WoolWorths holdings limited 2013 good BUsiness JoUrneY report

Transformation and corporate social investment
Partnerships
Our journey has reinforced the need for partnerships in the
BBBEE initiatives we have embarked on. There’s been welcomed
partnership from:
• Our employees who have become change agents by
embracing the company’s transformation and making it
happen. The growing community of BEE Champions in
Woolworths have proven that BEE has to start with a
shift in an individual mind-set, and they have committed
to making a difference in their sphere of influence. Line
managers commitment has been seen in the increasing
diversity of talent in the business and development thereof.
The procurement teams’ and buying groups’ transformation
efforts have made an impact in the transformation of
Woolworths supplier base through creation of procurement
opportunities for black-owned suppliers, Supplier Development
and Enterprise Development.
• A number of suppliers have partnered Woolworths in Supplier
Development, for example Qutom, our tomato supplier:
Governance and Organisational
Development Approach
Under the governance of the WHL Social and Ethics committee
of the board, management has continued to improve on
ensuring that there are appropriate strategies, policies and
processes in place in order to drive sustainable transformation.
There are other forums in Woolworths that play a role in
monitoring transformation progress against targets, consulting,
driving strategy, and helping us reflect on this journey.
We continue building capacity to transform as a business
and in turn contribute to the transformation of the country.
Our capacity building efforts expand to the supply chain
as a way of supporting suppliers own transformation journeys.
Case study – Elukwatini Tomato farmers
Deep in the rolling farmlands of Elukwatini, Mpumalanga,
lie several small plots of land that are bringing renewed
hope to an impoverished community of former subsistence
farmers. Elukwatini’s red soil produces healthy vegetable
crops, but the distance to market had effectively destroyed
any attempts by small-scale farmers to make a profit,
forcing them to remain subsistence farmers.
Woolworths, in partnership with Technoserve (Enterprise
Development partner) and Qutom (Woolworths tomato
supplier), stepped in to provide training, mentoring,
technical assistance and establish essential links to
both finance and retail markets. The farmers were also
assisted with a grant and have since used ‘top up' and
production loans. Woolworths has given a production
loan for R350 000.
The pilot project started in 2011 with 13 one-hectare crops
of tomatoes. The first crop was harvested in April 2012.
They harvested 570 tons of round tomatoes of which
202 tons went to Qutom (with 80% of those being packed
for Woolworths) and 268 tons went to local traders
and some were exported, with an estimated additional
100 tons sold by the farmers locally. With an increase in
yield in 2013, the top farmers generated net profits of more
than R75 000 from 1.5 hectares. The farmers are creating
employment for 80 – 90 local people during the ninemonth
tomato production period.
One of the farmers said the Woolworths Enterprise
Development programme and the training received have
helped her become a more successful farmer. She has
been able to build a house with the money she has earned
and support her four children. She has five permanent
employees and also hires seasonal workers during harvest
time, which means she supports about 30 people in her
local community.
For more examples of suppliers who have become
part of our Enteprise Development programme,
see www.woolworths.co.za/goodbusinessjourney
WHL 36 / 2013 GOOD BUSINESS JOURNEY