ICT Sector Code is a Shambles

The recently gazetted ICT code is causing lots of unhappiness.

One of the more controversial issues is the dti has changed the points to levels table.

LevelICT pointsAmended Codes Points

On ICT a level 1 now needs 120 points compared to 100 points. Level 4 is 100 points compared to 80 points.

It is not necessarily more difficult to achieve the targets because the points available on ICT have increased. There are no longer only 100 points as per the original 2007 codes, but far more as per the table below using the generic scorecard

ElementICT PointsAmended Code Points
Skills Development2525
Enterprise and supplier development5644
Socio-Economic Development125

Points include bonus points.

As can be seen, ICT has 23 more points than the Amended codes, which roughly make up for the increase of 20 points per level.

The real problem is it is instantly demotivating to an ICT entity to discover that they need 20 more points to reach their planned level. The new levels were never included in the draft ICT codes, so came as a shock to many entities.

A bigger issue is this is bringing in extra unneeded complexity to the codes. Any complexity or demotivation always has the consequence that there will be LESS transformation.

More complexity will also lead to more errors/mistakes and also deliberate misrepresentation. Companies may try to not use ICT when they should.

When companies or government and SOEs not in ICT see a certificate showing 100 points being only level4, they could be forgiven for believing that the certificate is wrong and they could reject it. 25 points for ownership out of 141 is the same as 18 outr of 100 (rounding off decimals).!

A final point is there is no good reason why all codes could not simply be re-calculated using simple proportion to add up to 100 points. Every code, generic and QSE and sector codes add up to different totals. With ICT setting the precedent of even changing the points to levels table this is becoming a “free-for-all”.

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