On the Money
STUART THEOBALD: Transformation Fund worsens disease of ‘inputitis’
The policy is overly focused on inputs — the amount that is spent — instead of outputs
I have previously bemoaned in this column the disease of “inputitis” that burdens BEE policy in SA. The policy is overly focused on inputs — the amount that is spent, in effect — instead of outputs, the amount of transformation and black empowerment that is achieved. As a result, we waste resources and fail to keep our eyes on the prize.
The proposed Transformation Fund, a concept paper for which was published last week by the department of trade, industry & competition, is an exacerbation of the affliction. The main thing anyone knows about the fund is that it is planned to be worth R100bn. No-one seems to have thought through what outcomes that amount is supposed to get us, or how the money will deliver them. ..
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