DATACENTRIX MAINTAINS LEVEL 1 BBB-EE RATING


High-performing and secure ICT giant, Datacentrix, has maintained its level one broad-based black economic empowerment (B-BBEE) rating for three consecutive years. Datacentrix Chief Financial Officer, Elizabeth Naidoo, says the rating is a team effort across the business.

“Datacentrix has held a level one rating for three consecutive years,” she clarifies, “and this year, the rating is maintained in terms of the new code levels. Sustaining our empowerment rating is a priority on management’s agenda – it is an integral part of our business culture and strategy, and one of Datacentrix’s fundamental objectives.

“In the current economic climate, as well as in support of the country as a whole, it’s important to be truly part of the transformation process, and not simply to follow a tick-box exercise. We are proud of the way we have aligned our strategy with the B-BBEE codes.”

Naidoo notes Datacentrix began its transformation journey 21 years ago, nine years before the codes were first introduced. She notes: “The company’s culture has definitely changed with the transformation of the country, and executive management has elevated empowerment to a strategic level in the business.

“Employment equity is fundamental to the company culture, and in this regard, recruitment plays a crucial role in maintaining our empowerment level. Additionally, from a learnership perspective, we have accommodated around 700 learners over the past eight years. Datacentrix operates according to stringent procurement policies that support and encourage the supply from SMEs and smaller businesses, helping them to grow in the context of the greater economic climate.”

Some of the highlights of the maintained rating include:

  • Black ownership of 51.42%;
  • Black women ownership of 47.09%; and
  • 135% procurement recognition.

Naidoo adds: “All Datacentrix’s business managers contribute towards employment equity, keeping this at the forefront of their recruitment processes. Further, human resources manages skills development and corporate social investment across the business, while all of management ensures that procurement is channelled through the right vendors, who add value to our B-BBEE credentials. From our clients’ perspective, it is positive for them to see that we are interested in partnering with companies that have prioritised transformation.”

Naidoo says the maintenance of the level one rating plays an important role in the company’s growth. “We find that some of our customers look quite closely at the different elements of the scorecard, with management control, procurement and ownership being especially important. From a strategic perspective, it is nearly impossible to grow a business if you are not accredited at the highest level, as clients only want to deal with the most empowered companies,” she reveals.

The company was nominated in the Top Empowered ICT Award category at the 18th Annual Oliver Top Empowerment Awards held in April 2019, for the second consecutive year.

The implications of 10%, 25%, 30% or 51% black shareholding must be fully understood to optimise the ownership scorecard, as well as attract and retain customers. The percentage of black ownership held by an organisation determines their ultimate value. For example:

  • Less than 10% black ownership results in an organisation being discounted by one status level.
  • 10% black ownership meets the sub-minimum requirement, therefore discounting of one status level is avoided.
  • 25% black ownership optimises the ownership scorecard which meets scorecard set targets.

Companies that procure only from Level 1 suppliers spend less but can claim more. When a potential customer is in the process of choosing a supplier, their own BEE level is affected by the supplier’s level. And the higher the supplier’s level, the more the customer can claim towards their procurement spend.

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