Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)Sector CodesDefence Sector Code17. Elements of the Defence Sector Code: Specialised Defence Sector Scorecard for Organs of State, Public Entities and not for Profit Companies |
17.1 | Specialised Scorecard |
Element |
Weighting |
Code Series Reference |
Management Control |
20 Points |
200 |
Skills Development |
25 Points |
300 |
Enterprise and Supplier Development |
50 Points |
400 |
Socio-Economic Development |
5 Points |
500 |
Localisation |
10 Points |
Paragraph 16.5 of this Code |
Total |
110 Points |
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17.2 | Management Control Specialised Scorecard |
Measurement Category and Criteria |
Weighting Points |
Compliance targets |
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Year 1 |
Year 2 |
Year 3 |
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Board Participation |
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Exercisable voting rights of black board members as a percentage of all board members |
2 |
50% |
60% |
70% |
Exercisable voting rights of black female board members as a percentage of all board members |
1 |
25% |
30% |
40% |
Black Executive Directors as a percentage of all executive directors |
2 |
50% |
60% |
70% |
Black female Executive directors as a percentage of all executive directors |
1 |
25% |
30% |
40% |
Other Executive Management |
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Black executive management as a percentage of all executive management |
2 |
60% |
65% |
70% |
Black female executive management as a percentage of all executive management |
1 |
30% |
40% |
40% |
Senior Management |
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Black employees in senior management as a percentage of all senior management |
2 |
60% |
65% |
70% |
Black female employees in senior management as a percentage of all senior management |
1 |
30% |
40% |
40% |
Middle Management |
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Black employees in middle management as a percentage of all middle management |
2 |
75% |
80% |
85% |
Black female employees in senior management as a percentage of all middle management |
1 |
38% |
40% |
45% |
Junior Management |
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Black employees in junior management as a percentage of all junior management |
2 |
88% |
90% |
90% |
Black female employees in junior management as a percentage of all junior management |
1 |
44% |
50% |
55% |
Employees with Disabilities |
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Black employees with disabilities as a percentage of all employees |
2 |
2% |
3% |
5% |
Total |
20 Points |
|
17.3 | Skills Development Specialised Scorecard |
Category |
Skills Development Element |
Weighting Points |
Compliance targets |
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Year 1 |
Year 2 |
Year 3 |
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Skills Development Expenditure on any programme specified in the Learning Programme Matrix for Black people as a percentage of the Leviable Amount |
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Skills Development Expenditure on Learning Programmes specified in the Learning Programme Matrix for Black people as a percentage of Leviable Amount |
7 |
6% |
6% |
6% |
|
Skills Development Expenditure on Learning Programmes specified in the Learning Programme Matrix for black employees with disabilities as a percentage of Leviable Amount |
3 |
0.3% |
0.3% |
0.3% |
|
Skills Development Expenditure on Learning Programmes for Black Military Veterans |
2 |
2% |
2% |
3% |
|
Learnership, apprenticeships and internship |
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Number of Black people participating in learnerships, apprenticeships and internships as a percentage of total employees |
6 |
2.5% |
2.5% |
2.5% |
|
Number of Black unemployed people or students participating in training specified in the learning programme matrix as a percentage of number of employees. |
7 |
2.5% |
2.5% |
2.5% |
|
Bonus Points |
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Number of Black people absorbed by the Measured Entity and Industry at the end of the learnership/apprenticeship or internship programme |
5 |
100% |
100% |
100% |
|
Total |
25 Points |
|
|
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17.4 | Enterprise and Supplier Development Specialised Scorecard |
Criteria |
Weighting Points |
Compliance targets |
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Year 1 |
Year 2 |
Year 3 |
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Preferential Procurement |
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B-BBEE Procurement Spend from all Empowering Suppliers based on the B-BBEE Procurement Recognition Level as a percentage of Total Measured Procurement Spend |
5 |
80% |
80% |
85% |
B-BBEE Procurement Spend from all Empowering Suppliers that are Qualifying Small Enterprises based on the applicable B-BBEE Procurement Recognition Levels as a percentage of Total Measured Procurement Spend |
4 |
15% |
15% |
20% |
B-BBEE Procurement Spend from all Exempted Micro-Enterprise based on the applicable B-BBEE procurement Recognition Levels as a percentage of Total Measured Procurement Spend |
5 |
15% |
15% |
20% |
B-BBEE Procurement Spend from Empowering Suppliers that are at least 51% Black owned based on the applicable B-BBEE Procurement Recognition Levels as a percentage of Total Measured Procurement Spend |
11 |
40% |
40% |
45% |
B-BBEE Procurement Spend from Empowering Suppliers that are at least 30% black women owned based on the applicable B-BBEE Procurement Recognition Levels as a percentage of Total Measured Procurement Spend |
5 |
12% |
12% |
12% |
Bonus Points |
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B-BBEE Procurement Spend from Designated Group Suppliers that are at least 51% black owned |
2 |
2% |
2% |
2% |
Supplier Development |
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Annual value of all Supplier Development Contribution made by the Measured Entity as a percentage target |
15 |
2% of Net Profit After Tax (NPAT) or 0,2% Annual Revenue/Allocated budget/Gross receipts/Discretional spend |
2% of Net Profit After Tax (NPAT) or 0,2% Annual Revenue/Gross receipts/Discretional spend |
2% of Net Profit After Tax (NPAT) or 0,2% Annual Revenue/Gross receipts/Discretional spend |
Enterprise Development |
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Annual value of all Supplier Development Contribution made by the Measured Entity as a percentage target |
5 |
1% of NPAT or 0.1% Annual revenue/Allocated budget/ Gross receipts/ Discretional spend |
1% of NPAT or 0.1% Annual revenue/Allocated budget/Gross receipts/ Discretional spend |
1% of NPAT or 0.1% Annual revenue/Allocated budget/ Gross receipts/ Discretional spend |
Bonus Points |
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Bonus point for graduation of one or more Enterprise Development beneficiaries to graduate to the Supplier Development level |
1 |
|
|
|
Bonus point for creating one or more jobs directly as a result of Supplier Development and Enterprise Development initiatives by the Measured Entity |
1 |
|
|
|
Total |
50 Points |
|
|
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17.5 | Socio-Economic Development Specialised Scorecard |
|
Weighting Points |
Compliance target |
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Year 1 |
Year 2 |
Year 3 |
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Annual value of all Socio- Economic Development contributions by the Measured Entity as a percentage of the target |
5 |
1% of NPAT OR 0,1% Annual Revenue/ Allocated budget/ Gross receipts/ Discretional spend |
1% of NPAT OR 0,1% Annual Revenue/ Allocated budget/ Gross receipts/Discretional spend |
1% of NPAT OR 0,1% Annual Revenue/ Allocated budget/ Gross receipts/Discretional spend |
Total |
5 Points |
|
|
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17.6 Localisation Specialised Scorecard
B-BBEE Element |
Description |
Weighting Points |
Compliance Target |
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Year 1 |
Year 2 |
Year 3 |
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Localisation |
Procurement of Defence Matériel produced and/or manufactured in South Africa by Local Enterprises |
6 |
60% |
60% |
60% |
Procurement from local enterprises that introduce new locally developed technology in the SADI that is not older than 24 months |
2 |
60% |
60% |
60% |
|
Procurement of technologies that are developed in South Africa by Local Enterprises from intellectual property owned by such Local Enterprises or technologies that are developed in South Africa by Local Enterprises from intellectual property licensed thereto by Local or Foreign Enterprises |
2 |
60% |
60% |
60% |
|
Total |
10 points |
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