1. Transformation Integrated Strategy
PRESENTATION TO portfolio committee of human settlements

2. Table of content State of Transformation in the Property Sector
The size of the property sector
Provincial racial statistics
Current EAAB Transformational Programmes
MTSF Targets
Annual Performance Plan Targets
Planned future transformational programmes
Changes made to focus on transformation

3. State of transformation in the property sector- Race
Although there is an increase in black professionals from 12% in 2012 to 17% in 2016, transformation in the property sector is a lingering challenge.

4. State of transformation in the property sector - 2016

5. State of transformation in the property sector-

6. State of transformation in the property sector- Youths by race

7. The size of the property sector R7 trillion

8. PROVINCIAL RACIAL STATISTICS 2016

9. 2016

10. 2016

11. 2016

12. 2016

13. 2016

14. 2016

15. 2016

16. 2016

17. 2016

18. Current EAAB transformational programmes – Private Sector funded One Learner Program
Province
2013
2014
2015
2016
Total to December 2016
Eastern Cape 39 78
102 84
303
Free State 17 15 37 43
112
Gauteng
609
1075
1560
1525
4769
Mpumalanga 56 93
139 86
374
Northern Cape 7 4 8 13 32
North West 24 69 35
160
Kwa-zulu Natal
109
140
258
223
730
Limpopo 47
230
Western Cape 19 54 58
228
Total
919
1523
2387
2109
6938

19. Challenges and Learning's
Transformational challenges
Attraction to the Industry can be overcome but low retention
Lessons learner from the pilot indicate commission based remuneration challenges for the youth
Lack of stock the sell in the market
Resistance to change by existing estate agents
Perception of youth becoming the new competition

20. Current EAAB transformational programmes – Seta Funded One Learner Program
Province
Number of Learners
Gauteng
302
Kwa-zulu Natal 70
Mpumalanga 13
Free State
Eastern Cape 20
Western Cape 11
Limpopo 7
Total
436
Province
Number of Host Employers
Gauteng 49
Kwa-zulu Natal 5
Mpumalanga 4
Free State 2
Eastern Cape
Western Cape 3
Limpopo 1
Total 68

23. Current EAAB transformational programmes – Funded One Learner Program

24. Challenges and Learning's
Transformational challenges
Stipend from Seta too low to retain the youth
Transport and support systems needs to enhanced
Attraction to the Industry can be overcome but low retention
Lessons learner from the pilot indicate commission based remuneration challenges for the youth
Lack of stock the sell in the market
Resistance to change by existing estate agents
Perception of youth becoming the new competition

25. Challenges and Learning's
Transformational challenges
Private sector one learner program – analyse the % has succeeded?
Retention Rate - dropout rate and reasons
Challenges –reliance on commissions that is likely to take time.
Lessons – lack of comprehensive strategy, reliance only the pledges.
Attraction strategy –
What we will do different ?
Review curriculum and program
Redesign the architecture of the model
Educate Black consumers to patronize their PDI’s Estate Agents

26. MTSF Targets Strategic Objective Strategic Plan Target
Audited/Actual plan
Estimated Performance
Medium term targets
2013/14
2014/15
2015/16
2016/17
2017/18
2018/19
2019/20
5.1
Radio awareness Campaign - National
N/A
9,811,000
housing consumers reached
housing consumers reached
housing consumers reached
housing consumers reached
housing consumers reached
5.2
Radio awareness Campaign - Community
housing consumers reached
housing consumers reached
housing consumers reached
housing consumers reached
5.3
Print media – Awareness
housing consumers reached
housing consumers reached
housing consumers reached
housing consumers reached

27. MTSF Targets Strategic Objective Strategic Plan Target
Audited/Actual Performance
Estimated Performance
Medium term targets
2013/14
2014/15
2015/16
2016/17
2017/18
2018/19
2019/20
5.4
Number of Interns (under internship/learnership) placed with Principal Estate Agencies
N/A
2298
Interns placed with placed with principal Estate Agents
3100 Interns placed with placed with principal Estate Agents
4000 Interns placed with principal Estate Agents
1000 Interns placed with principal Estate Agents /A

28. MTSF Targets Strategic Objective Strategic Plan Target
Audited/Actual Performance
Estimated Performance
Medium term targets
2013/14
2014/15
2015/16
2016/17
2017/18
2018/19
2019/20
5.5
Percentage increase of Estate Agents operating in the subsidised and affordable housing areas
N/A
10% increase of Estate Agents operating in the subsidised and affordable housing areas
5% increase of Estate Agents operating in the subsidised and affordable housing areas /A

29. MTSF Targets Strategic Objective Strategic Plan Target
Strategic Objective
Strategic Plan Target
Audited/Actual plan
Estimated Performance
Medium term targets
2013/14
2014/15
2015/16
2016/17
2017/18
2018/19
2019/20
5.6
Implementation of transactional support project intervention
100% implementation of project
N/A
100% implementation of transactional support
Bi-annual data/ information on industry trends and analysis available.
Bi-annual data/ information on industry trends and analysis available

30. Annual Performance Plan Targets
Indicator no.
Outcome performance Indicator
Strategic Plan Target
Audited/Actual Performance
Estimated Performance
Medium term targets
2013/ / /16
2016/17
2017/ / /20 3
Number of Estate agents from previously disadvantaged backgrounds
8100
N/A N/A N/A
1800

31. Annual Performance Plan Targets
Performance Indicator
Audited/Actual Performance
Estimated Performance
Medium term targets
2013/14
2014/15
2015/16
2016/17
2017/18
2018/19
2019/20
3.1
Number of youth interns placed with property industry host employers through the property incubator process.
N/A
Development of Process, policy and procedures for the incubation process.
1000 youth placed with host employers.
2000 youth placed with host employers.
3000 youth placed with host employers.
3.2
Number of previously disadvantage individual’s interns placed with property industry host employers through the incubator process.
1000 previously disadvantaged placed with host employers.
2000 previously disadvantaged placed with host employers.
3000 previously disadvantaged placed with host employers.
3.3
Development of mechanisms and transformational initiatives to assist Estate Agents and the public to participate in the Estate Agents sector.
Research performed in respect of barriers to entry in the Estate Agency sector, Regularization of Estate Agents and Amnesty regulation
Implementation of the recommendations from Research performed
Monitoring the progress of impact in respect of transformational tools.

32. Annual Performance Plan Targets
3.4
Development of Financial incentive process for Transformation activities
N/A
Development of financial incentive process for transformational activities
Implementation of financial incentive process for transformational activities
Monitoring of financial incentive process for transformational activities
3.5
Implementation of Amnesty campaign for Estate Agents
Development of Amnesty policy and procedure
Implement Amnesty campaign in respect of section 33.3 of the EAAAct.
Monitor Amnesty campaign in respect of section 33.3 of the EAAAct.
3.6
Number of Bill boards set-up
15 Bill Boards set-up per annum.
20 Bill Boards set-up per annum.
25 Bill Boards set-up per annum.
3.7
Percentage of queries addressed in respect of consumer awareness from social media.
Set-up of the social media page and process in respect of consumer awareness
90% of the social media queries addressed within 48 hours.
100% of the social media queries addressed within 48 hours.
100% of the social media queries addressed within 48 hours.

33. Future transformational programmes
Being the professional body of the sector, the EAAB is committed to transforming the sector. Besides, it has a responsibility to support the Department of Human Settlements in achieving the priority stated in the MSTF
Establishment of New Firms
new firms via Incubators
Engagement and consultations with formalised and established businesses
One Learner One Estate Agency Youth Programme:
Learnership programme aimed at unemployed youth.
candidates to benefit over a period of three years.
SMME Incubation Programme
Regularisation of non-compliant estate agents.
Interns over 35 years of age.
“Missing middle” in the industry.

34. Changes made to focus on transformation
Transformation department has been established at Executive Level and reporting to the Transformation Committee of the Board. The Transformation department is responsible for the following functions:
Drive Transformation both internally at EAAB and externally to ensure compliance with applicable legislation such as Employment Equity Act and Broad-Based Black Economic Empowerment and Property sector charter.
Ensure economic inclusion of the previously disadvantaged individuals (PDI) in the property sector.
Engage with Public works department to ensure PDI participate in the property business.
Establish a Real Estate Incubator for small struggling Estate Agencies, rehabilitation of non-compliant Estate Agencies and empowerment of youth, woman and persons with disabilities with focus on previously disadvantaged individuals.
Project management of Title Deeds.
Promote Consumer Education and awareness and protection by engaging other stakeholders in the property value chain like finance providers.
Cross functional interface with other section to ensure that transformational agenda is pursued, i.e. reviewing models and initiatives.