BEE is basically black economic empowerment

BEE is basically black economic empowerment. The term was coined after apartheid was abolished in South Africa. During apartheid, people of colour were disadvantaged. This meant that they did not receive the same privileges as their white counterparts and could therefore not advance their careers and economic situation. BEE and BEE consulting firms aim to alleviate this. It is just one component but it does account for a substantial amount of the total score. There are 2 factors within the BEE scorecard whereby a company having black employees and owners will contribute towards points. In the case of employees, the company can claim BEE points by hiring black people in positions of management. This can be either senior, junior or a middle management positions. BEE consulting will help with getting the right individuals in these posts. This accounts for one fifth of the total score so is quite an important element in the process. With regards to ownership, there is 25 points up for grabs.

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It cannot just be a black person placed in a position of power within a company. Remember that it is essentially an audit to get BEE accredited. This individual will have to have a direct correlation to the leadership and any future strategy that the company implements. This will mean someone like a CEO or CFO or similar. BEE consulting will ensure that the correct individual is in the post before the company goes through the audit. It is not just in these 2 instances that BEE consulting will help with regards to black employees. A learnership is also another criteria when it comes to BEE accreditation. Having a black or disabled person in any learnership programme that the company offers will also add to the total points. BEE consulting firms provide strategies on how this can be attained by the company. The individual will have to be the right fit and passionate about the industry.

This is where strategy comes into play with BEE. In addition to having the knowledge of a BEE consulting firm, there is also the massive amount of experience that they bring to the table. Having this done in house may save costs, but it is likely that the people put into these posts will not fully understand the concepts and will not have prior knowledge in implementing the correct strategies or fully using the resources of the company to get the maximum possible points. The number of points acquired will determine which level contributor the business lies at.The codes required in getting BEE accredited is also an indication of how the company has transformed after apartheid. Historically, companies had majority white, male stakeholders and people in management position. It was also harder for entry level black workers and even females to get into training positions. The rating of the BEE position of the company indicates how well they are doing in this factor. Applying BEE into a company allows for that business to then contribute towards the growth of the country and better society as a whole.