YOUTH EMPLOYMENT WORKSHOP Presented by : christiaan van der wath DEPUTY DIRECTOR: SME DEVELOPMENT AND SUPPORT SERVICES CITY OF TSHWANE YOUTH EMPLOYMENT WORKSHOP 1. AFRICA PROGRESS PANEL REPORT [Presented by Kofi Annan]: The hosting of the FIFA Football Worldcup on the continent have also altered how Africa is perceived, the report states: “Countries and companies are increasingly shifting their attention from Africa’s problems to its vast potential and abundant opportunities” “The image of Africans themselves has also been changing. There is a remarkable ‘can-do’ spirit which has been boosted by the successful World Cup, peaceful referendum in Sudan and the people’s revolutions in Egypt, Tunisia and Lybia” “What was termed the ‘hopeless continent’ 10 years ago, has now unquestionably become the continent of hope” Growth rates of exports has increased to 15.3 % per annum YOUTH EMPLOYMENT WORKSHOP Lets turn this.... YOUTH EMPLOYMENT WORKSHOP Into this.... YOUTH EMPLOYMENT WORKSHOP 1. HOW DOES SOUTH AFRICA COMPARE WITH ITS CONTINENTAL NEIGHBOURS ? TOTAL EARLY ENTREPRENEURSHIP RATES (TEA RATE): [Global Entrepreneurship Report: South Africa 2010] [Percentage of early entrepreneurs per economic active group] • • • • • TUNISIA: 31.5 % UGANDA: 32.2% ZAMBIA: 33.1 % GHANA: 32.4% SOUTH AFRICA: 8.9% YOUTH EMPLOYMENT WORKSHOP 1. HOW DOES SOUTH AFRICA COMPARE WITH ITS CONTINENTAL NEIGHBOURS ? GLOBAL COMPETITIVE INDEX Higher Education: Science and Maths 139 Countries were profiled: Rankings: • TUNISIA: 22nd • UGANDA: 28th • ZAMBIA: 85th • GHANA: 57th • SOUTH AFRICA: 135th YOUTH EMPLOYMENT WORKSHOP 1. HOW DOES SOUTH AFRICA COMPARE WITH ITS CONTINENTAL NEIGHBOURS ? LABOUR FLEXIBILITY: [GEM REPORT 2010] 139 Countries were profiled: Ranked: • TUNISIA: 8th • UGANDA: 25th • ZAMBIA: 55th • GHANA: 42th • SOUTH AFRICA: 134th YOUTH EMPLOYMENT WORKSHOP 1. HOW DOES SOUTH AFRICA COMPARE WITH ITS CONTINENTAL NEIGHBOURS ? WHERE WE COMPARE POSITIVELY: [GEM REPORT 2010] 1. 2. 3. 4. We are the best diversified economy on the continent We currently have globally competitive infra-structure Excellent tertiary institutions Excellent knowledge base to create value add industries. YOUTH EMPLOYMENT WORKSHOP 1. OUR SME DEVELOPMENT STRATEGIC FOCUS AREAS: Entrepreneurial CAPACITY building Accurate and timely Business INFORMATION/INTELLIGENCE Access to FINANCE Available INFRA-STRUCTURE Access to MARKETS Organised business NETWORKS Lobbying and Advocacy for SME’s YOUTH EMPLOYMENT WORKSHOP 1. WHAT IS CITY OF TSHWANE’S FOCUS AREAS IN SMALL BUSINESS SUPPORT : Entrepreneurial CAPACITY building Accurate and timely Business INFORMATION/INTELLIGENCE Access to FINANCE Available INFRA-STRUCTURE Access to MARKETS Organised business NETWORKS Lobbying and Advocacy for SME’s NB – City of Tshwane took a strategic decision NOT to separate YOUNG entrepreneurs from SENIOR entrepreneurs in our programmes, to prevent the loss of shared experience. Therefore we do not have “YOUTH programmes” but rather “ENTREPRENEURIAL PROGRAMMES”. Likewise we try not to separate gender programmes from each other. BUT the City of Tshwane prioritize Youth and Women development, therefore 66 % of our beneficiaries are women and 73% are youths YOUTH EMPLOYMENT WORKSHOP PROGRAMME 1: TSHWANE BUSINESS CLUB: • • • • • It is a free-of-charge DATABASE for the Tshwane small business community. It is a mechanism to assist the business community to improve their business environment. It is a mechanism for the business community to share business opportunities. It is a mechanism for the business community to improve their competitive edge by receiving and sharing information. It is a forum sponsored by the government agencies to ensure face-to-face communication improving the business environment together. SUCCESS: • 2,500 members and growing at about 15% • Never had sessions below 200 people attending • All government agencies use membership lists to recruit for their programs TRICKS THAT MAKE IT WORK: • NOT to be abused as a platform to promote government programmes, attendance WILL drop • Ensure every session give value for the attendees, presentation have to have ‘’meat’’ and presenters MUST have in-depth knowledge of the disciplines. • Use bulk-SMS system to communicate • Provide very basic refreshments at sessions YOUTH EMPLOYMENT WORKSHOP PROGRAMME 2: BUSINESS ORIENTATION TRAINING: • • • • • • • • • • • • • Understanding the market for your product Understanding customer relationship Understanding different selling techniques Understanding different avenues for financing your business Understanding how to run and manage your business and daily activities Business Plan Business Ideas and Opportunities Managing a Small Business Business Tools Basic Record Keeping Costing and Pricing Administration of a Small Business Management business finance TRICKS THAT MAKE IT WORK: • 1 DAY SESSION; • Only use Institute of Business Advisors (IBA) graded trainees (preferably level 3 or 4), ensuring that someone with REAL business experience presents the information YOUTH EMPLOYMENT WORKSHOP PROGRAMME 3: BASIC ENTREPRENEURIAL TRAINING: • • • • • • • • • • • • • Understanding the market for your product Understanding customer relationship Understanding different selling techniques Understanding different avenues for financing your business Understanding how to run and manage your business and daily activities Business Plan Business Ideas and Opportunities Managing a Small Business Business Tools Basic Record Keeping Costing and Pricing Administration of a Small Business Managing business finance TRICKS THAT MAKE IT WORK: • 5 DAY SESSION; • Only use Institute of Business Advisors (IBA) graded trainees (preferably level 3 or 4), ensuring that someone with REAL business experience presents the information YOUTH EMPLOYMENT WORKSHOP PROGRAMME 4: ADVANCED ENTREPRENEURIAL TRAINING: Disciplines Covered: • Financial Management • Marketing Management • Project/Process Management Beneficiary Criteria • • • • Only SME’s with existing business may participate Gap-analysis to be completed to indicate which discipline is required Only SAQA accredited courses Supply of own materials for the courses TRICKS THAT MAKE IT WORK: • 11 week performance measured courses; • Only accredited institutions may participate like UNISA, University of Pretoria and Tshwane University of Technology etc. YOUTH EMPLOYMENT WORKSHOP PROGRAMME 5: MENTORSHIP PROGRAMME MANAGED BY THE INSTITUTE OF BUSINESS ADVISORS (IBA): PURPOSE OF THE IBA PARTNERSHIP AGREEMENT IS: To manage the mentorship programme for the Municipality by: • Processing all applications, • Allocating appropriate resources to complete an initial health-check and gap-analysis on referred SMME's. • Allocating an appropriately graded business advisor to mentor and assist referred SME to ensure the retention and growth of business capacity. • Checks all records provided by the appointed business advisor ensuring the integrity of claims and pay claims once all records are submitted to satisfaction. • Submits monthly reports on work completed, work in progress and funds committed. SUCCESSES OF THE IBA PARTNERSHIP: • Allowed a system of graded business advisors to be available to Tshwane SME’s. • Allows a system whereby the most suitable sectoral skills becoming available to SME’s as and when needed YOUTH EMPLOYMENT WORKSHOP PROGRAMME 6: BUSINESS INFORMATION CENTRES : PURPOSE OF THE IBA PARTNERSHIP AGREEMENT IS: To manage the mentorship programme for the Municipality by: • Processing all applications, • Allocating appropriate resources to complete an initial health-check and gap-analysis on referred SMME's. • Allocating an appropriately graded business advisor to mentor and assist referred SME to ensure the retention and growth of business capacity. • Checks all records provided by the appointed business advisor ensuring the integrity of claims and pay claims once all records are submitted to satisfaction. • Submits monthly reports on work completed, work in progress and funds committed. SUCCESSES OF THE IBA PARTNERSHIP: • Allowed a system of graded business advisors to be available to Tshwane SME’s. • Allows a system whereby the most suitable sectoral skills becoming available to SME’s as and when needed SME DEVELOPMENT AND SUPPORT SERVICES MONITORING AND EVALUATION INDICATORS: INPUTS OUTPUTS OUTCOMES IMPACT SME DEVELOPMENT AND SUPPORT SERVICES MONITORING AND EVALUATION INDICATORS: INPUTS OUTPUTS IMPACT OUTCOMES ?? YOUTH UNEMPLOYMENT SME DEVELOPMENT AND SUPPORT SERVICES THANK YOU