Business

Sizing up the BEE challenge

Local IT firms have had nearly six months to peruse government`s black economic empowerment framework. Sadly, few meet its exacting standards.

01 September 2003

The government published its Black Economic Empowerment Framework/Strategy document in March 2003, laying out the motivation for transformation and BEE, but an informal poll amongst IT executives indicates that most have not read it yet.

They should be encouraged to do so, as the document makes a very coherent argument for the economic imperative of transformation and indicates the broad process and mechanisms that will be implemented (it can be downloaded from www.dti.gov.za).

The reality facing traditionally white owned (and multinational) IT businesses in South Africa is that the economic and political pressure on government to force the pace of transformation means that they are going to have to actively participate in the measures being formulated or face unpleasant constraints or surprises going forward.

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