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Vision 2020

Vision 2020. A formal representative structure for the South African Wine Industry. Today’s Agenda. Presentation The need for a formal representative industry structure Goals of an industry structure The proposed structure Governing principles Operational aspects Discussion Decision.

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Vision 2020

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  1. Vision 2020 A formal representative structure for the South African Wine Industry

  2. Today’s Agenda Presentation • The need for a formal representative industry structure • Goals of an industry structure • The proposed structure • Governing principles • Operational aspects Discussion Decision

  3. The Need for A Formal Representative Structure for the SA Wine Industry Vision 2020 strategic recommendations • An effective worker and farm worker community representation system • Well integrated and strategically oriented social responsibility, economic empowerment and affirmative action programmes • A human resource development strategy • A broader industry research and technology transfer capability

  4. The Need for A Formal Representative Structure for the SA Wine Industry • An industry marketing research capability • A marketing capability (focusing on generic aspects) • An effective industry business intelligence and information service • An effective quality and logistics management system • New approaches to the plant improvement scheme • Identify outstanding and unique terroirs

  5. Goals of an Industry Structure To accept responsibility and accountability for the definition and successful achievement of the industry’s vision – refer VISION 2020 • Formulate and drive the strategic direction of the industry • Provide a forum for strategic debate • Coordinate political/social/economic/technological activities in the industry on a macro level • Accept responsibility for generic marketing; technical research; human resource development; industry intelligence; and social responsibility in the industry • It will be the mouthpiece of the industry • Provide opportunities for dialogue amongst stakeholders

  6. The Structure : Principles Direct wine grape growers/ wineries Stakeholders wholesale merchants labour Indirect government NGOs trade and industry health bodies financial institutions research institutions educational institutions SAWIT retailers etc

  7. The Structure : Principles marketing technical research Processes human resource development intelligence social and economic empowerment

  8. The Proposed Structure Wine Grape Growers / Wineries Wholesale Merchants Labour BOARD CHIEF EXECUTIVE OFFICER CEO’s OFFICE Human Resource Development Unit Social and Economic Empowerment Unit Technical Research Unit Industry Intelligence Unit Marketing Unit

  9. Roles and Responsibilities Board • Directors represent the interests of the wine industry. • Directors are all equal with one vote each. Chairperson has casting vote. • Funding of the Board and CEO’s office carried by three groups on equal basis. Labour exempted for the first 10 years.

  10. Roles and Responsibilities Chief Executive Officer • CEO attends Board meetings. • The five business units report to CEO, as well as his own office.

  11. Roles and Responsibilities Marketing Unit • Domestic and international generic marketing • Establish an effective quality and logistics management system – develop “Brand South Africa” • Wine tourism • Functions currently performed by: Wine Foundation; Cape Wine Academy; WOSA; Brandy Foundation and Wine and Spirit Educational Trust

  12. Roles and Responsibilities Human Resource Development Unit • Institute a human resource development strategy which will ensure that the backlogs which exist in terms of international standards are addressed in the long and short term

  13. Roles and Responsibilities Technical Research Unit • Research and Development; training; and technology transfer • Broadening the industry’s research capabilities • Identify and characterise outstanding and unique terroirs • Consider new approaches to the plant improvement scheme

  14. Roles and Responsibilities Industry Intelligence Unit • Develop a central marketing research capability • Develop an effective business intelligence and information transfer service [refer SAWIS and VINPRO(SA)] • Provide a central information and knowledge base

  15. Roles and Responsibilities Social and Economic Empowerment Unit • Develop an effective worker and farm worker community representation system • Implement well integrated and strategically oriented social responsibility and affirmative action programmes • Environment/Ecology • Economic empowerment • Social empowerment • Social welfare

  16. Governing Principles • A section 21 company • Stakeholders other than the three direct groups are involved at Business Unit level • Stakeholders are free to join • Each Business Unit has its own Advisory Council • Board appoints an Executive Committee to support CEO • Regular industry conferences will be arranged • This company needs to be recognised by Government and both direct and indirect stakeholder groups

  17. Operational Aspects Name: South African Wine and Brandy Company Offices: CEO/Board decide (“neutral“ location) Job descriptions Cost of structure: R1m – R1.5m per year Funding of Business Units Implementation Plan: • Appoint facilitators – one per grouping : 21 February • Nominate representatives from each group : End May • Appoint Board, Executive Committee and CEO : June 2002 • CEO and Executive Committee responsible for roll-out of this structure

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