolerated within the SETA environment and hence has not included any amount resulting from criminal conduct in the materiality and significance framework. In terms of fruitless and wasteful expenditure caused by gross negligence or any other circumstance, TETA has taken a very strong view in that fruitless and wasteful expenditure of any kind should not be tolerated within TETA environment and hence TETA has not included any amount arising from fruitless and wasteful expenditure in the materiality and significance framework Significance Based on the materiality and significance framework, TETA has set its materiality and significance amount to R , which is 0.5% of gross revenue for the 2015/16 financial Year based on audited financial results for the respective year Main sources of revenue The main source of funding for TETA is the Skills Development Levies (SDL) which TETA receives in terms of the Skills Development Levies Act No. 9 of 1999, as amended. The Skills Development levy is levied on all companies within the Transport Sector at 1% of each company s payroll costs. 5.2 BUDGET AND BUDGETING PROCESS Budgeting Processes In order to arrive at the levy income budget for the MTEF period (2016/2017 to 2017/2018), the following process was followed: For the 2016/2017 period, a consultative process was followed, where both employee and the employer representatives who sit on the TETA Board were asked to project how much the salary increases were most likely to be for the 2017/2018 Financial Year. This exercise resulted in an average of 7% salary increase and the same percentage increase has been applied to the 2017/2018 levy income. PAGE 59

60 Strategic Plan For the 2015 to 2017 period, the levy income is based on the average levy income increases for the past 10 years of TETA s existence. This information is based on the audited annual financial statements, which are included in the published annual reports. This exercise resulted in a 7% levy income increase and this is the percentage that has been applied to the 2016/2017 up to 2017/2018 levy income increase Budget Assumptions The following are some of the broad budget assumptions for both income and expenditure that were made in the determination of the MTEF budget for the period (2017 to 2019): The MTEF budget is prepared on a going concern basis, as per approved recertification licence until 31 March 2018 In 2017/2018 Financial Year, the pay-out ratios for Mandatory Grants are budgeted at 85%. For the remainder of the MTEF period, the pay-out ratios are budgeted at 90% Throughout the MTEF period, administration expenses are budgeted at 100% of the administration income received. The salary increases will be accommodated within the available 10% administration income Based on the dynamic environment that TETA operates in, the administration budget is reprioritised on a quarterly basis to cater for any additional administration levies that may have been received. This is to ensure that the administration budget is fully and appropriately utilised Income Unlike government departments, SETAs do not receive a budget allocation from the National Government to fund their operations. The main source of income for SETAs is the Skills Development Levies which SETAs receive from the levy-paying companies. In terms of the Skills Development Levies Act no 9 of 1999 as amended, levy-paying companies pay levies to SARS as the collecting agent on behalf of the Department of Higher Education and Training. The levy is calculated at 1% of the company s payroll costs. 20% of the levy is transferred to the National Skills Fund and the 80% is transferred to the SETA. Of the 80%, 10% of the original 100% is utilised for administration costs, 20% is utilised for Mandatory Grants which are disbursed back to the levy-paying companies. 49.5% is utilised for Discretionary Grants, which are also disbursed back to the levy-paying companies based on criteria or policy that the Accounting Authority (Board) of a SETA sets and reviews from time to time. The remaining 0.5% is for QCTO funding. PAGE 60

61 Strategic Plan Expenditure The expense side of the budget mirrors that of the income side in that: 10% of the levies are utilised for administration expenses, such as employee costs, office accommodation, etc 20% is utilised for Mandatory Grants. These are grants which must be disbursed back to the levy-paying companies in terms of the Skills Development Levies Act, if they meet certain criteria such as submission of Workplace Skills Plan and Annual Training Report (ATR) 49.5% is utilised for Discretionary Grants. These are grants the Accounting Authority can utilise to fund special projects and skills priorities based on criteria and policy approved by the Accounting Authority (Board) of a SETA. The SETA can also apply for NSF (National Skills Fund) catalytic grants to fund additional strategic skills priorities that may require additional budget The remaining 0.5% will be used for QCTO funding.any additional income or funding that TETA receives over and above the 80% levy income will be utilised towards the Discretionary Grants. All the interest, penalties and investment income from surplus funds will be utilised towards funding Discretionary Grants. All unspent funds within reserves (administration, employer grant and discretionary) will also be utilised towards the Discretionary Grants Grant regulation promulgation It must be noted that the proposed grant regulations have been promulgated in terms of section 36 of the Skills Development Act of 1998 (Act No. 97 of 1998) after consultation with the National Skills Authority. TETA has adjusted its budget based on the promulgation to ensure compliance with the dictates of the new regulations premised on the following focus areas: Regulation of proportion funding for administration of the SETA Contribution of funds toward the QCTO Regulate surpluses and unspent funds Encourage the improvement of market labour information Prioritise PIVOTAL programmes, thus improving the NQF process Expand the use of public education and private providers in providing skills development. PAGE 61

62 Strategic Plan Medium Term Revenue Estimates (amounts in R 000) ITEMS Skills Development levies (80%) Interest and penalties 2013/14 Audited 2014/15 Audited 2015/16 Audited 2016/17 Estimate 2017/18 Estimate 2018/19 Estimate 2019/20 Estimate REVENUE Other income Investment income Donations for special projects EXPENDITURE Mandatory ( ) ( ) ( ) ( ) ( ) ( ) ( ) Discretionary grants Administration costs incl. Capex Administration Cost - QCTO Special Projects expenditure (212,463) ( ) ( ) ( ) ( ) ( ) ( ) (69 448) (76 717) (77 052) (91 281) (93 019) (99 732) ( ) (4 651) (4 775) (5 167) (64) Surplus/(Deficit) ( ) (11 061) Please note that surpluses reflected are mainly due to substantial portions of Discretionary Grants, which are received in one year and only expensed in the following Financial Year. The budget for the 2017/2018 Financial Year onwards is in line with the new Grant Regulations. PAGE 62

63 Strategic Plan PART C 6. Links to other plans 6.1 Legislative Framework Section 10a (1) (a) of the SDA further requires each SETA to conclude a Service Level Agreement (SLA) with the Director General in terms of the SDA and the NSDS. Regulation 30 of the Treasury Regulations issued in terms of the Public Finance Management Act (PFMA) requires each SETA to develop Annual Strategic Plans. In line with this, section 10(1) (h) (ii) of the SDA also requires each SETA to submit these plans, as well as reports on the implementation of its SSP and SLA, to the Director General on an annual basis. The grant regulations make provision for the submission of Workplace Skills Plans (WSP) and Annual Training Reports (ATR s) by registered levy-paying employers in order to claim Mandatory Grant funding from the SETAs. 6.2 of Annual Strategic Framework The parties have entered into this SLA in order to determine the levels of service delivery required of the SETA in: Performing its statutory functions Meeting the NSDS targets Implementing its annual strategic plan The standards, criteria and targets for measuring and evaluating the SETAs performance The plans and reports to be submitted by the SETA to the Director General for purposes of measuring and evaluating the performance of the SETA against this SLA The assistance that the Director General will provide to the SETA with the purpose to enable it to perform its functions; and The SETA PFMA compliance responsibilities. 6.3 Obligations of the SETA The SETA undertakes to comply with standards, criteria and targets contained in the schedule in respect of: Performing its functions under the SDA PAGE 63

64 Strategic Plan Meeting the NSDS targets; and Implementing the Annual Strategic Plan. The SETA further undertakes to: Implement its Annual Strategic Plan Submit plans and reports to the Director General containing the information in the format set by the Department: - Quarterly reports should be submitted within ten working days after the end of each quarter; and - Quarterly reports should be submitted ten working days after the end of September and March or, in the event that a change in the Board or staff of the SETA should occur. Respond to any written inquiry from the Director General within 20 working days or, if this is not reasonably practicable, to provide the Director General within this period with a reasonable timetable to deal with the inquiry; and Submit all PFMA documents required to the responsible officer within the stipulated time frames and in the prescribed formats. 6.4 Measuring and Evaluating SETAs Performance The SETA in collaboration with the Department will undertake a self-assessment of its performance in accordance with the standards, criteria and targets set out in the SETA Performance Assessment Scorecard and such annual self-assessment should be submitted to the Director General after the end of August The Director-General must in respect of each Financial Year allocate a performance rating to the SETA in accordance with the provided performance rating scale set. The obligations of the Director General The Director General undertakes to: Consult the SETA on all relevant policy and strategic matters that might affect the functioning of the SETA Promote the interests of the SETAs collectively to other organs of State as may be appropriate and necessary Provide the SETA with: Guidance on Sector Skills Plan and Strategic Plan requirements Provide additional assistance as may be described in Schedule 4 in order to enable the SETA to perform its functions Respond to any written inquiry from the SETA within 20 working days or, if this is not reasonably practicable, to provide the SETA within this period with a reasonable time-table to deal with the inquiry; and PAGE 64

65 Strategic Plan Convene regular meetings with the Chief Executive Officers, Chairpersons and other SETA officials as and when necessary, to consider strategic matters and to provide forums for discussing emerging policy issues and exchanging ideas on best practice. 6.5 General Any amendments to this SLA must be in writing and signed by both parties. No relaxation, extension or indulgence which either party may grant to the other will constitute a waiver of any right of that party in terms of this SLA or any applicable law and does not preclude a party from exercising any rights which may have risen in the past or which may arise in the future Proposed NSDS III Framework-SSP Salient Points In April 2010, the Minister of Higher Education & Training, Dr. BE Nzimande, published the proposed NSDS III Framework The following have been identified as salient points for the SSP: NSDS III emphasised as resting firmly on Sector Skills Plan (SSP) SSP regarded as the bedrock of skills planning in each sector Significance of sign-off by social partners and key strategic partners critical; partners can be senior leaders in unions, business, government and provincial PGDS structures) SSPs must not only focus on WSP/ATRs data, but also thorough analysis of the labour market trends and must have references of other published research. Key strategic questions to be addressed by the SSP How in the context of the Sector, will the SETA contribute towards the achievement of national equity targets (class, race, gender, disability & HIV/AIDS? How will the SETA ensure that targeted learners are helped to overcome access, success and progression barriers? Which programmes will the SETA deliver in order to meet the sectoral strategic goals, as well as contribute to national priorities? How can the Sector expend the number of PIVOTAL partnerships entered into by member firms? Who are the delivery partners and how can the SETA contribute towards the goal of expanding capacity of partners in general and public providers in particular? Learning programmes to facilitate access, success and progression includes: Need for wider spectrum of learning programmes Information and career guidance (Each SETA to submit a comprehensive profile of the Sector by March 2013 and update by 2016) PAGE 65

66 Strategic Plan SETAs must also provide information on steps to expose learners to work in the Sector Recognition of prior learning Raising the base: foundational learning programmes including AET PIVOTAL Occupational Programmes (Professional, Vocational, Technical and Academic Learning) PIVOTAL programmes are professional, vocational, technical and academic learning programmes that meet the critical needs of economic growth and social development. In addition, PIVOTAL Programmes combine course work at university and colleges with structured learning at work. Pivotal programmes are achieved by professional placements, work-integrated learning, apprenticeships, learnerships and internships. PIVOTAL programmes are characterised as follows: Tracer studies are emphasised for learners exposed to PIVOTAL programmes. Skills programmes emphasised for both employed and unemployed Skills programmes for employed to be supported for levy payers (80% submission for large firms; 60% submission for medium firms and 40% submission for small firms) Skills programmes for the unemployed (Catalytic Grants: The NSF shall enter Catalytic Grant agreements with SETAs, government departments or other claimants to achieve targeted national goals). Catalytic Grants applications shall be listed under the national strategic headings (Medium Term Strategic Framework). Special emphasis will be given to priority 3 (rural development) Programmes that build the academic profession and innovation. These include the following: Academic research Innovation To be funded by the NSF and SETAs collectively 6.6 Programme Delivery Partners Partnership with programme delivery partners emphasised (TVETs/HETs/Faculties/Private Providers/ ISOEs/Workplaces). Due to the gap existing between SETAs and public providers, it is anticipated that there will be empowerment of public providers through appropriate mechanism to encourage maintenance of partnerships. PAGE 66

67 Strategic Plan Annual Performance Plan RP56/2017 ISBN: Annual Performance Plan PAGE 67

68 Annual Performance Plan Artisan at work. PAGE 68

69 Annual Performance Plan Chairperson s Foreword Consistent with the PFMA and treasury regulations, TETA board has formulated a three-year strategic plan that outlines how the board will discharge its legislative mandates and functions over the 2017/18 to 2019/20 period in line with the Medium Term Expenditure Framework (MTEF) for the same period. The Strategic Plan and the current Annual Performance Plan cover the period 2017/ /20; this period extends beyond the licensing period of TETA and only serves to reflect the projected needs of the sector. However, the implementable part of the plan remains valid only up to march The Minister of Higher Education and Training, Dr BE Nzimande, has consistently emphasised the critical role of SETAs in the Human Resource Development of South Africa Strategy (HRDSA), especially in the development and building of capabilities for sustainable economic development. The minister consistently reiterates the need for fostering partnerships and collaborations between SETAs, TVETs and HEIs. In response to this call, TETA has optimised and aligned its strategy and delivery mechanisms accordingly; this ensures the organisation remains relevant and responsive to contemporary and emergent national priorities and also compliant to legislation and dictates of NSDS III. TETAs strategic goals focus on the development of a skilled and capable workforce that will support the creation of a significant pool of artisans ready for placement. The goals also prioritise TVET and university learner workplace experience that leads to permanence in the targeted jobs. Our strategy also prioritises empowerment of designated groups and facilitation of their access to education and training and seeks to redress imbalances brought about by class, race, gender, disability, and HIV/ AIDS. TETA is aware of the diverse nature of skills development challenges that lie ahead in the Transport Sector in particular and in the society in general. As we begin to grapple with emergent challenges in the industry and the new post-school policy, we recommit ourselves to meaningfully contribute to the achievement of the socio-economic transformation of south africa through development of programmes that are cognisant of the realities of our country. Mr June Dube TETA Board Chairperson PAGE 69

70 Annual Performance Plan Chief Executive Officer s Foreword The Transport Sector plays a central role in the South African economy. It contributes significantly to gross domestic product. The sector presently employs approximately 895,000 people who represent 6% of the national workforce and contribute 8.2% of GDP and 5.9% of national employment. Contrary to its position as a key sector in the economy, only 12.7% of people in the sector have a tertiary education; 36.8% Have a secondary education; 13.2% have not completed secondary education; 1.6% Have not completed primary education and 0.6 % with no schooling. It is necessary for the sector to improve the proportion of people with tertiary education from 12.7% To potentially about 25% over the next few years. In line with the government prioritisation of job creation, social and economic development, recent years have seen significant infrastructural investments in the sector aimed at the improvement of road, rail, air and sea networks. The introduction of operation phakisa s ocean economy initiative calls, not only for greater impetus for training of artisans and professionals, but also necessitates speedier turnaround times for a highly skilled workforce and readiness on the part of TETA and its stakeholders to respond positively to these challenges. TETA and its partners are, therefore, key players in the operation phakisa initiative. TETA will also position itself to play a meaningful role, alongside other key stakeholders, in the transformation of the aviation industry under the auspices of the aviation industry transformation letsema. Given the number, significance and the magnitude of emerging national and sector initiatives, TETA will seek fresh mandate from its board that will provide for speedier response mechanisms to the said priorities. We will also form new partnerships and revitalise existing ones with training institutions, captains of industry and other committed stakeholders to ensure meaningful contribution and stewardship of these initiatives. Our strategy is guided by our overall mandate, as espoused in the NSDS III and lately by the proposed role of SETAs as outlined in the white paper for post school education and training. Key elements of the transformational imperatives, medium term strategic framework, rural development agenda, public transport strategy and strategic infrastructure projects have been integrated into our strategy to ensure relevance to contemporary policies and debate. Ms. Maphefo Anno-Frempong TETA Chief Executive Officer PAGE 70

71 Annual Performance Plan Official Sign-Off It Is Hereby Certified That This Annual Performance Plan: Was Developed by The Management of The Transport Education Training Authority (TETA) Under The Guidance of The TETA Board and The Department of Higher Education and Training Was Prepared in line with the Current Strategic Plan of the TETA Takes into account all the relevant policies, legislation and other mandates for which TETA is responsible Accurately reflects the strategic outcome oriented goals and objectives which TETA will endeavour to achieve over the period Khotso Ndjwili-Potele Date: 15 November 2016 Chief Operations Officer Signature: Simon Ndukwana Date: 15 November 2016 Chief Financial Officer Signature: Ms. Maphefo Anno-Frempong Date: 15 November 2016 Chief Executive Officer Signature: Approved By: June Dube Date: 15 November 2016 Chairperson: Accounting Authority Signature: PAGE 71

72 Annual Performance Plan Table of Contents ANNUAL PERFORMANCE PLAN Chairperson's Foreword 67 Chief Executive Officer's Foreword 69 Official Sign Off 71 Part A: Strategic Overview Updated Situational Analysis Performance Delivery Environment Implications of Emergent Changes Organizational Environment Assumptions and Information Used 74 Part B: Programmes And Sub Programme Plan Strategic Outcome Oriented Goals Programmes 77 Part C: Links To Other Plans 99 PAGE 72

73 Annual Performance Plan Part A: Strategic Overview 1.1 Updated Situational Analysis The Transport Sector contributes significantly to South Africa s Gross Domestic Product (GDP) and employment. Since 2012, the Transport Sector contributes approximately 9% to the country s GDP. The sector revenue contribution increased from R 242 billion in 2012 to R 256 billion in 2015 (STATS SA). At the same time, this sector is home to 6% of the South African working labour-force. Gauteng Province serves as the region with the highest economic and labour activity for the transport; the coastal provinces of KZN, Western Cape and Eastern Cape, which are largely driven by ocean business, trail directly behind Gauteng. As noted in earlier Sector Skills Plans (SSPs), the Transport Sector continues to be among the least gendertransformed sectors. Between 2015 and 2016, gender and racial transformation was estimated to have increased by less than 1% of total employment in favour of previously disadvantaged groups. Of the working Africans, the Transport Sector absorbs only 5.9%. Consequently, it is recommended that TETA continue to review interventions aimed at empowering the formerly disadvantaged groups. (Source: TETA SSP ). 1.2 Performance Delivery Environment The Transport Sector is at the heart of the South African economy, growth and social development. Given the low level of tertiary education in this sector, innovative skills development solutions are critical components in ensuring that the sector responds proactively and satisfactorily to national and global demands directed at both infrastructure and human resource development. South Africa has a modern and well-developed transport infrastructure. The air and rail networks are the largest on the continent and, in most circumstances, the roads are in good condition. The country s ports provide a natural stopover for shipping trips to and from Europe, the Americas, Australasia and both coasts of Africa. The Transport Sector is technology-driven and, as such, is dynamic and has many risks associated with obsolescence of skills and technology. Transport SETA, therefore, has to ensure a good understanding of this environment to be able to facilitate development of appropriate strategies that will ensure relevance of technology and enablement of cutting-edge HRD programmes that provide the right skills at the right levels. The government has prioritised the development of the transport industry for job creation, social and economic development and the competitiveness of the economy as a whole. This is embodied in the recent launch of the Ocean Economy Initiative by the Office of the President. PAGE 73

74 Annual Performance Plan Implications Of Emergent Changes Our strategy and annual performance plan are responsive to dictates of the day, emergent policies and legislation such as the following: The white paper for post school education and training Emphasises on SETA collaboration with TVETs, HETs and key social partners The mooted clustering of SETAs Protection of personal information act Sector initiatives, such as Letsema and Operation Phakisa Broadening of access to skills development and opportunities to those previously excluded These priorities demand TETA to be innovative in the way that present resources are stretched and optimised to meet an expanded mandate and compliance requirements. 1.4 Organisational Environment For optimal performance and sustained change, TETA recognises the need to continually review and align its structure, processes and systems to new national policy directives in the following manner: Ongoing organisation development to ensure identification and correction of deficiencies in the structure and alignment of same to our strategic objectives Enhancements and entrenchment of research, monitoring and reporting functions for proper gathering, interpretation and analysis of credible data that will support quality decisions In line with the outputs of TETA strategy planning sessions, stakeholder meetings and other forums, TETA has made strategic choices that will enhance delivery mechanisms and resources All policy formulation, review and planning will align our goals and performance measures to national socio-economic development objectives. 1.5 Assumptions and Information Used Grant Regulation Promulgation The proposed grant regulations have been promulgated in terms of Section 36 of the Skills Development Act of 1998 (Act No. 97 of 1998) after consultation with the National Skills Authority. TETA has, accordingly, reviewed and adjusted budgetary processes to ensure compliance with the new regulations. PAGE 74

75 Annual Performance Plan We understand the new regulations to be addressing the following areas: - Regulation of proportion funding for administration of the SETA - Contribution of funds toward the QCTO - Regulate surpluses and unspent funds - Encourage the improvement of market labour information - Prioritise pivotal programmes, thus improving the NQF process - Expand the use of public education and private providers in the provision of skills development Expenditure The expense side of the budget mirrors that of the income side in that: 10% of the levies are utilised for administration expenses, such as employee costs, travel, accommodation and others 20% is utilised for mandatory grants. These are grants that are disbursed back to the levy paying companies in terms of the skills development levies act where they meet certain criteria, such as submission of Workplace Skills Plan (WSP) and Annual Training Report (ATR) 49.5% is utilised for discretionary grants. These grants utilised to fund special projects and skills priorities based on the criteria or policy set by the accounting authority (board) of a SETA. A SETA can also apply for NSF (National Skills Fund) catalytic grants to fund additional strategic skills priorities that require additional budget that the SETA cannot afford 0.5% is transferred to Quality Council for Trades and Occupations (QCTO). Additional income or funding that TETA receives over and above the 80% levy income will be utilised towards the discretionary grants. Therefore, all the interest, penalties and investment income from surplus funds will be utilised towards funding discretionary grants. All unspent funds within the different reserves (administration, employer grant and discretionary) will also be utilised towards funding discretionary grants. The Annual Performance Plan 2017/18 has been prepared on a multi-year funding model that is based on the principle that skills development interventions are funded from start to completion in order to achieve the maximum impact. Strategic Goal 2 is the highest funded at R m and constitutes 74% of the costed Annual Performance Plan. The total costed plan of R569m million is therefore justifiable. PAGE 75

76 Annual Performance Plan The table below shows the MTEF budget forecasts in line with the national treasury framework. Medium Term Revenue Estimates (Amounts In R 000) 2013/ / / / / / /20 ITEMS Audited Audited Audited Estimate Estimate Estimate Estimate Revenue Skills Development levies (80%) Interest and penalties Other Income Investment income Donations for special projects Expenditure Mandatory ( ) ( ) ( ) ( ) ( ) ( ) ( ) Discretionary grants Administration costs incl. Capex Administration Cost - QCTO Special Projects expenditure (212,463) ( ) ( ) ( ) ( ) ( ) ( ) (69 448) (76 717) (77 052) (91 281) (93 019) (99 732) ( ) (4 651) (4 775) (5 167) (64) Surplus/(Deficit) ( ) (11 061) The Budget for the 2017/2018 Financial Year onwards is in line with the new Grant Regulations. PAGE 76

77 Annual Performance Plan Part B: Programmes and Sub Programme Plans 1. Strategic Outcome Oriented Goals Strategic goal 1: Strategic goal 2: Strategic goal 3: Strategic goal 4: Strategic goal 5: Strategic goal 6: Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Increase Access to Occupationally Directed Programmes within the Transport Sector Strengthening the Quality Assurance System Access and Work Experience for Youth to Improve Employability Capacitate Small Entities on Skills Development Initiatives Provide Skills Development Support for Safety Initiatives 2. Programmes Programme 1: Programme 2: Programme 3: Programme 4: Programme 5: Programme 6: Skills Planning and Research Occupationally Directed Programmes and Strategic Partnerships Quality Assurance Systems Career Development, Progression and Work Placement for Youth Skills Development Support for Small Entities Safety Programmes for Transport Sector PAGE 77

78 Annual Performance Plan PROGRAMME 1: Skills Planning and Research Strategic Goal 1 Strategic Objective 1.1 Research Strategy Implemented Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Baseline Quarterly Targets Performance Reporting Annual Target QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4 Indicator Period (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) BUDGET Actual (1.1a) Research studies conducted. (1.1b) Research and Knowledge Information system is established. (1.1c) managers trained in Research and Knowledge. Annually N/A 3 Research studies conducted. Annually N/A Research & Knowledge Information Management System is established. Annually N/A 16 Managers trained in Knowledge and Research management skills within TETA Research studies conducted Research & Knowledge Information Management System is established Managers trained in Knowledge and Research management skills within TETA. R R R PAGE 78

79 Annual Performance Plan Strategic Goal 1 Strategic Objective 1.2 Industry research and consultations Industry research and consultations 1.3 Collaborative partnerships with universities or other stakeholders to support research in the Transport Sector Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Baseline Quarterly Targets Performance Reporting Annual Target QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4 Indicator Period (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) BUDGET Actual (1.2a) Tracer Studies conducted. (1.2b) Transport subsector Scarce and Critical skills lists updated. (1.2c) Approved TETA Sector Skills Plan. Annually R Annually R Annually 1 Approved TETA SSP 0 0 Approved TETA SSP 0 R0 (1.3a) research partnerships established. Annually R PAGE 79

80 Annual Performance Plan Strategic Goal 1 Strategic Objective 1.4 Increased stakeholder participation in the Transport Sector through submitted WSP/ATRs Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Markets within TETA Baseline Quarterly Targets Performance Reporting Annual Target QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4 Indicator Period (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) BUDGET Actual (1.4a) Mandatory Grant applications received from large firms. Annually R0 (1.4b) Mandatory Grant applications received from Medium firms. (1.4c) Mandatory Grant applications received from Small firms. (1.4d) approved Mandatory Grant applications (80% of submissions). Annually Annually Annually PAGE 80

81 Annual Performance Plan Strategic Establish a Credible Transport Sector Institutional Mechanism for Skills Planning, Create and Sustain Research Capacity on Labour Goal 1 Markets within TETA Baseline Quarterly Targets Strategic Performance Reporting Annual Target QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4 Objective Indicator Period (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) Actual BUDGET Increased (1.4e) Annually R stakeholder participation provincial SDF in the capacitation workshops Transport conducted. Sector (1.4f) Annually R through submitted sub-sector SDFs WSP/ATRs capacitation workshops conducted. Budget R PAGE 81

82 Annual Performance Plan PROGRAMME 2: Occupationally Directed Programmes and Strategic Partnerships Strategic Increase Access to Occupationally Directed Programmes within the Transport Sector Goal 2: Strategic Objective Performance Indicator Reporting Period Baseline Actual Annual Target Entered Completed QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET 2.1 Learner access to occupationally directed programmes through TVET, HEI and other providers (2.1a) Employed Learners granted bursaries. (2.1b) Unemployed Learners granted bursaries. (2.1c) Employed Learners granted Skills Programmes. (2.1d) Unemployed Learners granted Skills Programmes. Quarterly R Quarterly R Quarterly R Quarterly R PAGE 82

83 Annual Performance Plan Strategic Goal 2 Strategic Objective Increased learner access to occupationally directed programmes through TVET, HEI and other providers Increase Access to Occupationally Directed Programmes within the Transport Sector Performance Indicator (2.1e) Employed Learners granted Learnership Programmes. (2.1f) Unemployed Learners granted Learnership Programmes. (2.1g) Number of Learners granted AET programmes. (2.1h) Employed Learners granted an apprenticeship programme. Reporting Period Baseline Actual Annual Target Entered Completed QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Quarterly R Quarterly R Quarterly R Quarterly R PAGE 83

84 Annual Performance Plan Strategic Goal 2 Strategic Objective Increased learner access to occupationally directed programmes through TVET, HEI and other providers Increase Access to Occupationally Directed Programmes within the Transport Sector Performance Indicator (2.1i) Unemployed Learners granted an apprenticeship programme. (2.1j) Unemployed Cadets trained. (2.1k) Number of Learners granted RPL programmes. (2.1l) learners funded for candidacy programmes. Reporting Period Baseline Actual Annual Target Entered Completed QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Quarterly R Quarterly R Quarterly R Quarterly R Administration R PAGE 84

85 Annual Performance Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes within the Transport Sector Strategic Objective 2.2 Transport Industry candidates trained on leadership and management programmes Performance Indicator (2.2a) candidates granted a Leadership Development Programme. (2.2b) candidates granted an Executive Leadership Development Programme (2.2c) Women granted a Leadership Development Programme. (2.2d) candidates trained on Masters Programme in Maritime Affairs. Reporting Period Baseline Actual Annual Target Entered Completed QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Annually R Annually R Annually R Annually R ADMINISTRATION R PAGE 85

86 Annual Performance Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes within the Transport Sector Strategic Objective 2.3 Performance Indicator Reporting Period Baseline Actual Annual Target QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET TETA Strategic partnerships and support (2.3a) partnerships established with Employer Bodies. (2.3b) Employer bodies partnerships operationalised. (2.3c) partnerships established with TVET Colleges. (2.3d) TVET College partnerships operationalised. (2.3e) partnerships established with Universities. Quarterly R Quarterly R Quarterly R Quarterly R Quarterly R PAGE 86

87 Annual Performance Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes within the Transport Sector Baseline Annual Strategic Performance Reporting Actual Target Objective Indicator Period QUARTER 1 QUARTER (Apr-June) (Jul-Sep) 2.3 Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET TETA Strategic partnerships and support (2.3f) University partnerships operationalised. (2.3g) SETA provincial offices maintained. Annually R Annually R (2.3h) Number Lead SETAs partnerships serviced. Annually R (2.3i) workshops to capacitate TETA stakeholders on contract management. Quarterly R PAGE 87

88 Annual Performance Plan Strategic Goal 2: Increase Access to Occupationally Directed Programmes within the Transport Sector Baseline Annual Quarterly Targets Strategic Performance Reporting Actual Target Objective Indicator Period QUARTER 1 QUARTER 2 QUARTER 3 QUARTER BUDGET (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) (2.4a) Quarterly R Stakeholder Consultation and networking provincial stakeholders consultative forums conducted. (2.4b) Number of national strategic conferences attended. (2.4c) International bench- marking conferences attended. Quarterly R Annually R BUDGET R PAGE 88

89 Annual Performance Plan PROGRAMME 3: Quality Assurance Systems Strategic Goal 3: Strengthening the Quality Assurance System Strategic Objective Transport Sector learning materials developed for QCTO-approved occupational qualifications Performance Indicator (3.1a) Number of learning materials developed for QCTOapproved occupational qualifications. Baseline Annual Quarterly Targets Reporting Actual Target QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4 Period BUDGET (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) Annually R ADMINISTRATION R (3.2a) Annually R Occupational qualifications developed for the Transport Sector 3.3 Occupational qualifications developed. (3.2b) Qualification Assessment Specification Addendum developed. Annually N/A R PAGE 89

90 Annual Performance Plan PROGRAMME 3: Quality Assurance Systems Strategic Goal 3: Strengthening the Quality Assurance System Strategic Objective Service Providers capacitated on TETA ETQA systems 3.4 Performance Indicator (3.3a) Number of training providers capacitated on TETA ETQA systems. (3.3b) TVET lecturers trained on TETA quality assurance systems. Baseline Annual Quarterly Targets Reporting Actual Target QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4 Period BUDGET (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) Annually R Quarterly Entered 100 Completed R External moderation and evaluation process (3.4a) Number of external moderations conducted. (3.4b) Number of learning programmes evaluated. Quarterly R Quarterly R ADMINISTRATION R PAGE 90

91 Annual Performance Plan PROGRAMME 3: Quality Assurance Systems Strategic Goal 3: Strengthening the Quality Assurance System Strategic Objective 3.5 Performance Indicator Reporting Period Baseline Actual Annual Target QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Industries supported and accredited to offer workplace and practical training (3.5a) workplace mentors trained. (3.5b) workplace coaches trained. (3.5c) Apprenticeship Workplace Approvals. (3.5d) Learnership Workplace Approvals. Quarterly R Quarterly R Quarterly R Quarterly R ADMINISTRATION R BUDGET R PAGE 91

92 Annual Performance Plan PROGRAMME 4: Career Development, Progression, and Work Placement for Youth Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Strategic Objective Performance Indicator Reporting Period Baseline Actual Annual Target Entered Completed QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET 4.1 Youth trained through support programmes for access to Post School Education (4.1a) youth trained through support programmes for further access HETs. (4.1b) out-of-school youth trained on Grade 12 improvement programmes. Quarterly R Quarterly R ADMINISTRATION R PAGE 92

93 Annual Performance Plan Strategic Objective 4.2 Learners and graduates put on workplacebased training Performance Indicator (4.2a) Number of learners placed on internship programmes. (4.2b) HET learners on Workplace Experience programmes. (4.2c) TVET learners on Work Experience. Reporting Period Baseline Actual Annual Target Entered Completed QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Quarterly R Quarterly R Quarterly R PAGE 93

94 Annual Performance Plan Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Strategic Objective 4.3 Performance Indicator Reporting Period Baseline Actual Annual Target 2017/18 QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Transport Sector career information material developed with Labour Market information for accessing by youth. (4.3a) marketing material developed for Transport-related careers. (4.3b) career promotional material packs procured. (4.3c) digital platforms used to access information. Annually career booklets developed career playing cards R Annually R Annually R (4.3d) audio platforms used to access information. Quarterly (4.3e) print platforms used to access information. Quarterly PAGE 94

95 Annual Performance Plan Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Strategic Objective 4.4 Performance Indicator Reporting Period Baseline Actual Annual Target 2017/18 QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Exhibitions to provide career guidance and vocational information (4.4a) TETA career exhibitions conducted to increase awareness. Quarterly R Exhibitions to provide career guidance and vocational information 4.5 (4.4b) State career exhibitions supported to increase awareness. (4.4c) subsector events supported to increase TETA brand visibility. Quarterly R Quarterly R Career guidance advisors and Sector specialist coached on career guides. (4.5a) career guidance advisors capacitated on career guides. Annually R PAGE 95

96 Annual Performance Plan Strategic Goal 4: Access and Work Experience for Youth to Improve Employability Strategic Objective 4.6 Performance Indicator (4.5b) provincial capacity building workshops for life orientation teachers. Reporting Period Baseline Actual Annual Target 2017/18 QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET Quarterly R Adopted schools supported (4.6a) schools supported. Annually R ADMINISTRATION R BUDGET R PAGE 96

97 Annual Performance Plan PROGRAMME 5: Skills Development Support for Small Entities Strategic Goal 5: Increased Small Enterprises Skills Development Initiatives Baseline Strategic Performance Reporting Actual Annual Target Objective Indicator Period /18 QUARTER 1 (Apr-June) QUARTER 2 (Jul-Sep) Quarterly Targets QUARTER 3 (Oct-Dec) QUARTER 4 (Jan-Mar) BUDGET 5.1 Small Enterprises supported 5.2 Rural Development Projects Supported (5.1a) Number of small enterprises funded. (5.1b) cooperatives funded. (5.1c) NGOs funded. (5.1d) Trade Unions funded. (5.2a) rural development projects supported. Quarterly R Quarterly R Quarterly R Quarterly R0 Quarterly R Administration R BUDGET R PAGE 97

98 Annual Performance Plan PROGRAMME 6: Safety Programmes for Transport Sector Strategic Goal 6: Increased safety Awareness and Impactful Accident Prevention Programmes Baseline Strategic Performance Reporting Annual Quarterly Targets Actual Target QUARTER 1 QUARTER 2 QUARTER 3 QUARTER 4 Objective Indicator Period /18 BUDGET (Apr-June) (Jul-Sep) (Oct-Dec) (Jan-Mar) 6.1 Quarterly N/A R0 Road Safety Awareness Programmes supported 6.2 Road Accidents prevention programmes supported 6.3 HIV/AIDS awareness and prevention programmes supported (6.1a) Number of road safety partnerships formed. (6.1b) Number of road safety awareness initiatives financially supported. (6.2a) Number of accident prevention projects supported (6.2b) Number of persons put on accident prevention training programmes. (6.3a) Number of HIV/AIDS awareness programmes supported. Quarterly N/A R Quarterly N/A R0 Quarterly N/A R Quarterly N/A R Administration R BUDGET R PAGE 98

99 Annual Performance Plan PART C: Links to other plans Legislative Framework Section 10a (1) (a) of the SDA requires each SETA to conclude a Service Level Agreement (SLA) with the Director General regarding SETA performance of its functions in terms of the SDA and the NSDS. Regulation 30 of the Treasury Regulations, issued in terms of the Public Finance Management Act (PFMA), requires each SETA to develop Annual Strategic Plans. In line with this, section 10(1) (h) (ii) of the SDA also requires each SETA to submit plans, as well as reports on the implementation of the SSP and SLA, to the Director General on annual basis. The Grant regulations make provision for the submission of Workplace Skills Plans (WSP) and Annual Training Reports (ATRS) by registered levy paying employers in order for them to claim Mandatory Grant funding from the SETAs The NSDS III ( ), announced in April 2010, was built on its predecessors, namely NSDS II and NSDS I. it is aligned to the National Human Resources Development Strategy III and the Industrial Policy Framework. of the Annual Strategic Framework The parties have entered into this SLA in order to establish and agree the service delivery levels expected of TETA as follows: Performing its statutory functions Meeting the NSDS targets Proper implementation of its annual Strategic Plan Setting the standards, criteria and targets for measuring and evaluating TETA s performance Specifying the plans and reports to be submitted by the TETA to the Director General for purposes of measuring and evaluating performance against this SLA The guidance from the Director General will provide assistance to TETA and enable it to perform its functions efficiently TETA s execution of its responsibilities and compliance to PFMA. PAGE 99

100 Annual Performance Plan Obligations of the SETA TETA undertakes to comply with standards, criteria and targets contained in respect of: Performing its functions under the SDA Meeting the NSDS targets; and Implementing the Annual Strategic Plan. TETA further undertakes to: Implement its Annual Strategic Plan Submit plans and reports to the Director General, containing information in the format set out by the DHET: - Quarterly reports should be submitted within ten working days after the end of each quarter: Respond to any written inquiry from the Director General within 20 working days or, if this is not reasonably practicable, to provide the Director General, within this period, with a reasonable timetable to deal with the inquiry; and Submit all PFMA documents required to the responsible officer within the stipulated time frames and in the prescribed formats. Measuring and evaluating the SETAs performance TETA, in collaboration with the DHET, will undertake a self-assessment in accordance with the standards, criteria and targets set out in the SETA Performance Assessment Scorecard and such annual self-assessment shall be submitted to the Director General ten (10) working days after the end of August The Director-General must, in respect of each financial year, allocate a performance rating to TETA in accordance with the appropriate performance rating scale. The obligations of the Director General The Director General undertakes to: Consult the SETA on all relevant policy and strategic matters that might affect the functioning of the SETA Promote the interests of the SETA and SETAs collectively to other organs of State as may be appropriate and necessary Provide the SETA with: Guidance on Sector Skills Plan and Strategic Plan requirements; and Provide additional assistance, as may be described in Schedule 4, in order to enable the SETA to perform its functions PAGE 100

101 Annual Performance Plan Respond to any written inquiry from the SETA within 20 working days or, if this is not reasonably practicable, to provide the SETA within this period with a reasonable time-table to deal with the inquiry; and Convene regular meetings with the Chief Executive Officers, Chairpersons and other SETA officials as and when necessary, to consider strategic matters and to provide forums for discussing emerging policy issues and exchanging ideas on Best Practice. General Any amendments to this SLA must be in writing and signed by both parties. No relaxation, extension or indulgence, which either party may grant to the other, will constitute a waiver of any right of that party in terms of this SLA or any applicable law and does not preclude a party from exercising any rights which may have risen in the past or which may arise in the future. Proposed NSDS III Framework-SSP salient points In April 2010, the Minister of Higher Education & Training, Dr. BE Nzimande published a proposed NSDS III framework The following have been identified as salient points for the SSP: NSDS III emphasises the centrality of the Sector Skills Plan (SSP) The SSP is regarded as the bedrock of skills planning in each sector Significance of sign-off by social partners and key strategic partners is emphasised; partners comprise senior leaders in unions, business, government and provincial PGDS structures) Sector Skills Plans must not only focus on WSP/ATRs data, but also on the thorough analysis of the labour market trends and must make reference of other published research. Key strategic questions to be addressed by the SSP How, in the context of the Sector, will the SETA contribute towards the achievement of national equity targets (class, race, gender, disability & HIV/AIDS)? How will the SETA ensure that targeted learners are helped to overcome access, success and progression barriers? Which programmes will the SETA deliver in order to meet the sectoral strategic goals, as well as contribute towards achievement of national priorities? How can the Sector expend the number of PIVOTAL partnerships entered into by member firms? Who are the delivery partners and how can the SETA contribute towards the goal of expanding capacity of partners in general and public providers in particular? PAGE 101

102 Annual Performance Plan Learning Programmes Learning programmes to facilitate access, success and progression include the need for wider, more encompassing learning programmes: Information and career guidance; each SETA to submit a comprehensive profile of the Sector by March 2015 and update by 2016 SETAs must also provide information on steps to be taken to expose learners to work in the Sector Recognition of Prior Learning; each SETA to include RPL access routes for all sectoral and national programmes and the number of learners to access further learning Raising the base: Foundational Learning programmes including AET; each SETA assist learners to access further learning. PIVOTAL occupational programmes (Professional, Vocational, Technical and Academic Learning) PIVOTAL programmes are defined as professional, vocational, technical and academic learning programmes that meet the critical needs for economic growth and social development. In addition, PIVOTAL programmes combine course work at university and college with structured learning at work. PIVOTAL programmes are achieved through professional placements, work-integrated learning, apprenticeships, learnerships and internships. Pivotal programmes are primarily characterized by workplace experience. Tracer studies are indicated for learners exposed to PIVOTAL programmes. Skills programmes emphasised for both employed and unemployed Skills programmes for employed to be supported for levy payers (80% submission for large firms; 60% submission for medium firms and 40% submission for small firms) Skills programmes for the unemployed (Catalytic Grants: the NSF shall enter into Catalytic Grant agreements with SETAs, government departments or other claimants to achieve targeted national goals). Catalytic Grants applications shall be listed under the national strategic headings (Medium Term Strategic Framework). Special emphasis will be given to priority 3 (rural development). Programmes that build the academic profession and academic innovation include academic research and innovation. PIVOTAL programmes will be funded jointly by the NSF and SETAs. Programme Delivery Partners Partnership with programme delivery partners is critical. The partners comprise TVETs, HETs, Private Providers/ISOEs, Workplaces, etc. Capacity challenges among the delivery partners means TETA may have to facilitate training and workplace experience for programme delivery staff to ensure they are properly equipped and proficient in the relevant subject areas. PAGE 102

103 Annual Performance Plan Technical Indicator Descriptions PAGE 103

104 Technical Indicator Descriptions Port of Richards Bay PAGE 104