Council for Geoscience Strategy 2014 to 2019

02 July 2014

Structure

• Mandate• Vision, Mission and Values• Strategy• Budgets for the MTEF period 2013/14-2016/17• Strategic performance objectives and targets• Key programmes and priorities for action• Human capital

Mandate

The Geoscience Act (Act 100 of 1993)The Geoscience Amendment Act (Act 16 of 2010)

• The systematic onshore and offshore geoscientific mapping of South Africa

• Basic geoscience research into the nature and origin of rocks• The collection and curation of all geoscience data and act as a

National Geoscience Repository• Rendering of geoscience knowledge services and advice to the

State • Manage a number of national geoscience facilities on behalf of

the country• Render commercial geoscience services and products to

national and international clients

Strategic Alignment

• National Development Plan 2030• Strategic Plan for 2014 to 2019 - Government• National System of Innovation - Government• Stakeholders’ declaration on Strategy for the

Sustainable Growth and meaningful Transformation of South Africa’s Mining Industry - DMR

• Grand Challenges - DST

National Development Plan 2030

The CGS business model will address the following strategic national outcomes:

4. Decent employment through inclusive economic

growth (Increase the benefit of the mineral resources to the

country by delivering geoscience information and services to

increase the rail, water and energy infrastructure)

5. A skilled and capable workforce to support an

inclusive growth path (building capacity in respect of

scientific, administrative and managerial/leadership skills;

development of products, systems and services)

National Development Plan 2030

6. An efficient, competitive and responsive economic

infrastructure network (geoscience information and

services input to infrastructure development, contributes to

South Africa’s economic development – coal, gas (shale

gas), electricity and water resources)

7. Vibrant, equitable and sustainable rural

communities with food security for all (CGS assistance

in the development of South Africa and its people through

improved infrastructure development – mining and

geotourism)

National Development Plan 2030

10. Environmental assets and natural resources that

are well protected and continually enhanced (the CGS

conducts research with regard to acid mine drainage,

climate change and carbon capture technology)

• 12. An efficient, effective and development oriented

public service and an empowered, fair and inclusive

citizenship (ensuring CGS compliance with legislative

requirements, development of CGS regulatory systems and

alignment with national mandates; addressing gender

equality and employment equity).

Vision, Mission and Values

Our aspiration is to become

Leaders in Applied Geoscience

Solutions

CGS Vision 2019 unpacked

To be acknowledged as the leading providers

of public geoscience expertise for South

Africa and the African continent

Vision

The Mission

• To advance the knowledge, understanding and sustainable management of the geological environment, including geohazards, mineral, energy and water resources.

• To provide timely geoscience data, information and knowledge to address the developmental priorities of the Nation.

• Our public activities support evidence-based decision-making and build effective public capacity in the geosciences.

• We build and maintain national geoscience infrastructure with qualified professionals

• Our applied geoscience research is world-class, locally relevant, and responsive to the most important challenges facing our society.

The Values

We work together as a team across functions to solve problems, develop novel ideas that create new value for our stakeholders and improve the organizational performance of the CGS.

Our targets are challenging yet realistic and we take ownership of our personal actions and work commitments. We hold ourselves personally accountable for achieving results.

We consistently provide prompt and courteous service to our external and internal customers and stakeholders.

Our focus is excellence and continuous improvement in everything we do.

We strive for a diverse workplace by incorporating the contributions of people from a wide variety of backgrounds, promoting an inclusive culture and demonstrating respect for the individual.

We ensure the professional development and personal wellbeing our staff in a learning organisation.

Strategy

CGS Strategic Objectives

• To generate revenue• To manage overhead efficiency• To address stakeholder needs• To effectively promote the CGS and disseminate

strategic information to the public• To develop and implement effective policies and

procedures• To drive preferential procurement

• To attract and retain a skilled workforce• To enhance present levels of excellence• To build a positive organizational culture• To reflect and embrace South Africa’s diversity

CGS Strategic Objectives (cont.)

Five-year Goals

Strategic outcome-oriented goals of the CGS•Employees view the CGS as an attractive career opportunity•The CGS is responsive to the developmental needs of the country and is recognized among global leaders in the geological field because of its commitment to excellence•The CGS is a financially viable and structurally robust organization catering for all stakeholders and utilizing multiple revenue streams

Critical Success Factors

• A repositioned organisation with a structure that supports its strategy

• An integrated approach to service delivery

• Appropriate financial backing

• Improved global economic environment

• A workable balance between statutory and contract research work

• Adequate and competent scientists

• A happy workforce (high staff morale)

• The transfer of knowledge, skills and expertise to young scientists

• The retention of experienced scientists

• A strategic place/brand within the national priorities framework.

Key Challenges

• Declining contract revenue • Inadequate statutory funding • Ageing infrastructure• Continuing with Transformation• Refocusing and aligning the organization to address

SA’s developmental challenges• Implementation of the Geoscience Amendment Act

(Act No. 16 of 2010)

Budgets for the MTEF period 2013/14-2016/17

ANNUAL BUDGET FOR THE PERIOD 2013/14 TO 2016/17

INCOME (RANDS) 2013/14Budgetx 1000

2014/15Budgetx 1000

2015/16Budgetx 1000

2016/17Budgetx 1000

Government grant 271 232 287 839 309 114 336 102

Sales and contracts 79 860 87 846 96 630 106 218

Sundry income 2 894 3 039 3 191 3 350

TOTAL INCOME - A 353 986 378 724 408 935 445 670

EXPENDITURE

Personnel costs 162 289 172 787 186 148 206 978

Bursaries 2 090 2 300 2 530 2 783

Commercial project costs 39 937 39 531 43 484 47 832

Overheads and operating costs 128 170 137 106 137 623 148 724

SUBTOTAL - B 332 486 351 724 369 785 406 317

CAPITAL EXPENDITURE

Equipment - Acquisitions 1 500 2 000 10 000 12 000

Land and buildings 20 000 25 000 29 150 27 353

SUBTOTAL 21 500 27 000 39 150 39 353

TOTAL EXPENDITURE = B 353 986 378 724 408 935 445 670

Surplus (Loss) --- -- -- --

* Balance Sheet

Budgets for the period 2013/14 to 2016/17

ANALYSIS OF GOVERNMENT GRANT ALLOCATION FOR 2013/14 TO 2016/17

ITEM 2013/14R

2014/15R

2015/16R

2016/17R

Baseline allocation 154.7m 156.0m 171.3m 192.0m

Water Ingress Project 26.5m 21.8m 22.8m 23.8m

Total Government Grant 181.2m 177.8m 194.1m 215.8m

Derelict and Ownerless Mines Project 20m 20m 20.9m 21.9m

Additional Funding (MTEF proposals)

- Stimulation of investment in the Mineral Sector 50m 65m 68m 71.1m

- Building & infrastructure (AC) 20m 25m 26.1m 27.3m

Total Government Grant 271.2m 287.8m 309.1m 336.1m

Government Grant Allocation for the period 2013/14 to 2016/17

CGS BUDGET – GOVERNMENT BASELINE GRANT ALLOCATION VS. PERSONNEL COSTS

R’000 R’000 R’000 R’000

Budget 2013/2014

Budget 2014/2015

Budget 2015/2016

Budget 2016/2017

Government grant 154 711 156 087 171 301 191 950

Personnel Costs (162 289) (172 787) (186 148) (206 978)

Funds for Operational Costs ( 7 578) (16 700) (14 847) (15 028)

Government Baseline Grant Allocation vs Personnel Costs

Strategic Performance Objectivesand Targets

Economic / Financial Growth

Key Objectives Measures Target 2014/15 Target 2015/16 Target 2016/17

To generate Revenue

Total revenue (Rands)

R378,8m R408,9m R443,5m

Contract revenue (Rands)

R87,9m R96,6m R106,3m

Ratio of external revenue to total

revenue24% 24,4% 24,7%

Number of large tenders submitted

(>R1m)24 24 24

Tender success rate 10% 15% 20%

To manage overhead efficiency

Ratio of overheads to total cost

60% 60% 60%

Ratio of personnel cost to total cost

59% 55% 55%

Stake Holder / Customer Perspective

Key Objectives Measures Target

2014/15Target

2015/16Target

2016/17

To contribute towards South Africa’s economic growth and serve stakeholders

No. of Geoscience Maps and Publications published

18 20 25

Customer satisfaction level 85% 85% 85%

No. of Rural Development Project reports completed

14 14 18

No. of Regional and African Development Project reports

completed27 28 18

No. of Environment-Related Projects reports completed

8 9 15

No. of Innovation Project Reports completed

2 3 5

Annual Technical Programme performance index

85% 85% 85%

To integrate the Mine Seismic Network into National Network

Number of stations installed10 10 10

Stake Holder / Customer Perspective

Key Objectives Measures Target

2014/15Target

2015/16Target

2016/17

To promote the CGS and disseminate information

Articles published in the popular press 2 2 2

Articles published in industry publications

4 4 4

Effective Systems Perspective

Key Objectives Measures Target

2014/15Target

2015/16Target

2016/17

To develop and implement

effective polices and procedures

Number of audit qualifications

0 0 0

Number of policies written and/or reviewed

7 10 10

To drive Preferential

procurement

Preferential procurement as a % of total procurement

40% 40% 40%

World-class People Perspective

Key Objectives

Measures Target

2014/15Target

2015/16Target

2016/17

To attract and retain a skilled

workforce

Nett staff turnover 0% 0% 0%

No. of staff fundedfor MSc and PhD degrees

35 40 40

Proportion of scientists to total staff 50% 50% 50%

% of scientific staff with PhD and MSc degrees 60% 60% 60%

% Protégée satisfaction level 60% 60% 70%

To enhance present levels of excellence

No. of papers and articles published

70 75 85

No. of projects with external collaborators

55 60 60

No. of strategic science partnerships

22 25 25

World-class People Perspective (cont.)

Key Objectives Measures Target 2014/15 Target 2015/16 Target 2016/17

To build positive organisational

culture

Staff satisfaction level

65% 65% 70%

To reflect and embrace RSA

diversity

EE Stats (Consolidated)

W:B ratio32:68 30:70 28:72

EE Stats (Gender) (M:F)

54:46 53:47 52:48

Key Programmes and Priorities for Action

• Geological maps provide the basic information for a range of applications including mineral exploration and hydrogeological, engineering, environmental (including climate change and geohazard) investigations and natural science research.

Geoscience Mapping

Modern Mapping Aids