We need a radical re-evaluation of our transformation strategies

The true state of South Africa's economic transformation goes beyond mere numbers and statistics. It's a topic that hits close to home for us at Sanlam and the reason we are a partner in the Sanlam Transformation Gauge.

Despite the supposedly positive economic indicators and B-BBEE scorecards, the reality is far from the celebratory narrative we hoped for during our two-decade journey since the B-BBEE Act was enacted in 2003. There's a sobering truth behind the scene — progress on paper doesn't necessarily translate to progress within our workplaces, and this calls for a re-evaluation of our approach.

It's unsettling to see the stark contrast between what's written on paper and what we experience daily in our quest for equality and opportunity. It begs us to question whether we need to go back to the drawing board and make changes to our current B-BBEE strategy or even consider an overhaul. We must be honest with ourselves and face the uncomfortable truth that there might be a resistance to seeing black people in leadership roles, hindering the transformative strides we desire.

This issue isn't unique to South Africa; it's a socioeconomic challenge faced by many countries across Africa. However, this should not deter us from striving for progress. Corporate South Africa must take the lead in enhancing transformation and empowerment efforts rather than waiting for others to act. We need to be the agents of change that our beautiful country deserves.

Transforming a nation's economy is not an overnight endeavour. Realism is essential, and we must acknowledge that each sector has a role to play in this transformative journey.

The financial sector holds a crucial position in our nation's economy. Despite boasting high B-BBEE certification levels, it has fallen short of its transformation targets. This could be attributed to various factors, including monopolies in banking and insurance, barriers for emerging black businesses, and financial exclusion affecting significant segments of the population.

To achieve authentic transformation in the financial sector, we must go beyond mere certification and scorecards. It's essential to break down barriers to entry for black businesses and create a financial ecosystem that uplifts all South Africans.

I understand that this is a challenging task, but businesses such as Sanlam are committed to investing in our communities and going beyond tick-box exercises. Together with strong political will and societal commitment, we can set a benchmark for transformation in this sector and inspire others to follow suit.

While progress might be slow, it doesn't mean we are stagnant. The silver lining is that true economic transformation is not solely determined by the numbers on a B-BBEE scorecard. It's about the practical steps we take to foster a more inclusive and equitable society where every citizen has an equal opportunity to thrive.

As we reflect on two decades of the B-BBEE Act, it's clear that we need a radical re-evaluation of our strategies. Corporate South Africa holds the potential to lead the way and drive change. This means going beyond mere compliance and working towards empowering all Africans to live with financial confidence, security and prosperity.

I wholeheartedly believe corporate South Africa can drive change and lead the nation towards a fairer economy.

We can transform the nation, sector by sector, and our vision of an equal and prosperous society can become a reality, marking the true success of our economic transformation. But we must act now and do so together.

* Hanratty is CEO of Sanlam Group