Workplace Challenge Programme Boosts SA Business Performance: Productivity SA Acting CEO

Pretoria, 24 July 2024 – The Workplace Challenge Programme plays a significant role in raising the performance of South African businesses to world-class standards, according to Productivity SA Acting CEO, Ms. Amelia Naidoo. Speaking at the programme’s milestone workshop in Pretoria today, Naidoo emphasized the importance of collaboration between government and the private sector.

Organized by the Department of Trade, Industry and Competition (the dtic) in partnership with the Gauteng Department of Economic Development and Productivity SA, the workshop’s theme was “Productivity is Key to Unlocking our Potential, Achieving our Goals, and Living a Fulfilling Life”.

Naidoo highlighted that the programme was established to unite business, labor, and government to improve the competitiveness, growth, and sustainability of enterprises and sectors, thereby increasing employment levels across all industrial sectors.

She noted that the primary objective of the workshop was to address South Africa’s challenges, particularly low economic growth. “In the value chain of job creation and economic growth, the Workplace Challenge Programme is crucial for the country’s growth,” she said.

Referencing one of President Cyril Ramaphosa’s weekly online letters to the nation, Naidoo reiterated the need for skilled individuals with experience, foresight, and the ability to forge partnerships to build an inclusive economy that creates jobs and reduces poverty. She asserted that the Workplace Challenge Programme could significantly contribute to this goal.

“The Workplace Challenge Programme aims to improve the productivity and competitiveness of participating enterprises to enable them to compete globally while creating employment. This is achieved through improved value chain efficiencies, implementation of clusters for industrial competitiveness and collaborative relations, continuous improvement processes, and skills development,” Naidoo explained.

Over the past four years, 3,127 Gauteng enterprises have received support through the programme. Naidoo also announced the ongoing six-month Export Competitiveness Programme (ECP) run in collaboration with the Gauteng Department of Economic Development (GGDA). This initiative targets emerging and existing exporters to enhance their operational efficiency, with 15 companies already approved and undergoing continuous performance improvement training and coaching.

“According to the IMD World Competitiveness Yearbook 2024, South Africa is now ranked 60th out of 67 countries surveyed. Notably, South Africa improved its business efficiency ranking from 58 to 54, and infrastructure ranking from 62 in 2023 to 60 in 2024,” Naidoo reported.

Despite these improvements, Naidoo acknowledged that the gains have yet to translate into discernible economic growth. She expressed optimism that with interventions like the Workplace Challenge Programme, South Africa could improve its competitiveness, create jobs through government reform, build a skilled and capable state, and foster stronger partnerships between businesses and government. “South Africa needs to focus on sustaining employment growth, expanding training opportunities, addressing sectorial barriers to growth and investment, and maintaining infrastructure to grow the economy,” she emphasized.

Supporting Naidoo’s remarks, Ms. Jocelyn Vass, Chief Director of Skills for the Economy at the dtic, highlighted the critical role of entrepreneurs in the industrialization programme. She urged companies to leverage dtic programmes for exposure and access to international markets, which can help them grow, expand, and increase their economic contribution.