1. WELCOME MICT SETA SME FORUM 05 November 2014

2. NSDS Target Target DRAFT AGENDA TIMEDESCRIPTIONPRESENTER 08h30 – 09h00Arrivals and RegistrationAll 09h00 - 09h05Opening and WelcomeNicolette de Villiers 09h05 – 09h30Overview and FeedbackCharlton Philiso 09h30 – 10h30Scarce and critical skills: The SME perspective Sekgana Makhoba 10:30 – 10:45 TEA BREAK 10:45 – 11:45Panel discussion on SME participationALL 11:45– 12:00Closing remarks and way forwardCharlton Philiso 12:00 LUNCH

3. OVERVIEW SME Forums ― Engage profoundly with an important part of the sectors employers, namely companies that are employing between 1 and 49 people ― Insufficient data on the structure and the skills requirement of this very part of the sector ― In order to design a sound strategy for the engagement of skills development of the sector, a great deal of strategic research has to be conducted in order to put the skills development strategy on sound footing ― Gathering and dissemination of comprehensive information on training providers, training provided, and the training needs of SMEs will constitute a critical component of the strategy

4. TERMS OF REFERENCE Specific Terms of Reference −Consult and share skills development information with MICT stakeholders, with special emphasis on SME involvement −Inform the MICT SETA Sector Skills Plan document in relation to the scarce and critical skills in the sector −Encourage cooperation between levy-payers, non-levy payers and training providers in addressing the skills gaps within the MICT sector

5. Potential areas of support: Gauteng-SME Forum −The SME Forum should include training Providers −The SME Forum to include DoE/DHET because of the IT Labs −The public FET Colleges capacity be built and their programmes should address industry needs to ensure that they provide “decent graduate” to “plug and play”, −The MICT SETA to devise a focused public FET programme to support them to qualitative and deliver industry driven programmes −Review the numbers on employed learners −The SETA to provide statistics on FETs and SMEs (what does participation mean) −Can the SETA consider including vendor specific programmes under PIVOTAL −Include workplace experience for Universities of Technology −To find an alternative mechanisms of the whole levy system, especially for SMMEs

6. Potential areas of support: Gauteng -SME Forum −Make resources within DG that is dedicated to SMEs, whether levy-paying or non- levy paying −Identification of the SMEs, and link them with industry and encourage industry to use them −Provision of the percentage of SMEs that are not participating, the SETA to group them to run a programme using the levies that the SME sector did not use, how do they add value −How do SME engage FET colleges −More focus on SME projects or support as they are −SETA to arrange sessions where FETs make presentations to industry on training offered to assess relevance and to provide guidance −SMEs to submit proposals on how to take the “job movement” forward −Process of funding to be reviewed to include training providers with commitment for placement

7. Qualifications review - Update −Journalism −Film and Media −IT

8. Thank you

9. Sector Skills Planning Discussion

10. Background Skills Development Act requires that a SETA develop and implement a Sector Skills Plan (SSP) DHET requires that the SSPs be updated annually SSPs have to be evidence based and be informed by research into a particular sector

11. Approach to the SSP Update 11 Field Research Review of current SSP to identify gaps Desk Research Interviews Survey Literature review Analysis Focus Groups and Consolidation Planning, Review and Sign off

12. Sector Profile: Sub-sector by size There are 19937 employers registered with the MICT SETA

13. Sector Profile: Employers by Sub-sector and Size Small organisations employing less than 50 people constitute about 96% of all employers in the sector.

14. Sector Profile: Employers by Province and Size Gauteng has the largest share of employers at 40%, followed by Western Cape and Kwazulu- Natal with 8% each.

15. Levy Contributions by sub-sector Sub-sectorSizeLevies Advertising 13%5% Film and Electronic Media 14%7% Electronics 12%14% Information Technology 54%44% Telecommunications 7%30% A higher proportion of employers in a sub- sector does not necessarily imply more levy contributions in the sub-sector.

16. Levy contribution by province ProvincePercentage Eastern Cape0.33% Freestate0.26% Gauteng86.17% KwaZulu-Natal3.30% Limpopo0.10% Mpumalanga0.23% National0.01% North West0.10% Northern Cape0.03% Western Cape9.48% Gauteng has the highest proportion of levy contributions

17. Levy Contribution Trends by Sub-sector The number of levy payers has steadily increased since 2010/11

18. Scarce Skills Advertising Digitisation is really big “Project directors who are able to manage integrated campaigns”

19. Scarce Skills FEM

20. Scarce Skills IT

21. Scarce Skills Electronics

22. Scarce Skills Telecommunications

23. Critical Skills Advertising The sector is looking for “sharp thinkers” who are strong conceptually.

24. Critical Skills FEM

25. Critical Skills ICT

26. SECTOR SKILLS PLAN YEAR PLANNER ATRs and WSPs submissionsDecember 2014-April 2015 Evaluation and approval of WSPs and ATRsMay-June 2015 Research and development of the SSPJanuary – June 2015 Online Grant System update and openingOctober-November 2014 Online Grant System openingDecember 2014 SDF workshops on new OGSJanuary 2015: KZN January 2015: EC January 2015: WC February 2015: GP Production and distribution of Career GuideJanuary-March 2015 Mandatory Grants Approvals and paymentsQuarterly

27. Thank you Email: sekgana.makhoba@mict.org.zasekgana.makhoba@mict.org.za

28. 2013/14 SUPPORT FOR SMEs Small and emerging business owners and employees to have access to MICT SETA learning programmes 105 SLAs signed with SMEs for skills development

29. CURRENT (2013/14) SUPPORT Total Number of LOI Number of Approved LOI Number of Declined LOI 856025

30. FUTURE (2015/16) ANNUAL PERFORMANCE PLAN ProgrammeNumber of learnersBudget Internships/Learnerships (SMMEs) 52336 625 000 Short courses/Learnerships (Unions, NGOs, CBOs) 22014 770,000.00

31. DISCRETIONARY GRANTS APPLICATION PROCESS Submission of Letter of Intent (LoI: PIVOTAL/Non PIVOTAL) Desktop verification of Levy Contribution by SSP Desktop confirmation of accreditation of the training provider by ETQA Desktop approval of vetting process by Snr Manager - LPD

32. DISCRETIONARY GRANTS APPLICATION PROCESS Site Vetting of Employer by LPD Advisor DG Committee recommend to CEO for approval Approval/Disapproval of recommendation by CEO Notification of application outcome. Budget allocation, drafting and signing of Service Level Agreement (SLA)

33. Thank you

34. PANEL DISCUSSION

35. DISCRETIONARY GRANTS APPLICATION PROCESS Submission of Letter of Intent (LoI: PIVOTAL/Non PIVOTAL) Desktop verification of Levy Contribution by SSP Desktop confirmation of accreditation of the training provider by ETQA Desktop approval of vetting process by Snr Manager - LPD

36. DISCRETIONARY GRANTS APPLICATION PROCESS Site Vetting of Employer by LPD Advisor DG Committee recommend to CEO for approval Approval/Disapproval of recommendation by CEO Notification of application outcome. Budget allocation, drafting and signing of Service Level Agreement (SLA)

37. CLOSING REMARKS AND WAY FORWARD

38. THANK YOU Head Office: 011 207 2600 charlton.philiso@mict.org.za Durban: 031 307 7248 East London: 043 726 0763 Cape Town: 021 461 3926 www.mict.org.za