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WALKING THE TALK TOWARDS EQUALITY

Although efforts of transformation in South Africa began in early 1994, the hard reality is that they have been moving at a snail’s pace. According to the B-BBEE Commission’s latest report, only 56 % of JSE-listed companies are B-BBEE compliant. This was echoed by the World Bank in its inequality report, which found South Africa to be the most unequal society globally.

While transformation continues to be a contentious issue, only a few people are at the forefront of it, especially those who want to see real change. One such person is Neo Molefe of Transcend Corporate Advisors, a specialist in corporate strategy development, B-BBEE implementation, and scorecard development.

Transcend provides mechanisms and tools that South African businesses can use to bridge the gap of inequalities. So, being a director of Transcend Corporate Advisors puts Molefe in the driver’s seat of transformation. He has been steering the consulting firm in the right direction for the past six years.

This unassuming business leader, who grew up in Thaba-Nchu, is today a business magnate of note. He recalls his upbringing poignantly: “Growing up in the early ‘90s meant there weren’t many opportunities for us. This is what inspired me to succeed,” he says.

Molefe, through the support of his LLB scholarship, attained work placement in the legal fraternity, which later informed his cross-industry desire and passion for reading, interpreting, and helping businesses in the process.

B-BBEE, at its inception, was meant to be an economic tool. Its objective, amongst other things, was to rectify the racial injustices created by the apartheid government.

“People tend to associate Transcend to B-BBEE only, but we like to think of ourselves as something more different than that. BEE has the connotation that it is all about the scorecard and the numbers (for example, let’s get to 55 points, and we’re compliant). But as Transcend, we like to see ourselves as a transformation house. We believe more in transformation in addition to B-BBEE, and we typically say as part of our slogan that we aim for going “beyond compliance” of the scorecard, and “getting transformation right”. Engraving the substance and spirit of transformation into the fabric of the organisation is a challenge that any large corporate must address.”

Transcend has three divisions: a transformation division, of which Molefe is a director in,

To me, transformation means nation-building, and ensuring that everyone gets fair economic ”opportunities.

which focuses on BEE advisory, training, and transformation strategy development.

The second division focuses on the ownership scorecard, and assists entities in structuring B-BBEE and ownership transactions comprehensively.

The third division offers human capital solutions to the market, which assists businesses in recruiting black senior talent.

“An example would be a client seeking 80 points, regarded as level 4. Our efforts model a scenario where the client can attain that level 4 by looking at the key transformation areas within its business. And the intention is that those efforts will yield the results of the BEE scorecard. Remember, we’re not just doing it for the numbers, but for transformation,” Molefe puts forth some pragmatics.

Although he serves in top-tier management, he still rolls up his sleeves to ensure transformation through B-BBEE is implemented, impactful, and sustained: “We strive to fix a social narrative and build transformative B-BBEE strategies. “

Molefe agrees that social change will not be an overnight success. He also implores entities to step beyond the parameters of the BEE scorecard and find proactive approaches that will yield transformation.

“By way of example, one of the most untransformed sectors in South Africa is agriculture. One of my practice areas is working with clients under AgriBEE sector charter. A prominent question arising in these businesses is how do we get more points? How do we fix the scorecard? And to us, it is not about the B-BBEE points. We ask how you can go about fixing the problems in your value chain first before fixing the points. What are you doing to develop black farmers? And most importantly, what are you doing to skill black farmers? Once we contextualise these questions, we can then start thinking of solutions to transform the sector, which will yield results on the scorecard.”

The 4IR has affected many businesses, and Covid-19 has accelerated the need to digitize Molefe’s industry.

“Skills development and online learning is an example of one area that is focal point of our business. They dictate what direction our business takes and what direction our clients take. Since we have adapted well to changes, we have evolved and today see more programs being offered online, “Molefe quips.

Other digital innovations in Transcend’s industry include digital automatic scorecard calculators that clients can access to track their transformation progress.

“We, along with our clients, had to find new ways of adopting e-learning as an integral part of our business,” Molefe adds.

Transformation carries divergent meanings for people. To Molefe, it means nation-building, “To me, transformation means nation-building, and ensuring that everyone gets fair economic opportunities.”

“I mentioned that I had an organisation that helped me with undergraduate my studies. Transcend also played a critical role in helping me pursue my MBA. That is what economic transformation should be. We should have opportunities for everyone,” says Molefe.

Opposition parties have criticised the B-BBEE policy as an inadequate solution to economic redress. Their argument hinges on the fact that there is a discernibly high level of inequality. But Molefe doesn’t think transformation efforts are failing.

“I think an argument can be made that B-BBEE policy is failing. Those who want to make that argument are welcome to do so. However, I do not think that transformation is slow and failing; there is a difference between the two. A lot of our clients still do very impactful transformation initiatives which change communities. And I think they deserve credit for that. Whether BEE policy is failing or not, I think some or other transformation legislation is still critical,” argues Molefe.

Molefe’s advice for young people who want to follow the same career path is straightforward:

“If you are passionate about nation-building, community development, and transformation, Transcend could be a perfect opportunity.”

Best advice ever received: Always be a simple and humble person, and don’t forget to respect others.”

Hardest lesson learned: “You need to make sound financial decisions when you are young.”

Molefe loves relaxing with a good book. You will often find him involved in the neighborhood soccer team if not reading voraciously. He is also an avid traveler who enjoys exploring adventures.

Puff and pass opportunity: “Transcend has a large learning and development programme, and we often get many CV’s from prospective candidates looking to be part of our learnership programmes. You can always apply to be part of our learnership programmes if you are looking for further opportunities. Transcend also runs successful ESD (Enterprise and Supplier Development) strategies for our clients, and we are always looking for dynamic small black business that can help to transform our clients’value chains,” he concludes.