STRENGTHNING AFRICA’S ROLE IN THE GLOBAL ECONOMY: Skills and enabling industries

1. STRENGTHNING AFRICA’S ROLE IN THE GLOBAL ECONOMY: Skills and enabling industries A presentation by Dr Namane Magau September 2004

2. Strategic Environment NEPAD OPPORTUNITY Africa Economic Drivers Political Drivers Technical Drivers Social Drivers Demographic Drivers

3. Context Strategic Environment • Shared: • Knowledge • People Innovation Networks Customised Deliverables Self-driven Approaches Demographic Representative Attraction, Retention

4. Business Perspective Labour Perspective • DR GERI AUGUSTO: • Challenges and opportunities of continuously changing local and global environments; • Increasing focus on customers and shareholder value; • Impact of information on increased demands for better quality services and products at competitive costs and shortest time; • New organisational designs needed to facilitate flow of information and capital across institutions. Financial Institutions Institutional Perspective Government Perspective Knowledge Management

5. New Challenges for Productive Human Capital Building • Interdependence • Organisational design • Leadership challenges • People development

6. Organisational Transformation for Knowledge Management • Key challenge: COLLABORATION to meet the demands of good governance, capacity building and economic reform • The tools needed are: • Effective networks that provide a learning system for innovation • Flexible organisational systems

7. Collaboration…..How? • Co-operative networks between organisations • Sharing: • information • technological solutions • Becoming: • networks of learning • networks of innovation

8. New Roles in Society... • SETIs • Technological • solutions • Industry • Producing • Exchanging • Diffusing • Government • Enabling • Facilitating • Regulating • Supporting • Higher Education • Educating • Diffusion of knowledge • Communities • Needs • Capacities • Indigenous • knowledge • Uniqueness

9. Emerging Challenges • Skills geared for ongoing development to face needs of changing economy • Need for increasing partnership between public and private sector to enable economic environment and increased participation of people in the economy • Fusion of science and technology in addressing human development issues • Need of responsive and innovative ways to use new developments to create new jobs and business opportunities • Focus on INNOVATION • Cross-boundary thinking and doing, emphasising interconnectivity, transdisciplinarity, collaboration • Good governance in Knowledge Creation and Learning • Linking education and skills development • Increased investment in capacities for Knowledge Creation and Learning • Recovery of local, indigenous knowledge, linking cultural diversity, institutional power, and knowledge creation

10. The Knowledge Management System Knowledge Management for Human Development Institutional and Physical Capacities (Infrastructure) People Capacities (Knowledge, Understanding, Skills) Knowledge Creation and Learning (RD&I, Education, Training, IKS)

11. Knowledge Creation and Learning Local Knowledge User Groups Knowledge Creation and Learning Knowledge Management Social Studies Communities of Practice Learning Networks Social Capital

12. The needs of the automotive industry Competitiveness Improvement Design, Engineering & Testing Research and Development Human Resource Development Systems and component design and development Manufacturing process design and development Localisation services Vehicle and component testing Research in material science and technologies Research in process technologies Research in manufacturing technologies Research on automotive technologies Supplier development Technology transfer SME development Industry logistics Low level skills training Shop-floor training Technical skills training Automotive engineering Managerial skills • Assistance in establishing in S A • Investment incentives • Location analyses • Infrastructure • Etc. • Assistance in local procurement • Identification of suppliers • Supplier development • Project management • Etc. • Assistance in local development • Identification of opportunities for local development • Identification of development partners • Project management Drawn from a presentation by Dr J H Maree, Director, M&Mtek, CSIR

13. Skills for Competitiveness & Empowerment • Automotive engineering • Industrial and process engineering • Component and systems design • Project management • Managerial skills • Supervisor training • Communication and interpersonal skills • Entrepreneurial skills • Management for global competitiveness • Second language training • Low level skills training • Literacy and Numeracy • Communication and interpersonal skills • Work “ethics” • Shop-floor training • Statistical process control • Maintenance • Quality • “Japanese” manufacturing techniques • Multi-skilling • Technical skills training • Modern welding techniques • Tool making • Paint-shop technologies • Plastics technologies (e.g. bonding, painting, etc.) Drawn from a presentation by Dr J H Maree, Director, M&Mtek, CSIR

14. Other Hr development issues • HRD in competitiveness improvement programmes • Human capacity development through automotive projects delivered through the AIDC networks • Capacity building, from design and testing to capacity for real R & D projects • HR development in SMMEs in the automotive sector Drawn from a presentation by Dr J H Maree, Director, M&Mtek, CSIR

15. CSIR SABS University of Pretoria Motor Industry Cluster University of Pretoria Eurotype Test Centre Technikon Pretoria University of Pretoria Stellenbosch Automotive Engineering Land Mobility Technologies Technikon Northern Gauteng CSIR Mechanology Design Bureau Soshanguve Technical College Dr H Maree Others LGI Mobility CSIR Ergotech Gerotek Others Vickers OMC Others Others The AIDC Network NON-EXCLUSIVE LIST OF SERVICE PROVIDERS Comp Imp DE&T R&D HRD Drawn from a presentation by Dr J H Maree, Director, M&Mtek, CSIR

16. SMME’s in the Automotive Industry National Priorities and Imperatives Production Supply Chain 2nd Tier Supplier 3rd Tier Supplier 4th Tier Supplier Automotive Industry OEMs & 1st Tier Suppliers SMME Development Technology & Needs Driven Opportuni-ties for SMME’s Start-up SMME’s Existing SMME’s “World Class” SMME’s Aftermarket Component Manufacture Customising & Replacement • Non-Production Supply Chain • Non-Line Services • Non-Line Supplies • Service Provision Global Supply Requirements Drawn from a presentation by Dr J H Maree, Director, M&Mtek, CSIR

17. Summary • New business challenges present new challenges to the composition and content of human capital • Every organisation in the country is accountable for human capital formation • No-one can go it alone • We need to share, take hands to build the productive capacities needed in SA and the continent.