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Telkom Integrated Report 2017
89
Context toTelkom Related key risks
Strategic response
5. B-BBEE transformation
Transformation of the ICT sector
is a key priority. Based on the new
ICT Sector Codes which have more
stringent requirements we are a Level 6
contributor
>
Revenue growth and profitability
>
B-BBEE rating
>
Regulatory and compliance
> Refer to the chairman’s statement
and social and relationship capital
on page 89 on our approach to
transformation
> Refer to the human capital section
on the initiatives implemented
to address transformation on
page 76
6. Regulatory uncertainty
The global ICT industry is still to agree
regulation on net neutrality and digital
migration. In South Africa, the ICT
White
Paper
, which proposes the principle of
an open-access network to all South
Africans, will directly affectTelkom.
Many forums and stakeholder
groups regularly interact with ICASA,
promoting regulation of pricing on
mobile network operators to ensure
effective competition. The uncertainty
about what the regulator will be
moved to do regarding regulating
mobile data charges brings an element
of uncertainty to future operating
conditions
>
Regulatory and compliance
>
Revenue growth and profitability
> Refer to our operating
environment on page 41
> Refer to our stakeholder
engagement section on page 42
on how we respond to regulatory
and government concerns
7. People skills and expertise
Telkomneeds more pure technical
ICT skills across the group from lower
to senior management. This is an
imperative for driving the products and
solutions needed for future revenues.
Current employee turnover rates are
low, with an average tenure of 20 years,
reflecting in-depth legacy skills and
experience, but not necessarily ICT
skills. Talent attraction and retention
in the right areas of the business are
critical
Telkom sees its role as a leader in skills
development in the ICT sector as critical
to the development of South Africa.
We want to develop skills for our use,
and the ICT sector as a whole, bringing
opportunity to South Africa. Our
involvement in skills development at a
secondary and tertiary level is required
to build a sustainable ICT skills base
>
Human capital health
>
Revenue growth and profitability
> Refer to human capital on
page 76 on how we attract and
manage talent
> Refer to social and relationship
capital on page 89 on skills
development
76
41
42
76
89