Cummins South Africa (Pty) Ltd. is now officially a Level 4 B-BBEE Contributor, having progressed from its previous Level 8 B-BBEE Contributor status. “It is a significant milestone for both Cummins South Africa, as well as our employees, who stand to benefit from the newly-formed Cummins Employee Empowerment Scheme (CEES),” comments Southern Africa Managing Director Racheal Njoroge.
“This has been a long time in the making, being a journey that we originally embarked on in 2015. We have enjoyed strong collaboration from both local participants and global stakeholders, in addition to the support and involvement of our top management team. This initiative has always been close to my heart and is something I will continue to remain passionate about,” says Njoroge.
“We wanted to ensure that we fully evaluated all the B-BBEE ownership options available to us, and through the process decided on the Cummins Employee Empowerment Scheme (CEES). Given the global nature of our organisation and workforce, educating our various stakeholder groups on the direction we wanted to take was important.”
- Cummins’ ongoing transformation journey is based on the following key goals:
- Investing in its most valuable resource, its people
- Supporting the development of critical skills in the economy through its skills bursary and disability spend
- Maintaining strong partnerships through its Preferential Procurement, Supplier and Enterprise Development programmes; and
- Continued commitment to improving communities through its Socio-Economic Development Programmes
“What has been our intent as Cummins from the get-go was to ensure we were not only implementing the terms of the Act, but that we did so in alignment with our core values, with a special focus on caring, diversity and inclusion as well as integrity. I am very pleased that we were able to achieve all of these pillars, and our B-BBEE Level 4 certification as well,” says Njoroge.
CEES, which is managed through a Trust, will deliver tangible value for all black employees. “It does not only align us with the legislative requirements but allows us to pursue our transformation journey even further, as we continue to build a strong business for all stakeholders.”
Njoroge notes that a Level 4 B-BBEE certification also directly impacts Cummins’ customers, as it positively contributes to their own scorecards, enabling them to increase their procurement spend as they are now dealing with a compliant Level 4 supplier. “We are already partaking in tender opportunities that were previously not an option, so this latest development is certainly a win-win for all stakeholders,” says Njoroge.
While its impact will be felt throughout the Cummins Africa and Middle East region, the Level 4 B-BBEE status applies specifically to Cummins businesses in South Africa. “It will definitely benefit us in the region as it will allow us to access additional business opportunities. Of course, such legislation is country-specific, while the localisation requirements also differ from country to country. We are, however, willing to share our wealth of knowledge and experience in this regard with any stakeholders contemplating a similar transformation journey in their own specific areas.”
Njoroge adds that Cummins South Africa’s transformation journey is far from over, and that it will continue to invest in its employees, as well as uplifting and empowering the local communities in which it operates. As for the future, Africa remains a critical market, with significant potential. “Opportunities in Africa remain plentiful, despite some challenges, and hence there is a strong commitment on the part of Cummins to continue investing in the region. We sincerely hope that all our stakeholders join us on this exciting journey, as together we can do so much more to stimulate economic growth,” concludes Njoroge.