Business Connexion bucks trend of slow transformation

On the back of a recent report from Business Unity South Africa (BUSA), which indicates that the pace of transformation in South Africa is inadequate, black-owned ICT services company, Business Connexion, says it is among those companies which are putting diversity into practice across its organisation. And its commitment is not mere lip-service, but is backed by hard facts.

That's according to CEO Benjamin Mophatlane: “The BEE Codes of 2007 set interim targets of 50% for black board members and executive directors to be achieved in South African companies by 2017. Black women should comprise 50% of these targets,” says Mophatlane.

However, he notes that recent research concluded by BUSA indicates the percentage of black executive directors is a mere 9.5% compared with Business Connexion's 20% in 2011. Furthermore, just 6.9% of the CEOs of listed companies are black, again compared with a target of 50% for 2017.

Jimmy Morakile, Group Manager: Transformation at the company, a non-executive director of the IT Association (ITA) and member of BUSA Transformation Committee, adds that BUSA has noted a disturbingly low level of representation of women on the boards of JSE companies, especially in the role of chairpersons and executive directors, including CEOs and CFOs. “Just 14% of the directors of listed South African companies are women,” he confirms.

While hesitating to say there is resistance to transformation at play, Morakile nevertheless affirms BUSA's assertion that the pace of change is simply too slow. “Additionally, there is some conjecture about the extent to which transformation is possible, particularly in the ICT industry,” he notes.

Morakile points to controversy which has arisen over the final provisions of the ICT Charter, in terms of which some industry players believe the targets cannot be met. “However, it is Business Connexion's position - backed by our own ability to do so, while remaining highly competitive and relevant - that it is indeed possible to meet the targets,” he says.

Led by CEO Benjamin Mophatlane, Business Connexion's board of directors features four women, two of whom are black, three black men and four white men. Its deputy CEO, Vanessa Olver, is an executive director. Meanwhile, its 11-strong Executive Committee includes three women, one of whom is black, four white men and four black men. In the recent past, a black woman, Refiliwe Nkabinde, was appointed Deputy CFO.

“Representation of black people in the board puts our company well ahead of the 2017 targets already, with nearly 58% representation of previously disadvantaged individuals at board level, and nearly 40% representation of women,” says Mophatlane, noting, however, that it is imperative that representation of black people at senior and middle management levels is significantly improved going forward.

However, he further makes the crucial point that while the company takes some satisfaction in being well ahead of the transformation curve, it is not the percentages or the BEE points which is most important to the organisation. Rather, he says, the lesson is that not only are the targets achievable at board level, but the diversity of the board is a core contributor to the competitiveness of a company like Business Connexion.

“We see diversity as a central component to our value proposition of Connective Intelligence. By combining the diversity of our workforce and the many attributes that people of all backgrounds bring, with information and communication technology, we are able to create and deliver solutions which meet the equally diverse needs of business and the population,” Mophatlane concludes.