Dr. Nkgatho Sylvester Tlale
Ph. D., M. Sc. (Eng.), B. Sc. (Mech.) Eng. (UKZN)
MBA (UP)

• Context
• Challenges, strengths and opportunities
• Competitiveness and technology

• Global warming
• Lack of clean water
• Population growth and Inequitable distribution of resources (water, food, etc.)
• Diseases and healthcare

100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
1750 1800 1850 1900 1950 2000
Global manufacturing output by country (1750-2000)
(Tseng et al, 2003)

World Bank, 2009

The Who’s Who of the world, continued..
World Bank, 2009

African Economies, Size and Population
World Bank, 2009

African Economies, Size and Population, continued...
World Bank, 2009

African Economies, Size and Population, continued...
World Bank, 2009

African Economies, Size and Population, continued...
World Bank, 2009

African Economies, Size and Population, continued...
World Bank, 2009

Growth and Poverty Reduction Over
Recent Decades
Africa Competitiveness Report, 2009

Africa: Only 18% of women are using modern contraceptives, compared with 56% in other developing nations. About 40% of children under five are chronically malnourished. Africa is the only region with a median age below 20 today, and in 2050 the share of population aged 60 or above will still be just slightly above 10%.
Very rapid growth of the youth population and low prospects for employment in most nations in sub-Saharan Africa and some nations in the Muslim world could lead to prolonged instability until at least the 2030s. Population of urban areas in Africa could increase to 759 million by 2030 from 373 million today. Much of the urban management class is being seriously reduced by AIDS, which is also lowering life expectancy. Conflicts continue to prevent development investments, ruin fertile farmland, create refugees, compound food emergencies, and prevent better management of natural resources. South Africa could get more migrants if political, economic, and environmental conditions worsen in its neighbors.
(Milennium Project, 2009)

• Poverty
Percentage of the population in sub-Saharan Africa living in poverty
Africa Competitiveness Report, 2009

• Poor health care systems
• Poor education systems: Half of the world’s children out of school are in sub-Saharan Africa
• Poor infra-structure
• Mineral based economies
• Sub-optimum use of agricultural land
• Political instability
• Rule of law
• Role modelling
• Apathy
• Colonisation by China?
• High tech–low wage conditions of China and India

• Natural resources
• Combined market of about 1b
– Market fragmented though
• Young population
• Political progress
• Passion?

Changing World:
Erosion of Western Dominance
(André Roux, IFR, 2010)

(André Roux, IFR, 2010)

• In order to meaningfully reduce poverty and unemployment, economies need to grow at 7% a year for 25 consecutive years
• 13 countries have recorded an average growth rate of 7%/an. for 25 years or longer since 1950
– Botswana
– Brazil
– China
– Hong Kong
– Indonesia
– Japan
– Thailand
- Rep. of Korea
- Malaysia
- Malta
- Oman
- Singapore
- Taiwan
(Growth Commission)

Gross Domestic Product Based on
Purchasing Power Parity (PPP) per capita
Africa Competitiveness Report, 2009

Global Competitiveness Report, 2009
12 Pillars of Competitiveness, Africa Competitiveness Report,
2009

2
3
4
5
6
Rank
1
10
11
12
13
14
7
8
9
15
Country
Switzerland
United States
Singapore
Sweden
Denmark
Finland
Germany
Japan
Canada
Netherlands
Hong Kong, SAR
Taiwan, China
United Kingdom
Norway
Australia
The Global
Competitiveness
Index 2009–2010

28
29
30
23
24
25
26
27
19
20
21
22
Rank
16
17
18
Country
France
Austria
Belgium
Korea, Rep.
New Zealand
Luxembourg
Qatar
United Arab Emirates
Malaysia
Ireland
Iceland
Israel
Saudi Arabia
China
Chile
The Global
Competitiveness
Index 2009–2010

Rank
31
32
33
34
35
36
40
...
45
....
66
37
38
39
133
Country
Czech Republic
Brunei Darussalam
Spain
Cyprus
Estoria
Thailand
Slovenia
Bahrain
Kuwait
Tunisia
South Africa
Botswana
Zimbabwe
The Global
Competitiveness
Index 2009–2010

African Performance wrt Technological
Indicators
Country Technological Readiness Innovation
Global Leader Netherlands
Tunisia 52
South Africa 49
Botswana 89
Mauritius
Morocco
Namibia
Egypt
55
78
85
84
Gambia, The 91
Libya 98
Kenya 93
80
78
111
67
USA
27
37
83
81
100
42

African Performance wrt Technological
Indicators, continued...
Country Technological Readiness Innovation
Nigeria
Senegal
Algeria
Ghana
Benin 113
Cote d’Ivoire 99
Zambia
Tanzania
106
117
94
81
114
115
Cameroon 110
Mali 105
95
105
92
101
65
59
113
114
108
79

African Performance wrt Technological
Country
Indicators, continued...
Technological Readiness Innovation
Malawi
Ethiopia
127
132
Lesotho 125
Madagascar 111
Burkina Faso 120
Uganda 121
Mozambique 116
Mauritania 102
Burundi 131
Zimbabwe 129
Chad 134
89
72
120
125
94
109
97
87
123
119
130

12 Pillars of Competitiveness and
Economic Stages
Mineral based economy
(Stage 1)
Manufacturing economy
(Stage 2)
Service economy
(Stage 3)
Africa Competitiveness Report, 2009

Stage 1
Benin
1 to 2 Stage 2
Botswana Algeria
Burkina Faso Libya
Burundi Morocco
Mauritius
Namibia
Cameroon
Chad
Cote d’Ivoire
Egypt
South Africa
Tunisia
2 to 3 Stage 3
?
?
Ethiopia
Gambia, The
Ghana
Kenya
...
Zwimbabwe
Stages of development of
African countries (Africa
Competitiveness Report,
2009)

For long term economic development:
• Innovation: competitive advantage, IP& commercialisation
• Capital
• Entrepreneurship
• Labour Research institutes
Basic education for all
Health care for all
Rule of Law

• Design (how do we sell this motion?)
• Technology (we can use combustion to produce motion?)
• Engineering (how we use combustion to produce linear and rotary motion?)
• Maths (can we predict how combustion will take place?)
• Science (how does combustion of petro-chemical takes places?)

Strategies for Technology Development
Forward integration
Backward integration
Product lifecycle activities for the SA transport sector (Pretorius, 2002)

Value/Benefits of Technology e.g.
Manufacturing
Finance (0.5 jobs Mining (1 jobs)
Processing of raw materials (0.5 jobs)
Value added product (0.5 jobs)
Retail (1 jobs)
Demand for a product
Utilities (0.5 jobs)

• Language and STEM proficiency
• Multi-nationals and globalisation (pre 1990)
• Specialisation (post 1990)
• Inter-govermental collaboration (e.g. earth observation systems)
• Open Innovation

Example of the Use of S&T Platforms for
Societal Benefit
• Cape Verde has used the e-goverment concept and has successful had an e-elections
• Web 2.0 played an important role in antigovernment protests in Egypt.
• South Africa has used mobile phone text messages to encourage people to get tested and treated for HIV/AIDS.
• South Africa micro-jel for HIV/AIDS prevention

• Optimum decision making
• Development of vaccines and medicines
• Development of new energy alternatives
• Global monitoring and warning system
• Job creation
• Better use of resources

• Future desktop molecular and pharmaceutical manufacturing