RBCT Risk and Assurance Risk, Assurance and Corporate Governance
The RBCT Board of Directors (“the Board”) subscribes to the King Code Report on Corporate Governance for South Africa (“King IV”). The RBCT Board has delegated to the Finance Committee (“FINCO”) the role of assisting with the promotion of independence and the balance of power to ensure effective discharge of their duties. FINCO assists the Board in carrying out the following responsibilities:
RBCT expects all employees to share in its commitments to high moral as well as ethical and legal standards.
Enterprise Risk Management
Enterprise Risk Management (“ERM”) at RBCT is a strategic business discipline that supports the achievement of our objectives by addressing the full spectrum of risks and managing the combined impact as an interrelated risk profile. The management of risks in a concise and systematic manner which is defined in King IV which also includes the implementation and execution of effective risk management techniques. RBCT is exposed to various risks, which are insured or uninsured, depending on specific objectives being performed while fulfilling RBCT’s mission. The RBCT Risk Management Team facilitate risk workshops in order to identify the risks and determine if they may be accepted, transferred, avoided or treated having recognised the need and taken the responsibility to preserve and protect RBCT employees and resources.
The Board acknowledges their responsibility in terms of an Internal Audit and Assurance Function as this ensures that RBCT keeps up to date with the complexity and rapid changes of the business environment as well as organisational dynamics, which includes regulatory and compliance frameworks. The Board has set the strategic direction for the Internal Audit and Assurance Function, which is required in order to provide relevant assurance that contributes to the effectiveness of Governance, Risk Management and Control processes. The Board has delegated this responsibility to FINCO.
The Board and FINCO have adopted the guidance and principles as expressed in the King IV, in order to ensure that an ethical culture, good performance and effective control environment exists at RBCT. The Board ensures that Internal Audit and Assurance services provided to RBCT enable an effective control environment, which support the integrity of information for internal decision making and RBCT external reports.
The Internal Audit and Assurance is also governed by standards and guidance under the International Professional Practices Framework.
The Board and FINCO require that RBCT complies with the principles and recommended practices of King IV where practical.
RBCT is committed to developing and supporting black enterprises in support of the Government’s Economic Empowerment Policy. As such RBCT complies with the Maritime Black Economic Empowerment (“BEE”) charter, which prescribes a target of 30% of total spend RBCT BBBEE Verification Certificate.
Our BEE procurement policy includes procurement of all goods and services required for the daily running of the Terminal, including routine maintenance, refurbishment projects, capex and future expansions. RBCT’s objective is to promote local small business and in particular entrepreneurship in previously disadvantaged communities, therefore RBCT strives to purchases in the following areas:
The primary task of the Procurement Function is to source reliable, cost effective suppliers for the enterprise, therefore RBCT’s procurement programme will always be commercially oriented with the use of non-value adding agents being avoided.
To show RBCT’s unconditional commitment to SMME’s and especially to BEE, RBCT has embarked on a deliberate and systematic process to address the economic imbalances of the past by creating opportunities for South African black suppliers to participate meaningfully in the mainstream of our business.
RBCT reserves the right to conduct its own assessments and accreditation if the scope of supply is defined as ‘critical’ for its application. RBCT might supply technical expertise to assist and develop black suppliers to achieve its desired standard at its sole discretion.
RBCT Procurement Business Process
RBCT is in support of the Broad Based Black Economic Empowerment (“BBBEE”) Act and strives to conform to all elements of the approved generic scorecard. In our business dealings preference is given to organisations that are BBBEE compliant. It should be emphasised that all Procurement decisions are based on sound and sustainable business principles. At present, RBCT’s BEE rating is at 80%, making RBCT a Level 5 contributor.
Wherever possible, RBCT will support local businesses, with the objective being to enter into value adding partnerships. In our drive to achieve this objective we have simplified our vendor application and approval process by differentiating between critical and non-critical vendors / contractors. Key elements for the former include manufacturing and site work and are subject to formal technical assessment as well as approval. In this category of service / vendor application, your premise will be subject to a technical audit by our onsite inspectors.
The minimum documentation for both categories include the following:
Should you have any queries relating to any of the above requirements, please do not hesitate to contact the RBCT Section Manager – Inventory.
Tel: +27 (035) 904 4232