RAND WATER ANNUAL REPORT 2023

Value Added Statement For the Financial Year under review, wealth of R7.7 billion (FY2022: R6. 4 billion) was generated, of which 41% (FY2022: 47%) was invested in employees through salaries, pension plans and medical cover. 53% (FY2022: 46%) of the value was reinvested in initiatives to ensure that Rand Water meets its growing demand.

Distribution of Wealth Created

Providers of Capital

Employees

Reinvested

2023

41%

6 %

53 %

46 %

2022

7 %

47 %

Driving Change in Finance In the year 2023 we continued our objective of the finance strategy to establish the business unit as a strategic business partner to the organisation, fostering growth, facilitating efficient business operations, and ensuring the organisation’s financial sustainability. The Business Unit’s strategic design allows it to support the organisational strategic pillars by looking back and reporting, transacting constitutionally, and planning for the future. This is achieved through the Finance model that houses a Finance Shared Services (FSS) area and a Centre of Excellence area. The FSS area provides day to day operational services to the business, processing transactions within a controlled environment, whilst the Centre of Excellence; houses financial planning and business partnering services where finance moves closer to work with business for analysis, advisory services and sound decision making. Funding activities including Group Treasury, Medical Scheme and Provident Fund are part of the Centre of excellence where central banking, borrowing, investments and Finance risk management services are offered. The Reporting and Compliance environments, manage regulatory reporting and ensures that Finance complies with all applicable regulations. The Finance Project Management Office (FPMO), which directs the strategic efforts for the Finance community, was established in 2022. As the economy, business environment, and the rest of the world become more brittle, anxious, nonlinear, and incomprehensible (BANI), this financial structure has been examined and strategically redefined to ensure it can move toward optimal service delivery with agility.

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