MHSC ANNUAL REPORT 2020

MINE HEALTH AND SAFETY COUNCIL ▪ ANNUAL REPORT 2019/20

Name of the Objective (LG01): Ensure best HR management practices that will support the achievement of a highly skilled, motivated and capable governance arrangement and workforce, Council and all MHSC Advisory Committees. Definition: Ensuring that HRM within MHSC implements best HR practices to support the achievement of highly skilled, motivated, capable workforce including Council and all MHSC Advisory Committees.. Primary Measure: Percentage of achievement of initiatives Target for the Year: 100% Actual: 72% Variance: 28% % of target achieved: 72% Status: Not Achieved Initiative 1: Review the Human Resources strategy. The Human Capital Strategy and Implementation Plan was reviewed and approved by Council in June 2019. Initiative 2: Implement the Human Resources strategy. The human resources strategy implementation plan included forty-three (43) initiatives of which nineteen (19) were implemented and twenty-three (23) were not implemented. Reasons for Variance • The Human Capital Strategy and Plan was approved late and implementation commenced late and caused time constraints. Name of the Objective (FP01): Ensure financial sustainability and viability of MHSC. Definition: Ensure the collection of revenue to enable the MHSC to have adequate financial resources to deliver on its mandate. Primary Measure: Proportion of income collected Target for the Year: 90% Actual: 94% % of target achieved: >100% Status: Achieved Initiative 1: Develop a revenue generation strategy and Plan. • The Revenue Generation Strategy was developed late and submitted to ARC during March 2020 and was duly approved. Initiative 2: Implement revenue generation strategy and Plan. • The Revenue Strategy could not be implemented as planned as it was submitted late for approval by ARC. The delays were as a result of capacity constraints within the Finance Business Unit. Initiative 3: Implement the revised levy model • The billing process commenced in September 2019 and a total of R 78 864 347,98 was billed and R 73 996 798,94 was collected resulting in ninety-four percent (94%) has been collected. • The dummy invoices were sent to the top 5 mines in each commodity which are the mines that contribute about seventy percent (70%) of the levies collected.

Name of the Objective (FP02): Ensure efficient and effective financial management. Definition: Ensuring value for money through zero budgeting, strategic sourcing and spending.

Target for the Year: +/- 5%

Actual: -16%

Variance: -11%

% of target achieved: 88%

Status: Not Achieved

Primary Measure: Average percentage variance of spending against approved budget

Initiative 1: Develop a sourcing strategy. The Sourcing Strategy was only approved in March 2020.The Finance Unit experienced challenges with capacity which led to the Strategy not being developed in January 2019 as originally planned.

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