Presentation of the GODISA Business Planand strategy for 2006/7 to the
Portfolio Committee on Science & Technology
“Turning 8 in ten failures into 8 in ten successes”
Charles WyethJayesh Ravjee
15 March 2006
Background
• Established as a Programme in DST in 2000• First centre established in 2001• Registered as a Trust in October 2003• Joint funding initiative between DST, the dti
and the EU• Staff appointed during 2004• Listed as a Schedule 3A Public Entity in June
2004• Transfer to dti and incorporation into seda
Vision
to become the Centre of Competence in the creation of platforms for
developing successful technology – based small enterprises on the African
continent
Mission
to identify, design, establish and fund platforms for the effective creation, development and support of small
enterprises
Purpose
The GODISA Trust was created for the main purpose of:
– Improving enterprise performance and productivity– enhancing technological innovation– Increasing accessibility to, and utility of, technology in
small enterprises – Enhancing enterprise profitability and growth– Reducing enterprise failure rates– Improving small enterprise competitiveness
What is incubation?
The process of providing a particular entrepreneur/SMME/ business sector with the
necessary, infrastructure, services and support to assist that specific entrepreneur/entity/business sector to
achieve agreed upon goals and outcomes
Defining Features:– The existence of clearly defined entry and exit criteria– Signed contract between incubator and incubatee
Strategic Focus Areas for 06/07
• To identify and implement effective TBCs for creating viable technology – based SMMEs
• To develop and implement a resourcing strategy for GODISA
• To assist existing TBCs to optimise delivery• To fulfil the role of Programme Management Agency for
government on the use of funds invested in the respective TBCs
• To establish GODISA as a Centre of Compentence in the technology business incubation arena
Current TBCs of the GODISA Trust
ww w.go disa.n et
NAME
Zenz ele TDC
KZN I S C
Soft Start TI
eG oliBio TI
Chemin TI
Bodibeng TI
Ac orn TI
Timbal i TI
Biodies el
eThekwini CI
L OCAT ION
Randburg
Durban
Pretoria
Modderfontein
Port Eli zabeth
Johannes burg
Cape To wn
Nels pruit
Limpopo
eThekwini
F OCUS
SSMs
ES / IT
Softwa re
Biotech
Chemic al s
ICE/T (Virtual)
Medical
Flori culture
Agric ul ture
Cons truction
STARTED
July 2001
July 2001
July 2001
Marc h 2002
April 2002
April 2002
April 2002
April 2002
April 2005
April 2005
STRATEGIC PART NERS Mintek / DME
Uni KZ N / DIT / eTh ekwini
UP, T UT & CSI R
CSI R / WI TS
NMMU / C SIR
WITS / TU T
UC T, S U, A BS A,Wesgro
AR C / Mbombela DM / UniKZNAR C / Limpopo Prov DO A
eThekwini / CI DB
TBCs to be established during 2006/7
• 3 Technology Incubators– AIDC (Automotive)– Base Metals (Metals Processing) – Platinum (Minerals/metals beneficiation)
• 1 Technology Demonstration Centre– Essential Oils (Agri - business)
• 5 Centres to be ‘incorporated’– 2 ICT Incubators to be incorporated into GODISA– 3 DTI Incubators to be incorporated into
GODISA/seda
Achievements to date…
254 Projects/SMMEs supported ’05/061605 Projects/SMMEs supported to date
176 SMMEs established ’05/06676 SMMEs established to date
850 clients indirectly supported (05/06)
T otal N o. of clie nts supporte d
020406080
100120
Bio
/Life
Sci
en
ces
ICT
Ch
em
ica
ls
Ag
ri-
bu
sin
ess
Sm
all
Sca
leM
inin
g
Co
nst
ruct
ion
Ta rge t
Actua l
0
10
20
30
40
Bio/LifeSciences
ICT Chemicals Agri-business
Small ScaleMining
# of SMMEs Established (Q3 '05/06)
Target Actual
Achievements to date…
2004/5 83.9% Survival Rate for SMMEs
2005/6 ±85% Survival Rate for SMMEs
Achievements to date…
71% Black – owned businesses established
% B lack - O wne d SM M Es Establishe d
0
20
4060
80
100
120
Bio /L ifeSciences
IC T C hem ica ls Agri-bus ines s
Sm a llSca le
Min ing
Targe t
Actua l
Achievements to date…
390 Direct and 819 Indirect Jobs Created (05/06)4790 jobs created to date
0
100
200
300
400
500
Bio/Lif eSc ienc es
ICT Chemic als A gri-bus ines s
Small Sc aleMining
T otal N o. of Jobs C re ate d
Target A c tual
Targets for 2006/7…
65 new SMMEs to be established
N umbe r of ne w SM M Es to be e stablishe d
5
28
10
8
82 4 Bio /L ife Sciences
IC T
C hem ica ls
Agri-bus ines s
Sm a ll Sca le Min ing
Au tom o tive
Me ta ls Proces s ing
Targets for 2006/7…
165 SMMEs to receive direct support
N umbe r of SM M Es to be supporte d pe r se ctor
20
50
1530
30
5 5 10Bio /L ife Sciences
IC T
C hem ica ls
Agri-bus ines s
Sm a ll Sca le Min ing
Au tom o tive
Me ta ls Proces s ing
C ons truction
Targets for 2006/7…
340 clients to receive direct support, 440 clients to receive pre-incubation support
N umbe r of Proje cts/clie nts to be supporte d
40
120
4040
60
10 10 20Bio /L ife Sciences
IC T
C hem ica ls
Agri-bus ines s
Sm a ll Sca le Min ing
Au tom o tive
Me ta ls Proces s ing
C ons truction
Targets for 2006/7…
% B lack - O wne d SM M Es to be e stablishe d
02040
6080
100
Bio
/Life
Sci
en
ces
ICT
Ch
em
ica
ls
Ag
ri-
bu
sin
ess
Sm
all
Sca
leM
inin
g
Au
tom
otiv
e
Co
nst
ruct
ion
Me
tals
Pro
cess
ing
Contributing to Economic Development……one business at a time…
Alucia Ngobeni
Timbali Client
[PMG note: graphics not included, please email [email protected]]
Achievements to date…
A kg of unpolished rose quartz retails for R3.50/kg, whereas polished rose quartz retails for R35.50/kg
[PMG note: graphics not included, please email [email protected]]
Contributing to Economic Development… …one business at a time…
Fischer Khambule: SEE South Africa
BTI Client
[PMG note: graphics not included, please email [email protected]]
Contributing to Economic Development……one business at a time…
2 Big Mobile Applications (Pty) Ltd
Modisane Setlodi
Lucky Seuoe
Mokgatle Maesela
Softstart Client
[PMG note: graphics not included, please email [email protected]]
Contributing to Economic Development……one business at a time…
Keryn Krause: iSlices
eGoli BIO Client
Hans Pieterson: Infantrust
ACORN Technologies Client
[PMG note: graphics not included, please email [email protected]]
Relevant Budget Items (06/07)…
• R24 million committed by DST• R23.007 million committed by the dti
– An additional amount of R18 million will be transferred to GODISA/seda Technologies when the dti incubators are incorporated
– GODISA currently receives R10 million from the dti for the Industrial Centres of Excellence and Special Projects Programme (this amount could increase significantly in the new year)
• GODISA has already received R3 million from seda for the establishment of a Platinum Incubator. Similar discussions are underway with various other government departments
• Operations budget of just over R5.0 million is 9.9% of total budget• 90% of the total GODISA budget will be transferred to the centres• In 2003/4, GODISA disbursed R13 million in the following FY• GODISA has already disbursed all its funding for 2005/6• GODISA has had two completely ‘clean’ audits • Incorporation into seda?????
Thank you for your attention
Questions…?