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ANNUAL REPORT 2015 VISION The SABC inspires change through enriching, credible, relevant and compelling content that is accessible by all. MISSION To educate, inform and entertain all audiences accessing SABC services. VALUES Conversations and Partnerships Restoration of Human Dignity Building a Common Future This is the 78th Annual Report of the South African Broadcasting Corporation (SOC) Limited, referred to as ‘SABC’, ‘the Corporation’ or ‘the Company’ (Registration Number: 2003/023915/30). It is tabled in Parliament in terms of the Broadcasting Act, No 4 of 1999, as amended, and the Public Finance Man- agement Act, No 1 of 1999, as amend- ed. REGISTERED OFFICE ADDRESS: Radio Park, Henley Road, Auckland Park, Gauteng, 2006 CONTENTS | POSTAL ADDRESS: Private Bag X1, Auckland Park, Johannesburg, Gauteng, 2006 CONTACT TELEPHONE NUMBERS: South African Broadcasting Corporation [SOC] Ltd Tel: +27 11 714 9111 Fax: +27 11 714 3219 EMAIL-ADDRESS: [email protected] WEBSITE ADDRESS: Visit the SABC: www.sabc.co.za EXTERNAL AUDITORS INFORMATION: Auditor-General SA, Refer to page 143 on how to use this interactive image. Lefika House, 300 Middel Street, Brooklyn, Pretoria, 0001 BANKERS INFORMATION: ABSA Limited | SABC Annual Report 2014 | 2015 ABSA Towers East, 3rd Floor, 170 Main Street, Johannesburg COMPANY SECRETARY Ms Theresa Geldenhuys Group Company Secretary Tel: +27 (11) 714 3910, Fax: +27 (11) 714 3219, Mobile +27 83 679 9585 Private Bag X1, Auckland Park, 2006, Gauteng, South Africa E-mail: [email protected] ANNUAL REPORT CONTENTS List of Abbreviations/Acronyms 4 SABC AT A GLANCE 7 Showcasing Our Platforms 8 Organisational Structure 10 Foreword by the Chairperson 11 Composition of the SABC Board 12 SABC Leadership 16 Provincial Offices and their Leadership 17 Chief Operating Officer’s report 18 Strategic Overview 19 Legislative and other Mandates 20 SABC PERFORMANCE 23 Situational Analysis 24 Service Delivery Environment 24 Organisational Environment 25 Key Policy Developments and Legislative Changes 25 Strategic Outcome Oriented Goals 26 Delivery on the Predetermined Objectives 28 Summary of Financial Information 33 Capital Investment, Maintenance and Asset Management Plan 36 Revenue Collection: Commercial Enterprises 36 Delivery on the Mandate: Compliance with Licence Conditions 37 Technology 47 Marketing Initiatives: Building the SABC Brand 48 Complaints 51 Stakeholder Engagement 52 Achievements and Awards 55 SABC GOVERNANCE 59 Portfolio Committees 60 Executive Authority 60 The Accounting Authority/Report of the SABC Board 60 Risk Management 68 Internal Control 68 Internal Audit and Audit Committee 69 Compliance with Laws and Regulations 70 Fraud and Corruption 71 Minimising Conflict of Interest 72 Code of Conduct 72 Health, Safety and Environmental Issues 72 Report by the Company Secretary 72 Social Responsibility 73 Audit Committee Report 75 HUMAN RESOURCE MANAGEMENT 77 Overview 78 Human Resource Oversight Statistics 81 ANNUAL FINANCIAL STATEMENTS 85 Statement of Responsibility and Confirmation of the Accuracy of the Annual Report 86 Report of the Auditor-General to Parliament on the SABC (SOC) Ltd 87 Statement of Financial Position as at 31 March 2015 91 Statement of Profit and Loss for the Year Ended 31 March 2015 92 Statement of Comprehensive Income for the Year Ended 31 March 2015 93 Statement of Changes in Equity for the Year Ended 31 March 2015 94 Statement of Cash Flows for the Year Ended 31 March 2015 95 Notes to the Annual Financial Statements for the Year Ended 31 March 2015 96 IN REMEMBRANCE 142 HOW TO USE THIS INTERACTIVE ANNUAL REPORT 143 LIST OF ABBREVIATIONS ACRONYMS AFCON Africa Cup of Nations AGM Annual General Meeting AGSA Auditor-General of South Africa AR’s Audience Ratings ASASA Advertising Standards Authority of South Africa ARMSCOR Armaments Corporation of South Africa AUB African Union of Broadcasters BA Broadcasting Act BAC Bid Adjudication Committee BASA Business and Arts South Africa BBBEE Broad-Based Black Economic Empowerment BCCSA Broadcasting Complaints Commission of South Africa BRC Broadcast Research Council GE Group Executive BRC RAM Broadcast Research Council Radio Audience HD High Definition Measure HDTV High Definition Television BRICS Brazil, Russia, India China, and South Africa HR Human Resources CAATS Computer-Aided Audit Tools ICASA Independent Communications Authority of South CAF Confederation of African Football Africa CCC Complaints and Compliance Committee ICT Information Communications and Technology CCTV Closed Circuit Television IEC Independent Electoral Commission CFC Cape Film Commission IFFM International Fellowship of Foundational Ministries CI Corporate Identity IFRS International Financial Reporting Standards CNN Cable News Network IIA Institute of Internal Auditors COMESA Common Market of Eastern and Southern Africa IKB Information and Knowledge Building COSAFA Confederation of Southern African Football IMF International Monetary Fund Association IMO 4 CRL Commission for the Promotion and Protection International Mathematics Olympiad REVERENCES of the Rights of Cultural, Religious and Linguistic IOD Institute of Directors Communities IRBA Independent Regulatory Board of Auditors CRRF Council for the Protection of Religious Rights and ISP Internet Service Provider Freedoms IT Information Technology CSI Corporate Social Investment | KPI’s Key Performance Indicators South African Broadcasting Corporation [SOC] Ltd CSIR Council for Scientific and Industrial Research LPT Low Power Transmitters DAB Digital Audio Broadcasting LSM Living Standards Measurement DBE Department of Basic Education MaWids Mamelodi Women in Deeds DCSR Department of Culture, Sports and Recreation MAEG Multimedia and Hypermedia Expert Group DoC Department of Communications MEGA Mpumalanga Economic Growth Agency DPSA Disabled People of South Africa MGB Mpumalanga Gambling Board DSAT Digital Satellite MIFF Mpumalanga International Film Festival DSD Department of Social Development MMA METRO FM Music Awards DStv Digital Satellite Television MTEF Medium Term Expenditure Framework DTH Direct to Home (Satellite distribution) MOI Memorandum of Incorporation DTPS Department of Telecommunications and Postal Services MOU Memorandum of Understanding | SABC Annual Report 2014 | 2015 DTT Digital Terrestrial Television/Transmission MRM Moral Regeneration Movement EAP Employee Assistance Programme MPC Monetary Policy Committee ECA Electronics Communications Act NAB National Association of Broadcasters EE Employment Equity NCA National Credit Act EVP Employee Value Proposition NCC National Consumer Commission EXCO Executive Committee NEMISA National Electronic Media Institute of South Africa FET Formal Education and Training NEPAD New Partnership for Africa’s Development FM Frequency Modulation NICSA National Interfaith Council of South Africa The cast of the local soap production, Isidingo, broadcast on SABC3. NFVF National Film and Video Foundation SAFTA South African Film and Television Awards NLSA National Library of South Africa SAICA South African Institute of Chartered Accountants NYDA National Youth Development Agency SANPARK South African National Parks NYSDP National Youth Skills Development Program SAMA South African Music Awards OB Outside Broadcast SAMF South African Mathematics Foundation ODI One Day International SAMRO South African Music Rights Organisation OHS Occupational Health and Safety SANAC South African National AIDS Council OECD Organisation for Economic Co-operation and SANS South African National Standards Development SAP System Application and Products in Data Processing PAs Political Advertisements SAQA South African Qualifications Authority PAA Public Audit Act No. 25 of 2004 SARB South African Reverse Bank PanSALB Pan South African Language Board SARU South African Rugby Union PBS Public Broadcasting Services SATMA South African Traditional Music Awards PCC Portfolio Committee on Communications SBIS Swaziland Broadcasting and Information Service 5 PCS Public Commercial Services SBL School of Business Leadership PEBs Party Election Broadcasts SEA Screen Excellence Awards PMR Peer Management Review SEDA Small Enterprise Development Agency PFMA Public Finance Management Act SETA Sector Education and Training Authority PGM Provincial General Managers SOC State Owned Company PHWSBC Public Health and Welfare Sectorial Bargaining SOE State Owned Enterprise Council SONA State of the Nation Address PMC Provincial Management Committee SOP Standard Operating Procedure POC Proof of Concept SRSA Sport and Recreation South Africa PP Preferential Procurement STB Set-Top Box PSA Public Service Announcement TAMS Television Audience Measurement Survey PSL Premier Soccer League TOR Terms of Reference PWD People With Disabilities TV Television RAMS Radio Audience Measurement Survey TVBMS Television Broadcast Management System RBF Radio Broadcast Facilities TVC Television Commercial RFP Request for Proposal TVM Television Mozambique ROI Return on Investment USAID United States Agency for International Development RPL Recognition of Prior Learning USSD Unstructured Supplementary Service Data SAARF South African Advertising Research Foundation VHF Very High Frequency SABC South African Broadcasting Corporation SOC Limited VOD Video on Demand SABCOHA South African Business Coalition on HIV/AIDS WASPA Wireless Application Service Provider’s Association SABS South African
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