Economic transformation and empowerment (aka BEE or Broad-based Black Economic Empowerment) is a very emotional subject because it is about power and control. I certainly expect all sorts of names hurled in my direction but somebody has to do the dirty job out there. I am not apologetic about the need for economic transformation and empowerment in South Africa.
Before I delve into my introductory subject, I would like to share a short personal journey.
Recently I had an opportunity to tour Lilliesleaf Farm and watched the Rivonia Treason Trial video and could not stop thinking and reminding myself about how far we have come as South Africans. More importantly, I kept on saying to myself, despite all sorts of odds that Rivonia trialists faced at the time, their collective actions and strengths had a pivotal role in shaping the future of South Africa.
Without a doubt, the tourism sector has been dealt a ‘double heavy blow’ with the introduction of the new immigration regulations while the sector is expected to further transform and promote inclusive tourism, emanating from the release of the draft Tourism BEE Scorecard. My viewpoint is that entities and business that view BEE and transformation as an opportunity rather than another example of government red tape and bureaucracy, tend to embrace the spirit of transformation and are able to devise proper BEE plans and forge ahead.
On the one hand, those that view BEE as one of the laws to comply with, tend to procrastinate in changing their behaviour and habits, and who quickly put together legal documentation for a minimum score, completely misunderstand the overarching objectives of BEE. These objectives include contributing to the South African economic growth and reducing unemployment and inequality. (I am not pretending that BEE is the solution to all socio-economic challenges in the country – but it is one of the pillars in place to put South Africa back on the competitive global arena.)
BEE is also an opportunity for tourism to unleash innovative and entrepreneurial solutions. The proposed transformation can be viewed as an opportunity rather than a threat. Firstly, we may recall that tourism has been at the forefront of transformation – for instance, it was the first sector to release a Sector Code back in 2009. Fast forward to 2015, the proposed revised Sector Code ushers a new era for the tourism sector. The introduction of priority elements will necessitate ‘business unusual’. The new horizons require businesses not only to promote skills internally but to also start thinking about the unemployed (youth) and ascertain what plans can be made to assist young people to be part of the sector. I know for sure that some tourism businesses have started embarking on various partnerships to make this happen. Young people are now on various learnerships and earning much-needed income.
Secondly, new and enhanced businesses’ linkages are heightened. Our sector is hugely configured by smaller enterprises. This presents huge opportunities for established companies to review their supply chain and start identifying these small enterprises as potential suppliers and put in place mechanisms to develop them into mainstream suppliers. There are myriads of entities that can assist with supplier development programmes. The orientation of Black new entrants in the tourism sector will bring about a new diversified way of doing business and tapping into new markets. I strongly believe that to see the benefits of embracing meaningful transformation is to embrace BEE and move beyond the approach of ticking a box. Once again, I think back to 1963 and say to myself, those Rivonia trialists had their backs against the wall but they fought against all odds in bringing about democracy in South Africa. We can certainly take the same leaf from their book and play our part in collectively taking the tourism sector forward and embracing meaningful transformation.
