This study is aimed at determining the effect of Black Economic Empowerment on employees. The objectives of this study were: <ul> <li>To conceptualize theoretically what Black Economic Empowerment entails and to identify the causes of the Broad Based Black Economic Empowerment Act.</li> <li>To determine the physical, emotional, psychological and social effect of BEE on employees and to elaborate on employees’ experiences</li>. <li>To make recommendations regarding the implementation of BEE based on employees experiences.</li> </ul> This qualitative study endeavoured to answer the following research question: “What effect does BEE have on employees?” By answering this question, the researcher aimed to document experiences to understand the effect of this phenomenon on employees and to make recommendations regarding its implementation in the workplace. Probability sampling methods were used to select the respondents and data was gathered by using semi-structured interview schedules. These interviews were taped-recorded, transcribed and analysed by extracting themes and subthemes. The study was feasible as it was within the financial and practical means of the researcher. Permission was obtained from BOSASA to conduct the study, and use their resources, staff and data. The main themes that emerged from the data analysis are as follows: <ul> <li>Support for BEE</li> <li>Criticism of BEE</li> <li>The role of communication</li> <li>Change leads to mental shifts</li> <li>Changes in the working environment affects employees</li> <li>Attitude towards change impacts on physical effects</li> <li>The importance of development in the implementation of BEE.</li> </ul> From the research findings, the following conclusions and recommendations were made: It can be concluded that there are different opinions regarding the implementation of BEE and we have to acknowledge that there are positive and negative effects thereof. BEE can hold mutual benefits for both employees and the organization, but it is important for open and reciprocal communication channels to be present whilst BEE is being implemented. It was also concluded that although BEE is a legislative process the individuals within the organization definitely experience the ripple effect of the changes that are implemented. On micro-level, it is recommended that all organizations where BEE is being implemented should have open communication channels between themselves and their employees. Opportunities for questions regarding clarity of processes being implemented should be part of the process and communication of information should be reciprocal and not just from a top down approach. On meso-level, it is recommended that different levels of management should receive training regarding BEE, what it entails and how it will be implemented. The reasons for its implementation and the benefits it holds for the organization and employees should be explored during these sessions. On macro-level, it is recommended that the marketing of BEE should become more prominent in the media in South Africa, including newspapers, television and billboards. The emphasis should shift from only reporting on the “large” BEE deals that are done, to the untold stories of the masses that daily experience the positive effects that BEE has had on them as “smaller” organizations and individuals. Organizations should assist in rectifying the harms of the past. It should not only be about implementing BEE for the purpose of getting business deals from government, but also about realizing its significance for the economic growth of our country. This will assist in eradicating fronting and create a culture that is open to change. Copyright / Dissertation (MSW)--University of Pretoria, 2008. / Social Work and Criminology / unrestricted

The objectives of this study were to evaluate the viability and sustainability of preferential procurement in the metals and engineering sector. Preferential procurement is one of the seven elements of Broad–Based–Black Economic Empowerment (BBBEE) and seeks to encourage companies to procure goods and services from black empowered suppliers. The Broad–Based–Black Economic Empowerment Act was legislated in 2004 as an improvement on the previous Black Economic Empowerment (BEE). The objective of these legislations was to increase participation of previously disadvantaged groups in the mainstream economy. BEE was deemed to be narrow because it focused exclusively on ownership and management control. BBBEE was enacted to broaden the number of beneficiaries and included five other elements, namely: Employment Equity, Skills Development, Preferential Procurement, Enterprise Development and Socio–economic Development. The two companies that engage in preferential procurement should benefit from the relationship and value should be created in the process. Companies should not procure from black suppliers for accumulating points on the generic scorecard. Black–owned suppliers should provide service and products of the highest quality standards that meet customer requirements. The questionnaire that reflects on the objectives of this study was drafted and circulated to black–owned suppliers for completion. The suppliers were asked to comment on statements that reflect on capacity, profitability, working relationship and continuity. The results show that the SMMEs have capacity to perform according to specification of customers. The area of concern was the difficulty for SMMEs to maintain the current preferential status. This is a risk that needs urgent attention. This needs further in–depth study and analysis. / Thesis (M.B.A.)--North-West University, Potchefstroom Campus, 2011.

The objectives of this study were to evaluate the viability and sustainability of preferential procurement in the metals and engineering sector. Preferential procurement is one of the seven elements of Broad–Based–Black Economic Empowerment (BBBEE) and seeks to encourage companies to procure goods and services from black empowered suppliers. The Broad–Based–Black Economic Empowerment Act was legislated in 2004 as an improvement on the previous Black Economic Empowerment (BEE). The objective of these legislations was to increase participation of previously disadvantaged groups in the mainstream economy. BEE was deemed to be narrow because it focused exclusively on ownership and management control. BBBEE was enacted to broaden the number of beneficiaries and included five other elements, namely: Employment Equity, Skills Development, Preferential Procurement, Enterprise Development and Socio–economic Development. The two companies that engage in preferential procurement should benefit from the relationship and value should be created in the process. Companies should not procure from black suppliers for accumulating points on the generic scorecard. Black–owned suppliers should provide service and products of the highest quality standards that meet customer requirements. The questionnaire that reflects on the objectives of this study was drafted and circulated to black–owned suppliers for completion. The suppliers were asked to comment on statements that reflect on capacity, profitability, working relationship and continuity. The results show that the SMMEs have capacity to perform according to specification of customers. The area of concern was the difficulty for SMMEs to maintain the current preferential status. This is a risk that needs urgent attention. This needs further in–depth study and analysis. / Thesis (M.B.A.)--North-West University, Potchefstroom Campus, 2011.

This study endeavoured to uncover the trust experiences of individuals involved in business alliances between traditional companies (TCs) and historically disadvantaged institutions (HDIs) with a view to constructing a model that would facilitate a better understanding of organisational trust within these institutions. The theoretical study proposed a theoretical model of trust in the alliances between TCs and HDIs within an economic empowerment domain. The empirical study employed Q methodology to investigate the trust experiences of the participants. The 25 individuals who participated in the study were selected by means of both non-probability purposive and snowball sampling The participants were presented with the Q sample containing 50 items which they had to sort in accordance with the instruction given. The post-Q sorting interview was conducted to give the participants a chance to expound on their reasoning for the sorting of the Q sample. Data were analysed using Pearson product-moment correlation and factor analysis. Six factors revealed participants’ experiences of trust in the alliances: Factor A (Sincerity trust alliances), Factor B (Values trust alliances), Factor C (Duped trust alliances), Factor D (Vigilant trust alliances), Factor E (Deceitful trust alliances) and Factor F (Inclination to trust alliances). The trust experiences of the six groups were used to theorise about the association between the participants’ trust experiences and their performance on the Positive and Negative Affect Schedule (PANAS). In the main, the study found that groups that had pleasant trust experiences with their partner organisations exhibited have high positive affect (PA) and low negative affect (NA). Although exploratory in nature, the study contributed an empirically derived theoretical framework of cognitive and affective trust within business alliances that may be further investigated in future research endeavours. In this was it identified and proposed a modus operandi for closing the trust gap. / Industrial and Organisational Psychology / D. Com. (Industrial and Organisational Psychology)

Thesis (MBA (Business Management))--University of Stellenbosch, 2009. / ENGLISH ABSTRACT: This event study examines the effect that Black Economic Empowerment (BEE) announcements have on a companies' share price. The average mean return model is applied to study a sample of companies from the Financial Mail Top 200 Empowerment Companies list, 2007. The mean price change observed in a 7-day window around the event announcement is found to be significant relative to the calculated critical value. Results of the test statistic calculated relative to the probability shows that at a p-value of 0,00113, the result is significant and the null hypothesis is rejected at a 95% confidence level. This result of this study supports the fact that markets react positively to the announcements of BEE events. / AFRIKAANSE OPSOMMING: Hierdie studie ondersoek die verhouding tussen die verandering van 'n maatskappy se aandele prys wanneer hierdie maatskappy 'n aankondiging maak oor 'n Swart Ekonomiese Transaksie (SET). Die Financial Mail Top 200 Empowerment Companies 2007 lys is gebruik om maatskappye te kies vir die studie. Die gemiddelde verandering in aandele prys in a 7-dag venster rondom die SET aankondiging blyk merkwaardig te wees wanneer met 'n berekende kritiese waarde vergelyk word. Die toets statistiek bewys dat met 'n p-waarde van 0,00113 daar met 95% sekerheid die nul hipotese kan verwerp. Die resultaat van hierdie studie ondersteun die feit dat markte positief reageer teenoor maatskappye wat nuus oor SET transaksies aankondig.

Companies are faced with challenges constraining the achievement of set budgets, goals, profit and cost of product, to name a few, on a daily basis. These challenges influence value creation and sustainable value creation. Value-based management is an integrated management tool which may assist in achieving sustainable value creation within a company. Achieving sustainable value creation will result in benefits for both the shareholders and the various stakeholders. In 2008 and 2009 Eskom, South Africa’s sole electricity provider announced a major shortage of electricity and consequently major price increases. Since electricity consumption is a crucial part of the production process, this announcement had a devastating effect on mining companies. The primary objective of the current study is to investigate whether a local mining company is focusing on applicable endeavours to overcome the electricity constraint and price hikes in order to sustain value creation. This was done by studying the company’s financial & management reports, public announcements and media coverage, in conjunction with a quantitative study, collecting primary data by using standardised questionnaires distributed among the mining company’s employees. The results from this study indicate that the selected company is focusing on relevant projects to overcome the electricity constraints. Further, the conclusion made from the results of the questionnaires shows that the higher staff levels are more informed and aware of value-based management. It also points out that the lower levels and employees from the production and mining departments are less informed and aware of value-based management. / Thesis (MBA)--North-West University, Potchefstroom Campus, 2012

Everything about the Republic of South Africa is said to be entering exciting times and facing new challenges. This is usually said within the context and against the backdrop of a changing face of South African political and economic landscapes from the past history of exclusion, deprivation, segregation and prejudice to the future of inclusion, tolerance, equal distribution and social harmony. The economic equal distributive idea is likened to the socio-democratic ideals of social justice, which advocates equal distribution of wealth to all citizens of the country. The South African idea is that South Africans are now in the new social era and the social transformation, on all fronts and most particularly the economic front, must move with the times and reflect the times that all its citizens find themselves in. On the political front, the year 1994 ushered in a new face of South Africa with the first democratic elections which, for the first time in hundreds of years, saw the inclusion and participation of the African majority of its citizens. These changes were soon entrenched by the adoption of the new South African Constitution, which espouses noble ideas of respect, equality, tolerance, economic development, distribution and access to country's wealth in a fair and equitable manner. The Constitution forces its citizens and the government to seek to redress the past imbalances particularly in the economic front and proactively take measures to see to this equilibrium of South Africa's wealth. Legislature, various political fronts and various economic fronts rallied around these principles and began talking the concept of Broad- Based Black Economic Empowerment. This concept has one central theme, which is to advance the economic participation of the previously (and in many respects the current) disadvantaged individuals into the mainstream economic activities of the country. It further aims to fast track their access to economic wealth and sharing of the fruit of common market and to seek to even out the economic disparities in many sectors of the society. As to how this empowerment process is being implemented and achieved, this paper will not even begin to traverse the diverse proposals and ideas of its implementation and realisations. Various economic sectors produced sector-specific economic empowerment charters in an attempt to lay the road maps on how to achieve this equilibrium of wealth distribution into the African hands. Virtually all-economic sectors are being active in that front including the mining sector. The Mineral and Petroleum Charter was among the first industry-specific charter to be produced after much publicised debates as to the best frame within which to approach and implement this concept. After that charter has been adopted and its implementation being realised, the South African government seeks now to introduces the Mineral and Petroleum Royalty Bill, which aims to collect monies from the mining houses that conduct mining activities in many areas. The move has caused many heated debates within the industry with the government forging ahead with its proposal subject to various consultative processes, while the business is also forging ahead with its attempts to halt this move right in its drafting stages. The purpose of this essay will be to look at the concept of the royalties, what they are, why is the South African government keen to introduce this Bill, why is business against them, why do we have them over and beyond the normal mining tax systems and the requirements of Black Economic Empowerment programs. In doing so, the article will also shed some light on their (royalties) nature and make necessary proposals in the process which, it is hoped, would in the main assist government and the Department of Minerals and Energy (DME) to implement, modify and manage royalty regime(s) in the mining and the petroleum industries. The essay will, to the extent that it can, rely on case law but the topic is mostly theoretical in South Africa and very few case law authority exist to clarify and provide thoroughly researched and considered legal analysis of the topic. The theoretical research of this article will take the reader to various countries that are in more or less the same boat as South Africa in terms of their relative reliance and dependence on mining industry and mining products for economic survival and activities. Similarities also extend to the relative sizes of these countries, similar perceptions of economic participation or lack thereof by mining houses vis-à-vis paying taxes that are congruent with their incomes, non-existing developmental corporate social responsibilities, no or less royalty payments and generally prevailing negative social-environmental impact of mines and mining houses on immediate communities within which they function and carry on their businesses. It is the writer's opinion that the political backgrounds of these countries, as compared with South Africa, also have huge impact and influence on how the concept of royalties can be understood locally. A comparative analysis of their modus operandi will be undertaken to see if the legislative attempts by South Africa is in or out of order in seeking to introduce royalties and whether its reasons are in or out of tune with sound local or international economic principles. Immediate economic concerns surrounding royalties are that royalties have the potential to attract or dismiss much needed investments, be it direct or indirect investment. Their effect on shareholders’ dividends, growing local mining costs/ business and their general impact on financial upkeep of mining operations in South Africa will also be researched in this essay. The essay will therefore assume this outline of topics, definition and origin of the concept; international comparative analysis; the South African past mining regimes visà- vis royalties; the current South African Royalty Bill; critics of the South African royalty Bill; the defenders of the Bill; some proposals; way forward; and conclusion.

<p>Black Economic Empowerment (BEE) has been a topic of discussion since the dawn of democracy in April 1994. Due to the entrenched inequalities of the past, economic empowerment is very important for the economic growth of the majority of South Africa&rsquo / s citizens. However, significant economic enrichment of black people has not been made, despite, economic success, legislation, state policies and programme interventions. This economic growth is to be realised through the use of preferential procurement as a policy tool for BEE. Whilst sufficient legislation has been enacted to regulate preferential procurement, to favour black people, much still seems to be lacking in the enforcement of the laws in public procurement. Central to the challenges of preferential procurement is the disharmony between the Framework legislation governing preferential procurement and BEE. This discord has seen two visions being followed for preferential procurement / the Procurement Act refers to the beneficiaries of BEE as historically disadvantaged individuals (HDI / s) and the goals for BEE are measured through specific goals which promotes narrow empowerment / the BBBEE Act on the other hand defines black people as the recipients of BEE and through the BEE Codes broad-based empowerment is promoted through seven core elements. This congruency has not served the promotion of preferential procurement, it has created a hindrance that frustrates economic growth for those it is intended. The other quandary that undermines the success of preferential procurement is willful practices engaged by both tenderers and public officials / skills deficiency in the adjudication of tenders and self-interest. The success of BEE through preferential procurement is dependent on a coherently legislated procurement environment fortified by perceptive public officials. The objective of this thesis is to analyse the impact of these challenges on the success of preferential procurement. The study will highlight the main practices that defeat the use of preferential procurement. This will include an analysis of the various legislation and the amendments thereto. In addition the enquiry will examine the proficiency of public officials in the adjudication of public tendering. Recommendations for a successful preferential public procurement environment will be made. The proposed thesis will utilise, inter alia, relevant legislation, case law, theses, journals, books and policy documents.</p>

<p>Black Economic Empowerment (BEE) has been a topic of discussion since the dawn of democracy in April 1994. Due to the entrenched inequalities of the past, economic empowerment is very important for the economic growth of the majority of South Africa&rsquo / s citizens. However, significant economic enrichment of black people has not been made, despite, economic success, legislation, state policies and programme interventions. This economic growth is to be realised through the use of preferential procurement as a policy tool for BEE. Whilst sufficient legislation has been enacted to regulate preferential procurement, to favour black people, much still seems to be lacking in the enforcement of the laws in public procurement. Central to the challenges of preferential procurement is the disharmony between the Framework legislation governing preferential procurement and BEE. This discord has seen two visions being followed for preferential procurement / the Procurement Act refers to the beneficiaries of BEE as historically disadvantaged individuals (HDI / s) and the goals for BEE are measured through specific goals which promotes narrow empowerment / the BBBEE Act on the other hand defines black people as the recipients of BEE and through the BEE Codes broad-based empowerment is promoted through seven core elements. This congruency has not served the promotion of preferential procurement, it has created a hindrance that frustrates economic growth for those it is intended. The other quandary that undermines the success of preferential procurement is willful practices engaged by both tenderers and public officials / skills deficiency in the adjudication of tenders and self-interest. The success of BEE through preferential procurement is dependent on a coherently legislated procurement environment fortified by perceptive public officials. The objective of this thesis is to analyse the impact of these challenges on the success of preferential procurement. The study will highlight the main practices that defeat the use of preferential procurement. This will include an analysis of the various legislation and the amendments thereto. In addition the enquiry will examine the proficiency of public officials in the adjudication of public tendering. Recommendations for a successful preferential public procurement environment will be made. The proposed thesis will utilise, inter alia, relevant legislation, case law, theses, journals, books and policy documents.</p>

Companies are faced with challenges constraining the achievement of set budgets, goals, profit and cost of product, to name a few, on a daily basis. These challenges influence value creation and sustainable value creation. Value-based management is an integrated management tool which may assist in achieving sustainable value creation within a company. Achieving sustainable value creation will result in benefits for both the shareholders and the various stakeholders. In 2008 and 2009 Eskom, South Africa’s sole electricity provider announced a major shortage of electricity and consequently major price increases. Since electricity consumption is a crucial part of the production process, this announcement had a devastating effect on mining companies. The primary objective of the current study is to investigate whether a local mining company is focusing on applicable endeavours to overcome the electricity constraint and price hikes in order to sustain value creation. This was done by studying the company’s financial & management reports, public announcements and media coverage, in conjunction with a quantitative study, collecting primary data by using standardised questionnaires distributed among the mining company’s employees. The results from this study indicate that the selected company is focusing on relevant projects to overcome the electricity constraints. Further, the conclusion made from the results of the questionnaires shows that the higher staff levels are more informed and aware of value-based management. It also points out that the lower levels and employees from the production and mining departments are less informed and aware of value-based management. / Thesis (MBA)--North-West University, Potchefstroom Campus, 2012