HOW WE CREATE VALUE
Our strategy and key strategic focus areas
SAICA remained committed in delivering value for its members and society by advancing strategic initiatives while ensuring financial sustainability. SAICA’s strategic management process follows the stages shown below.
PROGRESS ON DELIVERING ON THE STRATEGY
The Board-approved strategy adopted in 2021 remained relevant for the reporting period and SAICA has satisfactorily delivered on the defined strategic objectives and initiatives which underpin the four strategic pillars. The existing SAICA strategic pillars (Member Value, Relevance and Reputation, Growth and Transformation and Organisational Sustainability) remained relevant and adequate for the reporting period in supporting the organisation to achieve its ‘True North’ vision.
These strategic pillars are supported by eight strategic objectives, underpinned by twenty-four strategic initiatives, to achieve these objectives. The graphs that follow illustrate resources allocated to each strategic pillar during 2023.
RESOURCE ALLOCATION
R6 962 (FY22: R6 662)
Member fee split across strategic pillars and retained in reserves and retained in reserves
PERFORMANCE MEASURES
The strategic pillars and objectives defined in the strategy map are embedded into SAICA’s balanced scorecard (see performance against strategy), which sets measures and targets for each initiative.
The organisation is aligned by cascading the strategy down into the business and support unit divisional scorecards. The strategic pillars operate across functions and business units to support successful strategy execution. Individual scorecards are linked to the divisional scorecards to ensure that employees fully understand the strategy and align their day-to-day activities to its priorities. Performance is measured and monitored at all levels of the organisation.
Strategic initiatives are included in the business planning process and budget forecasting to ensure sufficient funding is allocated for effective execution.
MONITORING, REFINEMENT
AND REVIEW
Progress with implementing the strategic initiatives is monitored, reviewed and evaluated to assess their effectiveness and contribution to the strategy. Where necessary, initiatives are modified to improve strategic delivery.
SAICA Board
HR & REMCO, ARC and the Board sub-committees review the quarterly CEO report and SAICA’s balanced scorecard.
At the end of the year, HR & REMCO and the Board review the SAICA scorecard, divisional balanced scorecards and employee balanced scorecards, and allocate final end-of-year scores. Performance results are linked to incentives by the relevant HR policies.
Management and executives
The CEO and the Executive Committee meet weekly to discuss progress on, amongst others, strategic initiatives, identify root causes of any performance issues, ensure that the initiatives are still delivering as intended, and identify early-warning indicators for corrective actions where necessary to ensure successful outcomes.
The Management Committee (MANCO) convenes quarterly to review strategic performance using the SAICA scorecard. Feedback is disseminated organisation-wide by the respective executive directors. Integral to strategy execution are risk oversight, monitoring, townhall engagements with staff, and weekly communications from the CEO. These mechanisms identify initiatives veering off course and enable the implementation of corrective management actions to address any shortcomings.
Individual
Individual performance is monitored on a day-to-day basis at the operational level against the employees’ KPIs, as they execute strategic initiatives. Formal performance reviews are carried out bi-annually in June and December.
SHAPING STRATEGY 2024−2028
"In navigating the ever-evolving landscape of professional excellence and shaping SAICA’s future strategy it is imperative to acknowledge and adapt to the dynamic global and local trends that will influence the accounting and auditing industry".
SAICA initiated its strategy formulation for the period 2024–2028 inviting input from all stakeholders for the first time. This inclusive process ensures that the strategic objectives of the organisation are collectively identified and formulated, marking a pivotal step in shaping the organisation’s future direction.
The development of the 2024−2028 SAICA strategy was grounded in a thorough environmental analysis encompassing both external and internal dimensions. Understanding the dynamic contexts within which organisations operate, we conducted a comprehensive macro-environmental PESTEL analysis, global and South African trends analysis, and SWOT analysis to gain a comprehensive understanding of our operating environment. This process involved engagement with approximately 34 external stakeholders alongside soliciting input from SAICA employees, Council and the Board for our internal environmental scan.
Furthermore, our strategy was significantly influenced by the Economic Blueprint, serving as a guiding framework for the profession and empowering our members, including associates, to make informed economic and business decisions.
In July 2023, SAICA’s management team and the Board participated in a strategic planning session collaborating to consider the multitude of external and internal factors affecting SAICA’s operations, drawing insights from our diverse stakeholders.
At the heart of the 2024−2028 SAICA strategy lies our continued steadfast commitment to enhancing the public interest. This is evident through prioritised initiatives and activities that contribute to the well-being of the broader community and society. This commitment encompasses fostering ethical behaviour, promoting transparency, and ensuring accountability within the accountancy profession to uphold the public trust. Additionally, we intend to further strive towards initiatives that bolster the economic well-being of the public, advocate for sustainable business practices, and actively engage with stakeholders to address broader societal challenges. Ultimately, enhancing public interest entails that we align our goals and actions with the broader interests and welfare of the public we serve.