Integrating SMMEs into the automotive aftermarket sector



NDP.jpgThe evolution of BEE in terms of its roadmap to progressively integrate SMMEs into the supply chains of industry is prominent with the new BEE Codes. It highlights a government that has prioritised entrepreneurship and the advancement of SMMEs as the catalyst to achieve economic growth and development.

"It is a positive step, because to achieve the National Development Plan (NDP) and for the economy to become inclusive, all of South Africa’s economic sectors have to be reflective of her population demographics and the business environment must foster SMMEs that will be in a position to sustainably create employment," says Thulani Hlatswayo, a Franchise Mentor at The Hope Factory in this month’s SmartProcurement.

National Development Plan (NDP) has targeted the creation of 11-million jobs by 2030. “SMMEs and cooperatives are a critical means to empower South Africa’s people and are a mechanism to draw new entrants into the economy, strengthen inclusive growth, build the social economy, encourage solidarity and create large numbers of jobs,” said Minister Lindiwe Zulu, discussing the then newly announced Department of Small Business Development

Facilitating entry into the automotive sector

South Africa’s automotive industry sector is one of the most vibrant in the African continent; it is further viewed as a pervasive platform for advanced manufacturing and as a generator of engineering skills and critical job creation.

However, along with the automotive aftermarket sub-sector, the automotive industry is one of the least transformed in reflecting the demographics of South Africa, says Hlatswayo.

Renew My Car and The Hope Factory, as a SAICA aligned enterprise development entity, have teamed up to assist black-owned start-up businesses to facilitate an entry into the automotive cosmetic repair business, as service providers for convenient mobile paint and valets on the spot.

Over and above legally registering entrepreneurs’ businesses and providing technical training and support, The Hope Factory supports entrepreneurs through various customised business skills workshops and a comprehensive business mentorship component.

The beneficiaries of The Hope Factory / Renew My Car programme often hail from indigenous communities, while they are determined to be successful, independent business owners, they further have the ambition to grow their business, create jobs and give the best service in renewing your car.

The Hope Factory is calling on organisations’ fleet management to get involved in this initiative by maintaining the paintwork of their car fleet, their staff can reduce time spent off-site on carwash and can gain BEE points on Supplier and Enterprise Development component.

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