Select Committee on Local Government

1
Select Committee on Local Government
Administration

• Lucas Mogashoa
• GM Strategic Services
• Sagaren Naidoo
• GM Finance

10 May 2007
2
Agenda
1. Introduction
5. Challenges
2. SITA Transformation
4. FY08 Budget
3. Strategic Objectives
3
INTRODUCTION
4
Mandate and Funding

• SITA is an enacted company that derives its
  mandate from
• SITA Act 88/1998 as amended 2002.
• SITA Act 88/1998 General Regulation NR 904,
  DPSA, Sept 2005.
• Funding Model
• SITA Pty (Ltd) is a Schedule 3a Public Company.
• Financially self sustaining through Products and
  Services.

5
SITA Act

• Objective
• To improve service delivery to the public and to
  promote the efficiency of departments and public
  bodies through the use of ICT and related
  services in a secure environment.

6
House of Values
7
SITA Mission and Vision

• Vision To be a global leader in public sector
  information and communications technology.
• Mission To cost-effectively enhance public
  service delivery through information and
  communications technology
• Values
• Service Excellence
• Transparency
• Integrity
• Fairness
• Prudence
• Innovation

8
Mandated Services to Government
9
Human Resources Statistics
10
Top Accounts
11
Revenue per Business Unit
12
SITA TRANSFORMATION
13
SITA Transformation

• Reasons for Transformation
• SITA Image, Customer Perception, Employee Morale
• Transformation A Journey not a Destination
• Approach
• Arrest Normalise The Situation
• Rationalise For Optimum Performance
• Strategic Imperatives
• Radically improve service delivery to the
  Citizens
• Prioritise Citizen-centric projects
• Drive to the best demonstrated practice in people
  management and leadership
• Overhaul internal and external communication to
  improve transparency, visibility and image
• Build an appropriate organisation structure and
  team to achieve strategic objectives
• Maintain financial sustainability.

14
Performance to Date

• Service
• CSI FY04/5 (47) FY06/7 (62)
• Procurement
• Tender Days FY04/5 (242) FY06/07 (76)
• Finance
• Revenue FY05/6 (R2.9Bn) FY06/7P (R3.3Bn)
• PBT FY05/6 (3.9) FY06/7 P(4.6)
• Projects
• Batho Pele Gateway Translation
• Track and Trace
• GovTech
• Public Sector ICT Conference
• Thought Leadership

15
STRATEGIC OBJECTIVES
16
Trends and Drivers

• Communication Convergence
• Service Oriented Architecture
• eGovernment Maturity
• Identity Management
• Open Source Movement
• Strategic Out Tasking
• Consolidation and Partnerships

17
Objectives

• Manage Operations
• Radically Improve Customer Experience of SITA
• Focus on Operational Efficiency and Effectiveness
• Reposition SITA for Public Sector ICT Leadership
• Accelerate the Implementation of eGovernment
• Provide Thought Leadership
• Develop Appropriate Partnerships and Alliances

18
Initiatives

• Destination to Success - Change Management
• Service Improvement Programme
• e-Government Revitalisation
• Municipality Blueprint
• Integrated Financial Management System
• New Generation Network Platform
• OSS Project Management Office
• Industry Wide Skills Development

19
FY08 BUDGET
20
Consolidated Statement of Financial Performance
21
Consolidated Cost of Sales
22
Total Depreciation
23
Total assets
24
Equity and Liabilities
25
Property, plant and equipment movements
26
Capex Budget
27
Cash flow Statement
28
PEER COMPARISON
29
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32
CHALLENGES
33
Challenges

• Constraining Funding Model
• Weak Legislative Mandate
• Industry Skills Scarcity
• Reluctant Client Base

34
Thank You Q A
A man who does not think and plan long ahead
will find trouble right at his door. -
Confucius
Lucas Mogashoa GM Strategic Services Sagaren
Naidoo GM Finance State IT Agency (Pty) Ltd 459
Tsitsa St. Erasmuskloof Pretoria, South
Africa Web www.sita.co.za