Communicate Blog

The Brics Summit resulted in several positive spinoffs:
This included a signed agreement between a Chinese institution, Sinopec and PetroSA that boosted the possibility of building a crude oil refinery at Coega in the Eastern Cape.

Transnet and China Development Bank agreed to co-operate to help the logistics company diversify funding sources for its capital investment programme. This is especially good news considering Transnet plans to invest up to R300 billion over seven years to expand railways, ports and pipelines in South Africa.

The Brics partnerships gives South Africa an opportunity to increase it’s growth potential. South Africa is able to offer logistical access to the SADC market, as well as legal, financial and management support to firms looking to grow their African presence.

Although sceptics consider the Brics summit just another meaningless diplomatic rhetoric, South Africa’s benefits from Brics engagement to date are large. Last year, South Africa’s exports to emerging markets grew by almost 50%. In addition, South Africa’s trade with the Brics economies rose from a mere 5% of our total trade with the world a decade ago to almost 20% now.

Brics offers many economic opportunities, however the continuous challenge for the Brics is to agree on what kind of mutually beneficial policies should be made a ­priority, how to strike mutually beneficial agreements on these and how to pursue investment and trade with partner countries.

At a time when the country is grappling with a widening budget and current account deficits, stunted economic growth, high unemployment, stubborn poverty and rising inequality the Brics Summit highlights the importance of creating strategic partnerships that will open up new economic opportunities for all.

The constant changes in the economic environment underlines the importance of employing qualified and skilled Finance staff that will be able to assist your organization to identify new opportunities and navigate in these uncertain times. Communicate Personnel is a specialist Finance recruitment agency. We represent skilled individuals that include Financial Managers, Cost and Management Accountants, Financial Accountant, Internal Auditors, and much more. Contact us today.

However there are some issues of concern that will have a real impact on the cost of doing business:

Fuel Levy
One of the biggest announcements that effects both consumers and business across the country is the increase in the fuel levies, including the Road Accident Fund levy, from April 2013. For every litre of petrol you will pay a net amount of 23c more or if you fill up a 60-litre tank it will cost you an additional R13,80. This is a big hurdle especially in the road freight industry as more than 80% of the countries freight is currently moved by road.  

Youth wage subsidy
Low levels of demand, lack of experience and a lack of appropriate skills and networks were among the reasons young people struggled to find work according to Minister Gordhan.

The youth employment incentive, which will amount to R500-million in tax relief once implemented, will operate using a graduated tax incentive at the entry-level wage, falling to zero when earnings reach the personal income tax threshold.

The need for qualified and skilled employees is vital to the growth of any business and these initiatives will over time assist in producing the necessary skills required.

Carbon tax
The minister announced that a carbon tax will come into effect from 2015. Government proposes to price carbon by way of a carbon tax, at the rate of R120 per ton of CO2 equivalent.

The road freight industry remains one of the highest-taxed industries in South Africa, given the continued increases in cross-border taxes, toll fees, vehicle licence and inspection fees, and rising fuel prices. The reality is that the proposed carbon tax would have a serious impact on the cost of logistics, and hamper growth in this industry according to Road Freight Association Technical and Operations manager Gavin Kelly.

The changes in the budget highlight the need for financial professionals in your business that can help you navigate the uncertain economy. Communicate Personnel is a specialist financial recruitment agency that will find you the right person for the job. We represent a variety of finance specialists that include accountants, auditors, financial managers and more. Contact us today.

The 16% increase would force many of the chamber’s medium-sized and small member companies to move operations abroad and shed jobs. Also in the mining sector, it will push the cost of operations over the tipping point.

It is a bit of a catch-22 in that the increases are necessary to fund needed electricity infrastructure, not being allowed significant increases would reduce potential growth over the medium to long term but on the other hand, it will affect all industries significantly and increase the cost of doing business in the country dramatically.

However, experts are of the opinion that the recent price increases are just part of the problem. The R1 trillion the power utility aims to raise with the new increases over the next five years is a very short-term solution. The increase won't do anything to address or plan for the country's longer-term energy needs.

The questions around pricing and sustainability of power in the country impacts on all sectors in business. It’s important that the government and the private sector work together to find solutions to the issues.

Do you need Finance professionals in your organization that can help you manage your business within this challenging economy? Communicate Personnel is a specialist financial recruitment agency that will find you the right person for the job. We are able to assist you in recruiting for positions in accounting, auditing, taxation, executive finance, and corporate finance.

The new exam is set out to test both the technical and practical knowledge of Accountants in real life situations. The format will be a case study and will require students to show their ability to apply technical knowledge, workplace experience and the ability to integrate information.

Changes will be made to the first board exam, now labelled in the Initial Test of Competence in order to begin phasing in some of the competencies that will be required to write the APC.

In 2011 Saica was ranked number one in the World Economic Forum Competiveness Report 2010/2011 in the category of ‘‘Strength of Auditing and Reporting Standards’’. Do you think that these changes are going to ensure that these standards are kept in place considering the current situation in the educational sector in South Africa?

Whether you are a Chartered Accountant or involved in any other field within the Finance industry we can assist with your career. Communicate Personnel is a specialist finance recruitment agency and have finance jobs for Financial Managers, Internal Auditors, Cost and Management Accountants,  and more. Contact us today!

The United Nations Development Programme (UNDP) said Africa's economic growth could surge to 7% in the next two-and-a-half years as investors of all sorts rush into the continent.

From Ghana in the west to Mozambique in the south, Africa's economies are consistently growing faster than those of almost any other region of the world. At least a dozen have expanded by more than 6% a year for six or more years. Ethiopia will grow by 7.5% this year, without a drop of oil to export.

The world is starting to take notice: trade between Africa and the rest of the globe increased by 200 per cent between 2000 and 2011. As well as the usual exports of oil, natural gas and minerals, the sale of African-manufactured goods is also increasing. Over the past ten years, African manufactured output has doubled.

There are however, some hostility towards South African business expansion in Africa, falling back on well-worn arguments about colonialism, "corporate greed" and labour practices. Unfortunately,  there is a greater expectation of philanthropy and development beyond the bottom line. This is part of the baggage of being an African economic power.

Despite accusations to the contrary, our multinationals are sought-after employers. Businesses on the continent actively pursue partnerships with South Africans and willingly take advantage of the goods and services they bring to these markets

 The time for businesses to act on those plans is now. Companies already operating in Africa should consider expanding. For others still on the side-lines, early entry into emerging economies provides opportunities to create markets, establish brands, shape industry structures, influence customer preferences, and establish long-term relationships. Business can help build the Africa of the future.

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However, Minister Pravin Gordhan said that the government had taken steps to address the labour unrest, stressing that South Africa was still "a prime nation" for investment.

Economist expected a bounce-back in both GDP and in the currency once the strikes settled down but added that in the medium and the long-term, the outlook would be slightly more negative than it would otherwise have been.

It is important that the government as a whole start working towards bringing together the employer community and trade unions in order to stabilise the situation as rapidly as possible.

Peter Major, mining analyst at Cadiz Corporate Solutions commented recently in the Mail & Guardian that the macro factors out in the rest of the world are all in our favour. We have a weak, competitive rand, a solid and constant demand for commodities, good to great metal prices and lots of people, companies, institutions, and governments who want to invest here. We are shooting ourselves in the foot by not resolving this crisis

South Africa is so much better than this. It’s a great country, full of remarkable people who have literally achieved miracles over the last twenty years. Abundant resources, an advanced industrial sector, robust financial systems, a progressive legal framework – and the gateway to other African markets. The potential is here, we just need to pull together as a nation and get back on track.

Communicate Personnel specialises in financial recruitment including accounting jobs, auditing jobs, financial manager jobs, actuary jobs and more.  If you are in the market for a new challenge in your career, contact us today.

Accountants are crucial in giving information to the state that would allow for growth and revenue‚ so that government could operate without increasing the deficit.

The skills situation in South Africa seems to be in a crisis and it’s extremely concerning that also in Accounting we are starting to see a decline in students. Saica have for the first time this year noticed a massive drop in the number of students enrolling for B.Comm Chartered Accounting.

Changing business practices and an array of emerging technologies have transformed the role of accountants. What this means practically are those accountants now have to work hard at acquiring skills needed to function successfully in a new environment.

These skills include:

Delivery of Information
Never before has this been more crucial than today where information needs to be real time, accurate and precise. Part of this means that accountants need to understand how to make use of technology effectively in order to successfully communicate complex issues.

Interpersonal skills
The demands on accountants are a lot different today, as they are tasked with working with a variety of managers, suppliers and clients. The ability to work together with different role-players are key to success in your career.

Although change is never easy, accountants with the right combination of financial knowledge, skills and technical expertise can look forward to a successful career.

If you are looking for industry leaders in financial recruitment that understands your needs, speak to Communicate Personnel . We have a variety of vacancies available that include accounting jobs, auditing jobs, financial manager jobs and more.

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Mainly due to economic recession, company reserves have been building up for some time in many developed nations, as they wait for the next government aid or stimulation package to give them easier markets through higher consumer demand. In the United States alone, this hoard is estimated at $1.25trn. In South Africa at last count, it was R530bn – half of the government’s annual budget.

Investors are going to be taking a wait-and-see attitude,” Nic Borain, a Cape Town-based political analyst at BNP Paribas Cadiz Securities said.

In light of the recent debates around economic policy it is no surprise that one of the concerns investors have is what is going to happen in terms of this; the sooner we can get clarity, the better.

Professional services firm Deloitte recently warned that lack of investment and a worsening skills shortage threatened the competitiveness of manufacturers.

If the government wants to encourage corporates to invest idle deposits in ways that boost growth and create employment, it should create a more positive investment climate. Uncertainty on issues such as the awarding of mining licences and labour market reforms have negatively affected the risk assessment of global ratings agencies and continue to discourage both domestic and foreign investors.

The biggest concern is that there is no expansion being put in place on a forward-looking basis. Companies are more focused on the immediate and not looking very far ahead as there are too many unknown factors to effectively plan into that environment.

While it is understandable that companies have adopted an overly conservative balance sheet in the face of market uncertainty, it’s important to invest now. The CEO of First National Bank, Michael Jordaan believes that successful business strategies always entail moving ahead of the crowd. When everyone is jumping on the bandwagon, it is too late.

Are you in need of qualified finance staff to help you navigate this uncertain economy? Communicate Personnel is a specialist financial recruitment agency that will find you the right person for the job. We are able to assist you in recruiting for positions in accounting, auditing, taxation, executive finance, and corporate finance.

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Information security has been discussed more at senior management levels and business risk committees in the finance business than in any other private sector in the past five years.

As the operating environment is changing, new trends are emerging. Global competition, tough regulatory regimes, expectations of demonstrable governance by stakeholders, changing workforce demographics and finally rapid technological innovations have a significant impact on the way we handle and share corporate information.

Theft of confidential information is on the rise because data is increasingly portable and perpetrators can access and remove it with relative ease.

Forensic Restitution MD Dave Oswald asserted that data breach investigations, which included industrial espionage, accounts payable scams, deposit scams and credit card and debit card fraud, continued to increase.

The other aspect that has contributed is that mobile and internet banking have grown at a rapid rate in the last couple of years. It is therefore important that security research and development keep pace with the changes.

Too many companies rely exclusively on internal information technology staff that do not have the necessary qualifications in forensics to dissect and inspect a possible information security breach or external computer forensic staff that are not trained in the necessary computer forensics.

While the financial sector is pointing the way and taking the lead in some respects, the rapid changes in technology is ensuring that there is a constant risk factor.  

It has become absolutely critical that organisations protect the integrity of their information processes, comply with regulations and ensure the availability and accessibility of information.

Company directors should be asking themselves whether their repository of information is being managed optimally and should ensure that their technology suppliers fully understand the corporate governance imperative to manage the information asset.

As the operating environment is changing, you require staff that are at the forefront of these changes and are able to adapt and manage within this new environment. Communicate Personnel is a specialist recruitment agency. Whether you required qualified staff in the Finance or IT industries, we will be able to assist.

Leadership, as defined by most dictionaries, means "to go before, or with, to show the way; to induce." Every organization needs a leader (and preferably several leaders) to "show the way" to others as the organization strives to define and achieve its goals.

So, how do you explain why some organization are able to achieve things that seem impossible?

When you look at companies like Apple, how is it that year after year they are always able to lead innovation?

All too often, most companies seek to inspire customers (to purchase their product or service) by explaining “What they do” rather than “Why they do” what they do. This approach, as it turns out, is exactly the wrong way to inspiration

Simon Sinek in this TED talk, presents a simple but powerful model for how leaders inspire action, starting with a golden circle and the question "Why?"