Between 1980-2006, thousands of South African pension funds converted members from defined benefit to defined contribution structures. This research set out to answer the questions of why this phenomenon occurred and whether peculiar environmental circumstances influenced the outcome. The research framework identified various stakeholders in the retirement fund industry - government; regulator; pension fund adjudicator; ombudsman for long term insurance; trade unions; members; trustees; business; employers and service providers - and isolated the elements to be considered in the research. Industry experts were interviewed to obtain a macro view of the phenomenon and specific manifestations of the phenomenon were also considered in case studies. The purpose of the research was to develop a model for managers to assist them in dealing with environmental change. Qualitative research methodology was utilised and feedback from semi-structured interviews was categorised into several emergent themes. Within-case and cross-case analyses were conducted. Research results indicate that the conversion phenomenon occurred in two waves - one initiated in the 1980s and driven by the trade unions and a second in the 1990s, driven by employers, often at the advice of their consultants. Evidence of the start of a third wave also emerged. Results indicate that an environmental shock exerted a substantial influence on the course of events. Under these:  Various factors combined to drive organisational evolution (i.e. adaptation to the environment).  Adaptation speed was inappropriate and exceeded that which was required for sufficient thought.  Uncertainty and vacuum circumstances arose leading to consequences that require redress.  The power of the relative stakeholders changed and influenced the strategic outcome.  An imbalance in stakeholder interests arose and ethical factors became consequential.  Business acted to restore certainty for itself. Existing literature explained organisational behaviour in environments of competitive shock and high turbulence, but not in circumstances of environmental shock. A model emerged to assist managers to deal with environmental change, which was applied to an analysis of pension fund reform. It was also applied to the pension fund perspective on Broad-Based Black Economic Empowerment. This model may also be applied in analysis of land redistribution, sanctions and constitutional development. / Business Management / DBL

Thesis (MA)--Stellenbosch University, 2015. / ENGLISH ABSTRACT: During the period 2006-2012, the Langkloof area, situated in the Eden District Municipality, suffered severely from environmental shocks and social stress including drought, flooding, hail, wildfire, heatwaves and reduced labour demand. These events negatively impacted many farmers and their livelihoods. In response to these external shocks and stressors, large-, medium- and small-scale farmers adopted numerous coping and adaptive strategies. This study performed a comprehensive livelihoods analysis of large-, medium- and small-scale farmers in the Langkloof area, using the widely recognized sustainable livelihoods framework developed by the United Kingdom’s Department for International Development, with a particular focus on coping and adaptive strategies against severe environmental shock and social stress. Variables used in the analysis were the vulnerability context in which farmers pursue a livelihood; livelihood assets (social, human, financial, natural and physical); the policies, institutions and processes in the external environment that influence the degree of ownership and access to assets; livelihood strategies pursued; and the various livelihood outcomes ultimately produced. The analysis of coping and adaptive strategies employed by farmers during these periods formed an integral part of this study. Sixteen livelihood asset indicators were identified to determine the total assets (human, social, physical, financial and natural) of the farmers. After scaling the indicators, a Principal Component Analysis (PCA) was used to assign weights to each indicator and to subsequently calculate the total assets of each household. Regarding the coping and adaptive strategies employed by farmers against environmental shock and social stress, the average number of strategies was calculated for each household. Spearman’s rank correlations were calculated for total assets achieved (capacity) and the number of strategies employed against environmental shock and social stress. / AFRIKAANSE OPSOMMING: Die Langkloofgedied, geleë in die Eden Distriksmunisipalitiet, is gedurende die tydperk 2006-2012 geweldig geteister deur omgewings- en sosiale gebeure, wat droogte, vloede, hael, veldbrande, hittegolwe en ʼn gevolglike verlaagde arbeidsaanvraag sluit. Hierdie rampe het verreikende nadelige gevolge op boere se lewensbestaan gehad. Terwyl hulle lewensbestaan tot die uiterste uitgedaag is, is verskeie hanterings- en aanpassingstrategieë teen omgewingskok en sosiale stres geïmplementeer. Met die gebruik van die Verenigde Koninkryk se Departement van Internasionale Ontwikkeling se volhoubare lewensbestaansraamwerk is ʼn gedetailleerde en alomvattende analise van groot, medium- en kleinskaalboere in die Langkloof se lewensbestaan gedoen, met ʼn sterk skem op hul hanterings- en aanpassingstrategieë teen omgewingskok en sosiale stress. Die analise veranderlikes het die kwesbaarsheidskonteks waarin boere hul lewensbestaan aanpak; hul verskeie bates (menslik, sosiaal, finansieel, fisies en natuurlik); die beleide, instansies en prosesse in die eksterne omgewing wat toegang tot en eienaarskap van bates reguleer; hul lewensbestaanstrategieë; en die lewensbestaansuitkomste wat bereik word, behels. Die analise van die boere se hanterings- en aanpassingstrategieë geïmplementeer teen omgewingskok en sosiale stres gedurende hierdie tydperk was ʼn integrale rol van hierdie studie. Sestien aanwysers is geïdentifiseer om die totale lewensbestaansbates (menslik, sosiaal, fisies, finansieel en natuurlik) van die boere te bepaal. Nadat die aanwysers geskaal is, is ‘n Hoofkomponentanalise (PCA) uitgevoer om gewigte aan elke aanwyser toe te ken vir die berekening van totale bates van huishoudings. Die hanterings- en aanpassingstrategieë ingestel deur boere teen omgewingskok en sosiale stres, is die gemiddelde aantal strategieë per huishouding. Spearman se rangorde korrelasies is bereken vir die totale bates (kapasiteit) en die getal strategieë geïmplementeer teen omgewingskok en sosiale stres.

Between 1980-2006, thousands of South African pension funds converted members from defined benefit to defined contribution structures. This research set out to answer the questions of why this phenomenon occurred and whether peculiar environmental circumstances influenced the outcome. The research framework identified various stakeholders in the retirement fund industry - government; regulator; pension fund adjudicator; ombudsman for long term insurance; trade unions; members; trustees; business; employers and service providers - and isolated the elements to be considered in the research. Industry experts were interviewed to obtain a macro view of the phenomenon and specific manifestations of the phenomenon were also considered in case studies. The purpose of the research was to develop a model for managers to assist them in dealing with environmental change. Qualitative research methodology was utilised and feedback from semi-structured interviews was categorised into several emergent themes. Within-case and cross-case analyses were conducted. Research results indicate that the conversion phenomenon occurred in two waves - one initiated in the 1980s and driven by the trade unions and a second in the 1990s, driven by employers, often at the advice of their consultants. Evidence of the start of a third wave also emerged. Results indicate that an environmental shock exerted a substantial influence on the course of events. Under these:  Various factors combined to drive organisational evolution (i.e. adaptation to the environment).  Adaptation speed was inappropriate and exceeded that which was required for sufficient thought.  Uncertainty and vacuum circumstances arose leading to consequences that require redress.  The power of the relative stakeholders changed and influenced the strategic outcome.  An imbalance in stakeholder interests arose and ethical factors became consequential.  Business acted to restore certainty for itself. Existing literature explained organisational behaviour in environments of competitive shock and high turbulence, but not in circumstances of environmental shock. A model emerged to assist managers to deal with environmental change, which was applied to an analysis of pension fund reform. It was also applied to the pension fund perspective on Broad-Based Black Economic Empowerment. This model may also be applied in analysis of land redistribution, sanctions and constitutional development. / Business Management / DBL