Original publish date – Mon, 24 Aug 2009 07:35:24 +0000, Gavin
BBBEE, is a brilliant act. It consolidates, objectively the performance of various elements to determine how compliant a business is. With such a fantastic system many businesses still use the BEE charters as an excuse.
This is an extract from the SA CORPORATE REAL ESTATE FUND Unaudited Interim Results And Distribution Declaration
EMPOWERMENT AND TRANSFORMATION
There are certain elements of the DTI codes that the Fund is unable to comply
with due to legislative restrictions that are placed on the Fund via the
Collective Investments Schemes Control Act. The Fund will obtain an official
BBBEE rating once the Property Sector Charter has been gazetted under Section
9(1) of the BEE Act.
In terms of its internal review and rating process that has taken place, the
Fund has made positive progress, particularly in the category of preferential
The BEE scorecard never intended a company to earn all their BEE points (at least at this point in the process), it intendeds them to earn as many as they can and then over the years improve that score. Preferential Procurement governs this in that a supplier is likely to get business if they have the highest score which in some industries is lower than others.
It is a terrible excuse to wait for a Property Charter and not get a scorecard. Why choose not to produce a scorecard. The only practical sollution is, earn as many points as they can and then if the property charter is gazetted show a significant improvement in their score. In any event the BEE Codes of Good Practice are clear, they must use the Code of Good Practice until their property charter is gazetted.
I see this ultimately as an excuse, not to transform, rather than a genuine attempt at true transformation.