I'm running the Comrades Marathon next month. If any of
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That's it for the time being.
|Maximise your BEE Points - EconoBEE - Newsletter May 2008|
|Tuesday, 27 May 2008 12:24|
Maximise your BEE Points
Most people know that the number of BEE points you earn
measures BEE compliance. The more points you get, the higher the level,
the better your compliance. This is just like sport - say rugby where
if the Sharks had scored more points on Saturday they would have won.
It’s only in golf where golfers try to get as few shots as possible! In
BEE terms there are techniques to maximise those points earned, and
various strategies than can help you.
Here are 15 quick ways to get more BEE points:
It may sound quite technical, with quite a bit of mathematics, but to us it is second nature. We can help you in all areas of BEE to maximise those points and become more compliant.
Contact us and be pleasantly surprised how easy it is to get the job done.
Need to be BEE Compliant – Why?
Whenever a customer asks you for your BEE status you should
try and answer them. You should answer them for the same reason you
answer any customer query – to give good customer service. When replying to your customer you are giving him
what he needs to do business with you.
What does the law say – do you have to be BEE Compliant? What happens to you if you don’t produce a BEE Scorecard?
The B-BBEE Act makes BEE implementation compulsory only for Government and
associated agencies. It is voluntary for all other enterprises. However if you
do business with Government they must ask you for a scorecard and by
implication if you do not have a scorecard then Government cannot do business
with you. If you are not doing
business with Government you do not have to produce a BEE Scorecard. It
is entirely voluntary for one business doing business with another to
supply a BEE Scorecard.
Although you don’t necessarily have to produce
a scorecard, the reason you do is because your customer might supply
scorecard depends to some extent on your BEE status and as a result by giving a scorecard to
your customer you are giving that customer good service and helping them keep
existing business with government. A BEE
Scorecard is good service and it makes Good Business Sense to give your
customer what they need.
The BBBEE Act is voluntary for businesses and compulsory for
government but ultimately does not make any provision for penalties, if
you don’t follow the act and don’t produce a BEE Scorecard – you run
the risk of losing business.
Why does your customer want your score?
falls under Preferential Procurement – your customers are earning or
losing points by dealing with you. If your customer chooses
to earn points with Preferential Procurement then they will need your
scorecard. By simply preparing a scorecard and giving it to them you
are helping them improve on their scorecard. Similarly, you then need
to ask your
suppliers for a scorecard so that you can give your customers a good
scorecard. If you do not give your customer a scorecard you will be
taking points away from them.
Why is a Good Score Important?
The Preferential Procurement calculation depends on the value of goods purchased and the BEE recognition level (the points that the supplier has earned). Up to 50% of procurement currently must come from B-BBEE Compliant suppliers (based on the recognition table below):
To satisfy your customer, you should give them a detailed
scorecard (a complete breakdown of how you achieved BEE Compliance) and
when required have all relevant documentation to give them
absolute confidence in your scorecard.
Remember, Preferential Procurement is used to earn points - don’t give your customer an
excuse to go somewhere else.
Need to be BEE Complaint? Contact an expert to help guide you
through Broad Based Black Economic Empowerment. EconoBEE has developed
tools and services to help you Become BEE Compliant in a quick and easy
manner with accurate documentation to assure your customers of the best
The more points you get, the better it is for your customer.
Empowerment Awards 2008 - Commentary
I have grave concerns about the Wits Business School/Barloworld Empowerment Awards Function 2008 which was held recently.
Seminar - 25 June 2008 - Johannesburg
|Last Updated ( Tuesday, 27 May 2008 12:34 )|