11 minute read
COVER STORY
Durban ICC — a year of excellence, impact, and contribution
The Durban International Convention Centre stands as a flagship venue in South Africa’s event-hosting landscape, offering a diverse range of services through its four main business units: Conventions, Exhibitions, Entertainment, and Property.
With a legacy dating back to its inception as South Africa’s first purpose-built international convention centre, the Durban ICC has continually evolved, striving to achieve its mission of creating inspiring conventions, conferences, exhibitions, and entertainment experiences that exceed its customers’ expectations in an innovative, sustainable and proudly multi-cultural African way.
In recent years, the Durban ICC has strategically expanded its offerings, not only as a venue but as a key player in the property market, contributing to the urban regeneration of the eThekwini City.
Business Events Africa (BEA) sat down with Durban ICC chief executive officer, Lindiwe Rakharebe, to hear about the Centre’s past year and how the company managed to produce such an impressive financial performance, whilst boosting the local economy and winning international awards.
Ms Rakharebe noted, “We are proud to share the remarkable achievements, milestones, and impactful initiatives that have defined our success over the past year.”
As the events industry, we are doing our best to recover from the devastating effects of the Covid-19 pandemic. How has the Durban ICC managed to recover from these setbacks and produce a financial performance similar to pre-pandemic periods?
Our journey to success begins with a steadfast commitment to sound financial management and good governance. In the 2023 fiscal year, the company achieved an exceptional financial performance characterised by robust revenue growth, disciplined cost management, and prudent financial stewardship. Despite myriad challenges and uncertainties that have defined the global events landscape, we remained resilient, agile and adaptable, navigating the complexities of the operating environment with foresight and strategic acumen.
One of the most notable achievements of the past fiscal year has been the significant recovery in our topline revenue, which totalled an impressive R180 million. This remarkable growth is a testament to our sustained order book, diversified revenue streams, and steadfast commitment to delivering exceptional value to our clients and stakeholders.
Furthermore, our disciplined approach to cost control and expenditure management has yielded tangible results, with our operational expenditure remaining within budgetary constraints, and essential capital asset procurement initiatives being executed in a strategic manner.
In addition to our solid financial performance, we are proud that the entity once again received a clean, unqualified audit opinion from the Auditor General of South Africa, marking the ninth year that we have achieved this remarkable feat. This achievement underscores our firm commitment to sound financial management, transparency, and accountability, and reaffirms our steadfast dedication to upholding the highest standards of governance and integrity in all our operations.
Furthermore, we are pleased to report that the Durban ICC incurred zero irregular, fruitless, or wasteful expenditure during the past financial year. This shows our firm commitment to responsible stewardship of public funds. It is also worth noting that the entity achieved a perfect score of 100 per cent on its performance scorecard with its shareholder, the eThekwini Municipality. Our team has worked hard across all departments to fulfil our mandate and meet our obligations in partnership with the municipality.
You mention your mandate, can you expand on what this entails and how the Durban ICC performed in this regard, this year?
The Durban ICC was built as a result of Operation Jumpstart, which was an initiative in the early nineties created to kick-start development in Durban and KwaZulu-Natal. It recommended, as part of its proposals, the construction of an International Convention Centre in Durban. After many months of discussions, the City Council approved the proposal and the Durban ICC was therefore established to serve primarily as a catalyst for positive economic impact for the city and province. Additionally, the Centre targets events that are primarily commercially viable, and secondarily, events and activities raise the profile of the destination and generate greater brand awareness.
Since its inception, the Durban ICC has faithfully executed on its economic impact mandate and made a remarkable contribution to the national and local economy every year. The Centre’s economic impact extends far beyond its financial performance, as evidenced by the findings of our latest independent economic impact study, conducted by leading accounting and auditing firm BDO. This comprehensive evaluation assesses the economic effects of the Durban ICC’s operations during the 2022/23 financial year, marking a significant milestone in our journey of impact and sustainability.
According to the report, the Durban ICC contributed a remarkable R5,7-billion to South Africa’s Gross Domestic Product (GDP) in the past financial year, highlighting our substantial role in driving the country’s economic growth and development.
Additionally, the Centre contributed approximately R4,4-billion to the Gross Geographic Product of KwaZulu-Natal and R3,3-billion to eThekwini’s GGP in the same period.
These contributions were a direct result of the over 950,000 delegate and visitor days that the Durban ICC generated during the year, representing an impressive 28% increase compared to the previous economic impact report’s figures.
During the same period, the Durban ICC’s activities are estimated to have created and/ or sustained approximately 11,000 annualised jobs in the South African economy, with the lion’s share of these being created in the KwaZulu-Natal economy, where approximately 8,500 jobs were created and sustained.
These results reaffirm the Durban ICC’s position as a leading driver of economic growth and job creation in our local and national economies. Despite the challenges posed by the pandemic, the Centre has demonstrated resilience and adaptability in enhancing its impact on the local, regional, and national economies.
How else has the Durban ICC made an impact in its community this past year?
Beyond our financial success and industry recognition, the Durban ICC remains deeply committed to making a positive impact in the communities we serve. Our Environmental, Social, and Governance (ESG) initiatives underscore our commitment to responsible corporate citizenship and sustainability, as we strive to create a lasting legacy of positive change and social impact.
In the past financial year, the Durban ICC undertook 19 various ESG projects with a combined contribution of over R700,000, aligned with the UN Global Sustainability Goals and nurturing the development of those we serve. The projects are aimed at fostering social inclusivity, environmental sustainability, and community development.
From supporting the Gcinamasiko Arts and Heritage Trust, to assisting with the Kasi-2Kasi Schools Programme, our projects are designed to make a meaningful difference in the lives of individuals and communities.
Through partnerships with organisations such as the Modern Community Foundation and the Solwazi Zulu Foundation, we have been able to promote job opportunities, enhance skills development, and contribute to sustainable community development. Furthermore, our support for initiatives such as the Adopt a Beach/Adopt a River program and the African Global Networks benefit concert underscores our commitment to environmental sustainability and community well-being.
I believe that the Durban ICC was recognised recently with several international awards. Can you tell us more about those?
That’s correct. Our commitment to world-class service excellence has been further recognised and celebrated on the global stage. In October, we were once again crowned ‘Africa’s Leading Meetings and Conference Centre’ at the 2023 World Travel Awards. This prestigious accolade marks a remarkable 18th time that the Durban ICC has been voted in the top spot in the award category’s 23-year history. This speaks to our long track record and consistency in delivering exceptional experiences to our clients and guests.
The Durban ICC continued its winning streak by securing two prestigious titles at the World MICE (Meetings, Incentives, Conferences, and Exhibitions) Awards in February. Although this award programme has been in existence for the past four years, this year’s recognition marks the third time that Durban ICC has been named ‘Africa’s Best Convention Centre’ and the fourth time it has been crowned ‘South Africa’s Best Convention Centre’. These consistent victories underscore the Centre’s unwavering dedication to service excellence and customer satisfaction.
How do you manage to excel in all these areas simultaneously?
Our ability to excel in multiple areas simultaneously is a testament to our dedicated and hard-working team and the wise, strategic leadership we receive from our Board. We believe that success is not defined by individual achievements but rather by our holistic approach to delivering value across various aspects of our operations.
First and foremost, our success is driven by our dedicated team of professionals who embody our core values of integrity, teamwork, passion, respect, and accountability. Their unwavering commitment to service excellence, coupled with their diverse skill sets and expertise, enables us to effectively navigate the complexities of the global events landscape and deliver exceptional results.
Additionally, our success is underpinned by a culture of continuous improvement and innovation. We maintain several international accreditations in Quality Management (ISO:9001), Food Safety (ISO:22000, Occupational Health and Safety (ISO:45000) and Environmental Management (ISO: 14001). We are constantly evaluating our processes, systems and practices, to identify opportunities for improvement and enhancement. This proactive approach allows us to stay ahead of the curve and adapt to evolving industry trends and dynamics.
Furthermore, our success is fuelled and directed by our Board of Directors. This guidance and oversight enable us to leverage collective expertise, resources, and networks to achieve shared goals and maximise our impact. The past year marked a significant milestone in the governance and leadership of the Durban ICC, with the appointment of three new directors and the selection of a new board chairman, Dr Mduduzi Bophela. We are most grateful to our outgoing board members and our previous chairman, Mr Glen Mashinini, whose visionary leadership saw the Centre through the toughest times of the pandemic and spearheaded the restructuring of the organisation into its four strategic business units.
Dr Bophela has served on our Board for several years already and is a distinguished corporate leader with a wealth of experience in multinational companies and academic institutions. We are excited to see the unique perspective and expertise he will bring to the role of Board Chairman.
Moreover, our success is anchored in a robust governance framework and sound financial management practices. By staying true to our core values and strategic objectives, we remain committed to delivering exceptional value to our clients, stakeholders, and communities, while driving sustainable growth and positive impact in the global events industry.
Looking forward, what kind of events can you anticipate seeing at the Durban ICC?
We are thrilled with our spectacular line-up of events for 2024, offering an unparalleled range of congresses, conferences, concerts, entertainment shows, and trade exhibitions.
These events not only showcase the Durban ICC’s versatility and expertise in hosting diverse gatherings but also afford us opportunities to deliver world-class experiences that inspire, educate, and entertain.
In the coming year, the Durban ICC will host several world-class gatherings that will attract attendees from across the globe. From the lineup of global performing artists appearing on our stages to addressing critical issues in water and sanitation at the International Water and Sanitation Conference, the calendar is filled with diverse gatherings.
Congresses and conventions slated for 2024 include the Water Institute of South Africa Congress (WISA 2024), the 8th Southern African TB Conference, as well as the annual congresses of the South African Sugar Technologists Association, the Institute of Retirement Funds and the Chartered Institute of Government Finance, Audit and Risk Officers (CIGFARO).
We are also looking forward to international trade shows like Africa’s Travel Indaba and the Comrades Marathon Expo. These events showcase the Durban ICC’s versatility and commitment to delivering world-class experiences that inspire, educate, and entertain.
Do you have any concluding thoughts you would like to share with our readers?
As we conclude our journey through the past year, we are filled with gratitude for the support of our stakeholders, the dedication of our team, and the impact of our initiatives. The Durban ICC remains steadfastly committed to service excellence, positive economic impact, and sustainability. Moving forward, we continue striving to inspire positive change and make a meaningful difference in the lives of individuals, communities, and the environment. Together, we will chart a course for a brighter, more sustainable future, guided by our firm commitment to world-class service, good governance, and innovation.
Contact Info
Tel: +27 (31) 360 1192
Email: sales@icc.co.za
Website: icc.co.za
Address: 45 Bram Fischer Rd, Durban, 4001
