De Beers GroupLEADERS IN JOB CREATION & SUPPLIER DEVELOPMENT
About De Beers Group
Our Commitment To Empowering Local Entrepreneurs
De Beers is taking giant steps in empowering entrepreneurs in the Limpopo and Free State provinces by disbursing almost R170 million worth of contracts to 37 black owned enterprises. During 2017, De Beers Group has increased its enterprise development efforts in line with its commitment to the Social and Labour Plans entered into with its hosting communities. Deliberate actions were initiated and undertaken to ensure that enterprises in Musina and Kroonstad are developed and supported to take advantage of the supplier spend invested by the Group in this area.
To date, Voorspoed mine in Kroonstad has spent a total of R49.95 million on local procurement from 10 suppliers from its labour sending communities. The suppliers offer services such as office cleaning, building maintenance, canteen and catering services, plant cleaning, and the supply of warning signs around the plant – collectively, they have created 129 jobs.
Venetia mine in Musina has locally procured services from 27 black owned suppliers at a contract value of R120 million, offering services ranging from security, hygiene to engineering. These contracts will support about 200 new jobs in the Musina and surrounding labour sending communities.
All businesses are enrolled in the supplier development programme offered by the Mines and delivered through an expert partner. This involves a baseline assessment of all newly appointed suppliers and the design and implementation of a customised programme to assist them to develop business skills and other skills necessary for continued growth and sustainability of their businesses.
A mentorship programme of about two years is offered and includes formal, mentoring, training, coaching and the provision of tools to enable the businesses to put in place the necessary controls and governance expected of any business. A key focus of the programme is the marketing and growth of the businesses to ensure sustainability beyond the contract with the mine. In addition, De Beers Zimele provides start up and working capital funding at an interest rate of 6% p.a for SMEs in need of this.
Businesses that are not successful in competing for procurement opportunities are encouraged to enroll in the enterprise development programs offered at the De Beers Zimele Hubs. The key focus is the establishment, upskilling and development of local businesses with the aim to create employment for themselves and others and in the longer term contribute to the socio economic development area.
During 2017, 77 businesses were given the opportunity to participate in the De Beers Enterprise Development Incubation programme. A total of 39 enterprises graduated and are still receiving mentorship support.
De Beers remains committed to making a lasting contribution in the socio economic environment of the communities we’re operate in and our efforts within the area of enterprise and supplier development is but one of the tools aimed at helping us make the difference.
The De Beers Zimele Community Fund
The De Beers Zimele Community Fund was created and rolled-out in October 2007 with De Beers Consolidated Mines support, to aid enterprise development, employment creation and poverty alleviation in the areas of De Beers’ operations. This initiative builds on Anglo American Zimele’s existing and successful enterprise development, and assists the business unit in obtaining the necessary social and labour plan approvals from the Department of Mineral Resources (DMR) and satisfying on-going Socio-economic development and local community needs. The community fund is operated in conjunction with a network of 4 Small Business Hubs established within De Beers’ operational areas.
De Beers Zimele has since its inception in October 2007 to 30 November 2017, approved 301 loans to various entrepreneurs operating in De Beers’ mining communities and labour sending areas. These loans advanced amount to R77 million.