Thesis (MBA)--Stellenbosch University, 2005. / ENGLISH ABSTRACT: The Broad-based Black Economic Empowerment (BBBEE) Act, Act 53 of 2003, has
made it essential that businesses with more than fifty employees become black
empowered in the shortest possible time frame (2-3 years) which is both practically
possible and economically feasible. The aim with government's introduction of BBBEE
is to address inequalities resulting from the systematic exclusion of the majority of South
Africans from meaningful participation in the economy. With the introduction of the
BBBEE Code of Good Practice, compliance with the requirements as set out by the
government was further defined. A balanced scorecard has been introduced by the
Department of Trade and Industry that assists companies to measure their level of
integration. Compliance to the legislation has become a necessity for businesses in South
Africa to be competitive and to grow.
The balanced scorecard and the ever mounting pressure to be competitive have resulted
in black economic empowerment (BEE) transactions being more focussed on equity deals
than on truly empowerment. A hypothesis is that these types of transactions would not be
sustainable due to the nature of the relationships and seeming lack of strategic processes.
With the current balanced scorecard, there is also no provision made for the measurement
of sustainability.
To be competitive remains the key to any business' strategic objectives. This would
therefore imply that the BEE transactions should hold a competitive advantage for the
business and promote the objective of black economic empowerment as a socioeconomic
process, ultimately contributing to the economic transformation of South
Africa. It is within this context that the study explored the application of growth
strategies and the modelling of these strategies to BEE.
An exploratory and mainly descriptive research study was conducted to determine
whether a model for sustainable empowerment could be developed using the strategic
growth strategies as the framework. Each strategy, namely diversification, mergers and acquisition and strategic alliances was evaluated in terms of its contribution to the
competitive advantage of a company. Using the principles from a strategic growth
perspective it is believed that a number of concerns for small and medium size businesses
in South Africa could be addressed. These include amongst others, growing more
competitively through diversification into the core business, selecting
partnerships/alliances that match the strategy of the company, avoiding fronting through
the establishment of strategic alliances based on the improvement of efficiency and
effectiveness, transferring skills and knowledge through diversification, strengthening
existing business domain through an alliance that enhances the core strengths of a
company.
The recommendation to apply a more strategic model to BEE also resulted in the
recommendation of a more comprehensive tool to measure the effectiveness and the
sustainability of the growth strategy. A recommendation is made to apply the balanced
scorecard and to integrate the strategic objectives of the company with the BEE
objectives defined by government. The result is a model that reflects the sustainable
competitive advantage of a business aligned with its vision and mission.
Both the competitive advantage and sustainability are therefore addressed through the
model application that would, in all likelihood, also prove to have a direct effect on the
financial outcome of the business in the future.
BEE, in its legislative form, is unique to South Africa and is a strategic tool to contribute
to the economic transformation of South Africa. In a country that is in the process of
creating a new middle class, this model could have a distinct impact on other developing
countries in the world and further research on the application of a sustainable BEE model
to create economic prosperity in the developing society could prove to be of significant
value. / AFRIKAANSE OPSOMMING: Ingevolge die Algemene Swart Ekonomiese Bemagtigings (BBBEE) Wetgewing, Wet 53
van 2003, is dit vir sake-ondernemings met meer as vyftig werknemers noodsaaklik om
swart bemagtiging in die kortste moontlike tydsbestek (2 - 3 jaar) in werking te stel; 'n
tydsduur wat beide prakties haalbaar en ekonomies uitvoerbaar is. Die meerderheid Suid-
Afrikaners is van enige betekenisvolle deelname in die ekonomie stelselmatig uitgesluit
en die regering se oogmerk met die implementering van die BBBEE is om dié
ongelykheid uit die weg te ruim. Met die invoering van die gedragskode is die vlak van
inskiklikheid meer breedvoerig gedefinieer. Ter wille van mededingendheid en groei het
dit vir sake-ondernemings noodsaaklik geword om hierdie betrokke wetgewing te
ondersteun.
Die ewewigtige meetinstrument en die voortdurende druk om 'n hoër vlak van
mededingendheid het tot gevolg dat daar meer gekonsentreer word op gewone
aandeletransaksies as op ware bemagtiging. 'n Hipotese is dat hierdie tipe transaksies nie
volhoudbaar sal wees nie weens die aard van die verhoudings en skynbare gebrek aan
strategiese prosesse. Met die huidige meetinstrument is daar ook geen voorsiening
gemaak vir die meting van volhoudbaarheid nie.
Van kardinale belang vir enige sake-onderneming is om mededingend handel te dryf. Dit
veronderstel dat die BEE-transaksies behoort 'n mededingende voordeel vir die sakewêreld
te ondervang en die doelwitte van swart bemagtiging as 'n sosio-ekonomiese
proses te bevorder. Hierdie benadering sal mettertyd 'n wesenlike bydrae lewer tot die
transformasie van Suid-Afrika. Dit is binne hierdie verband wat hierdie studie die
toepassing van groei-strategieë nagevors het en voorts die uitvoering van hierdie
strategieë vir BEE toe te pas.
'n Ondersoekende- en hoofsaaklik beskrywende navorsingstudie is onderneem om te
bepaal watter model vir standhoudende bemagtiging ontwikkel kan word met gebruik van
die strategiese groeistrategieë as raamwerk. Elke strategie, dit wil sê diversifisering, samesmeltings en strategiese alliansies en venootskappe, is in terme van hulle bydrae tot
die mededingende voordeel van die maatskappy, beoordeel.
Met die toepassing vanuit 'n strategiese groei-perspektief, is die skrywer van mening dat
verskeie besorgdhede oor BEE vir klein- en medium sake-ondernemings in Suid-Afrika
aangespreek kan word. Dit sluit onder andere in, om mededingendheid te ontwikkel deur
diversifikasie in die sake kern, selektering van vennootskappe/ alliansies wat ooreenstem
met die strategie van die maatskappy. Ook deur frontering te verhoed deur die vestiging
van strategiese samewerking, gegrond op verbeterde doeltreffendheid en doelmatigheid.
Voorts deur kennis en vaardigheid oor te dra deur diversifikasie, versterking van die
bestaande sakedomein deur samewerking, wat die inherente krag van die maatskappy
ondervang.
Die aanbeveling om 'n meer betekenisvolle model vir BEE toe te pas het gelei tot 'n
aanbeveling vir 'n meer toepaslike instrument om die doelmatigheid en standhoudenheid
van die groeistrategie te meet. Ook word aanbeveel dat die ewewigtige meetinstrument
toegepas word en die strategiese doelwitte van die maatskappy te integreer met die BEE
doelwitte, soos deur die regering gedefinieer. Die uitkoms is 'n model wat die volhoubare
mededingende voordeel van 'n sake-onderneming, gerig op sy visie en missie,
weerspieël.
Beide die mededingende voordeel en volhoubaarheid word dus aangespreek deur die
toepassing van die model, wat in alle waarskynlikheid ook sal bewys dat dit 'n direkte
invloed op die toekomstige finansiële uitkoms van die sake-onderneming sal uitoefen.
BEE, in sy wetgewende formaat, is eie aan Suid-Afrika en is 'n strategiese instrument
wat bydra tot die ekonomiese transformasie van Suid-Afrika. In 'n land wat in die proses
is van die skepping van 'n nuwe middelklas, kan hierdie model 'n besliste uitwerking hê
op ander ontwikkelende lande in die wêreld. Verdere navorsing in die toepassing van 'n
volhoudbare BEE-model om ekonomiese vooruitgang in die ontwikkelende samelewing
te bewerkstellig kan heel waarskynlik 'n betekenisvolle bydrae lewer.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:sun/oai:scholar.sun.ac.za:10019.1/50477 |
| Date | 12 1900 |
| Creators | Bosman, Estelle |
| Contributors | Oosthuizen, H., Stellenbosch University. Faculty of Economic & Management Sciences. Graduate School of Business . |
| Publisher | Stellenbosch : Stellenbosch University |
| Source Sets | South African National ETD Portal |
| Language | en_ZA |
| Detected Language | English |
| Type | Thesis |
| Format | 93 p. : ill. |
| Rights | Stellenbosch University |
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