Economic analysis and development, based on supply & demand factors to assess market gaps & opportunities.
Economic analysis and development essentially entails the identification of supply and demand factors to assess market opportunities based on the gap between existing and potential levels of development in a region. This involves reviewing the resource base, determining the growth potential of sectors, identifying potential for beneficiation, considering known or planned development initiatives, identifying constraints to development, considering international market influences, identifying value-chain opportunities, etc.
In short, economic development entails broadening the economic base of a region with a focus on investigating the comparative and competitive advantages. Apart from a general higher level of output, this also implies introducing new activities, which are not currently operational in the area.
The importance of undertaking economic analysis through value-chain analysis, cluster analysis, economic linkages, etc is to ultimately stimulate economic development and create new jobs in the economy in line with government's outcome based approach towards delivery.
Areas of application include:
Historical growth and trend analysis
Business audit/surveys
Economic datasets/monitors
Investment environment
Sector strategies
Business retention and attraction
Investment and marketing strategies
Investment guides
Incentive policies
Inner City Revitalisations
Development agencies
Spatial economic plans
Local Economic Development (LED) based on identifying the options and opportunities available to broaden the local economic base of an area in order to address the creation of employment opportunities and the resultant positive spin-off effects throughout the local economy.
Numerous elements in a local economy can contribute to increased unemployment levels providing an unhealthy environment for investment, which in turns leads to a stagnating local economy. This in turn can place further strains on an already over extended local resource base, reinforcing the need for an innovative and effective expansion of the local economic base that requires introducing new activities, applying new technologies, development of SMMEs, broadening ownership, etc. The purpose of an LED plan is thus to investigate the options and opportunities available to broaden the local economic base of an area in order to address the creation of employment opportunities and the resultant positive spin-off effects throughout the local economy.
LED strategies requires an inclusive and transparent process specifically allowing marginalized groups of society (e.g. women, youth and the poor) to benefit. In order to develop credible LED strategies socio-economic and economic evidence is required to support the key thrusts of the strategy, as well as reviewing institutional factors to ensure delivery; measurable and clearly identified and achievable objectives, milestones and timeframes; identification of competitive and comparative advantages; alignment to national, provincial and district objectives and spatial issues; the creation of a supportive environment for SMMEs; Council and stakeholder involvement and commitment; adequate community involvement; innovative and creative projects; identification of potential business partners; identification of funds to implement projects; human resource development and labour force transformation; sustainable development; local value-adding and beneficiation; etc.
Components that form part of LED plans:
Policy and strategic directives alignment
Macro and micro overview of:
Physical,
Social,
Economic
Spatial environment
Business surveys
Investment climate analysis
Detailed local sectoral analysis
Strategic framework with thrust, programmes, and projects
Project identification, prioritization, and costing
Implementation plans
Organisational restructuring
Spatial economic plans
Monitoring and evaluation tools
Marketing and Investment strategies
Incentive policies
Feasibility studies
Socio-economic surveys (household and business surveys) aimed at obtaining updated business and household information which is vital for planning, monitoring and evaluation, development of interventions, determination of priorities and allocation of resources, etc.
One of the biggest challenges with regards to socio-economic development is a lack of information, which is vital for planning, monitoring and evaluation, development of interventions, determination of priorities and allocation of resources, etc. As such, Kayamandi strives to obtain reliable and updated status quo information with detailed, clear and accurate information of the business climate and communities demographic and socio-economic composition, etc. This includes quality of life components which considers economic, housing, educational, environmental and perceptional categories such as the conditions under which people are living as well as their attitudes to life and the extent to which they believe that conditions have improved or worsened.
Audits and surveys (based on representative sampling) are conducted based on participative processes, i.e. implying that members of the local communities are recruited and trained to conduct surveys. This approach holds various benefits for the local communities in that capacity building are attained in providing specialised surveying skills and that the fieldworkers can be remunerated. Furthermore, greater acceptability of proposed developments is attained in that communities form an integral part of the research process.
Various methods of obtaining data are employed such as: face-to-face interviews, telephonic surveys, focus group discussions/workshops, summits, etc.
Areas of application include:
Business audits and surveys
Early Warning Systems for business retention
Business attraction and investment climate
Product satisfaction surveys
Settlement audits and census
Household counts and surveys
Socio-economic livelihood characteristics
Macro social profiles
Social analysis and development strategies
Database development
Socio-economic information systems
Social and Labour Plans
Social and labour plans that provide suitable implementation activities which addresses the requirement of the Mining Charter, relevant national priorities, and alignment to the mining house’s strategic objectives are drafted.
Kayamandi successfully assists companies in the mining sector to compile and obtain their Social and Labour Plans (S&LP) as legally required in the Minerals and Petroleum Resources Development Act (Act No. 28 of 2002).
Generally, the S&LP can be disaggregated into two related and interdependent components, namely the Social Plan and the Labour Plan. The Social Plan is directed at ensuring adequate future arrangements to reduce the social and economic impact on workers and surrounding communities in the event of large-scale retrenchments or eventual closure of the mine. The Labour Plan, in contrast, is intended to empower the mine's labour force through skills development and training as well as contribute towards the better living conditions of its labour force.
The objectives of the S&LP are to:
Promote economic growth and mineral and petroleum resource development in the Republic,
Promote employment and advance the socio-economic welfare of all South Africans,
Ensure that the holders of mining and production rights contribute towards the socio-economic development of the areas in which they are operating and areas form which labour is sourced
To utilise and expand the existing skills base for the empowerment of HDSA and to serve the community
Components that form part of S&LB include:
Preamble
Human Resource Development Programme
Skills Development Plan: ABET Training, Learnership Programme, Skills Development of other skills
Hard to fill vacancies
Career Progression Plan
Mentorship Plan
Bursary and Internship Plan
Employment Equity Plan
Local Economic Development Programme
Socio-economic background information
Key economic activities
Negative impact of the mining operation
Development Projects
Measures to address housing and living conditions
Process pertaining to management of downscaling and retrenchment
Establishment of a Future Forum
Mechanisms to save jobs, provide alternative solutions and procedures for creating job security where job losses cannot be avoided
Management of retrenchments
Mechanisms to ameliorate the social and economic impact on individuals, regions and economies where retrenchment or closure of the operation is certain
Financial provision and commitments/undertakings
Demographic and economic modelling to project future spatial growth based on knowledge of interrelationships between population and economic development variables
Kayamandi has intensive knowledge on the interrelationship between population and development variables to enable future population modelling from settlement/village areas, to unique water supply/catchment areas.
The primary demographic and economic data collected is mostly captured in a database or a computer interface to view and analyse the data spatially. Data systems developed enable easy access to cross-tabulations, three dimensional graphs and maps, enables further analysis, etc.
Area of application include:
Infrastructure/services shortfalls and future demand:
Water and sewerage requirements
Household and commercial/industrial electricity consumption
Housing requirements
Community infrastructure/services: social facilities/amenities, business facilities, etc
Current baseline population refinement
Settlement counts
Demographic projections
Economic sectoral growth
Economic and demographic growth scenarios
Spatially modelling of future growth nodes
Identification of spatial development needs with time intervals
Database development
Geographic Information Systems (GIS)
Based on extensive experience in demographic and economic modelling studies, Kayamandi has also developed a unique economic and demographic scenario model to provide realistic future interpretations of growth in a format of land use (in HA) per development at sub-place level per 5-year intervals for 20-30 years. The model accounts for historical trends and future scenarios developed around: HIV/AIDS and associated population growth, natural growth trends, migration, economic sectoral growth, future growth areas and nodes, and spatial initiatives. Demographic and economic modelling typically entails developing the following spatial plans: existing urban areas, industrial, reallocation of households, new developments, areas of growth, densification, subsidy housing, additional households demand, population growth, commercial developments, land availability, and combined developments.
Social and economic impact assessments based on determining thecosts and/or benefits to society, businesses, the economy, and the environment; as brought about by change.
Change brings about costs/benefits (or a combination of both), and taps into the adaptive capacity of society, businesses and the environment who have to deal with it. Kayamandi has been involved in various impact assessment projects, ranging in the following fields:
Social impacts: the impacts on the day-to-day life (environmental) of persons and communities
Economic impacts: the effects on the level of economic activity in terms of Gross Domestic Product (GDP), new business sales, employment, etc in a given area, as a result of some form of external intervention in the economy. Economic impacts are measured quantitatively using either input-output modeling and/cost benefit analysis.
Tourism impacts: the impacts on tourism hot spots, tourism strategies, sensitive areas, and various tourism types, etc.
Land use impacts: include the impacts on land use, adjacent landuse, potential redevelopment, activity centres, property conditions and values, and planning policies/strategies.
Socio-economic impact assessments predict the effects upon a regional, provincial or national economy and society of new business/industry, development ventures, proposed investments, or change in government procedures. These impacts refer to the qualitative and quantitative effects on the level of economic and social activity in a given area, as result of some form of external intervention in the economy or society.
The impact assessments undertaken whether it entail a basic assessment, full specialist study as part of Environmental Impact Assessments (EIA) and/or Environmental Management Programme (EMP), enables the project proponent, community, businesses, etc to better deal with the possible positive and negative changes in a pro-active and participative manner, and to determine which aspects need to be mitigated. The results of impact analysis are utilised substantially in motivating projects to all levels of government and society.
Areas of application include:
Linear developments: pipelines, railways, roads, power-lines, etc
Point developments: dam construction, mining activities, mixed use developments, airports, power stations, water treatment plants, filling stations, golf estates, mixed-use nodes, etc
Specialist studies for Environmental Impact Assessments
Cost-benefit analysis
Human settlements research and demand analysis of urban and rural human settlements.
Housing lies at the core of growth and development and is a major spur to job creation especially in the context of the creation of sustainable human settlements.
Kayamandi has in-depth knowledge and experience in the urban and rural human settlements field and understands that the residential market is a complex and volatile market especially due to changing socio-economic conditions in South Africa.
Key aspects in designing a housing delivery programme are to ensure that the result is in the appropriate responses to housing need/demand. Key issues in this regard are: rapid delivery without compromising quality, recognition of variations spatially with respect to housing need and affordability levels, identification of housing backlogs and delivery needs and goals, recognition of existing commitments, identification of suitable land, densification and improved urban quality, sustainable rental stock, efficient and effective administration of the housing process, access to end-user finance by the poor, creation of sustainable human settlements, etc.
Areas of application include:
Human settlements demand and market size
Housing affordability levels
Housing sector plans
Policies
Housing monitoring and evaluation
Human settlements impact assessments
Property analysis and feasibilities based on determining supply, demand and net-effective demand of residential, industrial and commercial property markets.
Based on determining supply and demand of property markets, Kayamandi is able to determine the net-effective demand for property developments by taking into account that optimal growth and development of urban markets are directly dependent on servicing a specific market segment or catchment area.
Property feasibilities includes, inter alia: identifying sectoral trends and general overall perceptions in residential, commercial (retail, office, logistics) and industrial markets; identifying geographical spread of property market in relation to services, facilities, commercial centres such as business parks, shopping centres, community facilities, filling station, industrial areas; determining potential target market, household affordability levels, shopping preferences, etc.
Areas of application include:
Residential demand
Demand for mixed-used developments
Industrial demand
Retail (trade and wholesale) demand
Commercial (office and logistics) demand
Demand for filling stations
Feasibilities and business plans development, based on converting high-level project concepts in all economic sectors to packaged investment opportunities and fully implementable and sustainable projects.
Kayamandi is able to convert high-level project concepts into feasibilities, business plans and fully implementable projects. Project concepts and ideas are tested for feasibility in terms of market values and sustainability criteria such as potential for job creation, etc and if viable are packaged into investment opportunities and/or business plans for fully implementable and sustainable projects. Feasibility studies and business plans undertaken by Kayamandi range from micro businesses to multi million rand investments.
Kayamandi has feasibility and business plan experience in the fields of mining, mineral beneficiation, agro-processing, manufacturing studies, business support studies, tourism development, etc. This experience was obtained by undertaking numerous feasibilities for the DEA working on waste, tourism and environmental programmes, the Social Plan Fund, LED projects, government departments and for private consortiums.
Business plan components include:
Project identification and prioritization
High-level project concept plans
Supply and demand analysis
Target market segmentation and market size determination
Technical and financial viability of concepts
Detailed business plans
Risks and risk amelioration strategies
Organisational structure and human resource requirements
Funding applications and attainment
Detailed implementation guidelines and manuals
Tourism development usesapplied and relevant research to develop a detailed understanding of the marketplace and the factors that drive demand for tourism products and experiences.
Kayamandi has developed a detailed understanding of the marketplace and the factors that drive demand for tourism products and experiences to ensure that new products are not created simply because 'it seems to be a good idea', but because these new products are developed in the sure knowledge that markets for such products have been identified and quantified, and that such products will meet some or other specific market need.
Some of the essential components required for successful tourism development include knowledge of the market in terms of tourist demanded interest; knowledge of the supply of available tourism attractions, products, resources; comparative and competitive advantages with regards to intensifying subregional specialisation in the tourism sector; full appreciation of the needs and expectations of the primary and the niche markets; etc.
Tourism development and promotion requires unlocking the inherent development potential, whilst providing special attention to various opportunities within tourism routes and nodes in the tourism destination that should be exposed to historically disadvantaged communities and individuals, and how they may be encouraged to enter the industry as owners, operators, suppliers and related beneficiaries.
Areas of application include:
Tourism audits
Tourism datasets and websites
Tourism feasibilities and business plans
Tourism route development
Tourism development plans
Tourism master plans and strategies
Tourism marketing, branding and information dissemination
Monitoring and evaluation entails a diagnostic analysis of the current situation and the forces at play or strategic change drivers and examines the causal links and attribution between inputs, activities, outputs, outcomes, and impacts.
Kayamandi is fully familiar with the Policy Framework for the Government-Wide Monitoring and Evaluation System (GWMES) which describes three “data terrains” which underpin the monitoring and evaluation system, namely, programme performance information; social, economic and demographic statistics; and evaluation. As the custodian of M&E in government, it is understood that DPME coordinates the Government-Wide M&E System. The Policy Framework on the GWMES is supported by three other frameworks, namely: The National Evaluation Policy Framework (NEPF) under DPME, the Framework for Managing Programme Performance Information (FMPPI) under the National Treasury and South Africa's Statistical Quality Assessment Framework (SASQAF) under Stats SA. DPME has also established the National M&E Forum and the Forum of Heads of M&E from the Offices of the Premier. The presidency has also developed several guidelines such for drafting terms of reference, peer reviews, departmental evaluation plan, inception phase of evaluations, improvement plans, communicating findings, etc.
The study team has conducted numerous monitoring and evaluation studies and design research in a variety of fields and with varying goals and objectives. Thus, the company has obtained considerable experience in this field of work and developed a variety of assessment methods that have been tested on numerous occasions and proven to produce reliable results. However, the field of assessment, is constantly advancing with new techniques and approaches being created. Therefore, to stay in touch with the latest developments the study team continuously updates itself with the latest news in monitoring and evaluation exercises. This also allows the firm to ensure that approaches and techniques applied by it remain in the forefront of the practices. In order to design a good quality evaluation plan, a diagnostic analysis of the current situation and the forces at play or strategic change drivers is required. A results-chain examines the causal links and attribution between inputs, activities, outputs, outcomes, and impacts within projects.
Evaluations are carried out throughout the intervention lifecycle:
prior to development of an intervention (a diagnostic evaluation)
to confirm the design (design evaluation)
to assess progress and how to improve implementation (implementation evaluation)
to assess impact (impact evaluation)
to see the relationship between costs and benefits (economic evaluation)
Project implementation and on the ground delivery of local businesses and creation of jobs.
Kayamandi ensures successful on the ground delivery of development projects and in so doing enables job creation and accountability.
Community facilitation and support throughout all of the projects implemented by Kayamandi results in enabling community buy-in and satisfaction.
Kayamandi has a good understanding of the time frame for implementation of various project types, a good understanding of the level of financial risk that can be involved, a good ability to determine whether or not a project will generate enough income and eventually pay for itself, ability to determine anticipated start-up capital requirements for projects of varying nature, good knowledge of availability of raw materials, ability to accurately determine time and resource allocation necessary, etc.
Areas of application include:
Project management
Obtaining government support
Marketing and attainment of fund and/or potential partners
Location and facilities attainment
Project design and construction
Human resource requirements
Management team and staffing
Facilitate access to training and skills development
Machinery and equipment attainment
Monitoring and evaluation
Risk amelioration
Final handover
Corporate Social Investment (CSI) and entrepreneurship identification, implementation and supplier development. Read More
Kayamandi has developed a detailed understanding of the marketplace and the factors that drive demand for tourism products and experiences to ensure that new products are not created simply because 'it seems to be a good idea', but because these new products are developed in the sure knowledge that markets for such products have been identified and quantified, and that such products will meet some or other specific market need.
Some of the essential components required for successful tourism development include knowledge of the market in terms of tourist demanded interest; knowledge of the supply of available tourism attractions, products, resources; comparative and competitive advantages with regards to intensifying subregional specialisation in the tourism sector; full appreciation of the needs and expectations of the primary and the niche markets; etc.
Tourism development and promotion requires unlocking the inherent development potential, whilst providing special attention to various opportunities within tourism routes and nodes in the tourism destination that should be exposed to historically disadvantaged communities and individuals, and how they may be encouraged to enter the industry as owners, operators, suppliers and related beneficiaries.
Monitoring and evaluation entails a diagnostic analysis of the current situation and the forces at play or strategic change drivers and examines the causal links and attribution between inputs, activities, outputs, outcomes, and impacts. Read More
Project implementation and on the ground delivery of local businesses and creation of jobs. Read More
Corporate Social Investment (CSI) and entrepreneurship identification, implementation and supplier development. Read More
