WALTER SISULU UNIVERSITY 20 19 ANNUAL REPORT ANNUAL REPORT 2019 CONTENTS GENERAL INFORMATION ................................................................................................................................ 2 VISION, MISSION AND CORE VALUES ............................................................................................................. 3 THE REPORT OF THE CHAIRPERSON OF COUNCIL ........................................................................................... 4 CORPORATE GOVERNANCE ............................................................................................................................. 5 MEMBERSHIP AND ATTENDANCE AT COUNCIL AND COUNCIL SUB-COMMITTEES ............................................... 6 STATEMENT ON SUSTAINABILITY ................................................................................................................... 7 COUNCIL MEMBERS ....................................................................................................................................... 8 CODE OF ETHICS FOR COUNCIL MEMBERS OF WALTER SISULU UNIVERSITY .................................................. 10 NOMINATION GUIDELINES FOR THE ELECTION OF COUNCIL MEMBERS ......................................................... 11 COUNCIL RESOLUTIONS............................................................................................................................... 12 CAMPUS INFRASTRUCTURE DEVELOPMENT ................................................................................................... 20 AUDIT COMMITTEE ...................................................................................................................................... 22 RISK MANAGEMENT ..................................................................................................................................... 25 INTERNAL ADMINISTRATIVE/ OPERATIONAL STRUCTURE AND CONTROLS ..................................................... 28 INSTITUTIONAL FORUM ............................................................................................................................... 30 STATEMENT ON TRANSFORMATION .............................................................................................................. 31 SENATE REPORT .......................................................................................................................................... 33 PERFORMANCE ASSESSMENT ON CORE BUSINESS ......................................................................................... 59 VICE-CHANCELLOR’S REPORT ON MANAGEMENT AND ADMINISTRATION ........................................................ 74 STATEMENT OF RESPONSIBILITY FOR THE ANNUAL FINANCIAL STATEMENTS ................................................. 91 THE REPORT OF THE CHAIRPERSON OF THE FINANCE COMMITTEE ............................................................... 92 INDEPENDENT AUDITOR’S REPORT ............................................................................................................... 96 CONSOLIDATED STATEMENT OF FINANCIAL POSITION .................................................................................108 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME ..........................................................................109 CONSOLIDATED STATEMENT OF CASH FLOW ...............................................................................................110 CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY ................................................................................111 ACCOUNTING POLICIES ..............................................................................................................................112 NOTES TO THE CONSOLIDATED ANNUAL FINANCIAL STATEMENTS ................................................................127 1 ANNUAL REPORT 2019 GENERAL INFORMATION POSTAL ADDRESS BUSINESS ADDRESS WEBSITE Walter Sisulu University Nelson Mandela Drive www.wsu.ac.za Private Bag X1 MTHATHA MTHATHA 5100 5117 BANKERS First National Bank Investec Bank Limited 4 First Place 100 Grayston Drive Johannesburg Sandown 2001 Sandton 2196 The Standard Bank of South Africa Ltd Absa Limited 5 Simmonds Street ABSA Business Banking Standard Bank Centre Barclays Towers West Johannesburg 15 Troye Street 2107 Johannesburg 2001 AUDITORS External Auditors Internal Auditors Agreed upon procedures PricewaterhouseCoopers Inc. Sizwe Ntsaluba Gobodo Marais & Smith Acacia House Cube 2, Cedar Square 2 Scherwitz Road Palm Square, Bonza Bay Road Bonza Bay Road Berea Beacon Bay, East London Beacon Bay, East London East London Tel: 043-7079600 Tel: 043 - 7211180 Tel: 043-7260010 PricewaterhouseCoopers Inc. Acacia House Palm Square, Bonza Bay Road Beacon Bay, East London Tel: 043-7079600 ATTORNEYS Drake, Flemmer & Orsmond Kirchmanns Inc. Fikile Ntayiya & Associates Tewkesbury House Global House 4th Floor, Office No.3 22 St James Road 3 Pearce Street Sanlam Building Southernwood Berea 50 Madeira Street East London East London Mthatha Tel: 043-7224210 Tel: 043-7210963 Tel: 047-5314816 Adams & Adams P O Box 1014 Pretoria 0001 Tel: 012-4326000 2 ANNUAL REPORT 2019 Our Vision Walter Sisulu University (WSU) will be a leading African comprehensive university focusing on innovative educational research and community partnership programmes that are responsive to local, regional and national development priorities and cognisant of continental and international imperatives. Our Mission In pursuit of its vision as a developmental university, WSU will: • Provide an educationally vibrant and enabling environment conducive to the advancement of quality academic, moral, cultural and technological learner-centred education for holistic intellectual empowerment, growth and effective use of information; • Provide and maintain the highest possible standards in innovative learning and teaching, applied, basic and community-based research and community partnerships in cooperation with development agencies, the public and private sectors; • Provide affordable, appropriate, career-focused and professional programmes that address rural development and urban renewal with primary emphasis on science, technology and development studies; • Create a new generation of highly-skilled graduates capable of understanding and addressing complex societal challenges, with critical scholarly and entrepreneurial attributes grounded on morally sound work ethics and responsible leadership. Our Core Values In pursuit of its mission, WSU commits to the following values which are an affirmation of the eternal principles which will inform all dealings of the University: • Academic Freedom: In line with our vision and mission as an accountable institution, we acknowledge our right to exercise academic freedom in a responsible way, in teaching and learning, in research and in community service. • Quality: We commit to institution-wide quality management, value and reward excellence and uphold and protect the integrity of the University. • Access and Success: We provide equitable access to higher and continuing education at all stages of adult life to students who have the potential to succeed. • Transformation: We are committed to addressing equity imperatives, diversity, entrepreneurship and to democratic governance. • People Development: We are committed to the optimum development of the human resources potential and leadership capacity of all staff. • Caring University: We commit to mutual respect, ubuntu, humility, good citizenship, student centredness and endorse and uphold all principles of Batho Pele* . • Resource Consciousness: We commit to utilising the University’s resources prudently and responsibly at all times with a view to adding maximum value to the institution. *Batho Pele means People First: Batho Pele is a set of principles adopted by the public service as part of their commitment to good service and customer care. 3 ANNUAL REPORT 2019 THE REPORT OF THE CHAIRPERSON OF COUNCIL INTRODUCTION stakeholder relationships. The Department of Higher Education, Science and Training presented an overview The Walter Sisulu University (WSU) is one of its kind of the state of governance within the higher education in the higher education landscape in South Africa. Its sector in South Africa. The presentation provided footprint straggles across three district municipalities insights on what often led into institutions being and four local municipalities which are predominantly placed under administration and the growing concerns rural. This makes WSU one of the largest employers the department has on the role of Council versus in the Eastern Cape. Two of its three district Management and ‘stakeholderisation’. This workshop municipalities are named after two former struggle not only reminded councillors of their role but further icons in the persons of Oliver Reginald Tambo and positioned Council towards efficiency and effectiveness. Chris Hani. WSU is a complex geographically spread The Council’s resolutions and the meeting attendance multi-campus comprehensive institution which makes also contained in this report attest to the functionality it easily accessible to more than half of the population of Council and its sub-committees in 2019. of the Eastern Cape. Students are able to apply and study for qualifications from certificate up to PhD level. FINANCIAL POSITION AND AUDIT OUTCOME In 2019 WSU provided access to over 34 000 students. Council is pleased to note the steady and continued GOVERNANCE improvement