IBM South Africa invests in skills, education
2 July 2015
IBM South Africa and the Department of Trade and Industry have launched the first
phase of one of South Africa's largest equity equivalent investment programmes
(EEIP), the R700-million IBM South Africa Broad-Based Black Economic
Empowerment Equity Equivalent Investment Programme.
Minister of Trade and Industry Rob Davies signed off on the programme on 26
January, for a period of 10 years. It will build a research hub in South Africa, as
well as foster enterprise and deep skills development.
At the time, IBM said it planned to inject millions of rands into skills development
and education in the fields of science and technology, establish a research hub in
Johannesburg and ensure healthy enterprise development.
Speaking at the official launch of the EEIP in Midrand, Gauteng on 1 July, Deputy
Minister of Trade and Industry Mzwandile Masina called on multinationals to
participate in the programme and contribute to the
growth of the country's
economy.
"The equity equivalent programmes are expected to contribute towards the
achievement of enterprise creation and development, foreign direct investment,
accelerated growth and development of black rural women and youth, sustainable
growth and development, human development with focus on education and skills
development, infrastructure investment with an emphasis on developing the
country's research and development infrastructure," Davies said in Cape Town
today.
IBM Research Africa
The IBM South Africa EEIP will comprise three integrated and interdependent
components, underpinned and supported by IBM Research Africa, namely:
Enterprise Development Programme, Academic Programme and Research
Programme.
The first will focus on helping black-owned and black women-owned businesses with
a particular focus on small- and medium-sized enterprises (SMEs) and youth in the
information, communication and
technology sector.
Over the decade, it will work with 74 beneficiaries that are either individuals with
aspirations of being entrepreneurs, SMEs, or mature enterprises seeking to grow
through the acquisition of new skills and capabilities.
The Academic Programme will fund the education of 46 undergraduates, six Masters
students and four PhD students with bursaries at the University of the
Witwatersrand, internships at IBM and supplementary short courses and project
work.
As part of the decade-long investment programme, Research Africa, the new
research facility based at Wits, will aim to expand research and development
activities and foster innovation.
IBM Research Africa will focus on addressing the key challenges of South Africa
through commercially viable innovations that will have a positive effect on people's
lives.
BBBEE requirements
"In terms of the company's commitment, I have granted IBM South Africa the
full 20
points under the ownership element of the B-BBEE codes for their participation in
the programme," Davies concluded.
Abraham Thomas, IBM South Africa's country general manager, said it was a
privilege for the company to be involved with the programme. "I would like to
encourage all my fellow multinational companies in South Africa to really look at
this as a potential programme where they can build even deeper roots in South
Africa and the development of this fantastic country."
Masina, speaking at the official launch in Gauteng, described it as another good B-
BBEE story that contributed towards making South Africa a better place to live.
"This launch is part of our on-going efforts to promote the [EEIP] as an alternative
for doing B-BBEE ownership for qualifying multinationals," he explained.
"This is a transformation programme that supports industrialisation and
entrepreneurship. It will assist in addressing the challenges of
inequality, poverty
and unemployment."
Aspiring entrepreneurs can apply online on the IBM South Africa website. Those who
qualify will receive a combination of financial support, skills transfer, mentorship
and relevant business and technical enablement.
SAinfo reporter
An artist's representation of the IBM South Africa Research Africa. (Image: IBM)
