NAMAC Trust

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NAMAC Trust
Presentation to The Portfolio Committee on Trade
Industry Cape Town
22 August 2002
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NAMAC Trust

• Who are we?
• A Trust established in July 1997
• Department of Trade and Industry (the dti) is the
  custodian of the Trust
• Core partners are CSIR, Ntsika and NPI
• Funding model is 30 the dti, 30 local and
  provincial government, 30 donor and 10 own
  revenue generation
• Core Programmes are
• Manufacturing Advisory Centres (MAC)
• Business Referral Information Network (BRAIN)
• Franchise Advice and Information Network (FRAIN)
• Form part of the dti Group of Institutions
• Form part of the COTII Sub Committee on Small
  Business and others
• Leading Implementation Agency in the Sector

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Vertical and Horizontal Integration Model
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The dti group
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NAMAC Trust Our Mandate
Our understanding of our current mandate from the
dti is
to carry out local institutional building to
facilitate business development services for
SMMEs throughout South Africa
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How does NAMAC Trust contribute
Vision Statement
Since NAMAC is the leading implementing and
delivery agency in the SMME Support Industry, we
will contribute significantly to the continuous
economic growth and sustainable development of
South Africa by improving the competitiveness and
growth of SMMEs as a vehicle for poverty
alleviation, wealth and job creation This
means Through appropriate SMME support structures
we will supply high quality advisory and
information services to new and existing SMMEs in
line with best practices globally.
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SMME Support Role Players in SA
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Key Targeted Support Services Focus
Financial Support Services
Non Financial Services
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NAMAC Trust Strategic Objectives

• (A) Institutional Building of a National Network
  of
• MAC Centres
• One-stop-shops
• Affiliate Centres

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NAMAC Trust Strategic Objectives
- continued -

• (B) Empowering of the above Centres
• Supply and implementation of
• Worldclass diagnostic tools
• International Benchmarking
• Information Resources
• Operational and Management Systems
• Corporate Governance Models
• Opportunities to access Partners, Programmes,
  Centres and the dti Incentives
• Network Opportunities
• ISO 9001 in own Centres
• ME and MIRS Systems
• Professional Consulting and Advisory Services

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NAMAC Trust Primary Contribution to the
objectives of the dti

• Economic Growth
• We assist in growing SMMEs to enter the
  mainstream economy, and to become sustainable
  exporters.
• Competitiveness
• By using world-class tools and techniques, we
  assist SMMEs to become globally competitive.
• Job Creation
• We assist in saving existing jobs and in creating
  new jobs.
• Equity
• In all of the above, equity imbalances are
  addressed as a core priority

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NAMAC Trust Overview of Products and Services

• Implementation of systems, skills, techniques and
  know-how to serve SMMEs effectively in all areas
  in RSA
• Implementation of targeted assistance to sectors
  and regions, e.g. manufacturing, Franchise, etc.

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NAMAC Trust Targets to date and Actual
Achievements
Targets Actuals To date (31/07/02)
9 Section 21 Companies (One per province) 9
11 MAC Centres Operational 10
7 MAC Satellites 6
350 BRAIN Affiliate Centres 362
6 One-Stop-Shops 3
Develop Systems and Tools Ongoing
315 SMMEs access dti incentives 188
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NAMAC Trust Targets to date and Actual
Achievements
- continued -
Number of Staff Target (Current compliment of 178) Actuals To date (31/07/02)
Race Target 60 Black 78
Gender Target 60 Female 53
Training Target 60 Staff members 62
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(No Transcript)
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BRAIN Affilliates in South Africa
End July 2002
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Expansion of MAC and BRAIN (National Network)

• Additional MACs planned
• End September 2002
• 1 Section 21 Company (FSMAC)
• 1 Operational MAC Centre (Bloemfontein)
• Targeted BRAIN affiliates by March 2002 250
• Actual BRAIN Afilliates by July 2002 362

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MAC Impact Indicators
Summary of achievements for the MAC Programme
since 1997 (as at July 2002)

• SMMEs Contacted 2 926
• SMMEs Worked with 1 535
• Projects Awarded 2 257
• Assessments Carried Out 1 531
• HDI SMMEs worked with 61
• Female Owned SMMEs worked with 31
• Value of Projects Awarded R25 678 029
• Customer Satisfaction Surveys 1 077
• Success Stories 222
• Jobs Sustained Working with 32 647
• Jobs Facilitated Working with 1 283

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Businesses Serviced (MAC)
(End July 2002)
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BRAIN Impact Indicators
(End July 2002)
BRAIN Output Service Delivery Trends
Year Completed Target Completed Programme
(2002 2003) Year to date to date

• Affiliate local businessservice
  centres 100 72 362
• Train BRAIN Delivery Staffin centres 100 121 391
  
• Aftercare at Affiliates () 100 64 new

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BRAIN Impact Indicators
Website Statistics for July 2002

• Hits on Website 181 444
• Individual Visits 16 766
• Average Visits per day 540
• Average Pages Downloaded per day 1 745
• Newsletter Subscriptions (to date) 661

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Clients Serviced (BRAIN)
(End July 2002)
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FRAIN

• FRAIN was launched in January 2002
• Attended world Franchising Expo week(SA, May 06
  to 11)
• FRAIN website has 636 franchise opportunities
  listed
• FRAIN will present first Franchise Statistics at
  the Biz Week as part of WWSD on 30 August 2002

www.frain.org.za
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FRAIN Impact Indicators
Website Statistics for July 2002

• Hits on Website 60 497
• Individual Visits 5 285
• Average Visits per day 170
• Average Pages Downloaded per day 720

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Other Projects

• Intensive Hand Holding
• One Stop Shops
• Reduction in Risk Profile Model
• Directorship and Corporate Governance Model
• Service Level Upliftment of Service Centres

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Current Joint Initiatives Interaction with
Sister Institutions
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Questions Answers to the Minister of the dti
COTII Leadership Conference on 12 13 August
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Questions Answers to the Minister of the dti
COTII Leadership Conference on 12 13 August
- continue -
Question 1 Are we aligning ourselves to have a
client / stakeholder focus? Answer

• Yes 100
• Pro-active diagnostic
• Outreach driven
• Solution Provision
• Independent Customer Satisfaction Surveys

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Questions Answers to the Minister of the dti
COTII Leadership Conference on 12 13 August
- continue -
Question 2 Where do we fit in the Enterprise
Life Cycle? Answer

• Currently 85 focused unto those SMMEs that
  employ less than 50 employees and focus onto
• Start and Operate 5 BRAIN
• Compete and Grow 70 MAC
• Export and Import 25 MAC
• Predominately in manufacturing metrapols
• 60 HDI
• 30 WOWM

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Questions Answers to the Minister of the dti
COTII Leadership Conference on 12 13 August
- continue -
Question 3 Are we contributing to transforming
the Economy? Answer

• Regionally yes
• Jobs saved
• Jobs created
• Access to Export Markets
• Increased Sales
• Reduction in Scrap rates, etc.

Question 4 Are we decreasing the transaction
time? Answer Have not yet addressed this!
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Questions Answers to the Minister of the dti
COTII Leadership Conference on 12 13 August
- continue -
Question 5 How have you improved access for your
customers? Answer

• We are piloting
• 3 One Stop Shops
• 362 BRAIN Outlets
• Doubled number of MAC to 16 Operating Centres
• 8 COTII member joint projects
• 188 SMMEs Gain access to the dti incentives
• Networking sessions with local service providers

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Questions Answers to the Minister of the dti
COTII Leadership Conference on 12 13 August
- continue -
Question 6 How do we address the problem that
only a small number of enterprises find value in
the dtis COTII services? Answer

• We are actively involved in creating a national
  network of
• Low volume high impact outlets (targeted
  assistance) (16 MACs)
• High volume low impact outlets (362 affiliates)
• However the challenge is to grow capacity
  exponentially to meet the demand side pressures
  as current stats show that collectively we are
  only serving significantly less than 1.

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Questions Answers to the Minister of the dti
COTII Leadership Conference on 12 13 August
- continue -
In Summary
NAMAC would welcome a positive challenge to
integrate and co-ordinate a strategy for the
improvement of service delivery through its
national network and other compatible delivery
mechanisms to meet this challenge in conjunction
with its COTII colleagues, private sector and
other stakeholders.
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Our Passion and Commitment
Making a difference in an SMMEs Life Today