An imaginary case study Fentrans S.A., a subsidiary of a major South African listed Industrial group, has been under pressure for some time to take affirmative action steps. The group's C.E.O. Alan Stewart sounded a clear message to Harold Adcock, the M.D. of Fentrans: "Get some blacks into your management, Harold, we are under increasing pressure to show that our subsidiaries are performing in this regard - we need the goodwill of government, and pretty soon government is going to be pressurising us somewhat ... we've been talking about affirmative action for two years now, Harold, and it's becoming urgent. Can you take some tangible steps at Fentrans and report to the main board when we meet again at the end of June?"
The next day Harold Adcock called in his own management team, and there was one topic on the agenda: recruiting Blacks to Fentrans. The H.R. Director, J.J.Coetzee, provided the statistics: "82% of our workforce is non-white, the bulk of the non-whites being black labourers and general wage earners at our four plants and two depots. The balance of 18% of our workforce is white, mainly in production supervision, sales and marketing, and finance and admin."
Harold Adcock cut in: "J.J. - out of our management, what percentage are Blacks?" J.J. Coetzee looked down at his file: "It depends on what you call management - a crude rule of thumb is that managers have company cars, or a car allowance. We have one black supervisor at the Industria factory and one at Mobeni and of course, black I.R. officers at both Industria and Epping. Mathew Majola at Industria has just qualified for a company car, he's really come a long way with us."
"Look", said Adcock, "I was read the riot act by the C.E.O. at yesterday's main board meeting. I have to report on progress in actually implementing affirmative action by the end of June - I can't just go along and present a picture of Mathew Majola's new Toyota!"
The Financial Director, Steve Smit, shook his head: "This doesn't make sense, Harold. They've been pushing us for profits in this lousy economy - sales have been basically static for two years, we've kept our heads above water by trimming costs everywhere, and by not replacing staff who leave or retire. We've reduced manpower by 3% last year and told our staff why bonuses were minimal. How can we be expected to hire extra Blacks to management posts if we don't have any jobs which need to be filled? This is a business - whatever we do has to make business sense! How can we take affirmative action if we don't have the jobs which need to be filled? We haven't any jobs - the economy is bad."
RESPONSE: WHAT WOULD YOU RESPOND TO THE FINANCIAL DIRECTOR?
The Production Director, Thys Taljaard, asked for the management team's attention: "I'm in favour of affirmative action, and I've got the best record here. None of you have any Blacks in your mid-management, and I do have. The two production supervisors and the two I.R. guys are in my teams. This didn't just happen overnight. Phillip Mjamela and Hamilton Masondo have been with us for years - they started on the factory floor. We are continuing to train and promote people, but you can't just click your fingers and say that it must happen by June."
Harold Adcock responded: "Thys, you're right of course, but there are changes taking place at a really fast pace in this country. Alan Stewart, the group C.E.O. is demanding action from us now because the heat is on him too. We're making profits for our shareholders but what are we seen to be doing for the country and its people?"
Thys Taljaard held up his hand: "No, Harold, we have to keep our heads. We can't just appoint Blacks to satisfy a numbers game. That is simply window dressing and it will never work. We will make fools of ourselves. The key to this is training, and training is a long process. I say again and again: it doesn't happen overnight. We need to train people so that they will be ready in the future."
RESPONSE: WHAT WOULD YOU RESPOND TO THE PRODUCTION DIRECTOR?
Kevin Southey, GM at the Rosslyn flagship plant was more positive: "Look, we have very little room to manoeuvre here. We have to do this affirmative action thing and we should stop bickering about it. I say, let's set realistic targets for the next few years, and strive towards them. We need to go out and hire black graduates and maybe some of those exiles. I see some black guys on T.V. sometimes, and I think that we could use them. The problem is going to be our existing staff. There's enough insecurity as it is without alienating people who have been with us for years. I mean both white staff who are getting worried by all this affirmative action talk, as well as our black workers, especially the unions and the shop stewards. How do you think they are going to feel about our bringing in Blacks from outside into mid-management? We can't just appoint, and ignore the internal backlash, from both White and Black. We have to be cautious.
We have to consult and explain and get our own people on board. Our existing staff must first support this process."
RESPONSE: WHAT WOULD YOU RESPOND TO THE PLANT GENERAL MANAGER?
"You know", said Len Maree, the Marketing Director, "I've been committed to this for some time - for other reasons - it's not that anyone's pressurising me. I have thought for a long time - that's where our expanding markets lie. The black consumers are our future and we need to reach the black market.
"So why haven't you hired any?" interjected Harold Adcock.
"It's not so simple," said Len Maree. "Just ask J.J. - he knows how I've been looking for black sales reps who are assertive and can go out there and get the business. It's not so simple. I want to bring in black marketing types especially for some of the products which have black consumer potential. We've advertised and asked the employment agencies. We're looking and just can't find suitable black candidates."
RESPONSE: WHAT WOULD YOU RESPOND TO THE MARKETING DIRECTOR?