Report CSR Visit to SA 2014 (2)

REPORT ON THE LEARNING VISIT TO
THE REPUBLIC OF SOUTH AFRICA
Maatla Project March 2014

REPORT ON THE LEARNING VISIT TO THE REPUBLIC OF SOUTH AFRICA2
Contents
1.0 INTRODUCTION 3
1.1 Objectives of the Learning Visit 3
1.2 Participants Summary 4
1.3 Selection of Organizations to Visit 5
1.4 Legislative framework 5
2.0 Organizations that were visited 6
2.1 Foundation for Professional Development (FPD) 6
2.2 Institute of Corporate Citizenship, UNISA 9
2.3 Sasol 10
2.4 Tshikululu Social Investments 13
2.5 South African Business Coalition against HIV and AIDS (SABCOHA) 16
2.6 Edcon 18
3.0 Key Lessons Learned and Recommendations 21
3.1 For Maatla Partners and other NGOs 21
3.2 For the Private Companies 21
3.3 Follow Up Actions 21

REPORT ON THE LEARNING VISIT TO THE REPUBLIC OF SOUTH AFRICA 3
INTRODUCTION
FHI 360 is the lead partner in the five year Maatla project (May 2011-May 2016) that seeks to measurably
strengthen the capacity of Civil Society Organizations (CSOs) to address the AIDS epidemic in Botswana.
It is a 5-year project that is funded by USAID working with international and national NGO partners.
One of the project’s core components is the revitalization of the CSO operations through private sector
engagement with the aim to start operating with an enterprise mindset.
The Maatla project engages the private sector companies (on a pro-bono basis) to build the capacity of the
national networks/CSOs in various areas such as: human resources, financial management and strategic
planning. This is done mainly through mentoring, twinning and the creation of long-term relationships.
The purpose is not only to build the capacity of national networks/CSOs, but also to support them to
operate with an enterprise mindset and to promote their sustainability. This part of the project was initially
coordinated by The Botswana Confederation of Commerce Industry and Manpower (BOCCIM). It is
now being handled from within FHI 360.
FHI 360 is represented in a government led Private Sector Technical Working Group (TWG) which, in
2013, commissioned a study on the Corporate Social Responsibility (CSR) initiatives and support for
HIV programs in Botswana, this was a pre-cursor to the development of a national framework for private
sector engagement in support of HIV and AIDS programs. The study was completed in mid-2013 and
currently, the consultancy for developing the framework is finalized.
Still in 2013, one of the Maatla partners, The Botswana Council on Non-Governmental Organizations
(BOCONGO) also commissioned a study on CSR Mapping in Botswana. For the business sector and its
CSR engagement, it was noticeable from the survey that, most of the companies in Botswana consider
CSR as a public relations tool which helps improve their image or reputation in society. The reality is that,
CSR has a potential to become much more than this, it can have an impact in the social, economic and
environmental spheres as well as improving the lives of the disadvantaged members of society. The private
sector piece of the Maatla project is still evolving and as such, the trip is well timed in this regard. It is also
relevant for the other national level initiatives.
In deciding which country to visit for learning on CSR, South Africa became an obvious choice not only
because of its proximity to Botswana but largely because it is a country with a vibrant NGO constituency
and a large private sector that is heavily engaged in CSR, supporting various social and development
initiatives.
1.1 Objectives of the Learning Visit
The objectives and expected outputs of the learning were as follows:
� To provide a platform for Maatla national partners and networks to learn about the way NGOs in
South Africa engage the private sector for support and capacity building.
� To get an insight on how the private sector in South Africa delivers on the CSR mandate for support
to NGOs.
� To learn about the relationship between the government and the private sector and (any) regulation
mechanism for CSR.
� To gain experience on how the NGOs in South Africa engage in resource mobilization to reduce
donor dependency.
Expected Outputs
� A trip report with clear recommendations about how lessons learned can benefit, or be applied to the
Maatla project.
1.0

� Dissemination of the report and discussion of lessons learned with the Maatla partners.
� Recommendations to be applied/adopted by the Botswana Council of Non-Governmental
Organizations (BOCONGO) to augment the outcome and actions following finalization of their
CSI mapping study.
� Recommendations to be applied to the process of developing a national framework for the private
sector engagement by the NACA’s TWG.
Definition of CSI and CSR: In some circles, Corporate Social Investment (CSI) refers to corporate
philanthropy. In South Africa, for example, CSI has become synonymous with companies’ contributions
to the broader socio-economic priorities and systemic deficiencies in the country. CSR, compared to
philanthropy and CSI, implies a more holistic and strategic approach to business engagement with an
impact on society (GIZ , 2012). In reality, it appears that these terms are applied interchangeably as
will become apparent in this report; both being taken to refer to the resources that companies spend on
projects and programs that have a broad social appeal or those that address felt needs at community and/
or national levels.
1.2 Participants Summary
Seven individuals participated in the learning visit; they include the trip coordinator (the Private
Sector Advisor, FHI 360) and representatives of the national partners (one per organization) namely:
BOCONGO, The Botswana Network of AIDS Service Organizations (BONASO), Botswana Network of
People Living with HIV/AIDS (BONEPWA+), The Botswana Christian AIDS Intervention Programme
(BOCAIP) as well as The Ngamiland Council of Non-Governmental Organizations (NCONGO). The
only non-Maatla participant was the Chairperson of the Private Sector Technical Working Group who is
also the Director of the Botswana Business Coalition on HIV and AIDS (BBCA). His participation was
envisioned to provide a link with ongoing processes for private sector engagement that are being supported
by the Government of Botswana.
Each of the Maatla national partners has a clearly articulated strategic role in the project based on their key
contributions to the national HIV response.
Table 1: Key roles and responsibilities of the Maatla national partners and networks
Organization Support to HIV National NGOs and Networks
Botswana Council of
Non-Governmental
Orgainzations
(BOCONGO)
W
BOCONGO is an umbrella body for NGOs. It promotes civil society and
helps to improve the lives of the citizens of Botswana, with a vision to create
an enabling environment for a strong and vibrant civil society sector through
facilitation, coordination, advocacy, and capacity building.
The Botswana Network of
AIDS Service Organizations
(BONASO )
BONASO plays a key role in the national HIV/AIDS response through its
mandate to facilitate the coordination and management of civil society response
to HIV and AIDS.
Botswana Network of
People Living with HIV/
AIDS (BONEPWA+)
BONEPWA+ has a large constituency of support groups whose members
are both infected and affected by HIV/AIDS. BONEPWA+ represents and
advocates for the rights, interests, and needs of people living with HIV/AIDS
(PLHIV), as well as service delivery at community level.

The Botswana Christian
AIDS Intervention
Programme (BOCAIP)
BOCAIP is a faith-based organization established in 1996. BOCAIP has 11
centers and six satellite centers covering over 50 sites country wide. Services
offered include: HIV/AIDS prevention, care and support; services for orphans
and vulnerable children and community outreach and mobilization.
The Ngamiland Council
of Non-Governmental
Organizations (NCONGO)
NCONGO represents more than 45 NGOs working in a variety of areas including
HIV/AIDS, gender, disabilities, oprhans and vulnerable children, and youth issues.
NCONGO’s focus is on building capacity within Ngamiland NGOs so that they are
able to meet stakeholder requirements and the needs of the voiceless and marginalized.
1.3 Selection of Organizations to Visit
South Africa is featured in a 12 country mapping survey by GIZ titled; “Shaping Corporate Social
Responsibility in sub-Saharan Africa” (2012). The GIZ report has a detailed review and analysis of the
various stakeholders that are involved in CSR activities and initiatives in South Africa. It was a good
resource for the selection of organizations to visit and issues to raise. The selection of companies to visit
was biased towards location, opting for companies and organizations located in Johannesburg and Pretoria
due to time and budget constraints. FHI 360 and its partners are indebted to the unconditional support
received by all those who participated in the learning visit.
1.4 Legislative framework
The South African government plays a prominent role in CSR delivery in the country. One of the most
importantgovernmentcontributionstoCSRregulationandmonitoringistheBroadBasedBlackEconomic
Empowerment (BBBEE). It is an instrument that promotes and monitors the economic empowerment of
blacks as a previously disadvantaged section of the population and includes other variables such as skills
development and companies’ CSR contribution. South Africa has improved, according to the World
Bank “Doing Business” annual reviews, indicating the commitment of government to create an enabling
environment for economic growth through the private sector (Doing Business 2012: Doing Business in a
More Transparent World).
The companies that were visited
advocated for compliance with the
BBBEE Code of Good Practice as a
business imperative. Not only do they
participate in the BBBEE rating process,
they also acknowledge that the work
they do for their customers and clients is
relevant to their BBBEE rating process.
Non-profit organisations are measured
in four areas, namely employment
equity, skills development, preferential
procurement and management control.
BEE Codes came into effect soon after
democracy: companies are scored on a scale of 1 to 7, level 4 downwards being considered good, thus
putting a company in good stead to do business with the government. The new BBEE codes are more
stringent, addressing issues such as fronting. Other areas that are scored include; skills development,
enterprise and supply development, CSR and opportunities for ownership by the employees.

Organizations that
were visited
2.1 Foundation for Professional Development
(FPD): Dr Gustaaf Wolvaardt – Managing
Director
Background: The Education White Paper of 1997 emphasized
the importance of integrating community engagement into
higher education institutions to demonstrate their commitment to social transformation by making available the
expertise in these institutions to address the challenges faced by the communities. FPD has interpreted this mandate
through its vision of ‘building a better society through education and capacity development’. Established in November
1997 by the South African Medical Association, FPD was registered as a separate entity in 2000. From the humble
beginnings of 3 employees, the current staff compliment is 1000. The student enrolment was 72 in 1998 and it
had risen to 50,789 in 2013. Furthermore, FPD has grown into a group of companies including FPD Property
(Pty) Ltd, FPD Fund and the Health Science Academy (Pty) Ltd, a training institute for the pharmaceutical sector
specialists. They also hold shares in 3 other companies including an IT company specializing in online platforms
for professional societies.
Coverage and strategic partners: FPD manages a number of NGOs, 2 of them on a pro bono basis.
They are also the custodians of the South African National AIDS Conference. The geographic coverage
of FPD in Africa is vast – both in Sub Saharan, North and West Africa. Strategic partners include world
class institutions such as Yale and The London Institute of Tropical Medicine. They have recently entered
into a collaborative agreement with FHI 360 – South Africa.
Focus areas: Focus is on education, research and capacity development. The educational philosophy is geared
towards removing barriers for learners. These trainings are held as close as possible to where the learners live and/
or work; courses are offered at low or no cost to the learners; there is limited disruption of service delivery due to
a combination of assessed self-study and classroom sessions. All students are offered access to continuous learning
through the alumni program. By the end of 2012, the cumulative value of scholarships awarded since 1999 was
R253 million.
FDP supports a career path development model that promotes the advancement of human capacity
development and provides adequate technical assistance to host organizations at an affordable rate.
Over the past 10 years, FPD’s research capacity and output has increased substantially in terms of
publications, oral and poster presentations. FPD has received a 5 year grant from PEPFAR/USAID for
2.0
“
The partnership with Yale university
is for provision of short, Health
Management courses at a highly
subsidized rate for FPD participants
who are selected not only from South
Africa but other countries including
Botswana.

health systems strengthening to cover 5 provinces of Gauteng, Mpumalanga, Limpopo, Eastern and
Western Cape. One of the key outputs is the GIS mapping and directory development for increased access
to strategic information. Countries covered are; South Africa,Tanzania, Zimbabwe and Zambia (ongoing).
Botswana could be included if there is a felt need. In South Africa, a directory for organizations providing
services for the fight against Gender Based Violence (GBV) has been developed and disseminated to
hospitals and doctors in order to aid quick referrals of GBV victims.
Sustainability: FPD has worked hard over the years to ensure sustainability through creation of innovative
income generating services such as the property portfolio, teaching portfolio, conferences and consultancy
services. The consultancy services utilizes reputable consultants that can be engaged on a project basis.
Every department has a mixture of donor support and commercially generated funds. There is also a
rigorous resource mobilization campaign through proposal writing, a graduate is dedicated to search for
calls for relevant proposals. In 2013 FPD submitted more than 700 proposals and tenders.
FPD is interested to expand its operations to Botswana and willing to explore opportunities through the
Maatla partners particularly because they have worked well with BOCAIP before, a few years ago.
Best practices and lessons learned:
�
� Operate on the principles of social entrepreneurship meaning that the organization runs and thinks
like a business but operates on social principles, e.g, the health consultancy unit has commercial
targets.
� The board has the mandate for determining the strategy for resource mobilization; during the first 5
years, the FPD board disallowed international donor money to test (and develop) the organization’s
ability to raise funds locally.
� Think creatively; NGOs could set up small contractors using skilled casual labor.
� Avoid launching new projects at the beginning – only showcase programs when they are successful.
Bring in the government as a partners once there is evidence for success and if they take the credit,
don’t complain or antagonize them.
� Protect your intellectual property.
� Monitoring is key: e.g, the Maths and Science projects involve 200 000 students learning through
Mix It. Performance tracking over a 3 year period is done and follows learners all the way up to
placement.
� The Twinning Center supported the exchange visit to the United States and it resulted in an HIV
health professional hot line being established at the University of CapeTown, similar to a best practice
observed in the United States. The line is open only to doctors and other health staff and operates
during official working hours. They receive around 600 calls a month which is 3 times more than the
experience in the United States albeit at a much cheaper operating
� cost. This toll free service could be set up in Botswana.
“
Piece meal donor reporting is not
ideal and it is easier to ask for 1
million Rands than 100, 000 Rands. Ask
big and you will be taken seriously.
G. Wolvaardt

� The ‘1st
things 1st’
campaign aimed at promoting HIV testing in universities has been a big success.
The concept is that, the first test you should take every year should be an AIDS test to determine your
status. The government took over the program for scaling up and it is now offered in 500 campuses
around the country.
� GBV is a big challenge. FPD is addressing the problem in partnership with the national prosecuting
authority, Soul City is another strategic partner forb GBV. AIDS organizations have grown
exponentially to national coverage and the same should happen for GBV.
� Be guided by the marketing principles of Product; Promotion; Place and Price; the Brand works.
� Always be guided by the principle of; “Does it serve the greater good?”

2.2 InstituteofCorporateCitizenship,
UNISA: Professor Neil Eccles
Acting Chair of Department &
Chief Researcher
Lessons learned
� CSI in South Africa is legislated mainly through the BEE Scorecard.
� Government is best placed to carry out service delivery – the best approach therefore is for business
to pay tax to government and let it decide on development priorities.
� In some companies, CSI is executed through the marketing department in which case it is hard to
determine the value and impact of CSI support.
� When NGOs receive funding from private companies, they should expect that such funding will not
be unrestricted – like donors, most companies will decide on the areas and the target group they want
to support.
Background: The institute does training,
education and research and acts as a forum
for sharing and debates, consulting and
advisory services. Some research is focused
on issues that interface between business and
society. A module is offered on Introduction
to Corporate Citizenship.
Views on CSR: The research focus area for
Professor Eccles is Responsible Investment.
He offered some critical perspectives on
CSI and the role that NGOs could play as
‘the third set of eyes watching the execution
of government business.’ The main point of
departure being that, the business of business
is to do business and social development is
best left to the government. What corporates
could do is to contribute towards the national
budget through tax, with government left
to deliver services to the communities.
Corporates are not best placed to identify
the needs of the people. Professor Eccles
hailed the Botswana model of managing
mineral wealth for the good of the wider
society through the partnership between
DeBeers and the Botswana Government,
whereby diamond revenue is used for the development
of the entire nation in areas of health, education and
infrastructure development.
One main issue that was raised is the fact that, like
donor support, funds from the private sector also come
with certain conditions, and they are usually targeted to
certain courses that could result in NGOs being highly
beholden to the philosophies of the companies that
support them. This could pose a challenge for NGOs.
In some companies, CSI is interlinked or delivered
through the marketing departments. It thus becomes
difficult to measure the impact of the CSI support vis-a-
vis the benefits for marketing.
The main legislative framework for CSI was stated as the
BEE scorecard. That is the instrument that government
applies to compel companies to address several areas
of corporate social responsibility such as skills training
and community development. There are several other
instruments that are sector specific such as the Mining
Charter and others.

2.3 Sasol: Ms Pamilla Muhdray (and team) – Head of Community Affairs
Background: Sasol is an international integrated
energy and chemical company that leverages the
talent and expertise of more than 34 000 people
working in 37 countries. The company develops
and commercializes technologies, they build and
operate world-scale facilities to produce a range of
product streams, including liquid fuels, high-value
chemicals and low-carbon electricity. The company
was established in 1950 in South Africa. It remains one of the country’s largest investors in capital projects,
skills development and technologies, research and development.
CSR Legislative Framework: Sasol is guided by various legislative frameworks that are in place such as the
Mining and BBEE Charters. The system monitors the social performance by businesses. There are avenues
for voluntary compliance as well, Sasol subscribes to the International Global Compact.
Sasol’s CSR Approach: South Africa is a country with a great disparity between the rich and poor –
there is abject poverty in some communities and opulence in others. These variations inform Sasol’s CSR
approach. At Sasol, they believe that CSR is not simply a ‘giving activity’ but more of a ‘value creating
activity’. It should result in giving people dignity as opposed to creating dependency.
CSR Activities: The company supports various areas for community development such as education,
job creation, health and welfare, capacity building, environment, arts and culture and others including
fighting crime. R700 million has been availed to directly support communities.
Education: Sasol supports various initiatives for education, e.g, organizations dealing with policy issues
are supported with funds for research in order to raise government’s attention to the issues of concern
in relation to education. Sasol enables NGOs they support to advocate for certain policy changes. They
also support teacher development programs. Being a company that is science-based, Sasol is more inclined
to support science based subjects and infrastructure such as laboratories in schools. They also provide
bursaries.
Community development and empowerment: For communities in which they operate such as Secunda in
Gauteng, Sasol endeavors to contribute to their development in a sustainable way that empowers rather
than creates dependency. Another good example of the impact of Sasol’s CSR initiatives is in Mozambique
where they have reticulated electricity to 200 households. This has vastly improved the quality of life for
the community members; children can learn at night, those with small businesses have an option to trade
for longer hours, the burden and cost of household fuel has been reduced.
Strategic philanthropy is about
doing what is best for business,
CSR also has some benefits for
business because, a healthy
community is a stable community.
P. Muhdray
“ “

Best practices and lessons learned
� Use your brand power. e.g, in 2013, Sasol involved the Deputy President Mr Kgalema Motlanthe in
an activity for HIV testing and awareness raising in the Secunda community.
� The work place is a good platform for social change e.g, getting men to go for HIV testing though
work-based programs.
� GBV is a huge issue in South Africa and Sasol has taken this into account. In order to decide on
sustainable community programs, one needs to explore the root causes of the problems (economic,
social and environmental).
� Some of the people and/or organizations that claim to be advocating for communities do not represent
them well and one needs to be careful in selecting organizations to support.
� In Secunda, young entrepreneurs are taught how to develop business plans and given starter capital
to operationalize their plans/ideas.
� Sasol has 39 000 employees who are a great resource for CSR and community support and social
change. In 2013, Sasol partnered with the ‘One Young Summit’ that was hosted in Johannesburg
and they asked for employee volunteers to participate in the event. The vast majority of those who
responded were young employees and those already involved in community work. The overwhelming
response and the demographics led to a revision of the employee strategy framework in order to
harness the energy and enthusiasm from the employees, particularly the youth.
� During the pre-ARV era, a year and a half before the government program began, Sasol tested
employees and provided them with ARV treatment. Good outcomes were observed particularly
amongst the mining employees. Sasol made an evidence based case to the Minister of Health.
� The Rand to Rand matching program involves employees to raise funds for charities of their choice.
One employee cycled to raise funds and he reached R40,000. which the company matched.
� NGOs should consider setting themselves up as service providers in areas that they are strong in, and
sell these services to private companies.
� asol’s partnerships and support to NGOs and communities is meant to provide exponential
development that impacts on people’s lives.
Identification of community issues is based on
community dialogues. The following are points
to consider:
yy Socioeconomic political landscape
yy Regulatory requirements
yy Business requirements – business
process not separated from the
community process
yy Stakeholder requirements
“
“
The employee engagement program is geared
towards enabling employees to create a movement
for social and behavior change; ‘give more, care
more’. The spirit of giving is more entrenched in
the young people.
P. Muhdray
“ “

2.4 Tshikululu Social Investments NPC: Mr Graem
Wilkinson Client Relationship Manager
Tshikululu conducts its business based on the following four principles:
� Social investment that aligns business imperatives with clearly identified developmental needs;
� Supporting community champions with grants managed and monitored professionally, efficiently
and with compassion;
� Impeccable financial management and governance procedures;
� Best practice thought leadership and knowledge sharing among stakeholders on national and
international development trends
Tshikululu
logo

Background: Tshikululu Social Investments is South
Africa’s leading CSI managing organization. They provide
private sector entities with a one-stop service to undertake
comprehensive social investment and community grant
making in line with national and international development
trends. The Tshikululu team of professionals offers financial
management, risk and legal services and expertise in
education, health, social development, job creation, capital
projects, agricultural livelihoods, bursary management,
the environment, arts, culture and heritage. At Tshikululu,
practical knowledge is combined with strategic thinking
and sound governance to create flexible, well-managed
fund portfolios for CSI. This service differs from CSI efforts
managed by companies’ marketing departments, where
the focus invariably is on linking social investment with
commercial activity.
In 2013, Tshikululu managed funds to the value of R350
million. The organization is run by a board of directors and
has 70 employees. Each of their 16 clients have a dedicated
relationship manager allocated to them. There are other
clients who consult on a short term and/or once-off basis.
Based on the clients’ focus areas and wish lists, public call
applications are made for matching suitable applicants with
corporates.
The organization is the best-in-market network of clients
and nonprofit partners matched for effective partnerships.
Tshikululu provides proven, quality social investment
solutions, protection of their clients from reputational risk
while enabling them to associate their brands with positive
social and economic change. As a non-
profit organisation, Tshikululu is able
to add development value to the social
investment of their clients ensuring that
the social investments add value to the
businesses of their respective clients. They
boast big clients such as De Beers, First
Rand and Anglo American. The Anglo
American Chairman’s Fund is one of the
dedicated instruments through which
Anglo American channels its CSI funds
and was named the top CSI grant-maker
in South Africa for eight consecutive years.

The legislative framework: The operations of Tshikululu and their clients are guided by the various
legal instruments that are in place, e.g., the Income Tax Act. Companies are careful not to break any of
the tax exemption rules. The government could reward companies through tax credits if they support
courses considered to be critical to social development, which is a part of the government’s agenda. Other
instruments include sector charters such as the Financial Services Charter, the elements of which include
the empowerment of previously disadvantaged communities.
Tshikululu and the trusts it manages follow stringent governance protocols and adhere to International
Financial Reporting Standards and it aligns its practices with the recommendations of the King Report
on Governance for South Africa. They also adhere to the BBBEE Codes of Good Practice and have been
independently verified as having a Level 4 BEE rating.
� According to law, trusts have to disburse 75% of the value of funds allocated for a particular financial
year. Furthermore, a maximum of 15% is allowed for the running of the trusts.
� Tshikululu appreciates the need for contribution to the NGOs’ administrative funds and they allow
between 10-20% for administrative costs.
� It seems like ‘peer pressure’ among corporates is more effective than legislation. The majority of
companies want to be ‘seen to be doing good work.’
� Only dully registered organizations are considered for funding.
� Tsikululu creates models for replication, they develop models and strategies that speak to the ethos
of their respective clients.
� An M&E system for measuring impact is being developed, it will enhance the clarity of purpose.
In 2012, The Tshikululu Advisory Services unit was
established to provide corporates and trusts with special
socio-economic development expertise on an advisory or
project basis, optimizing their social impact in individual
communities and throughout South Africa. Services are
provided under the following categories:
yy Market entry
yy Community assessment
yy Program strategy
yy Performance management
yy Program assessment
There is a bottom line incentive to be
benevolent.
G. Wilkinson
“
“

Challenges for NGOs
� Some corporates are funding CSI from marketing departments and this could lead to marketing
taking precedence over the CSI support.
� In other companies, CSI programs are run from the human resources departments and this is neither
effective nor empowering. There is a need to balance human resources, marketing and business.
� From the NGO perspective, there is inequality in the relationship with the sponsoring company
from the beginning. There is need to have clarity of purpose, roles and the donor’s view;
� There is need for NGOs to be clear about their goals and vision and what they hope to achieve.
sometimes ngos are prepared to change their
spots in order to attract funding. be unique,
don’t go with the trend, be clear of what you are
good at and there should be an instance where
you have to say ‘no’ to a donor. g. wilkinson
“

2.5 South African Business Coalition against HIV and AIDS (SABCOHA) Ms Susan
Preller (and team) – Acting CEO
Background: SABCOHA was
established in 2004 with a
mandate to mobilize, empower
and coordinate a private sector’s
response to HIV and AIDS
epidemic in the work place
and beyond. It is a member-
based organization consisting
of large corporates, medium-
sized enterprises and smaller
companies, including service
providers who have joined forces in the
private sector initiative to combat HIV
and AIDS. One of SABCOHA’s functions
is to forge partnerships with other players
in government, the business community,
development sector and international partners
based on the knowledge that the HIV and
AIDS pandemic calls for a coordinated
Some of the services that have been
provided to members are capacity building
to the business sector, particularly targeting
small and medium businesses including
micro enterprises and the promotion of
Trucking Wellness. As a result of the various
interventions, a wealth of information exists
within SABCOHA, different methodologies,
M&E facilities and implementation toolkits.
BizAIDS: This is a program aimed at helping
micro and small sized companies to reduce
their operational risk and protect their
businesses from threats such as the impact of
HIV and AIDS. The program started in 2004
response. Advocacy is one of the key
components of SABCOHA’s program.
GBV has been identified as an emerging
issue.
Since 2009, SABCOHA decentralized
by establishing structures for the
business sector in seven of the nine
provinces. Research has driven some of
SABCOHA’s activities, for example, the
research by Professor David Dickinson
of Wits University influenced SABCOHA to support
the formation of the South African Peer Education
Association.
Business coalitions around the world are reflecting on
their mandate beyond HIV and AIDS; there is revised
focus on documenting best practices, research and
support to systems strengthening.
through a partnership with the International Executive
Service Corp (IESC) - a non-profit organization
from the United States – and a grant from USAID.
34 trainers have been employed and over 25 000
small business owners have been trained. Apart from
business skills, other aspects of the training include
the drafting of wills whereas the health component
includes HIV information, correct condom use and
challenges around TB. The target for the program is
small businesses of up to 10 employees as they typically
have limited resources to deal with the management
of HIV and AIDS in the work place. Follow up of up
to 3 months is given to 20% of the participants to get
feedback and to gauge the impact of the trainings.
“
Given its ability to coordinate, lobby, conduct
research and communicate findings, SABCOHA
carries out the following functions on behalf
of its members:
 Research and quality practices
 Communication
 Policy, lobbying and coordination

CSR Initiatives and partnerships of SABCOHA members: Most businesses that are SABCOHA
members support CSI programs have unique partnerships with small businesses e.g, Woolworths purchases
some of their fresh produce from small farmers and the South African Breweries has a program aimed at
empowering truck drivers through their distribution system. Other initiatives are:
yy SABCOHA working with Mercedes Benz South Africa to develop a project involving truck drivers
– companies going into CSI want to see a return on their investment and SABCOHA should
demonstrate a strong value proposition for its members.
yy Support to the Sedibeng community, focusing on gender based violence.
SABCOHA also works closely with the government. One example of a PPP is the mass HIV testing
that SABCHOHA got involved in with government. It involved testing at work places and delivery of
condoms to taverns (alcohol and food serving points).
Best Practices and Lessons Learned
yy Some of SABCOHA’s interventions are based on research findings to address specific gaps.
yy The Biz AIDS program has done a lot to support and empower small and medium scale enterprises
around the country.
yy Government is a key partner involved in a lot of the work done by SABCOHA.
yy Donor funding has decreased considerably and SABCOHA has to look at resource mobilization
through membership fees and from other domestic sources.
“
Given its ability to coordinate, lobby, conduct
research and communicate findings, SABCOHA
carries out the following functions on behalf
of its members:
• Research and quality practices
• Communication
• Policy, lobbying and coordination

2.6 Edcon: Ms Mercia Maserumula (and team) -
Group CSI Manager
Background: Edcon is the leading clothing, footwear and
textiles retailing group in southern Africa, trading through
a range of retail formats. The history of the company
dates back to 1929 when it opened its first (Edgars) store
in down town Johannesburg. To date it has 1233 stores
with a turnover of R26.7 Billion. The company employs
36 000 employees across the country including some
retail outlets around the SADC region namely; Botswana,
Mozambique and Zambia. Their stores include Edgars, Jet, JetMart, CNA (book store), Boardmans and
Legit. Their customer base covers the whole spectrum in urban, peri urban and rural areas. Edcon enjoys
the support of about 10 million customers.
CSR/CSI Legislative Framework: CSR in South Africa is quite structured and almost fully regulated by
the Department of Trade and Industry mainly based upon the first King Report aimed at addressing the
income disparities between the rich and poor. Edcon is currently rated 5 according to the BEE score card.
In the previous year, they had a rating of 4 and they are working towards improving the current score
which is below the ‘good standing’ rating of 4 and below.
CSI Focus areas: Edcon has narrowed its CSI focus to four areas:
� Education
� Public Safety – in store and in communities
� Disability – a space that has not been adequately addressed across the board.
� Merchandise Donations – giving out surplus merchandise towards improvement of the lives of
disadvantaged community members both for personal use and for assisting women to set up small
businesses.
Edcon is, on an ad hoc and “special-needs” basis, able to consider supporting initiatives outside the CSI
focus areas e.g., in 2013, they made a contribution to the Nelson Mandela Children’s Hospital Trust
towards the construction of the children’s hospital because it was considered worthy of support since it
would address a great need for South African and southern African children.
Education: One of the activities under the education focus area is the Adopt-
a-School pilot project, a Whole-School Development model that is being
implemented in schools in disadvantaged communities. A junior primary
school has been adopted in Dlamini, Soweto. Most of the students in the
school come from families without a regular income. It is a non-fee paying
school adopted in 2011. The School is from Reception to Grade 4 with over
800 children. It has been turned around in 3 years, the impact of Edcon’s
support has been felt. A library has been established and a librarian sponsored
to support curriculum implementation and student performance at Grade 0 to
Grade R levels. Support also goes towards improvement of nutrition through
a school feeding scheme and a food garden. The Food Garden Foundation has
been engaged as a partner. Activities include nutrition training of the school
kitchen staff. A higher primary school has also been adopted, to which the junior primary school is a feeder
school to allow the children from the school to progress to an equally well equipped school for Grades 5 to
7. The model will be replicated in other provinces of the country once the pilot phase has been completed.

Public Safety – a Public Private Partnership with the South African Police Service as a partner:
Edcon’s work with the police at all levels is a great and innovative initiative that has had a big positive
impact on the communities being served. The company sponsors mobile trailers for the police as a way of
supporting the country’s Visible Policing Programme and addressing shortage of resources. The trailers are
towed to various areas as mobile police contact points, 42 have been donated to date. This intervention
has brought police services closer to the people and led to improved security of Edcon customers in city
centres and in some of the communities they reside in. Other benefits include community members being
able to easily access other government service providers such as the department of social services and home
affairs.
Edcon has also ‘adopted a station’ - the Johannesburg Central Police station, which is the largest station
in the city. A memorandum of understanding guides the parameters of the partnership. This partnership
was initially for one year but it has been revised to 3 years for the bigger police stations to allow reaching
project-specific targets and outcomes. Support includes renovation of the station’s Victim Empowerment
Centre (e.g. setting up special spaces for victims of serious crime such as rape), as well as partnering with
the metro police on policing technological improvement (e.g. installation of cameras in strategic locations
around the city).
The company was aware of the possible negative brand perception that could result from public concerns
often raised around the reputation of the police. However, the benefits outweighed the risks and the
outcomes have been positive. Edcon has sponsored regular awards ceremonies to high performing police
officers as part of the program.
Disability: Edcon has entered into a new partnership with the National Council of Persons with Disabilities
of South African (NCPPDSA). The company had to introspect on whether or not they met conditions for
employing (and serving) people with disabilities. It is one area that still needs to be addressed more closely
to fill existing gaps.
Merchandise donation: The surplus items from all Edcon’s retail outlets are made available as donations
to non-governmental organizations. Edcon has a preference for working with national level NGOs for
ease of coordination. Agreements are signed for reporting and audit purposes. Each of Edcon’s 1233
stores is paired with an NGO (e.g. the SOS in Botswana). Some of the big/national NGOs such as The
Red Cross are supported in order to support smaller charitable organizations through their networks.
Organizations that receive the merchandise are reviewed annually to monitor how the support is used.
Recipient organizations have to be formally registered and established with a good service delivery track
record, management, governance and reporting capacity.
Today, the business of business
goes beyond just creating
profits for investors and
shareholder value.
M. Maserumule
“ “
Although there are challenges,
we remain committed to being a
good corporate citizen.
M. Maserumule
“ “

The merchandise donation is also used to support enterprise development through programs such as The
Clothing Bank, which involves about 300 women in South Africa. The women go through a mandatory
basic business training before they receive the merchandise on credit, to enable them to run their small
businesses successfully. The Clothing Bank provides the women with a full 2 years training programme,
with follow up support to help them set up their own small trading businesses. This model has yielded
some good results with some women eventually managing to establish sustainable businesses. The Clothing
Bank is not regional and operates only South Africa.
The employee volunteer program: The program was recently re-launched under a new name, ‘Growing
Hope’. It was previously called ‘I Choose to Give’ with support to 22 non-profit organizations. The new
approach to the employee volunteer program is now aligned to Edcon’s CSI strategy and its focus areas of
safety and security, education, disability and merchandise donations. Employees can volunteer in one or
all of the focus areas. Payroll giving is whereby they can voluntarily donate a minimum of R10/employee.
They can also volunteer their time or skills in support of non-profit organisations. A data base has been
developed to administer matching donations to employees to community projects.
� CSI initiatives and partnerships can have a high impact and contribute to the betterment of the
communities, e.g. the safety & security project is monitored through quarterly reports from the
police to Edcon. Through the monthly project meetings and annual site visits, good outcome have
been reported and observed in the various communities. The year 2013 had the biggest impact on
this project in terms of taking the police services to the communities. There has been an increased
visibility of the police, increased reporting of illegal fire arms, etc., registration of identity cards and
increased safety of children in informal settlements. It is a good model on how business can support
the police for enhanced community protection.
� Edcon supports the SA Police Prestige Awards to appreciate the role of the police at local, provincial
and national levels. The Johannesburg awards are supported 100% while the awards at provincial and
national levels are supported partially. This is aimed at encouraging police officers to do well and go
beyond the call of duty and to incentivize those who are already doing well to sustain the good work.
� Edcon monitors impact and proper use of funds for example, annual reviews, monitoring and
evaluation, project visits, reporting and annual audits.
� Being a recipient of CSI funding comes with stringent reporting requirements and it can be tiring
for NGOs particularly if they report to various companies and donors. This could lead to tension
between NGOs and corporates.
� At times, NGOs are given short notice by corporates to access CSI funding or to jointly host events
resulting in lack of time to do prepare a good proposal or host a well planned event.
� Without communities, there are no customers/clients and without customers/clients there is no
business. This is the business case for businesses to give; without the triple bottom line, there is
no business. Business without giving back can lead to tensions between employees, communities,
government, civil society and the private sector.
� CSI is a long-term investment. The short term benefit is attained in part through the BEE points and
score-card.
� South African companies operating in Botswana and other countries operate a centralized system.
For Edcon, plans are underway to investigate an integrated regional CSI strategic framework in
future. In November 2013, some of the Edcon CSR team members attended the dissemination
meeting for BOCONGO’s CSI Mapping study. The link was made through their CSI consultant
who was involved in this study. They would like to learn more about the situation in Botswana as
part of the process to develop their SADC CSR framework.

Key Lessons Learned and
Recommendations
3.1 For Maatla Partners and other NGOs
yy Operate on the principles of social entrepreneurship meaning that, the organization runs and thinks
like a business although it operates on social principles; sell your unique and specialized services.
yy Think creatively about resource mobilization strategies.
yy Focus on the core business and future sustainability and avoid getting side tracked.
yy Avoid launching of new projects at the start – wait until results are visible and only then can you
showcase what has been achieved.
yy Seek strategic partners (including government) who can replicate and scale up successful models.
yy Protect your intellectual property.
3.2 For the Private Companies
yy CSR should be regarded as a process of empowerment based on sustainable interventions.
yy CSR initiatives and partnerships can have a high impact and contribute towards the betterment of
institutions and communities e.g, Edcon’s partnership with the South African Police Service.
yy Use your brand power – it can attract attention at the highest level of leadership in the country.
yy Always be guided by the principle of “Does it serve the greater good’
yy Define your focus areas in order to attract relevant NGO partners.
yy Work with reputable organizations that have the capacity to deliver on what they are supported to
do.
yy The employees are a huge resource, employee based programs can yield great results in terms of
community support and empowerment – use them!
yy The work place is a good platform for social change – invest in work place programs.
yy There is an option for companies to outsource their CSR portfolio – Tshikululu model.
3.3 Follow Up Actions
FHI360
yy Disseminate the learning visit report to FHI 360 regional office, Maatla partners and other key
stakeholders such as the NACA TWG.
yy Arrange a breakfast meeting for the CSR managers of key private sector companies in Botswana
and invite some of the companies that the team visited for experience sharing – FHI 360 Regional
Office pledged support for this activity in terms of facilitating a positive response from some of the
companies they have relationships with such as Tshikululu.
Botswana Business Coalition for HIV and AIDS (BBCA)
yy Assist Edcon with creating networks in Botswana and information gathering as part of the process of
the development of their CRS Framework.
3.0

ANNEX 1: Program, list of companies visited and employees that were
interviewed March 24-28th
2014
Time Organization Individuals that were interviewed
Day 1: Monday 24th
March 2014
08:00 – 09:00 Hotel – Breakfast: Holiday Inn Rosebank
09:00-10:00 Team meeting to prepare for meetings
11:00–11:45 Travel to 2nd
App in Pretoria
12:30 – 14:00 Lunch
14:30 – 16:00
Foundation for Professional Development
(FPD)
Dr Gustaaf Wolvaardt – Managing
Director
16:00 – 16:30 Recap of day One
16:30 – 17:00 Travel back to hotel
Day 2: Tuesday, 25th
March 2014
06:30 – 08:00 Hotel – Breakfast
08:30 – 11:30 Working from hotel
11:30 – 12:30 Travel to 3rd
App in Pretoria
12:30 – 14:.00 Lunch
14.30 – 16.00 The Institute of Corporate Citizenship UNISA Professor Neil Eccles
16:00–17:00 Drive back to Hotel
Day 3: Wednesday, 26th
March 2014
06:30 – 08:00 Breakfast
09:00 – 09:20 Travel to 4thth
App in Johannesburg
09:30 – 10:30
Sasol Rosebank
Pamilla Muhdray: Head of Community
Affairs
Gugu Zuku: Education Specialist
George Phala
10:30 – 10:55 Travel to 5th
App in Johannesburg

11:00 –12:00 Tshikululu Social Investments NPC
Graem Wilkinson: Client Relationship
Manager
12:00 – 12:45 Travel to 6th
App in Johannesburg
12:45 –13:30 Lunch
14:00 –15:30
South African Business Coalition against HIV
and AIDS SABCOHA
Susan Preller: Acting CEO
Thando Khaile: Senior Programme
Manager
16:00 Travel to hotel to recap
Day 4: Thursday March 27, 2014
06:30 – 08:00 Breakfast
08:30 – 09:30 Travel to 7th
App in Johannesburg
10:00 – 11:30 Edcon
Mercia Maserumule: Group CSI
Manager
Haley Williams: CSI Project Manager
Ralese Adriaanse: CSI Project
Manager
Piet Manjela: CSI Project
Administrator
12.00 – 13.30 Lunch
14:30 – 16:00 Free Afternoon
Time Activity
Day 5: Friday March 28, 2014
06:30 – 09:00 Breakfast & check out
09:00 – 09:45 Drive to FHI 360 for debriefing
10:00 – 11:00
De briefing at FHI 360
Shawn Malone: Regional Director
Kurayi Kowayi: Senior Programme Officer
La Chenna Cromer: Regional Business Development Manager
11:00 onwards Travel to airport - Return to Gaborone

Report CSR Visit to SA 2014 (2)

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