1. 1 WELCOME ISETT SETA STAKEHOLDER FEEDEBACK SESSION 18 th November 2003

2. 2 ISETT SETA Oupa Mopaki Chief Executive Officer

3. 3 ISETT AGM PRESENTATION OUTLINE The CEO’s Report  Introduction  National Skills Development Strategy (NSDS)  Learnerships and Training  Education & Training Quality Assurance (ETQA)  National Skills Fund (NSF) Project  Financials After 31/3/2003 and Way forward

4. 4 Challenges & Constraints Facing ISETT SETA During the 2002/3, ISETT SETA encountered the following challenges & constraints: Lack of Qualifications & Units Standards in the ICT Sector for demand driven learnerships Lack of participation in training & skills development in SMME sub-sector Limited information about stakeholders Reactive approach to Training & Skills Development by offering short courses & skills programmes

5. 5 Achievements during 2002/3 WSPs submitted 905 (2002: 670), 35% increase Workers benefiting 106 323 (2002: 97 101) 9.5% Short Skills programs benefited 6 031 learners Of the 6 031 learners, 656 completed skills programmes and of these 292 are self employed Registration of the ICT Unit Standards Based qualifications

6. 6 Future Challenges The biggest challenge facing ISETT SETA in delivering its mandate, is its success in implementing and sustaining demand-driven learnership programmes, instead of the previous reactive approach of facilitating short courses and skills programmes

7. 7 The CEO’s Report 2002/3 The CEO is tasked with : Tracking progress of Training & Skills Development within the ISETT Sector in the short, medium and long term, in relation to the five-year SETA planning cycle The short term involves implementation of the current MoU between the DoL and the ISETT SETA The medium term entails planning for the next three years The long term covers the five year SETA cycle

8. 8 … Continued The CEO reports on the implementation of the Business Plan for 2002/2003 including NSDS targets achieved and constraints encountered in the implementation thereof Also included is an action plan to deal with constraints, as the SETA moves into the next period

9. 9 Challenges & Constraints in Implementing the Business Plan Limited employer participation Inadequate information on ICT initiatives for ISETT to link to Understanding SETA business and its stakeholders Inadequate support from well established enterprises to partner with SMMEs

10. 10 ISETT SETA Wynand Van der Merwe Senior Manager: Business Development

11. 11 ISETT NSDS PERFORMANCE 2005 NSDSSETA 2005 NSDSPerformance over 3 years Gap to be covered 1.1 By March 2005, 70% of workers have at least a Level 1 NQF qualification By March 2005 95% (201,400) Workers to have NQF 1 Baseline: 212 000 The SETA has exceeded the NQF Level 1 target The 106,323 workers trained is the SETA’s contribution to the 70% of NSDS 1.2 By March 2005, 15% of workers are on structured learning By March 2005, 30% (63,600) workers to have embarked on structured learning 14,000 Entered 4,200 Completed 49,600 workers to be trained 1.3 By March 2005, By March 2005, 20 Enterprises in the Sector have committed to Investors in People By March 2005, at least 10 private enterprises in the Sector and SITA to be committed to Investors in People Development 1 Enterprise in Investors in People Pilot Project 9 Enterprises to engage in Investors in People

12. 12 ISETT NSDS PERFORMANCE 2005 NSDS2005 ISETT SETA NSDS Performance over 3 years Gap to be covered 2.1 75% of employers with 150+ workers claiming grants By March 2005, 95% (72) Enterprises with 150+ employees will be claiming grants 87 Enterprises claimed grants 7 Enterprises to be targeted 2.2 40% of employers with 50- 149 workers claiming grants By March 2005, 85% (155) Enterprises employing 50-149 employees will be claiming grants 120 Enterprises claimed grants 35 Enterprises to be targeted 2.3 By March 2005, Learnerships are available across the sector By March 2005, 15 Learnerships will be available across the ISETT Sector 8 Learnerships registered 7 Learnerships to be registered

13. 13 ISETT NSDS PERFORMANCE 2005 NSDS2005 ISETT NSDSPerformance over 3 years Gap to be covered 2.4 By March 2005 Government Departments participate By March 2005, State IT Agency (SITA) assesses and reports on budgeted expenditure on skills development SITA is registered as a levy payer and participates as required. WSP submitted. None 3.1 20% of existing and new small businesses are supported and support measured BY March 2005 30% (1856) of new & existing enterprises are supported with skills development initiatives 637 SMMEs were supported 1,186 SMMEs to be supported

14. 14 ISETT NSDS PERFORMANCE 2005 NSDS2005 ISETT NSDSPerformance over 3 years Gap to be covered 4.1 By March 2005, 100% of the NSF apportionment is spent on viable development projects By March 2005, 100% of the NSF apportionment is spent on viable development initiatives 262 Learners were enrolled To be completed in terms of the NSF project 4.2 By March2005, the impact of the NSF is measured by project type & duration, including placement rates (at least 70%) By March 2005, the impact of the NSF is measured by project type and duration, including placement rates (at least 70%) 130 Learners completed 80% placed 132 Learners are in progress 20% still to be placed

15. 15 ISETT NSDS PERFORMANCE 2005 NSDS2005 ISETT NSDSPerformance over 3 years Gap to be covered 5.1 By March 2005, at least 80,000 people under the age of 30 will have entered learnerships By March 2005, 3,500 people under the age of have entered learnerships No learners entered learnerships ISETT yet to register learners into learnerships 5.2 By March 2005, at least 50% of those who have completed learnerships are, within 6 months of completion, employed, in full time study, further training or are in a social development programme By March 2005, at least 50% of those who have completed learnerships are, within 6 month of completion, employed, in full time study, or further training or are in a social development programme This target has not been initiated as no graduates have come off the learnerships ISETT has yet to achieve at least 1,750

16. 16 ISETT SETA Levy Payer Profile Size1-4950-149150+Total No. Paying4629155994883 No. Claiming 63712087844 % Claiming13.7677.4287.88

17. 17 Employees Trained Within ICT Sector Source: ISETT SETA ATRs 2002/3

18. 18 Racial Distribution of Trained Employees in ICT Sector

19. 19 Gender and Disability Distribution of Trained Employees in ICT Sector

20. 20 ISETT SETA Jabu Sibeko Senior Manager: Operations

21. 21 Learnerships & Training ISETT SETA has developed the following learnerships during 2002/3: Certificate Systems SupportNQF Level 4 and 5 Certificate Systems Support EngineerNQF Level 5 Certificate Systems DevelopmentNQF Level 4 and 5 Certificate Telecommunications Technician Level 4 Certificate Telecommunications Practitioner Level 5

22. 22 ISETT ETQA The ISETT ETQA accomplishments for the year ending March 2003 for service providers & assessors Number of Providers Approved/Provisionally accredited 135 Approval/Provisionally accreditation applications in process 382 Applications for accreditation in process20 TOTAL537

23. 23 Corrective Action Plan to Address Challenges to Enhance Delivery After 31/3/03, the SETA reviewed its delivery processes in order to address shortfalls: Changed delivery approach from reactive skills programmes to demand-driven learnership programmes Appointed dedicated staff with skill & capability to assist in delivery of the SETA Mandate Defined its delivery approach & methodology to address training and skills shortages equitably by building Partnerships Streamlined policies & procedures to align with NSDS objectives

24. 24 Future Delivery Approach & Methodology ISETT SETA has chosen Partnerships as the medium of delivery in implementing demand-driven learnership programmes. ISETT SETA will endeavor to forge the following partnerships in the coming year: Partnerships with:  Learners  Providers  Business  Labour  Government  Donor Agencies  Other Partnerships relevant to the ISETT strategy

25. 25 ISETT SETA Dirk Pretorius Chief Financial Officer

26. 26 Financial Performance over 3 Years YEAR2002/3 (R’000) 2001/2 (R’000) 2000/1 (R’000) Receipts 184,879 145,20671,492 Administration (19,369) (12,117)(7,106) Mandatory Grants (91,385)(42,449)(11,352) Discretionary Grants (12,882)-- NSF Project Expenses (9,951)-- Grants Payable(146,305)(119,674)(31,973)

27. 27 Composition of Revenue The Revenue of R 184,879 million consists of : Skills Development Levies 161,416 Penalties & Interest781 NSF Revenue 9,951 Interest Income12,114 Other Income617 Total184,879 (R’000)

28. 28 Unspent Funds Grants paid: R19,8 m Grants approved for payment: R101,26 m Learnership Projects: R25,25 m ISETT SETA has applied its unspent funds for 2002/3 as follows:

29. 29 ISETT SETA Oupa Mopaki Chief Executive Officer

30. 30 AFTER 31/3/03 & WAY FORWARD The ISETT SETA implemented the new delivery approach to the 2003/4 Business Plan & aligned all processes to the NSDS. This includes: The reporting structure of the SETA – Monthly reports are produced for all SETA activities The SETA reports to the DoL regularly as agreed in the MoU ISETT SETA has reviewed & evaluated its business processes for the last six months after the year-end 31/3/03 and reports as follows:

31. 31 Learnership Projects One of ISETT SETA’s policies is not to retain any funds unnecessarily. All unspent funds will be utilised in learnership projects 7 newly-registered qualifications (NQF 4 & 5) 2,117 learners targeted 16 Service Level Agreements (SLAs) covering 3,000 learners concluded 1,750 learners started 1,250 to commence training in the next two months

32. 32 NSF Project High-level skills programmes  262 enrolled to date  An extra 9 completed (139)  123 in progress High-level internship programmes

33. 33 Special Projects Total Number of Special Projects27 Number of Projects Completed12 Number of Projects Currently Running15 Total Amount CommittedR37,255,748 Total Amount DisbursedR29,192,593

34. 34 Increased Levy Payer Participation Company by Employee Size1-4950-149150+ Number of paying companies4,75213691 Number WSPs approved2666249 Number of WSPs being assessed3664842 Companies not participating4,135261 Percentage participation13%81%99%

35. 35 Conclusion ISETT spent the first two years building infrastructure and capacity. In year 3, ISETT SETA’s delivery train landed on the delivery tracks The ISETT SETA’s delivery train is now on the move: All delivery infrastructure systems are in place and the SETA is managed by a dedicated, focused and capable team

36. 36 … Continued 7 new Learnerships are registered, up & running, awaiting learners to engage in training & skills development It is all systems go at ISETT All we ask at ISETT SETA is for you, our stakeholders, to support our delivery structures and let us together deliver training & skills development in the ICT Industry

37. 37 THANK YOU!! Please visit our website: http://www.isett.org.za/