OCT2013

ISSUE 14

Letshego Botswana ShOwIng hEalThy grOwTh

Rand Refinery SETTIng ThE gOld STandard

NECSA’s Nuclear Nation As the Department of Energy looks to add 9.6GW of nuclear power to the country’s energy mix, potential sites for new power stations are already being scouted. IndustrySA speaks with NECSA CEO, Phumzile Tshelane, to find out more about the growth of the country’s nuclear industry.

Lerato Mbele anChOrIng afrICa BUSInESS rEpOrT

Beka lET ThErE BE lIghT

Au 99.99

EDITOR’S PAGE

EDITORIALEdITOr Joe forshawSUB EdITOrlauren greyWRITERSColin rentonTim handsroland douglasChristian JordanRESEARCH DIRECTORChris BolderstonePROJECT MANAGERS hal hutchison James Clarkphil BirdADVERTISING SALESSalES dIrECTOr andy williamsSalES ManagEr daniel MarshallSalES EXECUTIVE holly grahamSalES EXECUTIVE Mark leonardSTUDIOSTUdIO dIrECTOr Martyn OakleyOffICE ManagEr Tricia planeACCOUNTSMike Molloy, Jane reederECP LTDManagIng dIrECTOr david hodgsonOpEraTIOnS dIrECTOr Chris BolderstonefInanCE dIrECTOr Scott warmanferndale Business Centre, 1 Exeter Street, norwich, nr2 4QB

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Welcome to issue fourteen...I have mentioned technology in the past and the way that it is changing not only South Africa, but the entire world. We saw a demonstration of this again last month when Denel Spaceteq, the newly launched space engineering unit of South African aerospace and defence manufacturer Denel, announced that it had started initial work on the EO-Sat 1, a multispectral, high-resolution earth observation satellite.

It is said that the satellite will hopefully be able to improve livelihoods, reduce poverty and manage natural disasters in the country and the region and this made me think, what other areas of society are currently experiencing improvements because of South African technology? Well, there is always advances coming from the renewable energy sector, there are frequent developments in the defence sector and things like 3D printing have driven forward the manufacturing sector dramatically. Mining is getting safer year on year thanks to technology, commercial products are continually being developed like the Rhabela Secondary School ‘smart pen’ and the country’s financial institutions continue to rank amongst the most innovative in the world (pg16). Considering this, it is safe to say that technology is not being side-lined by South African businesses.

I find myself fascinated by useless consumer technology developments that benefit no-one but the designer so when large scale advances such as the EO-Sat1 come along needless to say, I am excited. If you have heard of any high-tech gadgets or innovations that will change the country, or your company has interesting stories of technology development then tell us, right now. @industry_sa.

EdITOr’S pagE

OCT 13 pagE 3

Joe Forshaweditor@industrysa.com

pagE 4 OCT 13

COnTEnTS

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3 EDITOR’S PAGE Technology is the key

6 NEWS all that’s happening in South africa

10 ENTREPRENEUR Bringing the sparkle

12 INNOVATION Eco-friendly grapes

14 MONEy TALk what is it about golf?

16 GADGET BOx fnB: Innovating again

18 LERATO MBELE africa Business report

COnTEnTS

CO

Mpa

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20 NECSA growing nuclear across Sa

32 LETSHEGO BOTSWANA Transparency is the key

40 BEkA let there be light

46 RAND REfINERyresponsible gold

52 MOGALE CITydevelopment in Krugersdorp

58 DAV africa’s leading recruitment partner

64 MBT Investment in service

70 ALCHEMy PROPERTIES One of the biggest office developments in Sa history

76 MAkRO SA Everything you could ever want

82 CAAB High flying in Botswana

90 DSI SA Supporting mines and tunnels

98 INDUSTRy RECOMMENDED This month’s showcased organisations

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pagE 6 OCT

nEwS all that’s happening in South africa

The newly formed space engineering unit of national defence company Denel, Denel Spaceteq, has stated that work on the EO Sat-1, the multispectral, high-resolution earth observation satellite, is now officially underway.

Denel Spaceteq says that the satellite will be in operation for the South African National Space Agency by 2017. The satellite will be used in the areas of food security, urban planning and development, safety and security, and disaster management support.

Denel Spaceteq’s launch follows the incorporation of SunSpace, the local company that built both of South Africa’s micro satellites, SunSat and Sumbandilasat, into Denel Dynamics in July.

“The high-end engineers and scientists absorbed by Denel from SunSpace, brought with them capabilities of their own, including the SunSat and SumbandilaSat programmes,” Denel said in a statement on Friday. “EO-Sat1 will be based on the strong legacy inherited from the development of SumbandilaSat.”

SumbandilaSat was launched in 2009. The project was widely praised because of the amount of local knowledge that was utilised. South African engineers designed and develop the satellite, at a low cost, in just one year and also developed an extremely high-tech mission control system to accompany the whole project.

In 2011, SumbandilaSat was put out of commission by a blast of solar radiation. The blast damaged the satellites on-board computer but before it was broken, SumbandilaSat delivered over 1 000 very usable, cloud-free images, and became well-known by the amateur radio satellite society worldwide for the excellent results from its amateur radio payload.

EO-Sat-1 will be South Africa’s third satellite and will be used for earth observation, in line with the country’s space strategy, which seeks to apply satellite data to help to improve livelihoods, reduce poverty and manage natural disasters in the country and the region.

“The benefit of a local space industry will be far-reaching,” said Riaz Saloojee, Denel group CEO. “South Africa’s access to, and control over, its own satellites will ensure advanced surveillance and reconnaissance capabilities.”

Denel and the Departments of Science and Technology and Trade and Industry hope that the project will inspire South Africa’s next generation of scientific engineers and help to develop important skills in the areas of maths and science.

Both of these government departments have identified satellite production, in particular, as a high-technology manufacturing niche that South Africa should be pursuing.

Production of EO Sat-1 begins

Armscor has awarded a multibillion rand contract to Denel to manufacture over 200 armoured vehicles to the South African National Defence Force (SANDF) over a 10 year period.

It is said that many jobs and many enterprise opportunities will be created as a result of the contract for the full-scale manufacturing of the Badger New Generation Infantry Combat System.

The government is said to be pleased that the contract will help to develop and retain skills in the South African defence industry.

The new Badger infantry combat vehicle, displayed at the Department of Defence and Military Veterans’ Industry Day event at the CSIR in Pretoria, will provide the SANDF with unrivalled firepower, mobility and maximum armoured protection to the soldiers it transports.

The 8x8 Badger is the best-of-breed vehicle in its

class and will contribute to the modernisation of the SANDF. In the future, it will eventually replace the SANDF’s existing fleet of armour protected combat vehicles like the Ratel.

SANDF troop’s recent activity in the DRC has again emphasised the importance of protective mobility on the battlefield and the new badger will provide this.

“This is the most significant defence contract signed with a South African company in at least the last 10 years, and demonstrates government and the SANDF’s confidence in the ability of the local industry to provide frontline equipment,” said Denel Group Chief Executive, Riaz Saloojee.

“We have set stringent conditions for ensuring local content and supplier development. The production of the Badger is expected to create about 2000 jobs during its production period,” said Armscor CEO, Sipho Mkwanazi.

Denel gets new army vehicle contract

nEwS all that’s happening in South africa

PPC to open plant in the DRC

nEwS

OCT 13 pagE 7

South African cement giant PPC has announced that it will build a US$230-million manufacturing plant in the DRC.

Chief Executive, Ketso Gordhan said that PPC has signed a memorandum of understanding with a local partner, the Barnet Group, and construction will include a one-million ton per annum cement factory and associated quarry.

There are a number of local suppliers in the DRC market but PPC maintain that the market remains ‘severely undersupplied’. The new plant will be located 20km from Kimpese in the west of the country so will be ideally suited to supply other important regional markets.

“At present, the DRC has 16kg per capita annual cement consumption, the lowest in Africa, compared with the South African average of 240kg and the global average of 400kg,” PPC said in a media release.

Gordhan said PPC was excited about the DRC, stating: “22% of PPC’s revenue comes from outside South Africa at present but the target is to increase this to 40% by our 2016 financial year.”

Gordan said the company has made “significant progress” with its Africa strategy in the last year, acquiring a 27% stake in the Habesha Cement Share Company in Ethiopia for $12-million, and 51% of Cimerwa of Rwanda for $70-million.

Portland Cement Holdings, PPC’s Zimbabwean

subsidiary has also received its certificate for compliance with local indigenisation laws paving the way for a new one-million ton per annum cement plant in Harare to service its markets in Zimbabwe and Mozambique.

The DRC government has placed an emphasis on infrastructure projects and DRC Minister of Industry Remy Musungayi recently invited South Africa-based companies to explore the opportunities offered by its new special economic zone (SEZ).

Market researchers Frost and Sullivan have said that rapid infrastructure development in South Africa and its neighbouring countries is set to boost the prospects of the cement industry in the SADC region.

The research company suggests that in South Africa, Zambia and Zimbabwe, $940-million would be invested in the cement industries between 2013 and 2018.

Internally, the South African government is planning to spend in excess of R4-trillion on a massive state-led infrastructure drive over the coming years, with a substantial focus on rail, road, energy and water infrastructure.

“Higher government spending on public infrastructure, such as the construction of new energy and power facilities, as well as the expansion of transportation infrastructure, will boost the need for cement in southern Africa,” Frost and Sullivan research analyst Yeukayi Kadzere said in a statement.

© PPC

pagE 8 OCT 13

nEwS all that’s happening in South africa

MBE for Natalie du Toit

South African Paralympic swimmer Natalie du Toit, one of the country’s most iconic sportswomen, is to receive an honorary MBE the British High Commission announced at the end of September.

Du Toit retired from professional swimming after the London 2012 Paralympics told the Sapa: “I find myself extremely humbled and honoured to be receiving this auspicious award. To those that have made it possible, I thank you for believing in me and by having stayed by my side.”

It was always clear that du Toit would achieve great things for South Africa but when she was involved in an accident in 2001, which resulted in her left leg being amputated below the knee.

Surprising many, she was back in the pool the following year and competing in the 2002 Commonwealth Games in Manchester.

She qualified for the 800m freestyle final, the first time in history that an athlete with disability had qualified for the final of an able-bodied event, and also won gold in the multi-disability 50m and 100m freestyle, both in world record times.

Du Toit has achieved much in her career including competing in the Paralympic Games in Athens in 2004, Beijing in 2008 and London in 2012, winning 13 gold medals and two silver medals. She also competed in the 10-kilometre open

water swim in the 2008 Olympics, finishing sixteenth.That same year Du Toit carried the South African flag at the

opening ceremonies of the Olympic and Paralympic Games, making her the only person in history to have carried her country’s flag at both events.

She has been a recipient of the David Dixon award, the Whang Youn Dai Achievement Award, the International Association for Human Values (IAHV) Youth Leadership Award (presented at the European Parliament in Brussels), the Order of Ikhamanga (gold award presented by President Zuma), and she was also named the Laureus World Sportsperson of the Year with a Disability for 2010.

After winning a silver medal in her last competitive event, the 100 metres freestyle, at the 2012 London Paralympics, she told the press: “I look back and realise I gave everything in the pool and gave everything as a person. It’s time to move on. I’ve no idea what’s next.”

British Acting High Commissioner Martin Reynolds said: “Natalie has achieved great success in her sport, demonstrating an ability to compete with the best in both Olympic and Paralympic disciplines at numerous international sporting events.

“Natalie is an inspiration to up and coming athletes throughout the world and I am delighted she has been recognised for her achievements.”

nEwS all that’s happening in South africa

At the Union Buildings in Pretoria on December 16th, a new nine meter tall bronze statue of Nelson Mandela will be unveiled to the public as part of the Union Buildings’ centenary and the countdown to the country’s 20 years of freedom celebrations.

The statue, reported to cost around R8million, is being put together by SA artists Andre Prinsloo and Ruhan Jansen van Vuuren and is set to depict Mandela with open arms and his signature smile.

Prinsloo told SAnews last month that the difficulty had been in deciding what age to capture Mandela. “It was an extremely difficult task because everyone knows what Mandela looks like. We eventuality decided to capture him using his images 10 years after 1994,” he said.

Van Vuuren said they had tried to capture Madiba as a symbol of peace, ‘where people can go to when they need answers’.

Prinsloo added: “This is a lifelong dream to work on such a sculpture - it is really an honour.”

Arts and Culture Minister, Paul Mashatile, said that it is yet to be decided where the statue will stand at the Union Buildings but the plan is for it to be central and “if it

means moving things around, then that will be done.” “The statue will ensure that we never forget their

contribution to where we are and will be a reminder of what they have taught us,” Mashatile said.

The Arts and Culture Department is also working on a national heritage monument, to be built in Tshwane, which will feature a procession of more than 400 life-size bronze statues of leaders such King Shaka and King Moesheshe, who all had an influence on the South Africa of today.

Over the next few months the Department will also launch a series of commemorative coins and stamps in celebration of Mandel’s legacy.

In September, a nine-foot statue of Mandela was unveiled outside the entrance to the South African embassy in Washington DC.

Other famous Mandela statues include the large statue at Sandton Square in Johannesburg and the artwork at the Mandela Capture Site outside Howick in KwaZulu-Natal.

Currently, the only life-sized statue of Mandela in South Africa’s stands in Hammanskraal, north of Pretoria.

Mandela statue unveiling to take place in December

nEwS

OCT 13 pagE 9

pagE 10 OCT 13

EnTrEprEnEUr

A cut above the rest

Entrepreneurs have many qualities in common and no matter what industry you start out in you will always need to be persistent. That is exactly what Ernie Blom, owner of Ernest Blom Diamonds, realised when he started out in business back in 1978.

The company is one of the country’s premier traders in rough and polished diamonds for domestic and export markets and this success is down to the drive and ambition of Blom. Now with retail outlets and a state-of-the-art diamond factory, Blom tells IndustrySA that in the beginning there were many challenges to overcome.

“In the first two years of operations I couldn’t get a license as that was fairly restricted by the Diamond Board so I started as a polished dealer where you didn’t require a license, just a business license,” he says. “After two years I eventually got the license and I would buy small parcels of rough and polish and sell and always build up until I became one of the bigger players in South Africa.

“The same happened with the factory; I used to polish diamonds myself in the beginning but eventually I employed one person, then two people and built up that side of the business as well.

“I took a leap of faith as I had two young kids, a house with a bond, and a car which I had to pay off. My first deal went a bit sour as a guy in New York took me for a ride and I nearly packed up after that but I hung in there and tried again. In the next deal I sold some diamond earrings and made a profit of R6 and I kept trying and the rest is history.”

One of the main influences on Blom’s career was his father who himself was involved in the industry as a diamond polisher.

“I am the third generation diamantaire; my son who is in the

business with me is the fourth, my father started as a diamond polisher in Amsterdam and he immigrated to South Africa in 1927 as one of the founding polishers in the diamond industry,” he says. “On the polishing side, my father was a role model as he was one of the foremost polishers although he never worked for himself. I aspired to be as good as him as he was one of the finest craftsmen. The entrepreneurial spirit came to the fore when I thought ‘I’m working so hard for someone else, let me see if I can work this hard for myself’.”

In the future, Blom has the intention of keeping the business in the family with his son eventually taking full control.

“It is undoubtedly my vision to have him in charge one day. He is taking over more and more of the day-to-day running of the business while I focus on globalising.”

Away from the operations of his business, Blom is heavily involved in a number of other organisations, all of which have an impact on the diamond industry in South Africa.

“Before I started my business I had joined the trade union movement and I was quite the hardened trade unionist; at one stage I was the youngest Vice President of the trade union at the age of 24. From there, I became a capitalist and opened my own business with the princely sum of R10,000, this was after I got my first wage of R47, so everything started from very humble beginnings and I managed to slowly build up the business to what it is today.”

Blom has held prestigious positions across numerous local and international organisations, broadening his knowledge of the industry and building on his personal reputation.

“I’ve always been involved in organisations” he says, “I slowly climbed up the ranks of the local industry organisations and became Chairman of three of them. I then entered the

Editorial – Joe forshaw

Our entrepreneurial story this month comes from the diamond industry and Ernie Blom. Blom has been operating in the industry for over three decades and has held some of the most prestigious positions the South African market has to offer.

OCT 13 pagE 11

EnTrEprEnEUr

A cut above the rest

ErnIE BlOM

international arena and became President of the World Federation a few years ago, the first South African to ever be elected to that post.”

Today, the business boasts a strong standing not only in South Africa but around the world, selling regularly to international markets.

“I have outlets in all the major diamond centres around the world, the rough that I don’t use I sell to mainly India and Belgium,” explains Blom.

“It is difficult to get to the size of some of the overseas dealers because of the red tape in the country and the exchange rate differentiation.

“On the dealing side we are one of the bigger dealers in the

country; we buy at all the tenders, we go to various mines and also buy from other African countries. From the rough that we purchase, we sell to the factory and polish for the retail sector.”

Since its inception, the biggest challenge that has been faced by Ernest Blom Diamonds has been maintaining a consistent supply of rough diamonds. In the future, the inevitable shortage in supply is going to be an issue but Blom has the experience to navigate the market accordingly.

The ultimate goal for this entrepreneur is to continue growing, taking on new markets and eventually, operating a fully vertically integrated diamond company from mining through to retail – quite the vision for the company from humble beginnings whose first profit was just R6. .

Editorial – Christian Jordan

Green Shebeen wines and the Org de Rac Estate are producing innovative organic wines marketed towards the younger consumer in a bid to take on the country’s burgeoning wine industry.

pagE 12 OCT 13

InnOVaTIOn

Opening up the organic sector

The wine industry in South Africa is one of the most important in the country, creating jobs, contributing to the economy and bringing us some of the best wine on the planet. However, over the last few years experts had shown concern as the market posted negative growth. Fortunately, as of January it seemed that the industry was growing again with exports for 2012 up by 17% compared with 2011.

One of the buzz words during the industry’s upturn has been sustainability. Many wine farms are now looking to be as sustainable as possible to maximise cost efficiency and also reduce their impact on the environment. Two young entrepreneurs, who have recently entered the industry with a sustainable, eco-friendly ethic backing up their business, have started on a mission to take their innovative product to a wider market. Marthinus Botha and De Vos Meaker started their brand, Green Shebeen as a joint venture with Org de Rac Estate in the Swartland and what makes it innovative is the completely organic way in which the grapes are grown and harvested.

The grapes they use to make the wine are not treated with any chemicals such as pesticides, herbicides or artificial fertiliser.

In the wine making process there are significantly less sulphites added. Green Shebeen use about 30% of what is legally allowed in the production of traditional wines.

Many estates claim to be wholly organic but few actually are and with current trends edging towards eco-friendly production and healthy and environmentally sound principles, Green Shebeen products could open up a whole new sector of the market.

“We wanted to create a brand that has appeal to a younger and more contemporary consumer. We felt that virtually all the brands on the market producing premium quality products occupied very traditional brand positions, hinged on attributes such ‘heritage’ or ‘tradition’ that are perhaps not very relevant to a modern 20-something year old,” Marthinus told wine.co.za.

After initially planning to sell the wine to students for bottom of the market prices, the pair found that the quality of their product was in fact deserving of more attention and offered a real opportunity to add value.

“In 2011 De Vos’s dad, Frank, who is both a wine maker and consultant informed us of an organic wine farm who had excess inventory of high quality wine. It presented a good opportunity to solve their problem and make a buck in the process,”

InnOVaTIOn

Marthinus said. “After some pondering we created a clearly differentiated

brand that enforces the quality organic wine we offer.”“When our original quick scheme turned into a more

serious venture, we exposed ourselves to the highly competitive wine industry. Soon we realised that it would be necessary to partner up with the estate Org de Rac in order to make Green Shebeen a viable venture,” added De Vos.

The innovative approach in this area seems to have come about at exactly the right time. With eco-consumerism on the rise and people becoming more concerned about where their goods come from and how they are produced, the Green Shebeen team think they are perfectly positioned to take advantage of this change in consumer behaviour.

“Cascading from the higher LSM groups, we think that there is certainly a shift in consumer preference to more healthy, environmentally friendly and ethically sourced products,” said Marthinus. “Eco-consumer is still a niche segment in South Africa where we typically lag a few years behind developed economies such as the UK and the US - the latter, which experienced annual organic wines sales of $26 billion and year-on-year growth of 22% according to an industry report released a couple of years ago. We think

statistics like these are indicative of the trend that can be expected in South Africa in the coming years.”

While a lot of attention is placed on organic, eco-friendly production, the duo is keen to point out that nothing is taken away from the quality of the product.

“It is important to acknowledge that product quality and taste still comes before anything else,” said Marthinus.

This sort of product looks set to take the industry by storm over the next few years and the way that this product has been marketed by Marthinus and De Vos are placing it among the favourites in young people’s shopping baskets.

If you have tried any wine from the Green Shebeen brand, let us know what you think (@industry_sa). .

InnOVaTIOn

OCT 13 pagE 13

Editorial – Roland Douglas

It seems that golf might be the best sport to encourage your children to get into. The latest rich list of sportsmen in SA suggests that the four top earning sportsmen of 2012 were all golfers and a lot of their cash came from lucrative sponsorship deals.

pagE 14 OCT 13

MOnEy TalK

Golf is South Africa’s top money making sport

When the Sunday Times released their annual ‘rich lists’ for 2012 a couple of months ago, the paper detailed the earnings of the country’s highest paid sports stars. Interestingly, the top four places were taken by golfers although, by participation, rugby, cricket and soccer are supposedly the more popular activities.

So why have the country’s golfers have been so financially successful? Why are we producing more leading golfers than other one-person sports such as tennis, boxing, athletics and motor racing?

Perhaps the abundance of world class courses or the illustrious South African history in the sport has something to do with it. Perhaps organisations such as the SAGDB (South African Golf Development Board) and the South African Golf Association (SAGA) help facilitate our development of world class golfers, or maybe these players are at the top of the rich list simply because sponsorship is now being taken to new heights with fresh marketing strategies emerging every month.

We explored the top four earners and how their activities contribute to their earnings and it seems in the majority of cases, sponsorship is the biggest provider, especially for The Big Easy at the top of the list.

#1 – ERNIE ELSEls is a four-time major championship winner, a former world number one and World Golf Hall of Fame member. He topped the Sunday Times sports rich list with estimated earnings in 2012 of R179 million ($18.2 million). This figure

was boosted after his win at the British Open in July 2012. Away from tournament golf, Els is active in the areas of

golf course design, fine wine and travel. Of the total figure he earned in 2012, it is reported that $14.7 million came from sponsorship and commercial work with the remaining $3.5 million a result of tournament winnings.

Els’ main sponsors include Boeing, Breitling, Callaway Golf, RBC (Royal Bank of Canada) and SAP (Systems Applications and Products in Data Processing). He also partners with Pro-Golf+, I-ONICS and VTree LLC. He is managed by global sports, fashion and media firm IMG and looks set to take on more sponsorship as his trophy cabinet continues to increase in size.

#2 - LOUIS OOSTHUIzENIt is estimated that Oosthuizen took home R96 million ($9.8 million) in 2012. Last year he won at the Africa Open and the Malaysian Open, he was runner up at the Masters and finished fourth at the WGC Bridgestone Invitational.

Hailing from Mossel Bay, Oosthuizen turned pro in 2002 and broke into the world top ten in 2012. His most notable result came in 2010 when he won The Open Championship and this propelled him to the front of international scene.

Sponsorship comes from luxury watch maker Audemars Piguet, FootJoy, NetJets, Ping, Titleist and UPS. During competition Oosthuizen is plastered with the logos of these brands bringing much attention to their names.

Oosthuizen currently sits at 35th in the 2013 European Tour money standings with €590,807 and 140th on the PGA money board with $497,407 from 12 events.

MOnEy TalK

#3 - RETIEf GOOSENThe Sunday Times presented Retief Goosen as the country’s third highest earning athlete reporting his earnings in 2012 to be around R60 million ($6 million).

In 2012 he had a good start to the year finishing third at the Africa Open, second at the Volvo Golf Champions and second in the Race to Dubai.

His main sponsors include Taylor Made, Adidas, Ashworth, Rolex, Golfing World, NetJets, Ahead, Southwest Greens and Winning Edge head-covers, proving that as a golfer you can gain sponsorship in almost every area of your game.

Another contribution to Goosen’s earnings came from his wine business based in the Upper Langkloof Appellation region. From here Goosen produces a number of fine wines under the brand name ‘The Goose Wines’ with the sauvignon blanc consistently impressing.

#4 - CHARL SCHWARTzELThe 2011 Masters champion accumulated R59 million ($5.9 million) in 2012 according to the Sunday Times. He is the

fourth and final golfer in the top ten and yet again it seems that a large amount of his earnings come from activity away from golf.

A big sponsorship deal with Nike Golf contributed to Schwartzel’s fortune with the world-famous sports apparel company endorsing his whole game from clothing, footwear and caps to clubs, balls and bags. He is also sponsored by specialist bank and asset manager, Investec.

In 2012, he was winner at the Alfred Dunhill Championship, winner at the Thailand Golf Championship and fourth at the Cadillac Championship – all of these enough to help fund his hobby of flying. Schwartzel has a helicopter license and pilot’s license with a private plane to go with it.

However, South Africa’s sports stars have some way to go before they get anywhere near Tiger Woods who was reportedly the world’s highest earning athlete of 2012 with R765 million.

The rest of the rich list was made up by: Steven Pienaar (R49m), Oscar Pistorius (14.7m), Jacques Kallis (R13m), Jaque Fourie (R12.7m), JP Pietersen (R11m) and Chris Morris (R6.5m). .

MOnEy TalK

OCT 13 pagE 15

#1#2

#3 #4

Editorial – Joe forshaw

fNB continue to change the way that customers bank and manage their money. The latest development is the Slimline ATM, a cashless ATM for remote locations, with the ability to offer advanced financial services to customers in areas where there is no need for a conventional ATM.

pagE 16 OCT 13

InnOVaTIOn

Spreading the digital age across Africa

fNB is probably one of the most innovative companies in South Africa. The bank is constantly coming up with new ways to interact with customers and new ways to provide its unique portfolio of services.

In the past we have discussed the way that FNB utilised Facebook to allow mobile banking customers to manage their money through the social networking site. We also looked at the dotFNB branch that opened last year in the Nicolway Shopping Centre in Bryanston. This branch was widely praised for its futuristic technology including video conferencing, augmented reality and ‘interactive surfaces’ and at the end of 2012 the bank was named the most innovative bank in the world at the BAI-Finacle Global Banking Innovation Awards.

In August, FNB was again showing off its innovative prowess when it officially unveiled its unique Slimline ATM. The purpose of the Slimline ATM is to bring digital banking services to more remote locations where conventional ATMs are not required.

Slimlines operate similarly to FNB Mini ATMs whereby a slip is issued and cashed at a retailers till. The account of the retailer is then credited and this lowers the risks that arise when holding cash in the store.

FNB, the oldest bank in South Africa, has already installed

960 Slimline ATMs across the country and is extending Slimlines across its Africa Subsidiaries. Installations have started in Namibia, Botswana, Zambia, Swaziland and Tanzania.

“Slimlines represent a wonderful, mutually beneficial relationship for the retailer, bank and customer,” says Head of Self Service Channels at FNB, Aziz Cassim. “While our now-retired mini-ATMs offered typical kiosk banking or voucher banking, Slimline approximates Online Banking with PIN and image verification. We fully expect transaction volumes to escalate sharply over previous volumes on our Mini ATMs.”

The Slimline offers a range of services including transfers, payments, personal services, business services and commercial facilities. FNB have used suppliers to their current ATMs to build the Slimlines, cementing their relationships, although there have been significant and comprehensive software upgrades to make the Slimlines state-of-the-art. FNB claim that the new ATMs are designed specifically for emerging market and lower income needs.

The decision to design the Slimlines for the lower income segment was taken after the Finscope Consumer Survey of 2012 found that people in the lowest income groups spent nearly 100% more time accessing an ATM than people in middle and upper income groups.

images courtesy of fNB

“We developed this as a unique technology to address access to banking in a way that deepens functionality and brings full digital banking to our remote sites,” explains Cassim.

“The new devices offer a rich banking platform to customers in remote locations and we plan to expand services in coming months.”

The Slimlines have a large touch screen with an integrated camera and a card reader for chip and pin enabled cards with a numeric keypad.

When the roll out of the Slimline is complete, FNB will have taken a step closer to making the often over complicated task of obtaining cash much easier, safer and convenient for customers across the whole of Southern Africa.

FNB CEO Michael Jordaan said in 2012: “Innovation is fundamental to the way we think. I believe that innovation is critical to FNB’s success. Companies that fail to innovate will not only fall behind their competitors, they are unlikely to survive in an intensely competitive economy.”

So, the company’s commitment to innovation comes right from the top and the Slimline is just the most recent development in a long line of industry-changing advances from what is not only one of South Africa’s most innovative companies, but one of the most important on the entire continent. .

fnB SlIMlInE aTM

OCT 13 pagE 17

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CElEBrITy - afrICa BUSInESS rEpOrT

“I feel like I’m going back to my roots”

How does it feel to be chosen as presenter of Africa Business Report?I’m ecstatic, I’m really excited. Largely because I feel like I’m going back to my roots; before I joined the BBC I was the senior business anchor for CNBC Africa, so it has become an area of broadcasting that I have come to love and understand. Not only does it fit in with my skills, but also my passion for Africa and where it is today.

What do you feel you will bring to the programme?Over the past four or five years I have been travelling extensively whilst anchoring for CNBC, so I have come to know what is really happening on the continent from the ground, and from the perspective of the African people. That experience has definitely shown me that the African growth story is not a fallacy, it is real; everywhere you look there is construction, roads, bridges, and I have just come back from Rwanda where children are in school, and that’s an exciting thing to see!

Although the BBC already has a very extensive network in Africa and has a dedicated African news show, it was just missing this one dimension, and what I bring is knowledge, passion and authenticity because I am in Africa, I am African and I have been doing this for quite a while, but also what I benefit from the BBC is its extensive reach in Africa, because it is the original international broadcaster on the continent, so I definitely think there is a symbiotic relationship here.

you have spent much of your career covering stories across the African continent, what do you love about it?

I love that being on the ground, I don’t have a theoretical understanding of Africa, I actually have a physically, visceral sense of what Africans are doing and what they are saying. Being a South African and growing up in apartheid, where this was for a long time a closed country, every journey into Africa is an education for me because I am discovering compatriots that I could never access before; people and stories that I couldn’t access before, even though ironically I was raised and living here.

Also, I love to see African’s doing amazing things, the people of Africa are testament to the fact that this is a very different place to be, and although we’ve always known that the world needed to appreciate it, we now have tangible proof that Africa is a different place that before.

What sort of topics and stories will Africa Business Report cover?I think it is a very broad and comprehensive show; it is going to seek to showcase the indigenous talent of new age entrepreneurs and African multinationals that are now investing abroad. We also want to tell the story of a younger generation because this is arguably a very young continent, with most people living here under 35, so I think their interests and aspirations need to be reflected.

We also feel that most of what happens in Africa is political and is influenced by the political agenda, so we are going to take a moment to debate the political economy and interact with African leaders about policies and visions that are possibly helping to change the continent or maybe keeping things a little stagnant and regressive. Finally, we also want to show something that is quirky, innovative and uniquely African.

Editorial – Lauren Grey

BBC World News has announced that from 4th October it will launch Africa Business Report, a new weekly flagship business TV programme presented by Lerato Mbele. Ahead of her new career venture, Lerato told IndustrySA that she hopes the programme will bring “credibility, exposure and connection” to the African continent.

OCT 13 pagE 19

CElEBrITy - afrICa BUSInESS rEpOrT lEraTO MBElE

finally, during your extensive career in broadcasting and journalism what has been your highlight?I must admit, it had nothing to do with business! My first ever big interview as a television anchor was with the late Benazir Bhutto; she wasn’t actually doing any press at the time, but she agreed to speak to me and give me a 30 minute sit-down interview. It was just an amazing opportunity for me to meet a woman who was so accomplished, the first female Prime Minister of Pakistan, a very conservative country, and to think she trusted me with her story. I knew right then if Benazir Bhutto was willing to sit down with me for 30 minutes, then it was going to open up so many more doors.

As a South African, and never really covering stories that come from the Middle East or Persia, it then forced me to start seeing myself within a much bigger context, and to stop being localised in my thinking. That’s when I realised that in my future I wanted to do something that really connected me to a broader world, and it all just started in that moment..Africa Business Report will broadcast weekly on BBC World News (DStv channel 400) on fridays at 19:40 and Saturdays at 11:10 & 21:10 (to 3 November) and on fridays at 20:40 and Saturdays at 11:10 & 19:10 (from 8 November).

Editorial: Joe ForshawProduction: Phil Bird

The nuclear industry has always had an ambiguous image with people unsure of the safety and reliability of the technology used. In South Africa, the government recognise the benefits of working with nuclear energy and nuclear technology and over the next 20 years more nuclear power stations will be built in the country and more manufacturing will be done following nuclear research. We speak to Phumzile Tshelane, CEO of Necsa, to find out more about the growth of the nuclear industry.

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Bringing nuclear to the fore

for some time, the supply of electricity in South Africa has been under strict scrutiny. The country’s main power stations, run by Eskom, are still mostly coal-fired meaning their life will eventually come to an end and other energy sources will need to be sourced. Moreover, the current installed capacity is barely sufficient to meet the electricity demand.

The government have made some attempt to pre-empt this with the release of the Integrated Electricity Resource Plan (IRP) back in 2010 which stated the predicted demand for electricity and how this demand could be met. After the IRP was revised, following public consultation in 2011, it was suggested that around 14% of the country’s energy mix should come from nuclear sources by 2030. Also in 2011, the energy minister committed R586million for the South African Nuclear

Energy Corporation (Necsa) to continue with its central role as the anchor for nuclear energy research and development, and innovation.

The state-owned company has certainly continued with its important research and development and CEO, Phumzile Tshelane, tells IndustrySA that the country is moving along strongly with plans for a new research reactor at Necsa and new Eskom power stations. These would add to manufacturing and research capabilities as well as contributing much needed capacity to the national grid.

“The Department of Energy (DoE) is leading a project to evaluate the various factors that are involved in building 9.6GW of power plant,” says Tshelane. “When you build something of this size you want to localise and you want the funding requirements to be fully understood. We also want to use technology from our

own country as far as possible and bring the IP to South Africa.

“To produce 9.6GW we are looking at six new nuclear reactors depending on their size. If each was about 1000GW then we would need nine but if they produce 1600GW, like the ones being produced in the UK, then we will need six.”

Although there has been no final decision made about the location of the new power plants, it seems as though Port Elizabeth and Cape Town may be favourites depending on the results of various evaluations.

“Eskom, for several years now, has been looking at potential sites from a perspective of environmental impact assessment,” explains Tshelane. “Three sites were zoomed into; one is next to the current Koeberg power station in Cape Town, another is to the south of Koeberg, and the most likely site is in Port Elizabeth. This is by no

means a foregone conclusion because the environmental impact assessment has not been completed yet.”

Tshelane expects the site selection process to gain good ground over the next 12 months but he says that extra considerations have had to be taken into account after the nuclear disaster in Japan.

“The first unit was targeted to be online by 2023 and the last one by 2027, however we are busy with the site impact assessment which has been made much more difficult following the events at Fukushima in Japan. The site safety report, alongside the environmental impact assessment, which both contribute to whether a construction license will be granted, are at advanced stages and at some point in the next year the two reports will be available.

“If we can manage to complete the reports in the next year then the 2023 timescale can be met. If it’s beyond

SOUTh afrICan nUClEar EnErgy COrpOraTIOn (nECSa)

OCT 13 pagE 21

The SAFARI-1 Research Reactor viewed from the crane gantry in the reactor containment building

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the middle of next year then we start moving towards 2024.”

NEW REACTORAway from power generation, Necsa is involved in many other activities, so many that you or your company may have been directly impacted by their business without even realising. One of the most significant areas of activity is the production of nuclear medicine. Necsa manufactures medical isotopes for countries across the globe and does so on an industrial scale. At the heart of this production is the nuclear research reactor, SAFARI-1. Commissioned in 1965, SAFARI-1 is now the most commercialised nuclear reactor in the world with ISO 9001, ISO 14001 and OHSAS 18001 accreditation.

There are plans in place to build a new reactor so that Necsa can realise further commercial value although Tshelane suggests, as you may expect, that designing a nuclear reactor has a number of sticking points.

“We know that it is going to happen, it has to. We started thinking a few years ago that because we are producing these radiopharmaceuticals from SAFARI-1 we could build a dedicated isotope reactor and there was a

feeling that this would be commercially sound. “When we built the business case and looked at it

further, we found that it is a little more complicated for a dedicated isotope reactor and the economics just don’t work out. We had to stop and re-think our approach and currently we want to get a multi-purpose reactor in place and continue with research and production of radioisotopes for pharmaceutical products. That is where we are now, busy with the redesign. We are busy finalising the design requirements so that when we go to the market we have a design frozen in place.

“We hope to complete this before February next year and after that we can consider a procurement process.”

When all designs and funds are finalised and construction periods have been confirmed (expected to last three to five years), it is assumed that the new reactor could be built and commissioned by 2020.

Rumours have emerged about potential options for construction of the new reactor. It is said that Necsa could propose tenders which would result in an EPC contract being offered for the design, build and delivery of the reactor, or Necsa may seek a partner who could design and deliver the reactor and offer tenders for

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the construction of the reactor facilities. Either way, the company is keen to have as much South African involvement as possible.

“Necsa and South Africa want an option that allows for optimum local participation,” says Tshelane.

As for the rest of the world, reports suggest that there are around 240 research reactors in 56 countries. In Africa; Algeria, Egypt, Morocco, Ghana and Nigeria all have reactors and Libya has one in temporary shutdown. The DRC had two research reactors which have both been permanently shut down.

NECSA ACTIVITIES Interestingly, the perception of Necsa in the public eye and the company’s profile has not been that high in recent times; strange considering this is a state-owned company with around 2000 employees.

Tshelane explains that sometimes it can be difficult for people to fully understand the activities of Necsa as the company operates in such a diverse range of areas. It owns subsidiary companies including NTP Radioisotopes and Pelchem, it manages and operates the Vaalputs National Radioactive Waste Disposal Facility and also acts as a leading industry trainer, up-skilling large

numbers of people every year. “The profile of Necsa has not been that high as

many people find it difficult to understand what Necsa’s business is,” says Tshelane. “To a large extent, that is driven by the fact that we do a lot of things. For example, we do research and development in the nuclear field, we do production of radioisotopes, we produce fluorine related compounds, we do training; we are essentially an anchor for government policy-making process, in the nuclear sector. If you take all of these things and compare us to a private company, it’s much more difficult to wrap your mind around what we’re doing.

“We’ve had parliamentarians ask us to find a simple way of explaining who we are but we can’t explain it any simpler than talking about our activities which are diverse and complicated.”

Even regular customers of Necsa sometimes struggle to understand exactly how far the company’s reach extends but Tshelane suggests that long-standing stakeholders tend to have more of a complete idea.

“Because we are not a single product or single service company, it’s difficult for people to conceptualise what we are,” he says.

“Some stakeholders will interact with us in one area

nECSa

OCT 13 pagE 23

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SOUTh afrICan nUClEar EnErgy COrpOraTIOn (nECSa)

OCT 13 pagE 25

and think that that’s all we are. In my experience, it’s really the who are continuously engaged with us who fully understand what we are as Necsa.”

Of course, Necsa is more than just a research facility. Another of its primary functions is the production of materials for use in medicinal and chemical environments amongst others.

“We export radiopharmaceuticals to over 60 countries and we happen to be, at this point in time, the second biggest producer in the world, second only to a company in Canada,” says Tshelane. “Because we export heavily, and our domestic market for these types of products is very small, it is difficult for us to profile ourselves locally as a radiopharmaceutical product producer and to be in people’s faces.”

This work for export markets is invaluable to the South African economy, earning the country millions of Rand in exchange value every year and the growth of these activities is something which Tshelane wants to promote and celebrate.

“We also have a subsidiary called Pelchem” says Tshelane “that produces fluorine based chemicals such as xenon difluoride and nitrogen trifluoride, which are important in refineries and those types of production

facilities. We export these to more than 25 countries around the world. We also underpin a lot of the manufacturing industry in South Africa. We have not profiled, until now, that company and the impact it has on local industry. Our work now is to make sure we are known for what we are good at, and not what we used to do back in the 70s and 80s.”

Such a wide ranging activity base helps Necsa to move closer to their vision of ‘pursuing nuclear technology excellence for sustainable social and economic development’.

“I often tell visitors to drive slowly when they enter our site so that they can take in the ambience”

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COMpany prOfIlE

TRAINING Obviously, an organisation like Necsa needs a highly skilled workforce to conduct its daily operations. While welders and toolmakers might be readily available for some industries, operating in the nuclear field is different, and specific knowledge is required to ensure safety standards are met. Necsa has developed a world class facility for such training and the training facility benefits not only the nuclear technology industry but a host of different industries requiring specialist skills.

“For some time the country has been losing capabilities to train the type of people we need,” says Tshelane. “Because of this and the Necsa requirements, it was decided we needed a training facility. However, the legislation that gives birth to Necsa requires Necsa to build skills in the nuclear area.

“We can’t have a nuclear welder or instrumentation technician who doesn’t understand the requirements of working in a radioactive area and we have had to generate this kind of knowledge,” he adds.

To add to the training offering from Necsa, the company also offers a comprehensive testing service to ensure professionals in training are working to the highest standards. This service is used by many industries and has government accreditation.

“What is ironic is that 80% of the skills that we generate are not used by us; they are used by other industries. This is an opportunity for us to earn money whilst generating skills for the South African economy,” says Tshelane.

“We market ourselves as expert trainers in certain areas and we have been accredited to provide trade testing so people can become recognised in the national system as a trained artisan. We have a decentralised testing centre and we have received government accreditation to do this. We are growing rapidly as a trainer and differentiating ourselves by training highly-skilled, high-quality individuals. We train to a nuclear level and all our learners are trained to the same quality.”

SUCCESS AS CEOSeptember marked the first anniversary of Tshelane’s appointment as CEO at

Mr phumzile Tshelane, necsa CEO

COMpany prOfIlE SOUTh afrICan nUClEar EnErgy COrpOraTIOn (nECSa)

OCT 13 pagE 27

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Necsa and in his first year, the highly experienced former Eskom Nuclear New Build Division GM has seen substantial success in all areas from finance to compliance to company moral.

“A lot of it has been very enjoyable; I’ve had a great deal of fun doing this job,” he says. “The fun comes not from the ease of doing the job but from the difficulties I found when I came here.

“Firstly, we had to look at the funding situation of the company and we’ve been lucky enough to turn that around in a period of less than 12 months. Normally to turn around a company it would take a whole three year contract and beyond. The damage was not so bad when I came here.

“Secondly, we had to address regulatory compliance. We’ve had to address some processes to ensure we comply, and that we have achieved with some ease, I didn’t think it would be that quick to be able to technically get up to speed and really achieve the level of compliance that we are in now.

“Thirdly was the morale in the company. There was a threatening aspect of retrenchment because of the financial situation. Since I arrived that significant threat has been dissipated.

These are the successes of my first year. The biggest success that we still have to show, relates to directing the company to commercial achievement.”

Necsa hopes that Tshelane’s experience will help the company to contribute to South Africa’s nuclear new build.

THE fUTUREThe future holds many opportunities for Necsa

and the nuclear industry in South Africa. Obviously, contributing to the energy mix is an important factor and continuing to encourage export business is good for the economy so this has become an area of focus.

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“There was a threatening aspect of retrenchment because of the financial situation. Since I arrived we haven’t retrenched anyone and we have removed that threat”

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Necsa is looking to integrate its manufacturing and distribution processes and push its high quality products in international markets, especially Europe.

“We’ve bought a company in Belgium which was a liquidated entity and we are turning it around to be an outpost for Necsa products in Europe,” says Tshelane. “We are looking at other opportunities in France and elsewhere to make sure we further integrate our production.

“We produce Molyndenum-99 and we are producing the daughter item of it, Technetium-99m which is what pharmaceuticals use, and that adds more value to our product so we will look to grow this in Europe over the next year.”

Aside from Europe and South Africa, Necsa has a presence in other noteworthy locations, and Tshelane would like to continue increasing the business done at international level, not only with sales but with production too.

“We have a presence in Australia and in the Middle East but it has taken us a long time to expand internationally,” he says. “Now we are moving quicker and we need to make sure we grow to the high-end in terms of manufacturing. We are not just manufacturing

raw materials but we are beneficiating our materials in other countries too.”

At home, Necsa is based in Madibeng Municipality, North West Province and the site is perhaps not what you would expect from a world class nuclear research facility.

“I often tell visitors to drive slowly when they enter our site so that they can take in the ambience,” says Tshelane. “You could run into some very interesting animals as you come onto the site, it’s a rather pleasant place to work. If you look in the right direction you might just see the Hartbeespoort Dam between two mountain peaks, it really is beautiful.”

So for now it seems that Necsa is in a good place, physically and organisationally. With the company now making profit, government targets in place to grow the nuclear contribution to the country’s energy mix, and a CEO who is looking for growth and has restored morale, it is fair to say that this international industry leader is on the fringe of some very exciting times..

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“We are essentially an anchor for government policy making process in the nuclear sector”

COMpany prOfIlE

OCT 13 pagE 31

wescoal, through Chandler Coal is able to supply coal to industry across South africa as well as neighbouring countries.

The coal supply business of wescoal is the mainstay feature of the group and has its roots in Chandler Coal, a coal trader which spans more than 80 years’ operational experience in South africa. fifteen years ago, Chandler was acquired and in 2005 incorporated into wescoal, positioning the listed entity of wescoal as a miner and supplier of coal.

deep rivets of expertise and knowledge of the workings of the coal market, together with value-added services, position Chandler Coal, as a leading coal supplier in South africa. To be an effective coal merchant, an organisation requires staff with embedded knowledge of coal markets, clients with a demand for coal, a deep understanding of market infl uences, the ability to source the correct grade of coal to match client needs, as well as long and established relationships with mines and customers – Chandler Coal has all these attributes

Products and Services Coal trading

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Editorial: Lauren GreyProduction: Chris Bolderstone

Spotting a niche in the market, financial services company Letshego began offering unsecured loans to individuals in 1998 – a service which, at that time, banks and other financial lenders did not offer. The company has since established a reputable brand and expanded its footprint across the continent, assuring anyone in financial trouble that help is at hand.

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Transparency is the key to success

It is inevitable that we will all, at one point or another, consider taking out a loan to help with home improvements, school fees or even the purchase of a new vehicle.

However, unlike traditional bank loans, we are no longer required to pledge an asset in order to secure our repayments; instead we can opt for an unsecured loan to assist with short-term financial issues.

One company at the forefront of the unsecured loan market is Botswana-based Letshego, which since its inception, has expanded rapidly throughout the African continent and continued to build on its reputable brand.

Letshego CFO, Colm Patterson says that the company grew organically after targeting a niche in the market, “Set up in 1998, Letshego set out to provide unsecured loans to individuals, because generally at that time the banks only focused on providing secure and

corporate loans.”“The company listed on the Botswana Stock Exchange

(BSE) in 2002, and from 2005 onwards we started our African expansion and we are now in 11 different countries across southern and eastern Africa.”

As the leading financial services provider in Botswana, Letshego offers products and services within vehicle finance, funeral cover and executive finance, but the company’s core service is to provide unsecured loans to individuals, as Patterson explains.

“Our core product is the unsecured loan to the individual; we give loans up to five years in duration, with the maximum loan size roughly at $35,000. It is consumer finance, we are giving individuals the opportunity to borrow on reasonably straight-forward terms, and our only credit risk is ‘will the individual remain in employment for the duration of the loan?’”

UNIQUE BUSINESS MODELMany people may associate soaring interest rates and hidden clauses with unsecured loans, but it is a principle of Letshego to ensure the repayment process is efficient, transparent and altogether stress-free!

In order to achieve this goal, the company has a unique business model whereby they work closely with employers to ensure the client is able to pay back the loan in easy monthly instalments.

“We use a business model known as ‘deduction at source’; what this means is we have an agreement with employers that in order to repay the loan, monthly instalments are deducted directly from an individual’s salary and paid directly back to us,” says Patterson.

“The deduction at source business model is well-established in South Africa, and whilst Letshego was the first to do this in Botswana, we’re not the only company

with this arrangement. Other financial service providers now have the same arrangement with employers and government, so it is becoming very competitive.”

Deduction at source is efficient and easy for all parties involved in the process, as it requires no chasing from the loan provider and no payments to be made by the customer.

To ensure this process works efficiently, Patterson says that Letshego has a ‘robust approach’ when issuing loans, “Letshego has built a credible brand and a great reputation through its approach to lending; our internal processes are robust and aimed at ensuring that customers are assisted in a timely and efficient manner thereby avoiding over-commitment of customers.”

In order to secure a loan, Letshego requires customers to provide proof of income, identity documents and a recent bank statement as part of its internal checks, but

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Patterson says that although the company’s processes are thorough, it is also possible to acquire a loan the same day it is applied for.

“Letshego’s processes are robust, but also, if you walk into one of our branches in the morning, there is a good chance you could have approval on a loan that same day. The fact that people know where they stand with Letshego is very important.”

“The reason for people taking out loans vary, it isn’t your typical loan whereby the bank will ask you what you want to use the loan for, we generally don’t really ask, but we have noticed over the years that people use loans for school fees, improvements on properties, vehicles and starting up businesses, but people also use them for things like holidays, so it really is quite varied.”

The deduction at source model not only works in favour of the customer, but also for Letshego because of its stable customer base and relationship with government, which has been established since the company’s very beginnings in Botswana.

“The largest employer in Botswana is the government,

which is where the majority of our customers work. We therefore started off with an agreement with government to provide loans to those employees that needed them.”

“The motivation from the government’s perspective was that some of its employees would need a loan for one reason or another, and at that time the banks would not provide them, which would result in the employee asking the employer for a loan.”

Letshego’s relationship with the government and its employees in Botswana grew steadily and became an exemplary model during the company’s expansion process into the African continent.

RISk ASSESSMENT Typically, unsecured loans are considered higher risk for both the lender and customer; for the lender because there are no pledged assets should the client not be able to pay back the loan, and for the client because it is much easier to fall behind on repayments.

However, Letshego has processes in place to lessen these risks, as Patterson explains, “What’s very important is not

lETShEgO

OCT 13 pagE 35

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COMpany prOfIlE

to over-debt individuals and there are processes in place to ensure this doesn’t happen, for example in Botswana individuals can only have one loan that goes through payroll deduction.”

“There are also safeguards in place in terms of minimum take-home pay, which is set out by government. These principles are enforced by an independent central registry that plays a very important role.”

Minimum take-home pay is set out by government to ensure that an individual takes home a specific amount each month, which in turn prevents loan companies from deducting payback charges which may leave the individual with no money whatsoever.

As a principle, Letshego adhere very closely to these regulations and work within the industry to ensure other companies adopt the same approach, “We are actively involved in lobbying governments where these processes aren’t already in place, because we believe that it is in their interest as a responsible employer and our interest as a responsible lender to ensure individuals are protected.”

Aside from protecting the individual from the risks associated with loans, Letshego has processes in place to ensure it minimises its own risks, for example on application of a loan a client must be able to prove that they are in work and how much they earn.

“We are giving individuals the opportunity to borrow on reasonably straight-forward terms, and our only risk is ‘will the individual remain in employment for the duration of the loan?’ We therefore have processes in place to assess the likelihood of this.”

Fortunately for Letshego, the majority of its customer base is employed by government, which is considered a very stable employment market, so with the combination of its business model and stable customer base the risks associated with unsecured loans are mitigated to a large extent.

fUTURE PLANSWith a number of offices spread throughout southern and eastern Africa, Letshego definitely has a comfortable share of the market and going forward, Patterson says that the company’s continuing expansion is threefold.

“Our existing businesses are at various stages, for example some are fairly mature whilst others are just starting up with major growth potential, so the first stage in our expansion plans is to continue to grow those existing businesses.”

The company is also looking towards further expansion across the African continent to areas such as Zimbabwe, Malawi, Ghana and Nigeria, but possibly the most exciting

COMpany prOfIlE lETShEgO

OCT 13 pagE 37

Stockbrokers Botswana is a leading securities house in Botswana. Established in 1989, the company was instrumental in the establishment of the Botswana Stock Exchange and has been involved in every main board equity listing on the BSE since inception. Stockbrokers Botswana has established strong and lasting relationships with domestic institutional and individual investors, and the largest active emerging market investors in the region.

SErVICESStockbroking

SBB is a registered member of the Botswana Stock Exchange and operates primarily as agent. SBB acts as agent for both buyers and sellers and derives its income from commissions set by the Botswana Stock Exchange. SBB has established relationships with a wide number of individual, institutional and corporate clients, both locally and internationally. SBB services both private and institutional clients. The retail private clientele has always been a strong focus of the company consistent with our history as pioneers of the BSE and our mission to assist all Batswana create wealth through the BSE.

fixed Income dealing

we trade both listed and unlisted bonds, as well as corporate and government bonds, offering our clients a full range of potential investors and regulations of the Exchange.

Sponsoring Broker

This is corollary of, and derived from, our experience in the Botswana Capital markets and the listed securities particularly. This includes sponsoring brokership for existing corporate clients, new listings, rights issues, and capital raisings. allied to this is the placement of equity, locally and international for listed and unlisted corporates.

Tel : +267 3957900Fax : +267 3957901

E-mail : info@sbb.bwwww.stockbrokers-botswana.com

pagE 38 OCT 13

COMpany prOfIlE

future goal is the introduction of a new range of services.“In certain areas we are looking to apply for commercial

banking licenses which would allow us to broaden our product range and offer a wider variety of financial services. This is important because the market is becoming extremely competitive and we want to stay ahead of the competition by offering services that are relevant to our customers.”

“In Botswana and Namibia we are the market leader in terms of deduction at source loans, in other areas we have managed to grow our business quite significantly, but the market is becoming very competitive. More and more organisations are targeting the market, and banks are also becoming very aggressive in this area also.”

Luckily for Letshego, it already has a distinct advantage over the competition because of its established, credible brand and great reputation across many parts of Africa; expansion for the company should therefore be fairly organic.

ORGANIC GROWTHLetshego’s previous expansion has seen a combination of both acquisitions and greenfield start-ups, and Patterson says that although the majority has been greenfield projects, acquisitions are just as important.

“For example, last year we did a start up in Lesotho but we also acquired a business in Kenya which has operations in Kenya, Rwanda and Uganda. So we look at both options, and whichever makes more sense, we go for” says Patterson.

One of the company’s most recent acquisitions is Micro Africa Limited, the mother company of Rwanda Microfinance. The 100 per cent buyout saw Rwanda Microfinance rebrand to Letshego Rwanda Limited.

The acquisition has positioned Letshego to serve individuals who previously had limited access to financial services, which Patterson says will help assist the company’s growth and pan-African footprint..“The fact that people know where they stand with Letshego is very important”

Infrastructure

Aon - just a heartbeat away

Leaders in Africafor decades.

Empower Results™Risk. Reinsurance. Human Resources.

As leading Risk Consultants, Insurance Brokers, Human Capital Consultants and Reinsurance Brokers, we recognise that our clients require solutions built around their unique needs. Our experts make it their business to understand your industry, traditions and local markets. That is why Aon has a footprint of local offices over the expanse of our African continent, all interlinked to a global organisation, providing you with world-class expertise on your doorstep.

Providing value added service to Letshego operations in Africa.

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Africa Ad Botswana (repro).pdf 1 2013/09/17 10:14 AM

COMpany prOfIlE lETShEgO

OCT 13 pagE 39

Infrastructure

Aon - just a heartbeat away

Leaders in Africafor decades.

Empower Results™Risk. Reinsurance. Human Resources.

As leading Risk Consultants, Insurance Brokers, Human Capital Consultants and Reinsurance Brokers, we recognise that our clients require solutions built around their unique needs. Our experts make it their business to understand your industry, traditions and local markets. That is why Aon has a footprint of local offices over the expanse of our African continent, all interlinked to a global organisation, providing you with world-class expertise on your doorstep.

Providing value added service to Letshego operations in Africa.

aon.com

Healthcare

Credit Risk

Credit Risk

Credit Risk

Consulting

Risk Management

InsuranceInsurance

Freight

Liability

Assets

Assets

Credit Risk

Credit Risk

Credit RiskListed Entities

TransitMarine

Aviation

EventsHealthcare

Healthcare

Umbrella Funds

Directors and Officers

Directors and Officers

Directors and Officers

Employee Group Scheme

Cyber

Cyber

Cyber

Property

Household and Motor

Household and Motor

Employee Wellbeing

Employee Wellbeing

Professional Indemnity

Trade Credit (Import & Domestic)

Mining

Mining

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Actuarial

Mining

Crisis Management

Medical Malpractice

Power & EnergyEmployee Wellbeing

Risk ControlState Owned Enterprises

State Owned Enterprises

ReinsuranceFinancial Institutions

High Net Worth Individuals Legal RiskMedical Malpractice

Trade Credit (Import & Domestic)

Aviation

Marine

MarineUmbrella Funds

EventsInsurance

Employee Wellbeing

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Africa Ad Botswana (repro).pdf 1 2013/09/17 10:14 AM

Editorial: Lauren GreyProduction: James Clark

Thirty-five years since its inception, South African lighting specialist BEkA (Pty) Ltd demonstrates that success is driven by innovation, quality and leadership. IndustrySA speaks to Regional Manager, Derek Watson to find out how the company is once again leading the way, with the introduction of its new range of LED products.

pagE 40 OCT 13

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Let there be light

Over the past decade, the words preserve and protect have left a resounding ringing in our ears, as we are constantly reminded of the battle we face with safeguarding our planets natural resources.

Recycling initiatives and switching off lights are simple ways in which we can help to reduce the effect we are having on the planet, but without the provision of energy saving technology and recyclable materials, it can be difficult to implement such initiatives in our everyday lives.

Luckily, many manufacturing companies across the globe are fully embracing the challenge of producing equipment and materials that adhere to our energy and planet saving initiatives.

One company at the forefront of lowering energy

consumption in the lighting industry is BEKA, a South African manufacturer of luminaires and glass fibre reinforced polyester (GRP) poles.

Through its new range of LED products, BEKA is able to offer customers intelligent and sustainable lighting solutions in order to reduce energy consumption, as well as the overall cost of ownership.

“During the last year we have been really successful in new markets such as LED street lighting, industrial lighting and solar technologies, together with maintaining our standard product supply,” explains Regional Manager, Derek Watson.

LIGHTING SAEstablished in 1978, BEKA has been designing and

manufacturing luminaire products in South Africa for thirty five years, with exports into almost all African countries, as well as the Middle East, South East Asia, Europe and Australia.

“BEKA is Africa’s largest lighting manufacturer,” explains Watson, “and one of the world’s largest manufacturers of glass fibre reinforced polyester (GRP) poles. BEKA is one of the largest, if not the largest, employer in the local lighting industry. We remain committed to local job creation and employment within South Africa.

“We are always thankful for the trust and support afforded us by our many customers. We focus on quality, performance and service, with a commitment to be accepted as a local manufacturer with world class products,

which are accepted not only on the African continent but many countries elsewhere in the world.”

In order to service the South African market efficiently, BEKA’s head office and manufacturing plants are located in Olifantsfontein, a strategically positioned industrial area situated between Johannesburg and Pretoria. Furthermore, the company has branches in all of the country’s major hubs.

Testament to its achievements, in 1989 BEKA became South Africa’s first lighting company to be awarded ISO 9000 certification. This commitment to quality became the company’s hallmark and has enabled BEKA to become Africa’s largest lighting manufacturer and market leader in amenity, functional, flood, industrial, commercial, emergency lighting, as well as sports and stadium lighting.

BEKa

OCT 13 pagE 41

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SUSTAINABLE LIGHTING SOLUTIONSFor BEKA, continuous research and development is vital in order to meet changing consumer demand and to ensure that it is using the most up-to-date technologies in the development of its products.

Whilst the company’s primary objective is to provide the correct lighting solutions, it is also extremely sensitive to the sustainability of the planet and understands the importance of renewable energy solutions; it has therefore been a mission of BEKA’s to produce sustainable lighting solutions as well as various solar-powered indoor and outdoor lighting products.

“The last year has been excellent for us; we have fully embraced the new LED technology through designing and manufacturing many new product ranges,” says Watson.

LED is renowned for being energy efficient, longer lasting and more responsive in low temperatures, and the company’s LED lighting range covers a wide variety of markets from within its existing product portfolio such as amenity, industrial and commercial.

BEKA’s focus within the LED market is on designing sustainable, future proof products, most of which are locally designed and manufactured in South Africa, making them the best suited for African conditions.

In order to maintain its leading position in the market, BEKA made a strategic decision in 2002 to become a member of Belgium company, Schréder Group, and

through this association the company has been able to utilise Schréder’s leading technology of which it is world renowned.

“We aim to become one of the leading international lighting companies within the Schréder Group,” says Watson, “One of our targets is to be recognised as an international provider of lighting solutions at very competitive prices.”

URBAN RENEWAL Over the years, BEKA has been involved in designing and manufacturing luminaire products for use in many South African infrastructure developments, such as roads and highways, residential and commercial areas, and town centres as an integral part of urban renewal programmes.

Earlier this year, the company was selected by JSE listed mining group, Anglo American to provide lighting at two of its mines; the Kolomela project in Postmastburg and also the Sishen Life of Mine project in Kathu. BEKA was chosen as the preferred supplier as a result of extensive tests conducted by the project engineering team of Anglo American’s Kumba Iron Ore; these tests were done to ascertain the most efficient luminaire which would be required for their projects.

To achieve the criteria set out by Anglo American, all luminaires had to incorporate high efficient reflector

systems with light output ratios in excess of 82%. These high luminaire light output ratios were achieved with BEKA’s range of BEKA SUPRANOVA bulkhead luminaires, BEKABAY Techno Highbay luminaires, BEKA PROJECTOLUX floodlights and the BEKA VAPOURLINE IP 66 enclosed fluorescent luminaires.

Aside from industrial lighting solutions, BEKA has also been involved in a number of renewal programmes to assist in the safety and upliftment of South African communities; the company’s most recent project, which took place earlier this year, was at Kaalfontein Park in Midrand.

In a bid to make the park accessible and safer for the community at night, Johannesburg City Parks sought after a lighting solution that suited the new image of the park, incorporating an aesthetically pleasing design, so as to conceal the solar elements to reduce the risk of theft.

Together with Blueprint Landscape Architecture, BEKA assisted in achieving Johannesburg City Park’s vision and manufactured “The Leaf Tree”, an idea designed by Blueprint whereby the solar panels were hidden in the leaves.

A 10m high pole was transformed to look like a tree,

whilst the large leaves, made of powder coated steel, were designed to take into account the weight of the solar panels, as well as the wind factor.

Two BEKA LEDlume-midi 62W luminaires at 24V, installed at a height of eight metres, provided the security lighting in the park; this specific range of LED’s are designed and manufactured in South Africa, thus taking Africa’s environments and conditions into account, for example a unique thermal sensor technique monitors the temperature of the LED’s on the printed circuit boards (PCBs).

Once a critical temperature is reached, which could harm the lifetime of the LEDs, the current is reduced to ensure safe operating temperatures of the LEDs. This safeguards the LEDs and ensures that the long lifetime of 15-25 years, as envisaged by the LED manufacturer Osram, is achieved.

Kaalfontein Park has since been transformed from a run-down park into a meeting point for the community; it now has a play area for the younger children, as well as a picnic area where adults can get together and have community meetings. A gym area has also been built for all ages to enjoy.

BEKa

OCT 13 pagE 43

fUTURE PLANSSince its inception, BEKA has achieved exponential growth in local, international and emerging product markets, and Watson says that the company’s vision still has the potential to grow, “We would like to be seen as a partner in providing quality lighting products and solutions to the local and various international markets.

“We all keep a close watch on the economy, remaining hopeful and optimistic. There are many opportunities to achieve growth both locally and internationally if we face up to the challenge and continue to explore the potential.”

The company’s immediate plan for expansion lies in research and development, particularly in the development of new products, as Watson explains, “We will continue to invest capital into the design and development of new products, for example we have invested in newly appointed engineers and production managers to oversee the LED and other factory expansions.”

In order to accommodate its expanding product range,

BEKA are currently in the process of upgrading and expanding its Research and Development department to international standards, which will provide the company with the facilities to test and certify products.

However, Watson reiterates that with any past, present or future expansion, the company will never lose its customer-focus, “Our aim is to satisfy the needs of our customers with high performance products made to high quality standards, delivered on time and supported with technical advice.” .

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“a building is more than just a place where people work, it has to fulfil other important functions; it needs to communicate who the company is and what they are about right from the offset.”

“The last year has been excellent for us; we have fully embraced the new LED technology through designing and manufacturing many new product ranges”

COMpany prOfIlE BEKa

OCT 13 pagE 45

At Estmark good service is good business. We never compromise on quality!Our products include, but are not limited to:

• Steel poles and accessories• Solar poles • Wooden and concrete pole

outreaches (curved, straight or decorative)

• Floodlight mounting brackets • Spigots of all shapes and sizes• Decorative and functional brackets

Ivan OlivierO� ce Tel: 011 609 8774

Cell: 082 373 6310Email: pressfab1@iafrica.com

Candice MizonCell: 079 584 6529

Email: estmark1@iafrica.com

Address: 13 Buwbes Street Sebenza

EdenvaleFax: 086 232 5366

www.estmark.co.za

Estmark is proud to be the preferred supplier of steel poles and brackets to Beka (Pty) Ltd.

Estmark’s products, a� ordable pricing and commitment to personalized service delivery have rendered Estmark a loyal and growing client base with a worldwide reach.

ESTMARK cc

Poised to launch into another 90 years of pioneering history, Rand Refinery has been at the forefront of precious metals refining and smelting for the last 93 years.

pagE 46 OCT 13

COMpany prOfIlE

Responsible gold...ethically mined...purely refined.

Evolving from a local refiner of doré to an internationally recognised and accredited global precious metals leader, Rand Refinery constantly pursues excellence and strives to maximise value across a wide range of value-added products and services. “We put refinement into everything we do, constantly striving towards attaining flawless perfection. And in this process, we have moved to encompass the entire precious metals value-chain, offering more customers more products and services. We are a full service global player in a dynamic and ever-evolving world market”, says Chief Executive, Mr Howard Craig.

Since 1920, the company has refined more than 50 000 tons of gold – almost one third of all the gold mined worldwide. Rand Refinery also refines silver to the same benchmark standards it has become known for over the

nine decades of operation.During this time, the company has established a firm

reputation for integrity, reliability and unblemished quality with the world’s leading bullion banks, commodities traders and coin distributors.

The refinery, which is jointly owned by South African gold producers, AngloGold Ashanti Ltd., Gold Fields, DRDGold Ltd, Harmony Gold Mining Co. and Sibanye Gold Ltd has plenty of accolades to add to its profile, such as being accredited by various metal exchanges across the globe, being one of only five international LBMA referees, as well as being the only refinery of its kind in Africa.

The company currently imports in excess of 200 tons of gold per annum, refining around 400 tons of gold per annum. This is not a new aspect of the business, having imported gold for further refining and processing for

continues on 50...

Pouring molten metal from ladle

at least the past fifteen years. It should also be borne in mind that Rand Refinery does not source any metal deposits from conflict-affected areas, and adheres strictly to the OECD and LBMA guidelines in this regard.

SMELTERThe Rand Refinery smelting complex has the ability to process a wide range of low-grade precious-bearing waste materials, including by-products from the mining industry, electronic waste, carbon fines and sludges. We are able to serve customers worldwide and currently source materials from Africa, North, South and Central America, Australia and the Far East.

A base metal treatment plant enables the smelter to process copper-gold bearing materials, and includes a facility to produce a barren lead product.

The smelter is also certified by South Africa’s National

Nuclear Regulator to accept and treat materials with low radio-activity levels.

REfINERyIntent on providing a same day refining service, we have continuously refined the art of refinement for over nine decades. Rand Refinery uses the Miller chlorination process to upgrade gold bullion to at least 99.5% pure gold, the minimum global standard.

To achieve 99.99% purity for gold and silver, the once-through Wohlwill electrolytic refining process is used. With the introduction of wet chemical processes, Rand Refinery has the capability to process a variety of complex and diverse feedstock materials coming into our refinery.

Value-added productsThe team at Rand Refinery is equally focused on

continually refining their fabrication processes, turning the

rand rEfInEry

OCT 13 pagE 47

pagE 48 OCT 13

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TvTRACEABLEVIRGIN GOLD

EcEXCEPTIONALCRAFTMANSHIP

AfABSOLUTEFINENESS

CfCONFLICTFREE

CdCONTRIBUTES TODEVELOPMENT

A PRODUCT OF

Au 99.99

Exceptional quality and absolute Chain of Custody

Rand Refinery (Pty) Ltd, Refinery Road, Industries West, Germiston, 1401 | P.O. Box 565, Germiston, 1400, South Africa

As a measure of our commitment

to sourcing and producing only the

best certified responsible gold, we’ve

introduced the RandPure™ mark.

An iconic symbol of pure refinement,

guaranteeing the provenance, fineness,

exceptional quality and absolute Chain

of Custody of the precious metal it

endorses. Our RandPure™ products

meet stringent craftsmanship criteria,

making every RandPure™ item truly

exclusive and exceptional.

The RandPure™ mark certifies that

the precious metal is:

• Newlyminedonly–virginAfricangold

doré (contains no secondary gold i.e.

scrap or recycled);

• Conflictfree–warranteesconformance

to principles / standards / guidance from

WGC, USA Dodd-Frank Act, LBMA, RJC

and OECD;

• HumanRightsAbuseFree–nochild

labour, forced labour or severe human

rights abuses;

• Craftedon-siteatRandRefinery–

guarantees “traceability” and absolute

Chain of Custody from “ore to store”.

™

Tel: +27 (0)11 418 9000 | Fax: +27 (0)11 418 9231 | Email: gold@gold.co.za | www.randrefinery.com

rand rEfInEry

OCT 13 pagE 49

TvTRACEABLEVIRGIN GOLD

EcEXCEPTIONALCRAFTMANSHIP

AfABSOLUTEFINENESS

CfCONFLICTFREE

CdCONTRIBUTES TODEVELOPMENT

A PRODUCT OF

Au 99.99

Exceptional quality and absolute Chain of Custody

Rand Refinery (Pty) Ltd, Refinery Road, Industries West, Germiston, 1401 | P.O. Box 565, Germiston, 1400, South Africa

As a measure of our commitment

to sourcing and producing only the

best certified responsible gold, we’ve

introduced the RandPure™ mark.

An iconic symbol of pure refinement,

guaranteeing the provenance, fineness,

exceptional quality and absolute Chain

of Custody of the precious metal it

endorses. Our RandPure™ products

meet stringent craftsmanship criteria,

making every RandPure™ item truly

exclusive and exceptional.

The RandPure™ mark certifies that

the precious metal is:

• Newlyminedonly–virginAfricangold

doré (contains no secondary gold i.e.

scrap or recycled);

• Conflictfree–warranteesconformance

to principles / standards / guidance from

WGC, USA Dodd-Frank Act, LBMA, RJC

and OECD;

• HumanRightsAbuseFree–nochild

labour, forced labour or severe human

rights abuses;

• Craftedon-siteatRandRefinery–

guarantees “traceability” and absolute

Chain of Custody from “ore to store”.

™

Tel: +27 (0)11 418 9000 | Fax: +27 (0)11 418 9231 | Email: gold@gold.co.za | www.randrefinery.com

... continued from 47

pagE 50 OCT 13

COMpany prOfIlE

internationally desired refined gold and silver into innovative value-added products that truly represent pure refinement.

AlliancesIn order to expand its current customer and supply base,

Rand Refinery has formed some valuable alliances with leading companies during the past year.

The establishment of a joint venture (JV) with the SA Mint is a formalisation of what the two companies have been doing for the past 46 years. According to Mr Craig, Rand Refinery will continue to manufacture and supply gold coin blanks, as well as sell and distribute the finished Krugerrand, after the SA Mint completed its minting.

“The JV brings together two distinctly South African and globally recognised companies in Rand Refinery and the Reserve Bank’s wholly owned SA Mint, to market a very unique South African product globally, thereby bring the strengths of both parties together,” says Mr Craig.

The parties had been producing the most widely held coin in the world since 1967. The Krugerrand is the world’s first ounce-denominated legal tender gold coin, named after historical South African President Paul Kruger and was developed by the Chamber of Mines of South Africa under authorisation of the South African Reserve Bank.

The company has also formed an alliance with Dillon Gage in the USA recently to act as an exclusive distributor of its minted bars in the USA. The company will market and sell gold- and silver-minted bars in the country as part of Rand Refinery’s plan to expand its range of value-added products into global markets.

SINGAPORERand Refinery has also recently established an assay and evaluation laboratory in Singapore with the main aim to grow secondary/scrap gold as feedstock for its refinery.

This facility complements the trading office which was established in Singapore some two years ago, thereby allowing Rand refinery to offer a comprehensive service to its customers in East Asia.

“As part of Rand Refinery’s continued expansion strategy, the company will continue to research the global markets in an effort to identify other international opportunities,” says Mr Craig.

RESPONSIBLE GOLDPure refinement. Pure gold. The emotional, as well as financial value of gold has been with us since the oldest of days. This value is what makes this sought-after metal such a remarkable entity across all the world.

Despite the recent global concern about the diminishing value of gold, Rand Refinery envisages that gold will remain

the only metal of its kind to depend on during the most difficult economic times.

From the most ancient Egyptians to the most modern scientists, the story of gold continues to be as rich as the metal itself. A metal that has always appealed to man, especially in the manufacturing of jewellery and other investment products.

For any refinery, refining gold responsibly is a massive challenge and a direct link to integrity for most. For ethically mined gold, responsible sourcing and production processes must clearly abide by ethical principles.

To deal with the challenge of compliance and sourcing of gold from conflict-free areas, Mr Craig is proud to say that the company adheres to the Dodd-Frank Act and the due diligence guidelines of the Organisation for Economic Co-operation and Development (OECD). As part of its ongoing input towards this initiative, Rand Refinery is also represented on the Responsible Jewellery Council.

The refinery sources from ethical mines in Africa and beyond. The company has embraced the “conflict-free” and “responsible” gold initiatives and has been actively involved in assisting the World Gold Council to develop its conflict-free gold standard, as well as the London Bullion Market Association (LBMA) Responsible Gold guidelines. The conflict-free gold standard is supported by leading companies in the gold industry and was intended to prevent gold from being used to fund armed conflict.

In general the gold sector is joining hands in this regard to ensure that all gold produced is not used to fund conflict or contribute to human rights abuses. Most of the major mining companies have agreed to cooperate with the standard in an effort to ensure integrity and credibility for the industry.

“As part of this initiative, Rand Refinery has strengthened our already robust “Know Your Customer”-process and has introduced streaming of gold in our refining and fabrication operations so that we are able to separate and then track individual batches of gold throughout the process,” Craig says. Even when sourcing scrap metal we only deal with the large scrap collectors, whose background has been thoroughly checked.

As a measure of Rand Refinery’s commitment to sourcing and producing only the best certified responsible gold, the company has introduced the RandPure™ mark. This is an iconic symbol that depicts pure refinement, guaranteeing the provenance, fineness, exceptional quality and absolute chain of custody of the precious metal it endorses. The RandPure™ products meet stringent craftsmanship criteria, making every RandPure™ item truly exclusive and exceptional. These products currently include wedding bands and minted bars.

COMpany prOfIlE rand rEfInEry

OCT 13 pagE 51

The company has joined hands with Oro Africa recently, South Africa’s largest manufacturer and exporter of jewellery which uses ethically mined gold in all of its prodcuts. Each wedding band is crafted on-site at Rand Refinery, utilising RandPureTM certified responsible gold and features a unique gold batch number. To verify the authenticity and trace the origin of the gold, the wearer can simply use a smart mobile device to scan the QR-code.

All Randpure™ gold is newly mined, completely untouched, and contains no scrap or recycled gold. Once the ore is extracted from the mine, it is sent to Rand Refinery where it is treated separately to ensure it does not get mixed with other gold. Once refined, it is sent to the manufacturing facility on-site where the jewellery is produced.

THE RANDPURE™ MARk CERTIfIES THAT THE PRECIOUS METAL IS: Newly mined only - virgin African gold doré (contains no secondary gold i.e. scrap or recycled);

Conflict-free - warrantees of conformance to principles/ standards / guidance from the World Gold Council, USA Dodd-Frank Act, LBMA, Responsible Jewellery Council (RJC) and OECD;

Human Rights Abuse Free - no child labour, forced labour or severe human rights abuses;

Independently audited by Inspectorate;Crafted on-site at Rand Refinery - guarantees ‘traceability’

and absolute Chain of Custody from ‘ore to store’.“Although mining companies will continue to produce

the precious metal and Rand Refinery will continue to assist with the refining processes, it is important to note that the “responsible” mining and production of this metal is not what will distinguish it from the rest. It is the untold stories of the large investments made by these mining companies and associated players in their local communities to improve on education, sanitation, agriculture and other local economic development projects that give this a worthy cause,” says Craig. .

A gold pour from the arc furnace

Editorial: Lauren GreyProduction: James Clark

South African municipality, Mogale City has announced detailed plans to regenerate one of its major towns; the community of krugersdorp is set to receive upgraded business facilities, recreational spaces and living areas in a redevelopment that has been dubbed ‘ambitious and innovative’.

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Krugersdorp set for ‘ambitious and innovative’ redevelopment

As a newly industrialised country, South Africa is highly regarded worldwide for its developing economy, exciting investment prospects and its ability to act as a gateway to the entire African Continent.

Recently ranked 28th largest in the world by the World Bank, South Africa’s growing economy has attracted the attention of investors from across the globe who have identified the country as an exciting and influential place to do business.

This ever increasing attention has lead the country’s leaders to establish a Nation Development Plan (NDP); a long-term plan set to further develop the country in terms of eliminating poverty, reducing inequality and accelerating growth.

The National Development Plan, implemented in February 2013 by Minister Trevor Manuel, defines a desired destination for the country whilst identifying the role different sectors of society need to play in reaching that goal.

In order for the 2030 goal to be reached, local

governments and municipalities are committing themselves to the triple challenges outlined in the NDP and integrating these into their own plans, budgets and targets.

MOGALE CITyIn its 2013/14 Integrated Development Planning (IDP) and annual budget, Mogale City local municipality outlined key areas in which it aimed to tackle the challenges set out by the NDP and further enhance the living standards of the local people.

“We assemble here today to define in succinct terms how we will tackle the triple challenges of poverty, unemployment and inequality…The City we live in today is far different from the city that we lived in prior to 1994,” Mogale Executive Mayor, Koketso Calvin Seerane said in his 2013/14 budget speech.

“We will do everything in our power as the municipality to ensure that we continue to accelerate service delivery so that the positive trajectory and tempo to better the lives of our people is neither slacked nor lost.”

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The municipality’s annual budget report stated that Mogale City intends to invest money to deliver services such as water, electricity and sanitation and sewerage removal as well as the following:

1. Building a local economy to create more jobs and sustainable livelihoods

2. Building more united, non-racial and safe communities3. Enhancing investment in basic services in rural areas4. Improving local public services5. Promoting more active community involvement in local

government 6. Ensuring a more effective, accountable and clean local

government

kRUGERSDORP REDEVELOPMENTOne of Mogale City’s most recent plans as part of its incentive to improve the wellbeing and livelihood of its local community, as well as satisfying the targets set out by the NDP, is the redevelopment and regeneration of Krugersdorp, the industrial hub of Western Gauteng.

With a history deep in mining, the town of Krugersdorp still has some tell-tale signs left behind by its industrial legacy, but over time the area has been

modernised to include contemporary sports services, a thriving business centre and exquisite educational facilities.

Today, Krugersdorp is home to a myriad of businesses and industries, while at the same time maintaining the feel of a friendly place in which to live. It is a student town with a university and a lively student population that supports a nightlife and music culture that draws young people from all over Gauteng.

It is easily accessible from Johannesburg and Tshwane, with public transport buses and trains travelling between the three cities, and its central business district (CBD) is well connected to residential neighbourhoods in the west and north.

The town also attracts visitors for further afield with its various attractions such as the Krugersdorp Game Reserve, an eco-adventure park, South African National Bird of Prey Centre and the Sterkfontein Caves, just 12 kilometres north of Krugersdorp.

However, in order to build upon its already vast selection of facilities, Mogale City intends to improve and develop the Krugersdorp area making it even more attractive for potential investment and a better environment for its community.

DEMOGRAPHIC RESEARCHIn a plan to develop the area, Mayor Koketso together with the Mayoral Committee identified areas in which the area of Krugersdorp lacks intelligence and warrants redevelopment of its housing, CBD and recreational facilities.

Findings from the committee’s demographic research indicated that population growth in the area is relatively low, as are income levels, resulting in low sales volumes and very little business growth. The research also identified the high unemployment and low skill levels amongst residents, contributing towards the low income levels.

Similarly, the committee’s research on the area’s CBD identified some key problems resulting in consumers seeking alternative shopping locations; its findings highlighted a lack of quality goods and choice and a negative visual experience.

The CBD was highlighted as one of the key areas set for drastic redevelopment, due to the trade sector being the highest employer in Krugersdorp; employing over 16,000 people. However, because of limited space in the CBD, organic growth and development has been slow, with an expected decline in turnover for the next five years, therefore external intervention from the municipality is vital to enable the area to thrive.

kEy ASPECTSAfter identifying key areas in which Krugersdorp lacked intelligence and areas which would benefit from redevelopment, Mogale City outlined the key aspects to the regeneration plan which include:

• creating liveable environments, facilitating development and accommodating the needs of current and future users of CBD;

• developing a range of housing options to attract a diverse audience and build support for a commercial base;

• improving existing public transport facilities and working to expand public transport opportunities;

• creating open spaces, public spaces, streets and built fabric that are both beautiful and user-friendly;

• boosting Krugersdorp rich history and cultural landscape;

• creating a safe and accessible urban environment for residents and visitors;

• creating a sustainable environment to reduce the carbon footprint of the CBD while encouraging smart development.

The municipality hopes that through the regeneration,

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OCT 13 pagE 55

“We will do everything in our power as the

municipality to ensure that we continue to

accelerate service delivery so that the positive

trajectory and tempo to better the lives of our

people is neither slacked nor lost.”

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Krugersdorp will be transformed into a safe and accessible urban environment for residents and visitors whilst boosting its rich history and cultural landscape.

BRICkVALE HOUSING DEVELOPMENTAs part of Krugersdorp’s re-development, Mayor Koketso together with the Mayoral committee has also proposed the development of a mixed use housing development on the portion of Farm Brickvale 161 IQ.

The site is situated on the Western part of the Krugersdorp CBD, immediately north of the R24 Krugersdorp and Tarlton Road and approximately 3.5km east of the N14-R28 Tarlton crossing and is approximately 130 hectares in extent.

The proposed development will consist of a mixed use housing including land uses such as residential stands, commercial activities, institutional (schools, churches, community facilities, agricultural portion, and recreational/open space). Essential infrastructure such as potable water, sewage, electricity, roads and storm water will be supplied to make the development sustainable.

As part of the proposal, a draft environmental scoping report has been issued by Karp Consulting to ensure that environmental impacts are taken into consideration, to ensure stakeholder engagement and to provide decision makers with sufficient information to make an informed

decision on the proposed development activities and facilities.

The issues highlighted by the scoping report determine the possible effects that the redevelopment of Krugersdorp may have on the surrounding environment, include both positive and negative impacts.

Negative impacts include the loss of open green space, increased traffic volumes and increased air, noise and visual pollution. Whilst positive impacts may include the creation of jobs, removal of alien vegetation and improved service delivery to the area, amongst others.

The scoping report has recently been made available for public comment, and Mogale City council has urged its people to provide input and comment regarding the proposed development.

The redevelopment of Krugersdorp, together with the proposed development of mixed use housing in Brickvale is set to transform the area a safe and accessible urban environment for residents and visitors whilst boosting its rich history and cultural landscape. .

“a building is more than just a place where people work, it has to fulfil other important functions; it needs to communicate who the company is and what they are about right from the offset.”

COMpany prOfIlE MOgalE CITy

OCT 13 pagE 57

SAME Water Primary Focus

• Supplier of Waste Water Treatment Equipment.

• Dredging Services

• Contracts Management Company.

• Industrial & Potable Water Treatment Applications

• Maintenance and Repair of Equipment

CIBD Rating: ME 7 / (ME8 Application Pending Approval) CRS Number 115661 / www.cibd.org.za

BBBEE Rating: Level 5 Contributor

Tel | 086 0011 WATERGauteng | Tel 27(0)11 902-4900 Fax | 27(0) 11 902-8854Cape Town | Tel 27(0)21 905-8864 Fax | 27(0)21 905-8865Web site | www.same.co.zaSales | Isaacm@same.co.zaFranks@same.co.zaBrandonc@same.co.za Direct Fax | 086 508 6247

SAME Water was formed in September 1966 and

has a “successful range” of wastewater treatment

equipment designed to fulfi l an entire spectrum of

needs from the most basic to the most sophisticated

equipment available for the waste water industry.

SAME has well-equipped manufacturing assembly

workshops and skilled staff of approximately 80 people

in our Johannesburg and Cape Town offi ces. Our

technical skilled staff include: mechanical engineers,

process engineers, environmental engineer, chemical

engineers and auto-cad/solid worx drawing program

operators and full time maintenance and installation

crews.

S.A.M.E. Water’s aim is to offer a “full scope” of

services, “a type of one stop shop”.

We do tender preparation, project planning, design,

manufacturing, installation, commissioning, successful

handover and aftersales of a full waste and water

treatment plant. It is all planned under one roof.

We specialise in wastewater treatment solutions, from

head of works equipment, screens, material handling,

sluice gates, grit removal, primary clarifi cation, mixing,

aeration, secondary clarifi cation, sludge handling,

pump stations, and pond/storage dam dredging. We

have large manufacturing facilities, back-up on repairs,

maintenance and equipment spares. Our repairs and

maintenance of equipment is of high standard, so

much so that it is very common for us to be called in

to do repairs/maintenance on equipment we didn’t

originally design or install.

Est.1966

Editorial: Christian JordanProduction: Phil Bird

What started as a recruitment firm with one desk, one phone and a phone book, recruiting for the German business community nearly 40 years ago, has now grown into Africa’s number one permanent recruitment company. IndustrySA speaks to DAV Professional Placement Group to understand how the company has managed to come so far…

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Invest in human capital

The business of recruitment presents a complex web of issues requiring successful navigation in order to ensure optimum success for companies along with career satisfaction and growth for candidates. Recruitment experts know how to match culture, personality, skills, ambitions and values - they combine art with science and a finely honed understanding of both client and candidate.

One such company of recruitment experts, in the industry since 1975, has an accomplished track record of partnering with businesses on their staffing needs and individuals on their career development. Testament to this is the fact that 95% of the companies that started out with them as clients back in 1975 remain with the company today.

That company is DAV Professional Placement Group and Kathrin Trümpelmann, Executive Manager: Africa, Emerging Markets and Engineering, tells IndustrySA that

although the company is now the continents industry leader, its beginnings were humble.

“The company started over 38 years ago as a one-woman company,” she says. “With time, vision, passion, heart and determination the company grew – we now employ close to 170 people with national representation in South Africa and clients across the African continent and form a fundamental part of the Adcorp Group, Africa’s biggest human capital group.”

Despite their success and growth, DAV has never set out to be number one in terms of size. Their focus has always been and will remain; to be the best in terms of quality. Their objectives have also remained constant over time; to give their clients the competitive edge by ensuring they acquire the right talent; and to help candidates make the best career move so they remain with the company long-term.

DAV recruits in seven specialist areas across a range

of sectors, servicing each with expert knowledge and an unwavering focus on service excellence.

“We offer recruitment services for any type of position,” says Kathrin. “Our Office Professionals division sources admin and support staff, we have a Financial Markets division, an Executive Search division for commercial executive placements, our engineering division recruits any technical staff from artisan to MD. Our German division not only has the strongest network of German speaking professionals and clients in South Africa, but caters for any specialist language requirement; if, for example, an Italian client requires an Italian-speaking secretary we have the network that delivers. We have an IT division for IT and telecoms professionals and our latest edition the African Emerging Markets division which we created in response to the requirements of our clients and the industry.”

LONG-TERM PARTNERSHIPS Recruitment is all about people and when dealing with people, a long-standing relationship is a sure sign of trust and confidence. These are the type of relationships that DAV fosters.

“Our business is defined by our people, both inside and outside of DAV,” says Kathrin. “That means our staff as well as our clients and candidates – the people we serve. We place people first, and with the value of people in mind we have built relationships that span decades.”

“It’s our biggest strength, really” she says. “The depth of our partnership with clients and the relationships we build. Long-standing relationships are what DAV is about. We have clients that have been with us for over 38 years and candidates that trust us with their entire career path. I’ve been here for 14 years and am enormously gratified by how both clients and candidates stick with us. Whether it’s a

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candidate we’ve placed who moves into a management position and then uses us to recruit or a company for whom we have recruited, they keep coming back because of the strength of our relationships and the results, our knowledge, network and service produce.”

The relationship between DAV and the client is so close-knit that DAV essentially becomes an external part of the client’s business assisting with both recruitment and other areas such as strategy development.

“We become an extension of a company’s human capital division. Companies consult with us on plans for the future, expansion and projects in the pipeline. We are always very aware of where our clients are going. This allows us to plan so when vacancies open up we already have the right people in the pipeline,” says Kathrin.

DAV benchmarks against the best in the world, and international business partners and trainers commend them on their service delivery. They define themselves as a ‘learning organisation driven by values’ - versatile and open to change and improvement.

ONGOING ExPANSIONThis flexibility is evident in the way DAV nimbly responded to its clients’ need for their services into Africa and the emerging markets - the company developed a dedicated specialist team to service these markets. With economic growth in the rest of Africa continuing at a rate which surpasses that of most developed countries, international as well as local business leaders and investors have identified the African continent as a window of opportunity for business growth. Africa also provides new career opportunities for individual employees considering a career move.

“Where we have grown aggressively and where we predict future growth is in the African and emerging markets,” says Kathrin. “We’ve been recruiting into these markets on an ad-hoc basis over the last 15 years but our clients have a strong need for local people so we established a specialist division devoted to their needs.”

Countries such as Mozambique, Zambia, Zimbabwe, Botswana and Namibia are all experiencing good levels of growth, even during tough global economic times, and South African companies are looking to their southern African neighbours to open up new opportunities. Obviously, this

daV

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COMpany rEpOrT

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0861 CAREER | sales@pnet.co.za | www.pnet.co.za

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for over 16 years we have focused on attracting a constantfl ow of top talent. With a database in excess of 1.65 million and growing by over 1500 new CV’s a day, our proactive approach to e-recruitment ensures your vacancy is accurately marketed to the correct pool of applicants.

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means new positions that have to be filled but Kathrin suggests that although a range of industries are experiencing growth, it is the business of mining that still drives a lot of the growth.

“The main industry is mining; mining really keeps this continent going. Also, supply to the mining industry, whether its earth moving equipment, housing, piping, water treatment, anything that supplies into a mine and keeps it going works well in Africa,” she says. “However, whether mining or energy or construction or rail or roads or sales or technical, growth is coming through in all areas.”

DAV now has 162 recruitment specialists in its Cape Town and Johannesburg offices and with further growth on the horizon, Kathrin says it’s all about identifying the correct opportunities.

“Wherever there are new opportunities that will benefit the business and benefit our clients we will pursue them,” she says. “Our growth is about business ventures driven by client requirements. This attitude saw the birth of our dedicated Africa and Emerging Markets team.

“It also prompted us to enter the MSP (Managed Service Provider) space as well as into various JV’s with our sister companies within the Adcorp Group in order to provide an even more complete service to our clients – and to further strengthen the Group. DAV’s focus and area of expertise is primarily permanent recruitment. However, we are also expanding into the Contracting field in order to provide specialist services to our clients who need contract staff for various projects. We look forward to seeing what additional opportunities the future will bring.”

In addition to their nimble responsiveness to the changing needs of clients and markets, DAV is positioned as a technology driven firm. They constantly search the globe for the latest technologies that will enable them to remain at the forefront of technology and in yet another way provide a superior service to clients and candidates.

DIffERENTIATED SERVICE OffERINGEconomic difficulties often highlight the importance of effective recruitment and whilst you may think that after the global financial slowdown people will spend less money on external services, in some cases it has leveraged those previously mentioned long-standing relationships and allowed DAV to offer clients a real competitive advantage.

What puts DAV’s service on a different level? Well, apart from the numerous awards that the company has picked up over the years of its existence (see figure 1), Kathrin says that it is DAV’s ability to adapt that sets them apart from the crowd.

“If a client says ‘my business is changing,’ we are extremely

flexible and adaptable at DAV. We can adapt our products or systems or processes to suit our client’s needs.

“We work to very high standards and everyone is trained to those standards so if I’m not here someone else can easily pick up my work. That has huge benefit to clients and candidates.

“We are Africa’s number one permanent recruitment company and we’ve held that title for a few years now,” she says. “We are the industry leaders, we are very strong financially, we’ve never had to lay anyone off and the reason for that is our ability to change, adapt and be flexible to the needs of the market and the client. In addition, we represent the top 20% of clients and candidates in the market, we employ the top echelon of people internally and we drive growth and development. We are driven by our values and believe in what the Japanese call KAIZEN – continuous improvement.”

This type of service offering goes a long way towards the DAV ethic of ‘striving to ensure each aspect of the business reflects world-class standards in search and recruitment’ and while there is competition for the company in certain areas, Kathrin is confident there is not another company who can offer the ‘all-encompassing’ service of DAV.

“We have competition in certain areas for example, in

the IT or engineering areas there are smaller companies competing with us however there is not another large company like ours that can compete with us on all levels; and our industry knowledge in each sector we operate in is substantial.”

Certainly their approach is substantial. Their passion, enthusiasm and dedication is evident and they work relentlessly and systematically to exhaust every avenue in bringing their clients the best available talent, even in a skills short market. A 500,000+ strong database, an unparalleled referral network, headhunting, on and offline advertising – they almost literally leave no stone unturned in the search for the right candidate. And they are as well known for sourcing rare skills as they are for uncovering the best available talent, including talent not openly on the market.

DAV’s offering is succinctly summed up on the company’s website: “We know that effective recruitment requires experience and instinct, competence and resolve and we are

“Where we are growing aggressively and where we would like to see the business develop is in the African and emerging markets”

passionate about sourcing vital skills for companies to enable them to excel in their area of business.

“DAV is a company that fulfils the promise of its unequalled reputation through offering you truly outstanding commitment and reliability. We offer you everything we have learned, over 38 years and from all over the world, about furthering careers and delivering world-class service.”

So, perhaps the complex web of issues that is recruitment

need not be such a challenge. Any type of business can benefit from the responsible, ethical and deadline-driven service offered by DAV. If you are looking to create a competitive advantage then you need to talk to the right people, after all, people form the cornerstone of any business.

Job seekers and businesses alike; perhaps it’s time you get in touch with DAV, Africa’s number one permanent professional placement company.

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OCT 13 pagE 63

daV professional placement group is highly decorated. here is a selection of the awards won by the company over the years:

Highest rated company in SA for Human Capital SolutionspMr diamond arrow award July 2013

Finalist “Employer of the Year” Awardnational Business awards July 2012

Recruitment Agency of the Year Large CompaniesCareer Junction awards September 2011

Best Training Programme in South Africa medium sized companies.achiever awards february 2010

Recruiter of the Year Permanent Positions.Career Junction Survey august 2009

Best Working EnvironmentadCOrp april 2008

Positive Newsmaker of the YearTop women awards august 2007

Winners of the Best Company to Work For 2006deloitte and financial Mail Survey October 2006

Excellent Service AwardOffice Support Recruitment Survey July 2005

Best Recruitment Consultancy in South AfricapMr Survey July 2004

Editorial: Lauren GreyProduction: Chris Bolderstone

On the eve of its tenth anniversary, MBT Petroleum is planning a landmark celebration which will see the South African supplier invest R60M in a bid to integrate its business divisions and upgrade its facilities. IndustrySA speaks to founder and CEO, Johan Fouché to find out more…

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R6OM investment set to enhance service delivery

Many successful business notions take years of careful planning and significant investment to get them up and running, but for Johan Fouché, founder and CEO of MBT Petroleum, starting up the company was the “natural next step”.

Fouché started his extensive career with global giant BP in 1987, where he gained vast experience in all aspects of the petroleum industry, from sales and logistics to administration and management. Following his 12 years with the company, Fouché went on to work for Excel and Sasol, before eventually starting up his own business.

“I started up MBT Petroleum in 2004, entering a market that was dominated by the likes of Sasol, Shell and BP, but it felt like the natural next step in my career and I knew I was targeting a niche in the market”

explains Fouché.It was this niche, together with Fouché’s knowledge,

experience and determination that propelled MBT’s success and the company has since established itself as a leader in the supply of petroleum, with a strong customer focus.

“Identifying a niche was my first step; I noticed that there was a real need for a South African company in the market, with a true South African feel and presence. My next step was to secure a contract for the refinery of our product, and that contract was with Sasol, who is still to this day our main supplier.”

In the years that followed MBT grew substantially, in terms of staff numbers, revenue and customer satisfaction, and it is now regarded amongst the leading non-refining wholesalers in the Republic of South Africa.

MISSION AND VALUESSince its inception, MBT has been -as its slogan depicts- “Motivated Beyond Tomorrow”, with a focus on superior service deliver and innovation within the industry as Fouché explains, “‘Motivated Beyond Tomorrow’ forms part of our core values, and really the attitude of the whole company because we are continuously looking towards the future.”

As a leading petroleum supplier, MBT’s mission to keep looking towards the future not only relates to future development of the company, but hints at a bigger picture, as it strives to create a more sustainable living environment for everyone.

“We are busy with research and development in terms of a renewable energy sources; we already have an ethanol and bio-diesel division with a substantial footprint in both of these markets. So “Motivated Beyond

Tomorrow” just seemed fitting to me.”

GROWING fLEETMBT’s drive towards superior service, innovation and customer satisfaction has been a huge asset to the company, and a major reason for its rapid growth; but not to get complacent at the top of the industry, MBT is continually upgrading and developing as a business.

One of the company’s most recent developments was an investment in 15 new fuel tankers, bringing its total up to 25; in having its own fleet division, MBT is able to have direct and hands-on information regarding the deliveries of its products to its customers, and it fixes the age old problem of not knowing where, what and when the product will arrive.

“The new vehicles make a huge difference to the business; we used to make use of contractors, but we have

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phased that out. Instead we have invested in a new fleet of fuel tankers to enhance our service delivery, because we are now able to take our own product, via our own tankers to our own service stations.”

MBT’s fleet consists of various state of the art metered tankers, managed by a competent team of technical, administrative, operational and management staff. The company also has its own 24hour control room to monitor and control all aspects of the customer’s delivery.

INVESTMENTAs MBT prepares to celebrate its 10th anniversary at the top of its industry, it is also readying itself for a huge investment which will see the company integrate several business divisions under one roof, in a project that is set to cost R60M.

“We will be integrating our head office and all of our divisions onto one piece of land, which will allow us to have more control over our operations and enhance our service delivery. Currently we have a head office

situated about 30/40 kilometres away from our logistical operations, and it has taken us a long time to find the right industrial set up where we could integrate all of our operations into one premise,” says Fouché.

Construction at the new site is set to start in January 2014, and is significantly larger than the company’s current facilities, “The new site is approximately 10 Hectares and will have state of the art loading facilities and storage facilities...It will also have its own bio-fuel plant”

Integration is the key thinking behind MBT’s new facilities, but it will also allow the company to store its product so that it is readily available to the customer.

“The new site is centrally situated, just off the highway, so it gives us access to all of the major routes; it’s about being able to stock and store our own product so that it is readily available. At the moment it is a question of loading at the refinery and going straight to the customer, whereas we will soon have a holding facility which will change our operations completely.”

Straight talking, no nonsense Business Banking. While most banks will try to convince you that they understand your business by depicting the over-used visual of a business manager and their client all smiles and hand-in-hand, we prefer a more constructive approach like building long term partnerships that help you manage liquidity and optimize cash-flow. It’s the reason more businesses partner with Standard Bank than any other bank in South Africa.

Now let’s talk business.

For when that big-but-difficult client doesn’t pay on time… we help you find ways to ensure you can pay your employees on time.

Moving ForwardTMAuthorised financial services and registered credit provider (NCRCP15). The Standard Bank of South Africa Limited (Reg. No. 1962/000738/06). SBSA 126530. Moving Forward is a trademark of The Standard Bank of South Africa Limited

129053 SB miccorp 15x10.indd 1 2013/04/19 3:19 PM

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Straight talking, no nonsense Business Banking. While most banks will try to convince you that they understand your business by depicting the over-used visual of a business manager and their client all smiles and hand-in-hand, we prefer a more constructive approach like building long term partnerships that help you manage liquidity and optimize cash-flow. It’s the reason more businesses partner with Standard Bank than any other bank in South Africa.

Now let’s talk business.

For when that big-but-difficult client doesn’t pay on time… we help you find ways to ensure you can pay your employees on time.

Moving ForwardTMAuthorised financial services and registered credit provider (NCRCP15). The Standard Bank of South Africa Limited (Reg. No. 1962/000738/06). SBSA 126530. Moving Forward is a trademark of The Standard Bank of South Africa Limited

129053 SB miccorp 15x10.indd 1 2013/04/19 3:19 PM

In order to ensure the smooth operation of its new facilities, MBT will be investing in more staff, which Fouché says will “cut the delivery time by half”, allowing for a more streamlined and efficient delivery service.

fUTURE PLANSWhen MBT was first established, its primary focus was the supply of petroleum to the commercial sector, such as transport, agriculture, industrial and construction. However, this focus has shifted recently and the company’s sole focus is the development of its retail operations.

“Four years ago we began servicing the retail market with our own service stations, and going forward, our primary focus is to develop our brand in the retail sector” explains Fouché.

MBT has established retail sites in the Gauteng, Limpopo, Mpumalanga and North West regions; each site has a comprehensive service offering and a clean and modern look, offering its customers guidance on new and existing developments, assistance

with implementing and managing of effective fuel management systems as well as HSSE training and ongoing support.

“Investment into the retail sector is huge, and we are purchasing properties all over South Africa, we also intend to have our own shops at our service stations. The retail sector is really our main focus at the moment, we currently have 24 service stations but the plan is to have 50 within the next two years.”

In order to expand its footprint across the country, MBT rebrands as well as upgrades existing sites in conjunction with owners and newly built MBT ‘greenfield’ sites, which allows the company to strategically position its service stations in areas where they will attract the most footfall.

On a final note, Fouché says that future plans will see the company franchise its outlets across the entire nation, as well as establish its brand throughout sub Saharan Africa, “The plan is to extend our footprint into areas such as Zimbabwe, Botswana, Namibia and Mozambique within the next two years,” he concludes..

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ContactCape Town – 021 982 5474

info@alfonshaarsa.co.za www.alfons-haar.de

Specialising in the manufacture of:• Tanker fittings • Sealed compartment delivery systems • Fuel and gas flow meters • Pumps• Aviation refueling systems • Hose Reels • Elaflex agents (Hoses and fittings)• Manntek agents (Dry disconnect couplings)

Editorial: Lauren GreyProduction: Hal Hutchison

Property investment and development company, Alchemy Properties has entered the excavation phase of its plans to build South Africa’s biggest single-tenant office complex, covering a behemoth 67,000m. IndustrySA speaks to Executive Director, Gregory Sacks to find out more…

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A behemoth build for Alchemy

Property investment and development company, Alchemy Properties is embarking on one of the biggest office developments in South African history; a 67,000m2 single-tenant complex set to house between 3,000 to 4,000 Sasol employees.

Together with the Sasol Pension Fund, Alchemy will develop and lease the building in order to consolidate Sasol’s Gauteng offices, which at the moment comprise of 17 buildings across Bryanston, Randburg and Rosebank.

The consolidated office space, due to open in the third quarter of 2016, is located at 2 Katherine Street, a node flagged as Sandton’s next development hub and set to transform the suburb into a more pedestrian friendly area.

Executive Director at Alchemy, Gregory Sacks says that the company has dedicated its skills, expertise and quality resources to ensure the building works efficiently and is an extension of the Sasol brand, “a building is more than just

a place where people work, it has to fulfil other important functions; it needs to communicate who the company is and what they are about right from the offset.”

SMALL AND MIGHTyEstablished in 2007, Alchemy Properties has secured itself as a market leader within the property investment and development industry; with key tenants including Cell C, South African Airways and BDO Auditors.

With a staff complement of just six, Alchemy’s team of industry specialists have achieved a great deal over the past six years and have developed a portfolio exceeding 100,000m2 of commercial office buildings.

“The basis of the company was to build a property portfolio of quality buildings with quality tenants in quality areas” explains Sacks, “We all have different backgrounds in property so the idea behind Alchemy was to take advantage

of our diverse skills and combine our expertise.”The combined expertise of its employees and unique

approach to property development has proven a winning formula for Alchemy, as the company is now the largest property investor in the Parktown Commercial Node, Johannesburg.

SASOL DEVELOPMENTSpecialists in the development of corporate offices and call centres, Alchemy has partnered with a number of large organisations in the past including leading South African mobile provider, Cell C.

In the re-development of its head office, Alchemy provided Cell C with a state of the art facility located in the Parkton Node; covering 11,000m², the office space included access to transport and local amenities as well as enhancing the company’s corporate image.

Prior to the economic downturn, re-developments like Cell C were significantly cheaper than building a property from scratch, but Sacks says that because of the changing market this is no longer always true.

“In the past there was a significant pricing difference between a redevelopment and a new build, but what we are finding now is that the market has changed due to the recession which is putting pressure on building costs, so the price gap between a new build and re-development has narrowed substantially.”

Alchemy’s most recent, and certainly its most significant new build, is the development of the Sasol office complex, which –according to media hearsay- is set to cost more than R2 billon.

“Sasol are combining 17 separate offices into one building, so it has been specifically designed to help foster the integration of the different divisions within the company,”

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explains Sacks, “currently we are excavating the basements, of which there will be seven underground basement levels; it will park over 3000 vehicles and house the majority of the building’s utilities such as the generator room, air conditioning plants and water storage tanks.”

Aside from the necessary equipment required for a building to function efficiently, Sacks explains that there is more to an office space than desks and chairs, which is where the company’s three design principles, lifestyle, efficiency and branding are relevant.

“We specialise in corporate offices, and for many of our medium and large tenants the building becomes an extension of their brand. The building itself needs to demonstrate who the company is, what the company does and how the company functions; it is important that visitors know exactly what environment they are entering, before they even get through the door.”

Furthermore, Sacks explains that a building’s interior and exterior features help to motivate staff and retain tenants, “In terms of your common office space, once you are inside it typically feels very much the same, so we look at ways to differentiate our buildings and make them better places to

work where our tenants feel more comfortable and enjoy being in the space.

“This adds to their productivity and our ability to retain tenants, particularly if they have a positive association with the building. We always include features that we feel improve the building, whether they are simple features like terraces or much larger features like sculptured gardens with water features and plants. All these features make the environment more welcoming.”

A WINNING fORMULAIn order to create a space that both encourages staff productivity and demonstrates the company’s brand, Alchemy works closely with the tenant to understand exactly what they envision for their working environment.

“Increasingly we consult with the tenant on what features the building should include and what they want the building to say about their business. Some corporate businesses may need the necessary space to hold functions, conferences and internal meetings for example.”

The most important feature for the Sasol complex however is integration, as the company wants all business

units from diverse locations to come together as one. In order to achieve this vision, the building will have a single core and be a ‘ground-scraper’ with large floor plates of approximately 6,500 square metres each, rather than the traditional sky-scraper with several separate floors.

“After being awarded the project by Sasol, we were given a brief which outlined exactly what they wanted; the building had to be energy efficient and encourage integration. It also had to have massive floor plates, what is now called a ground scraper instead of a sky scraper, so it’s a massive building but it has as few floors as possible which helps to integrate the workforce rather than separate it.

“Ensuring a building is energy efficient is a multi-tiered process, firstly it is important that equipment such as lifts, air-conditioning and lighting are the most technologically advanced in order to lower energy consumption.

“However, it is also important to choose the correct material for a specific build, for example the glass used for windows determines how energy efficient a building is because it can let in more or less light depending on its type, which in turn determines how much artificial light you need.

“But at the same time we need to consider how much light a window is letting in, in comparison to how much heat it is letting in, which then puts more pressure on your air conditioning.”

All in all, the size of a project like the Sasol office complex

requires intricate planning, design and development in order to meet the specific requirements of the building, and in order to achieve the vision set out by Sasol, Alchemy turned to long-standing partners Paragon Architects.

“We have a long standing relationship with Paragon Architects,” explains Sacks, “we consider them to be the best commercial architects and have worked with them on every other build we have done. No need to change a winning formula!”

SANDTON OffICE PRECINCTIt has been predicted that with the Sasol development, along with other builds in the area, Katherine Street is set to become the home of a new office precinct, and Sacks says that Alchemy will be all too happy to assist in its development.

“Alchemy and Growthpoint have the two largest land holdings on Katherine Street, and we are discussing with them the prospect of integrating our two land holdings to look at an office-precinct type.”

Sacks says that the area is ripe for development because of its close proximity to the Gautrain and Sandton City, and with developers on either side of Katherine Street waiting to secure strong tenants, an office precinct looks set to be established in the area very soon. .

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“a building is more than just a place where people work, it has to fulfil other important functions; it needs to communicate who the company is and what they are about right from the offset.”

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OCT 13 pagE 75

Editorial: Lauren GreyProduction: Chris Bolderstone

Cash and carry retailer, Makro has been servicing the South African market for over 40 years with the wholesale and retail supply of food, general merchandise and liquor from its 19 warehouse stores across the country. However, in order to extend its services and meet changing consumer demand, Makro is preparing to launch its enhanced online shopping site.

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Entering the digital age

Originally a Dutch warehouse chain, Makro first opened in Amsterdam in 1968 and in the years that followed expanded into the Netherlands, several countries in Europe and South Africa, where it was the first cash and carry operation to open in the country.

The company was also the first to make use of sophisticated computerised inventory control in the country; keeping track of sales, purchases and stock with then state-of-the-art IBM technology.

MakroSA stores are located in all major metropolitan areas in the country and operate under a high volume/low cost/low margin trading philosophy, as Marketing Director, Dr Melanie Louw explains, “Traditionally, stores have been located in the major metropolitan markets, but since 2011 stores were opened in so called ‘secondary cities’ such as Nelspruit, Polokwane , Port

Elizabeth and Bloemfontein.“The stores service predominantly higher LSM retail

and commercially affiliated customers although there is a significant indirect offering to lower LSM customers via food and liquor resellers. The general merchandise offering is weighted to retail customers, whilst food and liquor have a predominantly commercial customer base.”

Makro’s defining feature is its ability to act as a one-stop-shop with everything available under one roof, and its low cost trading ethos enables high volume distribution of merchandise at competitive prices.

“Makro has at its core a wholesale supply chain model that allows for a very high proportion of direct to store deliveries. The large format stores create this wholesale route to market and the volumes that are sold through those stores allow wholesale cost structures to be applied in support of both retail and wholesale trade.”

COMPETITIONAfter its establishment in the country, the company’s structure and business model was soon replicated across South Africa, with a variety of new organisations targeting its customer base with similar products and services, however, Makro’s established brand and commitment to customers enabled it to maintain its leading position, as Louw explains.

“Our goal is to ensure superior and sustainable financial performance to our stakeholders whilst delivering superior product and offerings to our customer base.

“We are also very aware of the fact that the availability of competitor pricing in the market means that we have to use our superior customer level data and analytics to ensure that we can address the needs of our customers at the reseller, commercial and retail level.”

One way in which Makro ensures that it satisfies the needs of its customers is by storing data and keeping track of their past purchases, this allows the company to communicate with its customers through promotional activity that is driven by the customers’ needs and preferences and allows them value-added services such as storing invoices for personal and VAT purposes etc.

“Makro is supported by a unique cash customer data-base, which originates from the Makro card, Makro serves a variety of customer types through its deep understanding of their different needs and communicates regularly with them through unique targeted promotional activity.”

MAkRO.CO.zAWith 19 stores throughout South Africa, and over 8000 full-time employees, Makro services a substantial chunk

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of the market, but the company has active plans to expand its footprint even further throughout the country via its online presence.

The company’s already established website, www.makro.co.za is primarily used by customers for researching stock and price, rather than for making purchases online. However, plans to launch an enhanced shopping experience will see a major portion of Makro’s range of products available for purchase online.

“We are extremely excited about the launch of our online shopping offering, www.makro.co.za is currently the most visited website of a bricks and mortar retailer in South Africa with more than 2.6 million unique visitors during the first six months of 2013,” says Louw.

“Our current online shopping offering is hosted through a third party and offers a limited range of general merchandise products and fulfilment out of only one store.”

Makro’s new online offering is set to launch in the first half of 2014 as part of the company’s omni-channel strategy. Although the website will list most products

available in store, initially food products will be available for research only with GM and Liquor being available for online purchases in a phased launch approach. Eventually customers will be able to choose from almost all of its 55,000 products online.

“The offering will be national and assist us in achieving a much wider footprint with a delivery model servicing customers even in the most outlying parts of the country.”

GOING GREENNot only is Makro making use of digital expansion opportunities, but the company has also expanded its store footprint by implementing new stores across the country and redeveloping existing stores.

“Albeit that we will still be expanding our store footprint, the aim for the next five years is to establish ourselves in the areas that we are in through price leadership and service innovation.

“Of course we are not entirely finished with the expansion of our store footprint and there are still some areas where we think there might be expansion

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possibilities, without necessarily cannibalizing volume from existing stores.”

When implementing a new store, or re-developing an existing one, Makro places huge emphasis on the buildings’ environmental impact and sustainability, as the company believes this enhances the shopping experience.

Louw explains how the company’s newest store in Amanzimtoti, Durban –re-located from Rossburgh- was designed with green technologies in mind, “each Makro store is more advanced than the last, and as we get better at responding to our customers’ needs we incorporate the latest design and product offerings.

“The Amanzimtoti store incorporates the latest in butchery design, for example, presenting a best-in-class fresh produce range and also includes a baked goods offering. We have always been aware of our impact on the environment and have used our unique and privileged position to try, test and use new green technologies.

“This particular store has been built using green-building concepts, local labour and locally-sourced

construction materials.”Other technologies used by Makro in the development

of its stores include energy efficient lighting, water harvesting and utilising recycled packaging, for example new Makro stores use LED bulbs in its stores, which draw less current than traditional bulbs. This helps to significantly reduce the stores total electricity consumption.

The fact that Makro has standalone stores makes it easier for the company to implement innovative technologies such as daylight harvesting.

This advantage has seen the typical Makro store evolve and change its look and feel over the years. .“Our goal is to ensure superior and sustainable financial performance to our stakeholders whilst delivering superior product and offerings to our customer base.”

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Editorial: Tim HandsProduction: James Clark

Constantly striving to develop the quality of air travel its populace is offered, Civil Aviation Authority of Botswana has been in operation now for over four years and is charged with managing all of the country’s international airports. Behind every one of their operations is the desire to be a world-class provider of safe, secure and efficient aviation services, which helps to drive the Authority to continually develop and innovate the country’s provision of air travel, and make for a more comfortable flight on each and every occasion.

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Developing air travel across Botswana

Established in 2004 by the Civil Aviation Authority Act, the Civil Aviation Authority of Botswana (CAAB) commenced full operations on 1st April 2009 as a statutory Corporation under the ministry of Transport and Communications. Its mandate remains to promote aviation safety and security, while ensuring the regular and efficient use and development of civil aviation in Botswana.

Now responsible for the employment of over 700 personnel, CAAB has also assumed responsibility for many of the functions previously under the charge of the former Department of Civil Aviation. As part of this mandate therefore it is now accountable for the regulation of air transport, providing air navigation services, managing airports and advising the government on all aspects of civil aviation throughout the country.

The continued development of the aviation industry in Botswana is a central factor in CAAB’s operations, and pivotal to its overall mission, as well as providing efficient and effective aviation services to its customers, striving unfailing toward its vision of becoming and remaining a world class provider of safe, secure and efficient aviation services.

Behind all its efforts to develop and maintain Botswanan air services are a series of strategic objectives, all geared towards providing effective and efficient aviation services to the populace. Paramount to any dealings in air travel is that both safety and security are at all times at the forefront of every operation, and CAAB caters for both aspects to the highest degree. Efficiency also comes high on the list of CAAB’s principles, as it aims to make the civil aviation system of the country one which operates as effectively as possible.

Closely linked are another two on the Authority’s principles; namely its goal of maintaining sustainable development and operational continuity of aviation operations in Botswana, whilst minimising any negative impact its aviation activities may have on the environment.

Now more than ever before, the Authority is required to ensure that questions of safety and security are rigorously and effectively addressed, without exception. In line with this, its airports issue only specific passes exclusively to those who have obtained the right to access the given area, and only permit entry into the particular zone indicated on the pass. Upon entering airport restricted areas, all persons are subjected to security screening in order to ensure absolute safety throughout, while flippant remarks relating to any security threats are treated with the utmost seriousness and can even lead to

prosecution, such is CAAB’s commitment to maintaining customer safety. The airport is no longer a place where any leeway can be given toward potential breaches of safety, and CAAB recognises and acts upon this purely to ensure the lowest possible level of threat for the whole population.

Passenger security is as rigorous as would be expected from an Authority of this size, with the extensive regulations all aimed toward ensuring a safe and smooth journey for all its many customers, with the strictness surrounding its safety a vital part of its effective operation, and its customers’ enjoyment of the travel experience.

CAAB currently has four international major airports across the country, all of these being aerodromes of entry and departure for international air traffic, and where all processes concerning customs, immigration, health,

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animal and plant quarantine and similar procedures are carried out, and where air traffic services are available. These can be found in Francistown, Gaborone, Kasane and Maun, and are added to by the minor airports the Authority has dotted across the country, for example in Gweta, Kanye and Tsau – available for landing but without the facilities associated with its major sites.

In line with the developments the Authority constantly strives to make, it has in recent times highlighted three of its international major sites for renovation and improvement – Francistown, Kasane and Maun have all received major refurbishment.

A new three kilometre runway was constructed at the Francistown site in order to bring this airport yet further in line with the clear vision of CAAB, with a BWP41 million upgrade of its airfield ground lighting and power supply also taking place during this period. Likewise, Kasane has seen its own runway extended from two kilometres to three, extensive refurbishment of the existing terminal building and other buildings, along with provision of airfield ground lighting and a structural

electrified fence further heightening safety and security of the site, so crucial to the operations of this dominant Authority.

Last December’s Boeing Aging Airplane Maintenance Programme Seminar in Gaborone, hosted by the Botswana Government through CAAB, was a three day event organized by the Cooperation Development of Operational Safety and Continuing Airworthiness Programme in the SADC Region. Conducted by Boeing, The purpose of this seminar was to provide Government Safety Oversight Authorities and industry with the most up to date information and recommended practices in order that older Boeing aeroplanes used in the transportation of passengers and cargo remain working in a safe, reliable and dependable manner.

Clearly, a vital part of the development phase of CAAB’s plans is to re-fleet with new planes on a regular basis, but when the older aircraft in the fleet remain entirely suitable for their particular operations, and are able to be operated them safely as a result of the standards and recommended practices such discussed in

Sir Seretse Khama International Airport in Gaborone, Botswana ©Shosholoza.

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such seminars as this, it is easy to see why so many airlines, and particularly those in the SADC region, are opting to stick by these machines as their most reliable operators.

Another important arm of CAAB’s dealings is the business opportunities it constantly strives to present at all major CAAB managed airports, always with the aim of providing essential services to the airport communities. As such, CAAB continues to develop retail concessions and identify potential new business opportunities at Sir Seretse Khama International Airport (SSKIA), Maun, Kasane and Francistown, and these opportunities strive to offer airport passengers and staff alike a pleasant and unsurpassed shopping experience.

Always at the forefront of CAAB’s collective mind is the importance of passenger comfort, catered for extensively by the meals and refreshments so central to the experience of a modern airport at Maun, Francistown and Kasane Airports. One of the unique strengths of CAAB airports as investment opportunities is the sheer range of potentially profitable avenues it is able to offer – even within the traditionally limited field of paid car parking lie a whole host of different parking options for every itinerary and budget, in order to maximise both efficacy and profitability in each instance.

At present, the four main CAAB managed airports are undergoing major renovations, and once complete

SSKIA, Maun, Kasane and Francistown airports will offer opportunities for a variety of shopping outlets, and crucially, both indoor and outdoor advertising opportunities to ensure exposure to brands around the globe.

In May 2006, a safety audit showed at the time that Botswana was at 27.8% of effective implementation of International Civil Aviation Organisation (ICAO) standards and recommended practices. This was followed in April 2013 by an ICAO Coordinated Validation Mission (ICVM), whose purpose was to check the progress that had been made by Botswana in the time since the initial inspection. The results more than doubled its achievements a mere seven years earlier, with Botswana rated at 59.6% of effective implementation.

This positive rating is better than the average for Africa, which currently stands at 41%, and is almost equal to the global average of 60%. The extent of the progress made by Botswana since the 2006 audit was acknowledged by the IVCM team, who noted significant improvements in almost all the safety-related areas. ICAO specifically acknowledged the country’s commitment to achieving its safety objectives, with the Authority perfectly placed to continue to build upon the massive improvements in this short space of time, and offer to the populace an ever-increasing level of comfort, security and satisfaction on-board its aircraft..

Interior of the passenger terminal of Sir Seretse Khama International Airport in Gaborone, Botswana © Iulus Ascanius.

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Editorial: Roland Douglas Production: Hal Hutchison

DSI SA has contributed to some of the country’s most important mining and construction projects. The company is one of the leaders in the supply of mining and related products with expertise in tunnelling and construction. IndustrySA explores what makes the company successful and how the growth of the mining industry has proved fruitful for the Johannesburg based specialists.

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Local presence, global competence

Although mining is one of the continent’s most prominent industries, unless you are involved in the business everyday it can be difficult to understand exactly how much activity goes into running a mine. Mining is a capitally intensive process with and extensive range of machinery, tools, electronics, people and other supplies required. Couple that with all of the paperwork and compliance issues that you need to navigate and you end up with a long list of necessities before you even break ground.

Fortunately, as mining has grown to dominate the country’s and continents commercial and industrial sectors, we have seen the rise of certain ‘sub-industries’, one which encompasses all of the supply into the mining industry. While officially still part of the mining industry, this sub-sector is often recognised as separate entity but without a doubt, the supply to the mining industry is its lifeblood, just

like water for a human, without this it could not survive.Supply into the mining industry includes everything from

equipment and security to legal, environmental and staffing, and companies that supply the mining industry have become just as important to the country’s economy as the mining houses themselves.

One of the leading suppliers of equipment into the mining industry, and also serving the construction industry, is DYWIDAG-Systems International South Africa (DSI SA), the local arm of the global market leader in the development, production and application of mining products.

DSI SA works with all of the major mining companies, processing materials including coal, gold, platinum and diamonds amongst others. Alongside its extensive product portfolio, DSI SA offers a comprehensive service package to assist customers on every level.

Having already secured important contracts for the supply

of mining equipment to major clients such as BHP-Billiton and Anglo American, the company suggests it is set to grow saying on its website: “For the future, the business is destined to have a significant impact on the South African mining industry.”

The company has German origins but has been in operation in South Africa for a number of years thanks to the strength of the domestic mining industry. Based in Johannesburg, the company operates out of a 5000m² warehouse purpose built to ISO9001:2008 quality standards to manufacture products for southern Africa’s underground mining experts.

The vast product range includes friction anchors, resin roof bolts, deformed and flat anchor plates, fully threaded and headed rebar bolts and cable bolts, rock and roof bolts in various diameters, double corrosion protection (dcp) bolts, expansion shells, rock bolt accessories, mechanical anchor

bolts, nuts, spanners and torque indicators as well as many other important items.

Specialised tunnelling products including AT-Pipe Umbrella Support System, which provides dependable support for tunnel walls in areas containing fault zones and unstable ground conditions, and AT-Power Set Self-Drilling Friction Bolts, which can be simultaneously drilled and installed with standard drilling machines, are a product of the company’s innovative development process.

What sets DSI SA apart from the crowd is its ability to draw on worldwide experience. The company’s motto of ‘Local Presence – Global Competence’ fits perfectly to the South African business. Research and development takes place across the entire company and the information taken from a diverse number of mining locations is used to produce sophisticated, safe and cost effective solutions.

Partnering with technical institutes around the world,

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DSI’s research and development is not done in a laboratory to suit all applications; the company prefers to use local knowledge from local universities to ensure that solutions are perfectly adapted to specific mining and tunnelling conditions. In recent times special focus has been attributed to the stiffness of support tools, massively enhancing safety levels. Through innovation and development the company says that it is “proud to have contributed to making tunnelling and mining safer around the world.”

The company’s commitment to innovation and fulfilling local needs is demonstrated throughout all of its various international subsidiaries and is spearheaded by global CEO, Patrik Nolåke, who told DSI Info: “It is our highest aim to always demonstrate our creativity, reliability, innovative capacity, efficiency and excellent quality.

“It is our stated goal to always explore new methods, develop new ideas and think across barriers. All of our employees continue to have the same ambitions as during the first years of DYWIDAG following its foundation in 1865. The DSI Group is characterized by client proximity and the high global availability of our products and systems as well as by our ability to react quickly to individual

customer requirements. It is our aim to achieve globally leading positions in construction and underground with all of our products, systems and services through well-balanced growth.”

At global level, the company has shown impressive growth over the past two years, taking advantage of high growth levels in regions of South America and Russia. Growth has centred on the two key markets (construction and underground) and has been achieved through a strategic focus on growing existing customer bases and entering new markets through acquisitions.

“We continue to grow strongly and organically in our core markets thanks to innovative products and systems and concentrate on our strength to always be locally present and near our clients,” said Nolåke.

“Also, we generate growth through targeted acquisitions of technologies and patents as well as through the selective acquisition of companies and their successful integration into the DSI Group,” he added.

So the company’s growth on a global scale has been very positive but what about its growth in South Africa? Well, you only have to look at the list of successful projects that DSI SA

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OCT 13 pagE 93

Our services include, but arenot limited to:

• Design and manufacturing of purpose built production machines

• Rebuild and upgrade of existing machines

• Specialized machining

• Surface grinding and machining up to 12m and 60Ton

• New and rebuilt heavy machine tools

MTP Engineering (Pty) Ltd9 Chrome Street VanderbijlparkTel: 016 931-1564Fax: 086-606-1564Cell: 083-650-1200Email : leon@mtpeng.co.za

Complete solutions for production acceleration and automation

Thread Rolling on re-bar @ 1800 units/hour

CNC Cropping of re-bar @ 2000 units/hour

Multi-Spindle Drilling – 21 Spindles simultaneously

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has been a part of to realise that this is a company who is not only contributing to the mining industry but to the South African economy as a whole.

DSI SA’s work in the platinum sector has been pivotal over the years with one of the key contracts involving the supply of around 80,000 roof bolts each month to Anglo Platinum mines. At the Gold Fields Driefontein mine, 60 km southwest of Johannesburg, DSI SA supplies 50,000 grouting rods per month, helping Gold Fields to mine to over 4100m below sea level – one of the deepest mines in the world – allowing for access to hard-to-reach gold reserves. Away from mining, DSI SA played a part in the construction of the Gautrain tunnel between OR Tambo International Airport and Sandton.

DSI SA secured a R21 million supply contract with the Bombela Consortium for the supply of 70,000 dcp rock bolts for the Gautrain project over a period of 30 months. This was the first use of the rock bolt technology in South Africa. DSI also contributed to stations on the Gautrain line (Rosebank, Sandton and Marlboro) utilising DSI Austria’s AT-114 Pipe Umbrella Support System, again the first use of this equipment in South Africa.

At the Bathopele mine, east of Rustenburg in the North West Province, DSI SA has been assisting with the continued extraction of palladium and platinum by supplying around 10,000 rock bolts and accessories every month.

Following these hugely successful projects, DSI SA has looked to take its products and services to neighbouring markets mainly Botswana and Zimbabwe. As the big mining houses continue to expand, their operations outside South Africa also grow and this presents an opportunity for DSI SA. The company says on its website: “DSI is going to strategically expand its export activities into the important neighbour countries such as Botswana and Zimbabwe in accordance with the slogan “Rely on DSI”.

Another noteworthy project that has required expert input from DSI SA is the Ingula Pumped Storage Complex. Scheduled for completion in 2015, the complex has an underground power station which houses four 333MW turbines. Water fed from the Bedford Dam and Braamhoek Dam turns these turbines creating much needed extra energy capacity when required. DSI SA was awarded a contract to produce and supply dcp rock bolts for stabilising tunnel advancement. In total, over 150,000 bolts were supplied in

© dywidag Systems International

COMpany prOfIlE dSI

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70782 Hytec Hydraulic Ad.indd 1 2013/02/26 6:27 PM

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diameters of 20/25/32mm and in lengths varying from 1.2 to 9m. The dcp rock bolts were successfully installed for crown strata stabilisation. Working on projects of this size has helped DSI SA to position itself as the industry leader in South Africa and in turn, making it the company of choice for miners in neighbouring nations.

So, it seems that by focussing on two core markets, mining and construction, DSI SA has managed to work closely with its customers to ensure that its products and services meet the requirements of local markets. This is where so many international businesses fail; they expand their services in a ‘one fit for all’ approach which leaves domestic markets wanting. The challenge in the long-term is for DSI SA to ensure its pipeline of contracts is not affected and that business remains strong. Obviously the global economic situation is not perfect for businesses to thrive but even through this time DSI SA has grown and the group at global level has seen profits rise. With 2300 worldwide and 300 in South Africa, this is a company which is now a big part of the local community and the wider economy and this all stems from national success in the

mining arena. Although there have been issues relating to labour in the mining industry, many big name players in the business, including Patrice Motsepe and Deputy President Kgalema Motlanthe, have stated that this is something which will be overcome. This will be achieved through modernising production methods and further up-skilling and empowering the workforce. As long as this happens then it looks as though supply into the mining industry will continue to thrive and contribute to developing South Africa. DSI SA commitment to its customers’ local needs is what sets it apart and Nolåker suggests in DSI Info that this is set to continue saying: “It is our goal to fulfil our clients’ expectations day after day. With our services, we bridge the gap between people and technology.

“Today more than ever, DSI is a successful company with a clear and dedicated structure.”

A promising message from an exciting company. As its core markets grow, it will be interesting to see how DSI SA adapt and innovate to maintain their position as one of the leading global suppliers of mining and construction products..

COMpany prOfIlE dSI

OCT 13 pagE 97

We drive the mining industry

Geared Motors \ Drive Electronics \ Drive Automation \ Industrial Gears \ Services

1TH

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SEW-EURODRIVE, a proud business partner of SANDVIK, offers innovative drive solutions for all applications in the mining industries.

All SEW-EURODRIVE products and systems make the best use of the space available around the machine and ensure great flexibility and reliability.Minimum maintenance and simple operationensure that you will operate machines and equipment efficiently from the very beginning.

Thanks to the modular design and countlesscombination options, all drive engineeringcomponents can be replaced quickly, if the need arises. From gravel mining to the excavation of gold, platinum, coal and diamonds – we put the drive into all facets of the mining industry.

SEW-EURODRIVE – Driving the world.

Tel: +27 11 248-7000 Web: www.sew.co.za

SANDVIK

SEW Eurodrive partners with Sandvik for shorter delivery times and more flexibility SEW Eurodrive is in proud partnership with Sandvik to supply industrial gear power packs for various applications within the mining industry. The company supplies Sandvik with industrial gear power packs which are mostly used on travel drives and stacker reclaimers.The X Series, which is locally assembled and stocked are the preferred units used on these power packs. The power pack includes the motor, coupling and gearbox fitted to a baseplate for easy installation.

Nearly any mounting position or shaft arrangement can be implemented on the driven machine. The X Series’ invertable housing makes it very flexible and suitable for many applications. The X series provides a reliable and cost efficient product with better thermal rating which leads to reduced maintenance requirements.The X series offers shorter delivery times and higher flexibility at a lower cost, with spare parts being readily available. The units are well stocked and assembled locally at the SEW Eurodrive Nelspruit facility.

IndUSTry rECOMMEndEd

AVIATIONadB aIrfIEld SOlUTIOnSadB offers the full airport lighting solutions, equipment and systems for airports of all categories, whether CaT I, II or III+27 11 525 9340www.adb-airfieldsolutions.com

CIVIl aVIaTIOn aUThOrITy Of BOTSwanaCaaB is responsible for regulation of air transport, providing air navigation services, managing airports and advising the government on all aspects of civil aviation+267 368 8200www.caab.co.bw

BANKINGSTandard BanKStandard Bank is one of South Africa’s largest financial services groups; it operates in 30 countries around the world, including 17 in africa+27 11 636 9111www.standardbank.co.za

BUSInESS SOlUTIOnSadVanCEnETa multi-faceted company offering sophisticated business solutions throughout africa+27 11 367 9000www.advancenet.co.za

dIKar prOdUCT daTa ManEgEMEnTresources and services in product and plant data Management (pdM), Configuration Management (CM), Coding and documentation Control and related software system implementations+27 12 661 7363www.dikarpdm.co.za

CHEMICALSBflUOr ChEMICalSBfluor offers highly specialized chemical business and technology management consulting services to start-up beneficiation projects during their screening, pre-feasibility and feasibility phases +27 82 801 8471www.bfluor.co.za

CIVIL ENGINEERINGSOTIralIS COnSUlTIng EngInEErSpretoria based civil and structural engineering company +27 12 991 0516www.sotiralis.co.za

ELECTRICAL ENGINEERINGhaMSa COnSUlTIng EngInEErSElectrical engineering company providing electrical services with a focus on quality and customer satisfaction+27 31 572 5723www.hamsaeng.co.za

ENGINEERINGhIgh prESSUrE EngInEErInghigh pressure Systems not only supplies high pressure Equipment to local Sub Sahara african Industries from overseas but, over the years have designed, developed and manufactured their own range high pressures Equipment for most needs+27 11 571 7300www.hpsystems.co.za

MTp EngInEErIngComplete solutions for production, acceleration and automation+27 16 931 1564

FINANCIAL SERVICESlETShEgOprovider of affordable and appropriate financial services+267 364 3000www.letshego.com

IT SERVICESTaTa COnSUlTanCy SErVICES SaThe company’s strategy is to train and transfer globally competitive IT processes and methodologies to local firms and citizens+27 11 459 1700www.tataafrica.com

LIGHTINGBEKaSouth african lighting specialist producing high quality products and solutions for all forms of lighting+27 11 238 0000www.beka.co.za

ESTMarK The preferred supplier of steel poles and brackets to lighting specialist BEKa, with products including solar poles, floodlight mounting brackets and spigots+27 11 609 8774www.estmark.co.za

prISM prOdUCTSprism products consists of three divisions: Light fitting Manufacturing, high pressure aluminium die Casting and plastic Injection Moulding +27 43 745 2212www.prismlighting.co.za

This is the latest instalment of our

Industry recommended directory,

a list of companies across a range

of industry sectors over Sa.

PAGE 98 fEB 13 pagE 98 ?OCT 13

LOGISTICSCargO CarrIErSan expert supply chain and logistics services provider+27 11 485 8700www.cargocarriers.co.za

MININGdSIleaders in the supply of mining and related products, with expertise in tunnelling and construction+27 11 827 6721www.dywidag-sa.com

wESCOalCoal product is mined, sourced and supplied to clients in local industry including power generation, manufacturing and petro-chemicals sectors+27 11 954 2721www.wescoal.com

MUNICIPALITYMOgalE CITylocal municipality in the west rand district Municipality, gauteng, responsible for the re-generation of the town of Krugersdorp+27 11 951 2013www.mogalecity.gov.za

NUCLEAR POWERSOUTh afrICan nUClEar EnErgy COrpOraTIOnnECSa is a state-owned company responsible for undertaking and promoting R&D in the field of nuclear energy and radiation sciences+27 12 305 4911www.necsa.co.za

arEVaRanked first in the global nuclear power industry, arEVa’s unique integrated offering to utilities covers every stage of the fuel cycle, nuclear reactor design and construction, and related services+33 472 747 525www.areva.com

PETROLEUMMBT pETrOlEUMMBT is a specialist group operating within the South african petroleum and lubrication sectors and is amongst the leading non refining wholesalers in the republic of South africa+27 12 991 3093www.mbtpetroleum.co.za

PROPERTY INVESTMENTalChEMy prOpErTIESprivately owned property investment and development company+27 11 784 0504www.alchemyprops.co.za

RECRUITMENTd.a.V prOfESSIOnal plaCEMEnT grOUpSpecialist recruitment consultants with specialist divisions operating in Johannesburg, Cape Town, africa and internationally+27 11 217 0000www.dav.co.za

pnETSouth africa’s number 1 job site targeting recruitment agencies, corporate clients and job seekers alike+27 11 622 6664www.pnet.co.za

REFINERYrand rEfInEryRand Refinery has been at the forefront of precious metals refining and smelting for the last 90 years+27 11 418 9000www.randrefinery.com

RETAILBOKOMO fOOdSThe Bokomo brand is synonymous with breakfast cereals where Bokomo strives to continually pioneer innovation and create excitement within the category+27 21 970 7300www.bokomo.co.za

RISK MANAGEMENTaOn BOTSwanaaon is the leading global provider of risk management, insurance and reinsurance brokerage, and human resources solutions and outsourcing services+267 361 7300www.aon.com/botswana

SCIENCEwIllISTOn ElInSuppliers of radiation detection equipment on behalf of lab Impex Systems and measuring equipment on behalf of ludlum Measurements Inc+27 11 702 2227

STOCKBROKERSTOCKBrOKErS BOTSwanaEstablished in 1989, the company was instrumental in the establishment of the Botswana Stock Exchange and has been involved in every main board equity listing on the BSE since inception+267 395 7900www.stockbrokers-botswana.com

WATER TREATMENTS.a.M.E waTErwater treatment specialists offering a wide range of services such as waste water treatment, industrial water treatment, portable water and dredging+27 11 902 4900www.same.co.za

WHOLESALEMaKrO SaInternational cash and carry which has serviced the South african market for over 40 years with the wholesale supply of food, general merchandise and liquor +27 11 797 0000www.makro.co.za

For more information about how your company can be recognised for excellence across many areas please get in touch.

Your Industry, Their Future, Our South Africa

IndUSTry rECOMMEndEd

OCT 13 pagE 99

Introducing... The Wilderness Expansion Project

Contact UsMobile : +27 82 897 3336 Email : Natalie@forwildlife.org Website : www.forwildlife.org

/forwildlife @_forwildlife

The Wilderness Expansion Project is managed and run by For Wildlife.

Non Profit Trust Nr IT 343/2012

Public Benefit Organisation Number 93 040 739

The Wilderness Expansion Project is an ambitious initiative aimed at growing and protecting wil-derness spaces, relevant to conservation. The Project is as much a humanitarian initiative as it is of conservation, and was set up specifically to address relevant BB-BEE credibility for South Afri-can companies. The Wilderness Expansion Project thus promotes conservation and sustainability in the form of humanitarian resources and infrastructure.

Priority Partners still needed: Vehicle (4x4 bakkie) – Telecoms

Your complete CSI SolutionSouth Africa’s only 100% BB-BEE wildlife conservation project All contributions are 100% relevant for your company’s finan-cial year end and BEE Audits

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