When roads are in disrepair, or potholes apper, our first reaction is to jump up and down and perform about bad service. Yes it is bad service and yes it is wrong but it certainly will not solve the problem by complaining. A more meaningful sollution is to propose a way of dealing with the issue and a volunteer programme is one of the ways we can all get inbolved in solving the problem.
Volunteerism is not there to take over the responsibility or to take business away from companies, rather it is a way of jump-starting the process so that businesses can function and municipalities can take charge.
It is something we should all think about.
Regards
Neil
PROPOSAL
VOLUNTEER INVESTMENT PROGRAMME
Neil Devereaux Nel
February 2010
To develop a sustainable, nation-wide programme where volunteer initiatives can initiate projects and begin to address backlogs in education and training, job creation, job experience, the creation of businesses and to initiate services that are lacking in South Africa.
The proposal will present a summary of the BACKGROUND KNOWLEDGE that qualifies the writer to address the issue, a PROBLEM STATEMENT, a STRATEGY and SOLUTION STATEMENT where a volunteer programme can be used to address the particular problem, the RESTRICTIONS, the ADVANTAGES, the FUNDING MODEL and a list of DEFINITIONS
The proposal will present a working model for the implementation of the VOLUNTEER INVESTMENT PROGRAMME (VIP).
KNOWLEDGE BACKGROUND
After obtaining my degree in genetics (B.Sc. Hons.) from the University of the Free State in 1979, I joined the Irene Animal Research Institute in the Department of Genetics. Working on the cytogenetics of indigenous cattle, I was able to travel in rural South Africa, Africa and I worked at the USA’s Beltsville Campus in 1991. On my return to RSA, I was appointed the Deputy Director of the Irene Institute.
The delivery of agricultural services to deep rural population became my passion.
In 1996, I was seconded to the Office of the President as a manager in the Reconstruction and Development Programme (RDP); a year later I was appointed to head the RDP Unit. The most notable achievement was the success in the RDP housing project (800 000) houses, the clinic building project and an MBA from Thames Valley in London. In the RDP, I was heavily involved in social development and experienced first hand, the problems associated with service delivery in deprived areas.
In 2000 I became Project Head at the Gauteng Economic Development Agency; achievements included foreign investments to the value of R7,4 billion and created 13000 jobs. Working in GEDA provided experience in business development, foreign investment and South Africa’s needs in terms of foreign perception.
In 2007, I established Reamogetse Investments (Pty) Ltd and successfully applied for a National Skills Fund grant to train semi- and skilled artisans for the Gautrain project; 3000 people have received training to date. This experience has provided the insight into training and the associated problems facing the youth of South Africa.
PROBLEM STATEMENT
The problem statement concentrates on broad problem areas in South Africa. It is however necessary to focus your attention on the overwhelming vibrancy and positive growth in South Africa and to reiterate that this growth and development can be enhanced by tackling and solving the problem areas in the economy.
There are a myriad problems facing South Africa and in this proposal we can only attempt to address three broad areas. These are -
1. The need to train young and old in skills that allow them to market themselves in an ever-changing environment. The example that springs to mind is that of a machine operator. This was always a semi-skilled position requiring an understanding of the machine and the basic coordination skills required to operate a mechanical apparatus. Electronics has changed this and the operator now requires computer skills, mathematics, literacy skills and an understanding of electronic circuits. In other words, the knowledge requirement to perform the operation is increasing.
a. Training is given to those already employed. There is very little opportunity for the unemployed
b. For the unemployed, they do not have access to communication, money for transport, caregivers for parents or young children. The opportunity for training is therefore denied.
c. Job opportunities and training are not local but at some distant location.
d. Businesses only train to satisfy their immediate needs and to satisfy legal requirements.
e. Government regulations insist that training can only be provided where a job is ensured. This is only possible in a well coordinated training / job search system.
2. Job creation and the creation of businesses that create jobs is a priority. No matter how skilled a person is, if there is no job available, this skill is lost and the person is again caught in a poverty trap.
a. Labour regulations tend to restrict the turnover of persons and so the same work teams tend to move from contract to contract.
b. The lack of an enterprise culture in the townships negatively impacts on the turnover of capital in a community (i.e. money is spent outside the community and thus does not benefit the community).
c. Business owners do not live in the communities and so their social consciousness and contributions are focussed in other, possibly more affluent area.
3. The maintenance of basic infrastructure and the initiation of small community level infrastructure projects. Experience in the RDP and in the Gautrain Project• highlights the problems that the three tiers of government (central, provincial and municipal) have in (project) managing and maintaining the basic infrastructure. This is associated with financial management and an understanding (lack thereof) of recurrent expenditure.
a. In an annual budgeting system, controlled from central government, it is easier to build a highway that to paint a small office block. The reason being the problems associated with budget and roll-overs into the following financial year.
b. Basic project management skills are lacking at the municipal level
c. Co-operation and effective co-ordination between government and the private sector is lacking.
d. Corruption stays a constant problem
e. Turnover of officials in the government structure creates a lack of continuity.
THE SOLUTION STRATEGY
These three problem areas can only be tackled and solved in a coordinated project strategy. As soon as the pillars are out of synchrony with one another, it creates insurmountable problems in budgeting, calls for expression of interest from companies and the actioning of the project. Once the lead department runs into a situation of asynchrony, there are budget overruns, escalating costs, irregular tendering and more often than not, the projects is paid but never delivered.
This, in turn, negatively affects the planned training and job creation.
In the same vein, asynchrony between the construction and the training departments results in the successful training of persons long before the commencement of the projects or after the successful completion of the project. Either way, it causes labour disputes and may lead to unrest.
Lastly, asynchrony between the planning and the finance departments means that the project is not accommodated in the long-term budget and thus falls into disrepair and is no longer functional (the historic Post Office building in the Johannesburg CBD is a tragic example of this).
STRATEGY
This strategy proposes the creation of a volunteer system where companies and individuals can assemble expertise and manpower in a team that will work with local authorities, communities and/or companies to initiate projects, and/or manage the projects and/or assemble the manpower to complete the project. The type of intervention will depend on the project, its location and the importance of the projects in terms of community needs.
This system was successfully used in the management of the RDP projects. Volunteer managers were invited by Government from the private sector to manage the various RDP projects.
1. A national or multinational company appoints a core team (VIP Team) comprising a project and social development manager, an actuarial manager and a promotions manager. The team is responsible for the
a. the formation of the team,
b. the long term sustainability of the programme,
c. the identification of projects and
d. the development of the volunteer investment project
e. the programme management and completion of the individual projects. The types of projects would range from local infrastructure maintenance, the maintenance of historic buildings, traffic light maintenance, the management of training facilities, the building of sports fields and community centres, childcare programmes, frail care programmes, clinic management and assistance to hospital management
2. Once a Volunteer Investment Project is selected the following actions are put in place –
a. Formulate the scope and broad objectives of the project
b. Form a coordinating link to the responsible lead department and inform them of the VIP intention to commence with a volunteer programme.
c. Implement a strategy between the VIP, the Expanded Public Works Programme and the National Skills Fund. This will have to be forged at the Director General of Ministerial levels. The National Skills fund would be a key partner in the VIP programme. Once training needs are identified and a service provider identified, the NSF could provide the training finance. The Expanded Public Works Programme is another key partner. The EPWP has access to funding, a database of unemployed graduates and has as its mandate, public works projects.
d. Activate a communications NETWORK to local, national and international companies and organizations in order to draw volunteer expertise needed to plan and manage the project (this is only for the management level). This level of expertise also acts in a mentoring capacity to inexperienced or subordinate functionaries. Manager and mentors may also be drawn from unemployed professionals who live in the community.
e. Liaise with the lead department to ascertain their capacity and or readiness to tackle the project. It is absolutely essential that government or the community structures take responsibility for the projects at either the planning, implementation, management of financing stages. The VIP programme is there to bridge the gap between planning and implementation stages.
f. The VIP is there to bridge the human or expertise gaps that are hindering or constraining a project from commencing.
g. Recurrent cost implication must be identified, quantified and contractually addressed before any project can commence.
3. Once the answer in b above is formulated and there is a commitment as to when the project will be handed over, a decision can be taken to proceed with the project of reject the project. The following answers must be part of this decision –
a. At what stage will management be handed over to the lead department?
b. Should management be handed to a lead department or should there be enterprise of community management?
c. Can sponsors be found?
d. What is the potential for company development (SMME) and job creation?
e. What is the potential for training and mentoring?
4. Once a decision to proceed with the project is taken, the following steps are implemented –
a. Appoint a project manager for each project.
b. Plan the creation of a management company or building company as per the requirement.
c. Present the detailed plans.
d. Identify training needs and appoint a training provider (cost planning is essential)
e. Identify sponsors
f. Initiate a volunteer programme from the local community and from the wider community. Preference must be given to the local community.
• Volunteers can learn a skill (NSF and SETA)
• Volunteers can gain experience (Company)
• Volunteers can create an opportunity to start a business (SMME Initiatives e.g. ABSA Bank)
• Mentoring is available (Private sector expertise)
• A daily stipend can be earned (NSF, investors, Lead Dept or Grant)
• Volunteer projects can provide opportunities for national and international organizations to get involved
• Volunteer information is loaded onto a database for use in future job recruitment (Dept of Labour and Labour Desks)
The volunteers can be utilized at any stage of the project life cycle. This can range from a mentor to assist a departmental manager, a functional manager to fill a key post, a management team or volunteers to complete the actual task. Each application will have to be analysed and a decision taken on the type of intervention.
5. Manage the project, monitor the progress and communicate the progress to the interested parties.
6. Complete the project, complete all reports, get final approvals from all the parties involved.
7. Hand over the completed project to the lead department, community, company or organization in the original agreement.
RESTRICTIONS
1. The VIP is not a substitute for government’s role in society
2. The VIP is a bridge that allows the realization of projects through the use of expertise, volunteers and mentors drawn from the local and wider communities.
3. The interests of the local community are paramount.
4. Recurrent expenditure must be identified and addressed
5. The VIP may not disadvantage local companies. The companies must participate in the projects.
6. The VIP may not be a way of obtaining cheap labour.
THE FUNDING MODEL
1. The initial funding, setup costs and team cost will have to be carried by the VIP Initiator.
2. Discussions regarding funding must commence with the National Skills Fund, the Expanded Public Works Programme, the SETA’s, Foundations, Private Companies and International Grant funders.
3. The plans should include the possibility of registering a section 21 company and seeking certain tax exemptions from SARS. Company proposals can include a public funded company with limited or public shareholding through the Alt-X.
4. Within a specified period of time, the VIP must become a sustainable entity
ADVANTAGES OF THE VIP
1. The common problem of converting a plan to an action is addressed
2. Latent needs are addressed (e.g. the need for a park or sportsfields)
3. Training opportunities are provided to those who would otherwise not receive training
4. Various community needs can be addressed
5. The company (VIP Initiator) is contributing in a meaningful way to the upliftment of communities and fulfilling its social responsibility
6. Companies are being created
7. A mentor programme is instituted
8. Co-ordination between various government, community and business interests is promoted.
9. The local and wider communities are being drawn closer together.
YOUR COMPANY AND VIP
Your company’s involvement is via the following actions
1. Become the VIP Initiator or promote the proposal to a holding company.
2. Cover the costs for the initial VIP Team
3. Promote the VIP using radio and the print media at your disposal
4. Invite submissions for projects via a VIP slot on radio or media
5. Provide progress reports
6. Host approved business functions to promote the idea
7. Become the champion of the VIP concept.
DEFINITIONS (for the purposes of this proposal)
Poverty trap – A perpetually depressed economic situation where the person or persons or family or community do not have the financial or skills resources (or access to these resources) to meaningfully change their economic situation. This situation is coupled to an element of exploitation by those who have the economic means.
Skill – A competency or ability that is marketable in the local or wider community.
Community level projects – Smaller projects that are not classed as stand-alone capital expenditure projects. E.g. maintaining a local sports field, painting, local road maintenance, community, small scale agriculture, local manufacture, vehicle maintenance.
Recurrent expenditure – The long-term provision, in a budget, for the continued maintenance of a capital expenditure project. E.g. the long-term maintenance of a building or fleet of vehicles or community park.
Lead department – the government, provincial or local department tasked with achieving the outcome (e.g. the building of a sports filed).
Project – a defined collection of actions that together achieve a specific outcome that is measured in terms of time, personnel, cost, equipment and progress indicators. E.g. building a house.
Programme – a collection of individual projects that collectively achieve a higher order outcome. E.g. different building projects to create a community infrastraucture.
Volunteer – (a) manager from a company volunteers time and skills and is carried by the company that employs him/her
(b) a local community member is paid a daily allowance that covers food and transport and a small daily wage. He/she also receives training and experience.
(c) from the wider community (used only if local volunteers cannot be found) receives a daily allowance, training and experience.
VIP Initiator – a department, company, companies or organization that accepts and implements the VIP proposal.
COPYRIGHT
The ideas, intellectual property and strategy contained in this document remain the property of Neil Devereaux Nel and may not be used without the permission of the author.
THE RECONSTRUCTION AND DEVELOPMENT EXPERIENCE
The Reconstruction and Development Programme (RDP) was initiated following the first democratic election in South Africa in 1994. The plan called for a top slice of R22 billion from the national budged, to identify the social priorities in South Africa and invite the lead departments to submit project plans to address these priorities.
The lead departments identified 64 “lead” projects and included the Primary School Nutrition Project, the Clinic Building Project, the Primary Health Care Project, the Working for Water Project, the National Housing Project and the KZN Peace Project.
The RDP was run on strict project management principles and money was only allocated once the RDP office, under Minister Jay Naidoo, and his staff were satisfied with the project proposal. It soon became apparent that the lead departments were not in a position to develop and implement the projects as per the RDP Act and this resulted in criticism being levelled against the newly elected Government for non-delivery.
In April 1996, former Pres Mandela announced the closure of the RDP office (not the projects) and the transfer of the mandate to the Department of Finance and State Expenditure.
The Department of Finance immediately isolated the problem as a lack of project management skills in the Lead Departments and invited senior managers from the private sector, on a volunteer basis, to join the RDP. Murray & Roberts, ESKOM, TRANSNET, VKE Engineering, ARC, ARMSCOR, CSIR and other organizations responded by seconding senior managers to the RDP programme for 12 months.
These private sector managers were given access to a budget from the United Nations Development Programme and each was assigned to a group of Lead Departments. Their brief was to assist in implementing the RDP Lead Projects using acceptable project management principles. I was appointed head of this project team, reporting to Deputy Min. Gill Markus.
The success was immediate and by 2000, the RDP had achieved impressive results -
1. Over 800 000 RDP houses were completed
2. R640 m was mobilized in the Primary School Nutrition Project feeding 4,2 million children on a daily basis
3. R800 million was spent on the building of clinics in deep rural areas
4. 7 million additional people had access to potable water
5. A complete inventory on the structural problems facing all hospitals in South Africa was completed
6. 30 000 jobs were created in the Working for Water Programme.
7. Peace agreements were signed in KZN
8. Reconstruction started in the Vosloorus Area.
The team of RDP managers (now known as Project Management Services) still operate from within the Ministry of Finance.
THE GAUTRAIN EXPERIENCE
In 2005, the National Skills fund made available a grant of R900 million to the nine provinces for large infrastructure training projects.
The Gautrain project was one of the projects selected within Gauteng and an application for R25 million for the training of semi-and skilled construction artisans was approved in December 2006. The money was only transferred in October 2007 and training commenced in January 2008 under the condition that the original targets were to be met despite the 12 month delay in the allocation of the funds. The performance targets were met and by June 2009
1. 2357 individuals had received training
2. 9705 training courses/assessments were delivered
3. 353 individuals had written the Learning Ability Assessment
4. 3 Electrical apprentices have successfully completed their theoretical training.
5. A comprehensive database was created to track the training and whereabouts of each trainee on the project
6. All results and budget were verified by the NSF’s Project Management Unit
7. A proposal on training and employment was published in the journal - Professional Management Review (Vol. 20 Issue 4, 2009)
http://www.pmrinet.com/magazines/Vol%2020/Issue%2004/p17.html
8. The successful grant application (NSF) and the subsequent training have contributed greatly to the overall progress of the project.
The application of sound project management principles were instrumental in the success of this project and had the NSF made more money available, similar projects could have been initiated at many of the mega construction sites in South and Southern Africa.
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