DoC Team

PRESENTATION ON THE

DEPARTMENT OF COMMUNICATIONS STRATEGIC PLAN

AND ANNUAL PERFORMANCE PLAN TO THE PORTFOLIO

COMMITTEE ON COMMUNICATIONS

24 April 2012

A global leader in the development and use of Information and Communication Technologies for socio-economic development

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DoC TeamDoC Team


Ms Rosey Sekese Director-General

Mr. Gift Buthelezi DDG: ICT International Affairs & Trade

Mr. Norman Munzhelele CD: ICT Policy Development

Mr. Sam Vilakazi ADDG: Finance & ICT Enterprise Development

Mr. Jabu Radebe ADDG: ICT Infrastructure

Dr. Harold Wesso ACEO: e-Skills Institute

Mr. Farhad Osman CD: Strategic Planning and Monitoring

Ms. Kedibone Sekwele CD: Human Resource Management

Ms. Pearl Seopela CD: Communications

• The Strategic Plan and Annual Performance Plan (APP) were presented to

the Portfolio Committee on 13 March 2012

• Based on recommendations from the PCC, the plan was reviewed

accordingly with specific reference to:

• ICT Market overview

• Organisational Risk Assessment

• Streamlining of the Strategic Objectives and 2012/13 Targets


IntroductionIntroduction

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In reviewing its Strategic Plan, and taking into consideration the PCC recommendations, the Department also reviewed its Flagship Programmes.

Going forward, the Department will be focusing on 3 specific high impact Flagships Programmes. This streamlining will ensure a focused approach given the Departments limited resources however work will continue with the initial projects as they remain a priority.


Flagship Programmes Flagship Programmes

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INITIAL FLAGSHIP PROGRAMMES

1. Broadband

2. Broadcasting Digital Migration

3. Job Creation

4. E-Skills

5. Rural Connectivity

6. Postbank

CURRENT FLAGSHIP PROGRAMMES

1. Broadband 2. Broadcasting Digital Migration3. National Integrated ICT Policy Review

Given the Strategic importance and its impact on the socio-economic development of the country, Broadband and BDM have been retained as flagship Programmes while National Integrated ICT Policy review has been added in as a third as the Policy review will have a huge impact on shaping the ICT Policy trajectory going forward.

• In order to be the authoritative voice in ICTs, the Department has made substantial progress on the studies that were planned for the past financial year: • Published the E-Readiness Report which provides an analysis of of the

country’s ICT penetration in 5 sectors so as to support evidence based-policy making.

• Completed an ICT Sector Performance Analysis focusing on operational performance (fixed, mobile), ICT access, pricing, quality etc.

• Finalising the development of the ICT Data warehouse to assist with sector Analysis (including investment, ICT penetration rates, pricing etc.) so as to support policymaking.

• Finalising the Broadband Penetration study so as to establish the broadband baseline i.e. quantify the current available infrastructure and services across the country.

In 12/13 FY the DoC will commission a market study on telecommunications - wholesale and retail prices.


Overview of the SA ICT Market (1)Overview of the SA ICT Market (1)

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•An overview of the SA ICT Market was conducted with specific focus on Fixed and Mobile Telecommunication as well as Broadband•Key trends were noted in terms of growth, decline, demand, usage etc. with specific reference to:

• ICT contribution to GDP (low)• Household fixed line penetration (low)• Household computer penetration (low)• Broadband penetration (low)

In response to the SA ICT Market analysis, the Department will continue focusing on several interventions aimed at amongst others:•Increasing universal service and access to ICTs•Increasing uptake and usage of ICTs


Overview of the SA ICT Market (2)Overview of the SA ICT Market (2)

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In response to the SWOT Analysis presented to the PCC last year the

Department has made significant strides in addressing the identified

weaknesses, leveraging on the opportunities and strengths as well as

mitigating the threats. Some of which include the following:• Leveraged on the collaboration with the ICT Industry stemming from the ICT

Compact that was signed with key industry players.• In the process of conducting a comprehensive ICT Policy Review aimed at the

growth and transformation of the ICT sector including ICT manufacturing.• Addressing challenges within SOEs through various interventions aimed at

stabilizing SOEs and addressing duplication of programmes.• Addressing capacity and leadership issues through the filling of critical senior

vacancies as well as the prioritization of further critical position for urgent filling.

Going Forward:• The DoC sees it biggest strength in its committed work force and political

leadership supported by its clear vision and strategic direction. • Its biggest opportunity lies in the comprehensive review of the ICT Policies and the

ever strengthening collaboration and relationship with the ICT Industry, other Spheres of Government and Civil Society.


SWOT FeedbackSWOT Feedback

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The Department has made major strides in mitigating the Risks identified in last year’s Strategic Plan:•Governance structures have been established and are fully functional including a fully operational Organisational Performance Assessment Board•Structures for engagement with SOEs are in place and fully functional•The Department has filled certain critical vacancies while others are in the process of being filled•ICT Policy Development is informed by extensive ICT research/sector analysis. Furthermore, the ICT data warehouse project is nearing completion.•E-Skills collaborative networks have been expanded through-out the country including under-developed Provinces.•The department has commenced with the DTT Public Awareness campaign•Commenced with the development of the Broadband master plan including the broadband strategy which will also focus on extending collaboration with municipalities, stakeholders and service providers in the roll-out of broadband


Organisational Risk FeedbackOrganisational Risk Feedback

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The Department has identified several existing risks however most of which are operational for which which mitigating measures have already commenced.

The following are strategic risks that are reflected in the Strategic Plan for which mitigating measures have already commenced:


Current Organisational Risks (1)Current Organisational Risks (1)

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RISK MITIGATING MEASURES

Inadequate financial resources to achieve the department’s strategic objectives and mandate.

Process of engaging National Treasury has commenced

Human Resources (HR) skills shortage and ability to attract key skills through standard recruitment processes

Recruitment in key areas has commenced & targeted head-hunting will be explored in areas where critical/scarce skills are needed

Mandate overlap in different spheres of Government.

Engagements and collaboration has commenced with relevant stakeholders


Current Organisational Risks (1)Current Organisational Risks (1)

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RISK MITIGATING MEASURES

BDM:Low uptake of the DTT services and STBs

• DTT Awareness campaigns have commenced

Broadband:Lack of provincial and local presence of DoC in rolling-out broadband in Provinces and Municipalities

• National Broadband Master Plan will address this issue through its implementation plan.

• Leveraging on the Presidential Infrastructure Coordinating Commission

Policy Policies not meeting current industry and socio economic needs of the country and inability to address current industry and economic needs of the country

Comprehensive ICT Policy review process has been initiated through the ICT Policy Colloquium which is focused on thorough consultations with Industry and citizens.

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Overview of Reviewed Strategic Plan

Overview of Reviewed Strategic Plan

The 2011-2014 Strategic Plan consisted of 8 Strategic Goals supported by 17 Strategic Objectives and 105 Targets for 2011/12

The initial Plan consisted of 5 Strategic Goals supported by 17 Strategic Objectives and 72 Targets for 2012/13.

The revised Strategic Plan comprises of 5 Strategic Goals supported by 12 Strategic Objectives and 34 Targets for 2012/13.

The reduction in targets were largely due to:

Consolidation and streamlining of targets

Postponement of targets to Year 2 where feasible

Deletion of targets through prioritisation

The Annual Performance Plan further unpacks Year 1 (2012/13) into quarterly targets which can be found in the detailed plan.

The 3-year targets are allocated across the 6 Programmes of the Department and in certain instances, the achievement of these targets requires close collaboration with the Department’s Entities.


STRATEGIC OBJECTIVE:

1.1Contribute to

creating conditions for

inclusive economic

growth through the development

and implementation of ICT policies, legislations and strategies that

positively impact on the quality of

life for all

STRATEGIC GOAL 1Enable the maximisation of investment in the ICT sector and create new

competitive business opportunities for the growth of the ICT industry for socio-economic development

12A global leader in the development and use of Information and Communication Technologies for socio-economic development

DoC 2012/13 TARGETS

Green paper on Integrated ICT Policy published (AT: 74, QT: 79)Postbank Act implemented and monitored (AT:75, QT: 79)EC Amendment Bill introduced into Parliament (AT:75, QT: 79)ICASA Amendment Bill introduced into Parliament (AT:76, QT:79)Post and Telecommunications-related Matters Amendment Bill developed (AT:77, QT: 80)ECT Amendment Bill enacted (AT:104, QT:108)Report on Broadcasting Services finalised (AT:76, QT:79)Development of an e-Strategy, including Vision 2020, towards transforming South Africa to a knowledge economy, concluded (AT:118, QT:125)Industry Development Strategy, focusing on specific niche ICT services, developed (AT:118, QT:125)Comprehensive digital content programme implemented (Education, cultural health content and creative industries) (AT:119, QT:125)Position paper focusing on Community Television support developed (AT:77, QT:80)


2.1

Support and enable the

provision of a multiplicity of

ICT applications and services

through facilitating the modernisation

and deployment of

the infrastructure

STRATEGIC GOAL 2Ensure that ICT infrastructure is accessible, robust, reliable, affordable and secure

to meet the needs of the country and its people


DoC 2012/13 TARGETS

Implementation of the BDM Policy monitored (AT:41, 77, 106 – QT:46, 80, 110) National Broadband Master Plan implemented and monitored (AT:105 , QT:109) Cybersecurity Hub established and awareness programme implemented (AT:104, QT:108) Community Radio Station support programme developed and implemented (AT:78, 106 – QT:80, 110)


2.2

Contribute to rural

development through

increasing Universal

Access and Services to ICTs




DoC 2012/13 TARGETS

Implementation of the ICT Rural Development strategy coordinated, monitored and evaluated (AT:42, QT:48) ICT Rural development strategy implemented through facilitating ICT interventions in the 61 rural sites / under-services areas through the utilisation of green technologies where viable (AT:119, QT:126) Promotion of the ICT Agenda across the three spheres of government through established institutional mechanisms implemented and monitored (AT:41, QT:46)


2.3

Contribute towards the

efficient management and usage of the National

Radio Frequency Spectrum




DoC 2012/13 TARGETS

Current National Radio Frequency Spectrum Plan and usage validated from 9 kHz to 500 MHz (AT:106, QT:110)Policy Directions developed on optimisation of Digital Dividend and the re-planning of DTT Spectrum to achieve socio-economic objectives (AT:107, QT:111)National Radio Frequency Plan review based on the outcomes of WRC-12 (AT:107, QT:111)


2.4

Improve cost, quality,

availability and usage of ICTs




DoC 2012/13 TARGETS

Market study conducted on wholesale and retail prices in Telecommunication services (voice, sms and data) (AT:78, QT:80)


3.1

Contribute to increasing the ICT skills base in South Africa

for employability in the knowledge economy and

increase access to and

uptake and usage of ICTs

STRATEGIC GOAL 3Accelerate the socio-economic development of South Africans and facilitate the

building of an inclusive information Society through partnerships with business and civil society and 3 spheres of Government


DoC 2012/13 TARGETS

Gender, Disability, Youth and Children Programmes implemented through relevant strategies (AT:42, QT:48)Comprehensive National e-Skills Programme implemented towards creating appropriately skilled people for the knowledge economy opportunities (AT:82, 120 – QT:86, 127)


3.2

Facilitate the growth and

development of SMME’s as

well as improve their sustainability through the use of ICTs




DoC 2012/13 TARGETS

ICT SMME Programme developed and its implemented facilitated (AT:94, QT:97)Comprehensive programme for ICT capacity development in business, Government services and Individuals developed and implemented (AT:122, QT:127)


3.3

Improved evidence based policy making

through conducting ICT research and

development for economic growth

and global competitiveness




DoC 2012/13 TARGETS

ICT Research Agenda focusing on priority research, developed and implemented (AT:122, QT:128)1st International ICT Indaba convened and implementation action lines monitored (AT:124, QT:129)


4.1

Provide efficient and

effective oversight to SOEs and

other entities through effective

monitoring and corporate governance mechanisms

STRATEGIC GOAL 4Improve Departmental performance and enhance the role of ICT SOEs as the

delivery arms of Government


DoC 2012/13 TARGETS

Comprehensive SOE Oversight Programme implemented and monitored (AT:95, QT:98)


4.2

Enhance departmental performance

through improving

institutional processes

and mechanisms

STRATEGIC GOAL 4Improve Departmental performance and enhance the role of ICT SOEs as the

delivery arms of Government


DoC 2012/13 TARGETS

Organizational change and transformation agenda implemented focusing on culture, values, people, management performance processes and systems (AT:45, QT:52)


5.1

Facilitate South Africa’s active participation in

Multilateral, Bilateral and other

International Forum to advance the SA

ICT agenda

STRATEGIC GOAL 5Contribute to the global ICT Agenda prioritising Africa’s development


DoC 2012/13 TARGETS

African Multilateral and Bilateral relations programmes implemented within relevant Multilateral Forums (AT:58, QT:62)RSA position further advanced through increasing SA’s influence in ICT Multilateral Fora, implementing strategic multilateral partnerships and participating in and implementing decision of major summits (AT:59, QT:63)Relations with North-South and South-South countries further strengthened (AT:60, QT:64)


5.2

Explore and exploit trade

and investment

opportunities for the ICT sector in

South Africa

STRATEGIC GOAL 5

Contribute to the global ICT Agenda prioritising Africa’s development


DoC 2012/13 TARGETS

2 Strategic trade and investment programmes for the ICT sector developed and implemented (AT:61, QT:65)

Infrastructure Investment


Investment and InnovationInvestment and Innovation

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STB Manufacturing and Broadband promotes investment and innovation in the Sector

2012/13 2013/14 2014/15 2015/16 Total

SABC DTT FundingSABC funds required 785

1,481 1,804 - 4,070

SABC available funds - 76 62 - 138

Shortfall 785 1,405 1,742 - 3,932

SENTECH DTT Funding

SENTECH funds required 178 342 263 - 783

Sentech available funds 166 305 172 - 643

Shortfall 12 37 91 - 140

USAASA STB Funding 1,070 1,070 713 713 3,565

Available Funds 450 240 240 - 930

Shortfall 620 830 473 713 2,635

PROGRAMME 2012/13 2013/14 2014/15

Administration 152 596 159 066 169 299

ICT International Affairs and Trade 38 046 38 370 39 762

ICT Policy Development 88 650 86 598 94 854

ICT Enterprise Development 1 122 855 1 319 436 1 173 733

ICT Infrastructure Development 280 240 308 353 411 993

Presidential National Commission 29 952 30 489 34 373

Total 1 712 339 1 942 312 1 924 014

A global leader in the development and use of Information and Communication Technologies for socio-economic development25

Funding over the 2012 MTEFFunding over the 2012 MTEF


PCC ReportsPCC Reports

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The Department has taken note of the following reports from the PCC which contains several concerns and recommendations for implementation:•Budget vote deliberation report – 26 May 2011•The budgetary review and recommendation report (BRRR) - 20 Oct. 2011•Report of the PCC oversight visits:o Eastern cape and Kwazulu-Natal - 28 march to 1 April 2011o SABC Regional office Cape Town – 23 August 2011o Northern Cape & Free State – 08 November 2011

A detailed status report has been prepared and will be made available to the PCC.

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Updating Core Competencies:• The conducting of comprehensive Skills Audit is to commence in May

2012 and preparations have already begun. • Through the Skills Audit, skills gaps will be identified and action plans

implemented to address such gaps e.g. Leadership and Culture (Batho Pele principles)

HR initiatives:Implementing the HR Plan and Strategy which focuses on the following amongst others:

• Offering of Bursaries to DoC employees• Implementing policy guidelines on recruitment• Implementing a Works Place Skills Plan flowing from the Skills Audit• Implementing retention strategies• Implementing succession planning strategies (career-pathing, multi-

skilling, mentoring, internal promotions)


Human ResourcesHuman Resources

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Monitoring and EvaluationMonitoring and Evaluation

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• The Department has put further emphasis on its performance monitoring process through the development of Operational Plans which further unpack the quarterly targets into action steps and deliverables within the quarter. This ensures a pro-active approach to the monitoring and evaluation process thus ensuring adherence to set targets and immediate mitigation of challenges affecting performance.

• The Organisational Performance Assessment Board is fully functional

• Over and above the Executive Authority, Quarterly Performance reports will be made available to National Treasury and the DPME.

• Such Performance reports can be made available to the PCC should it be required.

• The Department, in the 2012/13 FY, will be implementing an electronic organisational performance management system. Reports and dashboards generated from this system can also be made available to the PCC.

THANK YOU


ANNEXURES


Public interest • Regulation of services that all private individuals rely on for daily use by ensuring that

prices are fair, non discriminatory access and equitable quality of service.

Broadband• Technology capable of supporting applications in e-commerce, education, health,

entertainment and e-government• High speed always-on connection

Fixed (Service)• An electronic communication service between specified fixed points:

• Copper cable• Fibre cable• Satellite

3G• 3rd generation mobile service capable of providing voice & data services.• 1st & 2nd generation (1G & 2G) mobile services were capable of voice services only.

LTE (Long Term Evolution)• A forerunner of 4th generation (4G) mobile services which will be capable of

providing high-speed broadband services.


Concepts (1)Concepts (1)

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ADSL• Asymmetric Digital Subscriber Line• Technology using copper telephone line to provide simultaneous voice and data services

Fibre (Optical Fibre)• Optical fibre cable is a bundle of thin, flexible, transparent fibres capable of transmitting light, and which permits transmission of electronic communication signals over longer distances and at higher bandwidths (data rates) than other forms of communication.

Penetration• Broadband penetration refers to the percentage or absolute number of broadband

subscribers or potential subscribers within a geographic area.• Broadband penetration is not a measure of uptake & usage of broadband services.• Can be measured on a per capita (population) or household basis. Per capita

includes individual who are not using the services e.g. young children and the aged.• Household can reduce the number the number of actual broadband users as it is.

impossible to determine the number of users in the household. Facilitates fixed broadband planning. However there is demand for ubiquitous mobile broadband services.


Concepts (2)Concepts (2)

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Documents

DoC Team