STRATEGIC PLAN 2020/21 – 2024/25

Keeping you safe in the sky

STRATEGIC PLAN2020/21 – 2024/25

SACAA STRATEGIC PLAN PLAN 2020/21 – 2024/25

TABLE OF CONTENTS

1. Executive Authority Statement: Minister Fikile Mbalula ............................................................................... 2

2. Foreword by the Chairperson ...................................................................................................................... 4

3. Operational Overview by the Director of Civil Aviation ................................................................................ 6

4. OfficialSign-off ............................................................................................................................................9

5. PART A: OUR MANDATE .........................................................................................................10

5.1 LegislativeandOtherMandates ......................................................................................................11 5.1.1 The Act .................................................................................................................................11 5.1.2 ICAO .....................................................................................................................................12 5.1.3 ICAO Critical Elements .........................................................................................................15 5.2 InstitutionalPoliciesandStrategiesoverthefive-yearplanningperiod ...........................................13

6. PART B: OUR STRATEGIC FOCUS .........................................................................................17

7. Situational Analysis .....................................................................................................................................19 7.1 External Environmental Analysis .....................................................................................................20 PESTLE Analysis ...........................................................................................................................20 SWOT Analysis ..............................................................................................................................23 7.2 Internal Environmental Analysis .......................................................................................................25 7.3 StrategicPlan:StakeholderConsultations ......................................................................................26

8. PART C: MEASURING PERFORMANCE .................................................................................27

8.1 MeasuringtheImpact ......................................................................................................................28 8.2 MeasuringOutcomes .......................................................................................................................28 8.3 DefiningOutcomesfor2020-2025 .................................................................................................28 8.4 AlignmentbetweentheSACAAOutcomes,DoTOutcomeandtheNDP ........................................29 8.5 Explanation of planned performance for 2020/21 – 2024/25 ...........................................................30 8.6 Outcome Indicators ..........................................................................................................................34 8.7 MeasuringOutcomes .......................................................................................................................37 8.8 Outcomes,Outputs,PerformanceIndicatorsandTargets ...............................................................39 8.9 AnnualandQuarterlyTargets ..........................................................................................................46

9. Key Risks ....................................................................................................................................................49

10. Medium-TermStrategicBudget ...................................................................................................................50

11. Statement of Financial Position ...................................................................................................................51

SACAA STRATEGIC PLAN PLAN 2020/21 – 2024/25 1

ABBREVIATIONS

AIID AccidentandIncidentInvestigationDivisionAI Aviation InfrastructureAPP Annual Performance PlanASO Aviation Safety OperationsAU African UnionAvMed Aviation MedicineAvSec Aviation SecurityB-BBEE Broad-basedBlackEconomicEmpowermentBRICS Brazil,Russia,India,China,SouthAfricaCAASA Commercial Aviation Association of South AfricaCAC Civil Aviation CommissionCAP Corrective Action PlanCA Act Civil Aviation ActCE Critical ElementCMA ContinuousMonitoringApproachDCA Director of Civil AviationDoD Department of DefenceDoP Department of PoliceDoT Department of TransportERDMS ElectronicRecordsandDocumentManagementSystemExCo ExecutiveManagementCommitteeFIU FlightInspectionUnitGA General AviationGDP Gross Domestic ProductHR Human ResourcesHRC Human Resources CommitteeICAO InternationalCivilAviationOrganization

ICS ICAO Compliance SectionICT InformationandCommunicationTechnologyICVM ICAO Coordinated Validation MissionIT InformationTechnologyMP Member of ParliamentMTEF Medium-TermExpenditureFrameworkNASP NationalAviationSecurityProgrammeN/A NotApplicableNDP NationalDevelopmentPlanNGO Non-GovernmentalOrganisationPAIA Promotion of Access to Information ActPESTLE Political,Economic,Social,Technological,Legal&EnvironmentalPFMA PublicFinanceManagementActPOPI Protection of Personal InformationPWD Persons With DisabilitiesPSC PassengerSafetyChargeRPAS Remotely Piloted Aircraft SystemsSA South AfricaSACAA South African Civil Aviation AuthoritySADC Southern African Development CommunitiesSARPs Standards and Recommended PracticesSMP StakeholderManagementPlanSOE State-OwnedEnterprisesSONA StateoftheNationAddressSWOT Strengths,Weaknesses,Opportunities,ThreatsUN UnitedNationsUSAP UniversalSecurityAuditProgramme


The civil aviation industry plays a key role in matters of economic development and in supporting long-term economic growthinanycountry.According to thestatistics releasedby theAirTransportActionGroup(ATAG)in2018,thecontributiontotheGross Domestic Product (GDP) from direct aviation industry activities amounts to $704.4 billion globally. The contributionto the GDP, including direct, indirect, induced and tourismamounts to $2.7 trillion (3.6% of the world economic activity). A total of 10.2 million jobs across the world is created from aviationdirectly.Whenyoucombinethejobscreatedbydirect,indirect, inducedand tourismactivities, thenumbergrows toa total of 65.5 million jobs. This is according to informationreleased in a 2018 report by the International Air Transport Association (IATA). Moreover,ATAG forecasts that by 2036,aviation will directly contribute $1.5 trillion to the world’s GDP.

This sector also facilitates the integration of States into theglobal economy and provides economic and other benefitsfor direct users, as well as downstream sectors.Without anefficient transport infrastructure, there is limited productivityandeconomicgrowthforbusinessestheworldover.

ItisthusnotsurprisingthattheAfricanUnionhasidentifiedairtransportascriticaltotherealisationoftheAgenda2063flagshipprojects.TheAgendaprescribesthatby2063, thenecessaryinfrastructure to support Africa’s accelerated integration andgrowth, technological transformation, trade and developmentshould be in place. In addition, it is further envisaged thatinterconnectivity between African Island States and main land Stateswouldbeachieved through the implementationof theYamoussoukro Decision.

As envisaged in the Abuja Treaty, regional integration as astrategy for achieving sustainable economic growth remainscritical to achieving economic prosperity in Africa. The airtransportindustryisexpectedtoplayasignificant,catalyticrolein this regardand to serveas thenecessaryengine for inter-and intra-regional integration through increased accessibilitybetweeneconomichubs,aswellasthereductionintravelcostand time.

The contribution of the air transport sector and related industries toeconomiesiscrucialandcanhelpimprovelivingstandardson the continent. The fact that alternative modes of transport remain underdeveloped in most countries on the continent,makes air transport even more important. Statistics released by IATA(2018)ontheRegiondemonstratethatAfricacontributes$10.3 billion to the world’s GDP from direct aviation industry activities. The contribution to the world’s GDP from direct,indirect and induced impacts, including tourism, amounts to$55.8billionandtranslatesto2.6%ofglobaleconomicactivity.

Aviation within theAfrican region creates a total of 415,000directjobsandatotalof6.2millionjobsarecreatedfromdirect,indirect,inducedandtourismactivities.TheOxfordEconomicsstatistics released in 2017, forecast that by 2036 the impactof air transport and tourism activities facilitated in Africa will havegrowntosupport9.8millionjobs,whichis60%morethanin2016,anda$159billioncontribution to theglobalGDP,awhopping184%increase.

ThismeansthatSouthAfrica,fromaregulatoryandbusinessperspective,mustdifferentiateitselfwithintheAfricancontinent

EXECUTIVE AUTHORITY STATEMENT

MINISTER FIKILE MBALULA

1.


andtakeadvantageofthesebusinessopportunitiesandprospects.Thegeographiclocation of SouthAfricamay not lend itself to being an ideal interconnectivityhubforAfricantravellers,buttherearedefinitelyotheropportunitiesthatcanbeexplored.

Rock-solid compliance to global aviation safety and security standards is thebedrockofasustainableairtransportnetwork.AsAfricanStates,wehavevariouslevelsofcompliance,whichinevitablyimpedereliableairtransportconnectivity.

OurGovernmentislookingtoRegulatorssuchastheSouthAfricanCivilAviationAuthority(SACAA)tonotjustleadbyexample,buttoalsoplayaleadingroleinsupportingourcounterpartswithintheSouthernAfricanDevelopmentCommunity(SADC)regionandtheentireAfricancontinent. It is with immense pride and conviction that I say that the SACAA has not faltered inthisregardandcontinuestodischargeitsmandatewithdistinction.Hence,IcallontheSACAAtoensurethatitsstellarworkandapproachtoregulatingtheairtransportindustrydoesnotbecomeawell-keptsecret;butisrathersharedwithSouth Africans and peers across the continent.

ThethemeofthePresident’s26thStateoftheNationAddresson13February2020,was inclusivegrowth.He imploredStateentitiessuchas theSACAA, toconfrontourchallengesandplacetheeconomyonapathofinclusivegrowth.ThePresidentstatedthatwithoutgrowththerewillbenojobs,andwithoutjobstherewillbenomeaningfulimprovementinthelivesofthepeopleofSouthAfrica.TothisendthePresidentencouragedtheStateentitiesto:

► Take critical action to build a capable state and place our economy on the pathtorecovery;

► Fixthefundamentals;

► Pursuecriticalareasofgrowth;

► Ensureexcellenceinplanningandexecutioningovernment.

ThePresidentconfirmedthatgovernmentismovingfromthestabilisationofSOEstorepurposingthesestrategiccompaniestosupportgrowthanddevelopment.

ItismyfirmbeliefthattheSACAAcancontributetomanyofthesetargetssetbythePresident,andthisstrategyisavehiclethroughwhichrelevanttargetscanbesetandmonitoredduringthenextfiveyears.

ItisagainstthisbackdropthatIimploretheSACAAtocontinuetotaketheleadinensuringthattheaviationsectorputsalittlemoreeffortintoensuringthatthesectortransforms,notonlyinrelationtoitsprofessionalranksbutalsointermsofbusinessownership.TheRegulatorisastrategicarmofGovernment,taskedwith ensuring that the civil aviation industry contributes to the socio-economicdevelopmentandgrowthofSouthAfricaanditspeople.

AstheExecutiveAuthority,IherebydeclaremysupportandendorsementoftheSACAA’snewFive-YearStrategicPlan.Keeponkeepingussafeintheskies!

Yourssincerely,

………………………..…….………Mr Fikile April Mbalula, MPMinister of Transport Date: 04 August 2020

EXECUTIVE AUTHORITY STATEMENT: MINISTER FIKILE MBALULA (continued)


Iamhonouredtohavetheprivilegeofpresenting,onbehalfof the Board of Directors, the South African Civil AviationAuthority’s Strategic Plan for the 2020/2021 – 2024/2025financialyears.

This is a new period, presenting the organisation withopportunitiestoservethecountryandglobalcommunity,drivenbytheaspirationtodelivervalue,notonlytoourstakeholdersbut to the ordinary men and women of South Africa.

ThisFive-YearStrategicPlanhasbeenguidedbyanumberof global, continental and national imperatives. As was thecaseinpreviousyears,criticalimperativessuchastheUnitedNations Sustainable Development Goals (UNSDG), AfricanUnion Agenda 2063 and the National Development Plan(NDP)giveimpetustotheabilityoftheorganisationtoprovideservicesthatarehighlyimpactfulglobally.

Balancingtheneedsofavarietyofstakeholdersisimportant,andour focus in thedevelopmentof thisStrategicPlanhasbeen to try our best to achieve this.

The starting point and cornerstone for the kind of successwedesire toachieve,especiallyona largescale,hingesoncollaboration.Thiscollaborationisrequiredatmanylevels,i.e.ataglobalandregionallevelandthroughthecontributionofideas to the civil aviation administration discourse. It is also applicableatanational level,whereconsistentdialogueandengagement between the shareholder department, relevantgovernementdepartments,publicentities, theRegulatorandlicence-holdersarenecessary.

Animportantpointtoconsiderisalsothefactthattheenvisagedincreasedair trafficorgrowth in the transportationof goodsandpeoplewillrequireanextremelyefficient,safe,andsecureair transport network.

Thisstrategyalsobringsto thefore theneedfor investmentinresearchanddevelopment.Thiswillensurethatregulatorssuch as the SACAA are not left behind when it comes to innovationand technology. It isan indisputable fact that thecontinued success of the aviation industry has largely beendriven by innovation. Aircraft designs are getting better,sleeker, faster and evolve at a very rapid pace. However,the biggest challenge has been the lack of synchronisationbetween the development of aviation technology andinnovation and the appropriate regulation to manage suchchanges,soastoensurethatsafetyandsecurityisnotlostorcompromised.Atpresent,itisoftenthecasethattheaviationindustrydevelopsimpressivetechnologyinisolation,andthenintroducesthetechnologywiththeexpectationthatStatesandtheir regulatorswould instantly embrace the innovationwiththerelevantregulatoryframeworkandexpertise.Therealityisveryoftentheopposite,withregulatorshavingtoplaycatch-up.Thetimeittakesforregulatorstotestinnovationsandsatisfythemselvesthatsuchinnovationsaresafeandsecure,canbeverylongandfrustratingfortheindustry.Hence,collaborationattheearlyphasesofdevelopmentbecomeskeytoensuringthe speedy adoption of technology and innovation, therebyimprovingtheresponsivenessofStates.

Research and studies undertaken by various international bodies highlight the prospect of continuous growth in the

BY THE CHAIRPERSONFOREWORD

2.


aviation industryglobally. In the lightof these forecastedgrowthpatterns,weneed to ask ourselves the question: ‘how will we address the impact that such activity will have on the environment?’ We need to know whether our operators aregearedtowardsmeetingtheglobalstandardssetoutintheInternationalCivilAviationOrganization’s (ICAO)environmentalprotectionprogramme,andhownon-compliancewillaffectoperations.

Havingsaidallthat,thereisabsolutelynodoubtthattheSACAAwillcontinuetodeliveronitsmandateforthenextfiveyears.Itisagreatprivilegetobepresidingoveranorganisationthathasforseveralyearsmet,andinnumerousinstances,exceeded expectations.

OnbehalfoftheBoardofDirectors,IwishtothanktheSACAAManagementandemployees for their effort and dedication to the critical functions of the State. In theyearsthatlieaheadwewillseetheorganisationrisebeyondcurrentlevels,toreachnewheightsofexcellence.

IrecogniseandappreciatetheunwaveringsupporttheBoardcontinuestoenjoyfromtheMinisterofTransport,theDeputyMinisterandtheirrespectiveteamsas

wellastheentirecorpsofDoTofficials.Theindustryandallstakeholders‘robustengagementscontributetoacolourfulrelationshipwiththeRegulatorandwearegratefulfortheirwillingnesstoengage.

Welookforwardtoworkinghand-in-handwithallourstakeholders,aswellastheleadershipoftheSACAA,toensurethatwekeepourskiessafe!

Yourssincerely,

………………………..…….………Mr Ernest KhosaChairman: SACAA BoardDate: 08 July 2020

FOREWORD BY THE CHAIRPERSON (continued)


A review of the SACAA’s performance against its AnnualPerformancePlansover the last fewyears, indicates that theSACAAhasbeenonanupward trajectory, achievinga100%performance against targets set for each of the previous fivefinancial years. In addition, the SACAA continued to achieveunqualifiedauditsaswellassix(6)cleanauditsforthepastsix(6)yearsinarow,whiledecreasingthenumberoffindingsfromeachauditcycle.Intheprocess,theSACAAhasalsocementedits name as being one of the best-performing State entitiesto have also fully adopted the principles of good corporategovernance.

ItisthewishofManagementandtheentireTeamoftheSACAAto uphold these revered standards, while elevating aviationsafety and security oversight and the delivery of day-to-dayservices to customers and stakeholders.

Havingsaidthat,TeamSACAAhasmanagedtomakeincredibleinroadsintomanyspheresinthelastfewyears.Notwithstandingthe remarkable achievements, there is always opportunity forgrowthandimprovement,giventhechangingaviationlandscape,thegrowthoftheindustryandtheadvancementoftechnology.The 2017 Oxford Economic study shows that South Africa’s

aviation contribution to the GDP from direct aviation industry activities is$5.2billion;whereas thecontribution toGDPfromdirect, indirect, and induced impacts and tourism was $9.4billion,whichtranslatesinto3.2%ofthecountry’sGDP.Atotalof70,000jobswerecreateddirectly fromtheaviation industryinthatsameperiodwhilstatotalof472,000jobswerecreatedfromdirect,indirect,andinducedimpactsandtourismactivities.It is said that air transport contributes $8.8 billion to foreigntouristexpenditureand$150billiontoForeignDirectInvestment(FDI). Air transport contributed $104 billion to exports. Oxford economics forecasts that by 2036 under the ‘current trends’ the impact of air transport will grow to support 797,407 jobs andcontribute $19.1 billion to the GDP.

TheSACAAisexcitedabout thechallengesandopportunitiespresented by the changing micro and macro environmentalfactors. It is our belief that our resilience is built when we face ourchallengesheadon,withmuchenthusiasmandoptimismtoovercome and achieve.

Majorshiftsthatwehaveidentifiedwithourstakeholders,whichweare likely to face in thecomingyears, include,butarenotlimited to:

OPERATIONAL OVERVIEW BY THE DIRECTOR OF CIVIL AVIATION

3.

It is indeed a privilege to join the Board in presenting the SACAA’s Strategic Plan for 2020/2021 – 2024/2025, aligned to the 6th Administration’s Medium-Term Strategic Framework (MTSF), which focuses on the implementation of the National Development Plan and government APEX priorities.


► Rapid technological shifts that requirediversecreativity,asnoonehasasilverbulletformanagingthechangingenvironment.

► Highlyadaptable industry stakeholderswhosebusinessmodelsforcethemtobeflexible,agileandresponsivetohighlydemandingmarkets.

► Ourresponsetotheevolvingworkforceecosystemandthereforethechangingfaceofemployment.Putmoreaptly,howdoesSACAAfosteracultureofdiversityandmanagethetalentandspecialistskillsrequiredforfutureemployment?Inthisregard,TeamSACAAwillneedtoreskillitsstaffforfutureworkecosystems,propelledbyfactors such as the fourth industrial revolution.

Other challenges include sluggish growth in the passenger numbers,whichhaveaclosecorrelationtothedeclineintheGDP.Anotherchallengerelatestotherapidlychangingglobalweatherpatterns,aswellastheneedfor an aviation infrastructure that meets acceptable environmental laws.

Itisourchallengetounderstandthesechangesandtofindouthowbestwe can enable an adaptive regulatory approach. New developmentsand technologies will require revised processes and skill sets withintheSACAA.Moreover,Management isaware thatculturedistinguishesorganisations.Employeesareincreasinglylookingfororganisationswithaculturethatwillfittheirownbeliefsandneeds.TheSACAAalreadyhasagood reputation regarding theexecutionof its strategyandmandate.Havingrecentlydefinedourorganisationalculture, it iscriticaltoensurethat theorganisationattracts talent thataligns to itsvaluesandculture.Regardless, there is a need to inculcate the organisational culture wedefineasTeamSACAAandwemustliveanddemonstrateitineverythingwedo.TheHumanResourcesStrategy,whichisacoredeliverableoftheOrganisationalStrategyandAnnualPerformancePlan,mustoutline thestepstobeachievedinthisregard.

ThehistoricalchallengewhichrelatestoSACAA’sfinancialsustainabilityis noteworthy. It is a known fact that the SACAA is an autonomous organisation thatderives its revenuefromthepassengersafetycharge,user fees and fuel levy. This financial model is highly sensitive to theindustry’sactivities.TheairlineindustryhasexperiencedsomechallengesintherecentpastthatmayimpactnegativelyontheSACAA’sbottomline,ifthesituationregardingthenationalaircarrierremainschallenged.Itisagainstthisbackdropthattheorganisationcontinuestohandleitsfinanceswithprudence, inorder tostayafloat,whilstcontinuing toexploreotherrevenue streams. This circumspection will serve as a buffer to enable the SACAAtocontinuetofulfilitsmandate.

Conclusion

The SouthAfrican aviation system is an important and strategic assetof the government of South Africa, due to its ability to provide safeand coordinated air transport connectivity; it facilitates trade, booststourism and contributes significantly to the socio-economic growth anddevelopment of South Africa. A successful aviation regulatory modelis therefore a high priority towards securing the delivery of safety andsecurity standardsand recommendedpractices (SARPs)asdefinedbytheICAO.TheSACAAisapublicentity,deliveringaviationregulationandcontinuouslystrivingtoreview,assessandenhanceitsoversightmandatetoachievegovernmentoutcomesandaddvaluetotheaviationcommunityglobally.ItisnocoincidencethatSouthAfricaholdsaremarkablerecordinaviationsafetyandsecurity,withnofatalaccidentsinthecommercialscheduled operations for more than thirty years. This is a record that the Regulatorandtheindustrymustprotect.

AsaudaciousasthisStrategicPlanmayseem,Ihavenodoubt,aswasthecaseduringthepreviousyears,thatthegoalssetinhere,arewithinreach.Propelledforwardbytheorganisation’sbrandpromiseof“keepingyousafeinthesky”,TeamSACAAislookingforwardtothechallenge.

OPERATIONAL OVERVIEW BY THE DIRECTOR OF CIVIL AVIATION (continued)


OPERATIONAL OVERVIEW BY THE DIRECTOR OF CIVIL AVIATION (continued)

Iwishto thanktheBoardfor itscollectiveforesight inguidingtheorganisation successfully. I take this opportunity to also thankthe Ministry and the Department of Transport for the support and guidanceprovidedtotheSACAAonanongoingbasis.Ialsowishtothanktheaviationcommunityforthestrengthenedcollaborationwehavewitnessedintherecentpastandforthesupportgiventothe SACAA.

Lastly, I wish to thank the Executive and staff of the Authorityfor their resilienceanddrive incontributing to thesuccessof theorganisation.WestandreadytoupholdthemandateoftheSACAAonceagain.

Yourssincerely,

………………………..…….………Ms Poppy KhozaDirector of Civil AviationDate: 08 July 2020


………………………..…….………Ms Phindiwe GwebuExecutive: Corporate ServicesDate: 08 July 2020

………………………..…….………Ms Poppy KhozaDirector of Civil AviationDate: 08 July 2020

………………………..…….………Mr Fikile April Mbalula, MPExecutive Authority Date: 04 August 2020

………………………..…….………Mr Asruf SeedatExecutive: FinanceDate: 08 July 2020

………………………..…….………Mr Ernest KhosaChairpersonoftheBoardDate: 08 July 2020

ItisherebycertifiedthatthisStrategicPlan:

► WasdevelopedbytheExecutiveandstaffoftheSouthAfricanCivilAviationAuthorityundertheguidanceoftheBoardandinconsultationwiththeDepartmentofTransport.

► Takesintoaccountalltherelevantpolicies,legislationandothermandatesforwhichtheSACAAisresponsible.

► Accurately reflects the Impact,OutcomesandOutputswhich theSACAAwill endeavour toachieveover theperiod 2020/21 to 2024/25.

► HasbeenapprovedbytheBoard.

OFFICIALSIGN-OFF

4.


PART A

OUR MANDATE

5.


5.1.1 The ActTheSouthAfricanCivilAviationAuthority(SACAA)isanagencyoftheDepartmentofTransport(DoT),establishedon01October1998,followingtheenactmentofthenowrepealedSouthAfricanCivilAviationAuthorityAct,1998(ActNo.40of1998).ThisActwasreplacedbytheCivilAviationAct,2009(ActNo.13of2009),which came into effect on 31 March 2010.

AsoutlinedinthePublicFinanceManagementAct(PFMA),1999(ActNo.1of1999)(asamendedbyActNo.29of1999),theSACAAisaSchedule3Apublicentity.ThePFMAdesignatestheSACAA’sBoardofDirectorsastheorganisation’sAccountingAuthorityresponsibleforgovernance,whiletheMinisterofTransportis the Executive Authority.

TheCivilAviationActprovidesfortheestablishmentofastand-aloneauthority,mandated with controlling, promoting, regulating, supporting, developing,enforcingandcontinuouslyimprovinglevelsofsafetyandsecuritythroughoutthecivilaviationindustry.TheaboveisachievedbycomplyingwiththeStandardsandRecommendedPractices(SARPs)oftheInternationalCivilAviationOrganization(ICAO),whileconsideringthelocalcontext.

The SACAA, through aMinisterial order, ismandated with the administrativefunctioning of theAircraftAccident and Incident Investigation Division (AIID),while theDepartment ofTransport is responsible for the functional runningofthis unit.

Atthetimeofestablishment,theSACAAwasalsotaskedwiththerunningoftheFlightInspectionUnit,whoseaimistoconductcalibrationandflightinspectionofgroundradionavigationalaidsinSouthAfricaandbeyond.

2.1.2 ICAO The international CivilAviationOrganization (ICAO) is aUnitedNations (UN)specialised agency, established by member States in 1944 to manage theadministrationandgovernanceoftheConventiononInternationalCivilAviation(ChicagoConvention). ICAOworkswith theConvention’s193MemberStatesand industrygroupstoreach consensus on international civil aviation Standards and Recommended Practices(SARPs)andpoliciesinsupportofasafe,efficient,secure,economicallysustainable and environmentally responsible civil aviation sector. These SARPs and policies are used by ICAO Member States to ensure that their local civil aviationoperationsandregulationsconformtoglobalnorms,whichinturnpermitmorethan100,000dailyflightsinaviation’sglobalnetworktooperatesafelyandreliablyineveryregionoftheworld.

Inadditiontoitscorefunctionofresolvingconsensus-driveninternationalSARPsand policies among itsMember States and industry, and amongmany otherpriorities and programmes, ICAO also coordinates assistance and capacity-building for States in support of numerous aviation development objectives;produces global plans to coordinate multilateral strategic progress for safetyand air navigation; monitors and reports on numerous air transport sectorperformancemetrics;andauditsStates’civilaviationoversightcapabilitiesintheareas of safety and security.

TheRepublic of SouthAfrica, as a signatory State to ICAO, is committed toworkingwiththeinternationalcommunitytoensuresafeandsecureskies.ThisiscoordinatedthroughtheDepartmentofTransport;andallaviationorgansofStateare required tocollaborate toachieve thismandate.TheSACAA, through theCivilAviationAct,2009(ActNo.13of2009),hasamandatetoregulateaviationsafety and security in accordance with ICAO prescripts.

5.1 LEGISLATIVE AND OTHER MANDATES


5.1.3 ICAO Critical ElementsICAOContractingStates,intheireffortstoestablishandimplement an effective safety and security oversightsystem, need to consider the critical elements (CE)forsafetyandsecurityoversight.Criticalelementsareessentially the safety and security advancement tools of a safety and security oversight system and arerequired for the effective implementation of policies and associated procedures related to aviation safety and security. States are expected to implement the safety and security oversight critical elements in a way thatassumes the shared responsibility of the State and the aviation community.

Thecriticalelementsofasafetyandsecurityoversightsystem encompass the whole spectrum of civil aviation activities. The effective implementation of the CEs is an indication of a State’s capability regarding safety andsecurityoversight.

The following diagram demonstrates the regulatoryareas depicted under the different critical elements. Critical Elements 1 to 5 pertain to the establishment of thesafetyandsecuritysystems,whileCE6to8addressthe effective implementation of such systems by the Regulator:

OUR MANDATE (continued)

SACAA Core Business

Establish

Implement

System & Safety

Oversight

State Civil Aviation

Functions

Technical Guidance,

Tools and theProvision of Safety

Critical Info

Aviation SecurityLegislation

Prog

rammes

&

Regu

lation

sAppropriate

Authority

Guidance, Tools

& Info

Quality Control

Obligations

Resolution ofSecurity Concerns

Certifi ca

tion &

Approval O

bliga

tions

Pers

onne

l Qua

lifi c

atio

n&

Trai

ning

Primary AviationLegislation

Spec

ifi c O

perat

ing

Regu

lation

s

Surveillance

Obligations

Resolution ofSafety ConcernsCertifi

ca

tion &

Approval

Obligatio

ns

Tech

nica

l Per

sonn

el

Qua

lifi c

atio

ns &

Trai

ning

CE 2

CE 1

CE 3C

E 5

CE 7CE 8CE 6

CE

4

EightCriticalSafety Elements

EightCriticalSecurity Elements


5.2 INSTITUTIONAL POLICIES AND STRATEGIES OVER THE FIVE-YEAR PLANNING PERIOD


TheSACAAisguidedbyglobal,continentalandnationalpoliciesandstrategiesoverthenextfive-yearplanningperiod.

The SACAA has conducted a holistic review of global, continental and nationalimperatives to ensure that the impact of the SACAA strategic objectives delivers

positive societal contributions. In thedevelopmentof theAPP,SACAAconsideredthe2030AgendaadoptedbytheUnitedNationsGeneralAssembly.TheAgendaisa commitment to eradicate poverty and achieve sustainable development by 2030 worldwide,ensuringthatnooneisleftbehind.The17UNSustainableDevelopmentGoals(SDGs)arehighlightedinthediagrambelow:

United Nations Sustainable Development Goals (UN SDGs)


ICAO GLOBAL PLANS

Anefficientairtransportsysteminanyeconomyhas been recognised as a significant catalystfor sustainable development. In fulfilling itsmandate of regulating aviation safety andsecurity,theSACAAachievesitsworkthroughthe effective implementation of the ICAO Global Plans,namely:

1. TheGlobalAirNavigationPlan;

2. TheGlobalAviationSafetyPlan;and

3. The Global Aviation Security Plan.

TheSACAA’spurposeandmissionstatement;to regulate civil aviation safety and security in support of the sustainable development of the aviation industry, is the driving forcebehind the SACAA’s successful delivery of the three ICAO global plans that are effectivelyaligned to the UN Sustainable Developmentgoals.TheseplanscomewithexpectationsfromMember States in terms of implementation. It is importanttohighlightthatthroughtheSACAA,South Africa is on course to deliver on the aspirations of the plans.

AFRICAN UNION AGENDA 2063 ASPIRATIONAL GOALS: Onacontinentallevel,theSACAArecognisestheAfricanUnion(AU)Agenda2063,thestrategicframeworkforthesocio-economictransformationofthecontinentoverthenext50years.TheAgendaiscraftedalongseven(7)aspirations.ThestatementbelowreflectsthecollectiveAUvisionontheaspirations:

“The aspirations reflect our desire for shared prosperity and well-being, for unity and integration, for a continent of free citizens and expanded horizons, where the full potential of women and youth, boys and girls are realized, and with freedom from fear, disease and want”.

Theseven(7)AfricaAgenda2063aspirationsareasfollows:

OUR ASPIRATIONS FOR THE AFRICA WE WANT

AprosperousAfrica,basedoninclusivegrowthandsustainabledevelopment;

Anintegratedcontinent,politicallyunitedandbasedontheidealsofPan-AfricanismandthevisionofAfrica’sRenaissance;

AnAfricaofgoodgovernance,democracy,respectforhumanrights,justiceandtheruleoflaw;

ApeacefulandsecureAfrica;

AnAfricawithastrongculturalidentity,commonheritage,sharedvaluesandethics;

AnAfricawhosedevelopmentispeople-driven,relyingonthepotentialofAfricanpeople,especiallyitswomenandyouth,andcaringforchildren;

Africaasastrong,unitedandinfluentialglobalplayerandpartner.



TheSACAAdeliversonthiscontinentalvisionandthedeliveryoftheAfricaAgenda2063 through its continuous contribution to theAfrican CivilAviation Commission(AFCAC),which isaspecialisedagencyof theAfricanUnion, responsible for civilaviationmatters inAfrica.TheSACAA,also through theShareholder,ensures theprovision of resources to the Commission to ensure the effective implementation of theAfrican civil aviation programmes. Additionally, theSACAA contributes to theAfrica2063aspirationalgoalsthroughtheimplementationofitsRegionalCooperationStrategy that enhances collaboration, cooperation and the provision of technicalassistanceproactivelyandwith the intentionof improving theAfricancivil aviationsafety record and the effective implementation of ICAO Standards and Recommended practices (SARPs).

THE REPUBLIC OF SOUTH AFRICA: NATIONAL IMPERATIVES

Asastate-ownedagency reporting to theDepartmentofTransport, theSACAA ismandated to deliver on theState’s obligation to provide regulatory oversight overthe holistic civil aviation system. This is to ensure that the Republic of South Africa achievesitsinternationalobligationsasasignatorytotheICAOChicagoConvention.Theaviationsectorisanenablerofsustainabledevelopment,andinthedevelopmentoftheAnnualPerformancePlan(APP),theSACAAtakescognizanceofandalignsto the national priorities and plans. The National Development Plan (NDP) hasbeenapivotalguidefortheorganisationincraftingitsfive-yearstrategyandAnnualPerformance Plan.

Onthedomesticfront,SACAAcontinuestorecognisetheaviationsector’scontributiontoachievingsustainableeconomic,socialandenvironmentaldevelopment throughalignmenttothenationalprioritiesandNDPoutcomes.

TheSACAArecognisestheNDPPillarsandprioritiesofthe6thAdministration,whichwerealsodeliveredat theStateof theNationaddress.The threeNDPPillars,onwhichtheseven(7)APEXprioritiesarebased,are:Pillar 1: A STRONG AND INCLUSIVE ECONOMYPillar 2: CAPABILITIES OF SOUTH AFRICANSPillar 3: A CAPABLE STATE.

The South African Government’s Seven (7) APEX Priorities encapsulated within the three (3) pillars of the National Development Plan (NDP)

The Government has identified the seven (7) APEX priorities to be undertakenduringthe2019-2024period,toputthecountryonapositivetrajectorytowardstheachievementoftheNDP2030vision.


A STRONG AND INCLUSIVE ECONOMY• APEX Priority 1: Economic Transformation

and Job Creation

A CAPABLE STATE• APEX Priority 6: Acapable,ethicaland

developmental state• APEX Priority 7: A better Africa and World

CAPABILITIES OF SOUTH AFRICANS• APEX Priority 2: Education,SkillsandHealth• APEX Priority 3: Consolidatingthesocialwage

throughreliableandqualitybasicservices• APEX Priority 4:Spatialintegration,human

settlementsandlocalgovernment• APEX Priority 5: Social cohesion and safe

communities

Pillar 1

Pillar 3

Pillar 2


NATIONAL DEPARTMENT OF TRANSPORT OUTCOMES

TheDepartmentofTransport,astheshareholder,hasidentifiedthefollowingoutcomesasthefocusareasforthedepartmentinthenextfiveyears:

Safety as an enabler of service deliveryTransportisnotonlyaneconomicandasocialfunction,butalsocarriesmassivesecurityresponsibilities.SuccessiveConstitutionalCourtjudgmentshaveaffirmedthisobligationandhavepronouncedontheresponsibilitiesofthevariousorgansofstateinthisregard.

Public transport that enables social emancipation and an economy that actually worksPublictransportplaysacriticalroleinenablingeconomicactivityandsocialemancipation.Accesstocentresofeconomicactivityandsocialamenitieslargely depends on public transport.The sixth administration has identified the realisation of a three-shift economy as a strategic goal, aimed atpropellinggrowthintheeconomy.

Infrastructure build that grows the economyChapter4oftheNationalDevelopmentPlancallsforthedevelopmentofeconomicinfrastructureasthefoundationofsocialandeconomicdevelopment.Over themediumterm, thedepartmentwill focusonmaintainingnationalandprovincial roadnetworks,providingpassenger rail infrastructureandservices,andfacilitatingintegratedpublictransportnetworks.

Building a maritime nation, elevating the oceans economyAsamaritimenationwithapproximately2800kilometresofcoastline,whichisstrategicallylocatedononeofthebiggestshippingroutesandsurroundedbythreeoceansontheEastern,WesternandSouthernseaboards,wearesteadfastinourcommitmenttopositiontheoceanseconomyasastrategiccontributortoeconomicstimulationandgrowth.ThebulkofSouthAfrica’stradeisseaborneandaccountsformorethan80%ofthecountry’strade.

Accelerating transformation towards greater economic participation Thetransformationagendaofthesectormustfocusonthefollowingobjectives:► TransformationoftheSouthAfricanconstruction,engineering,aviationandmaritimesectors,inlinewithnationaltransformationimperatives,ina

mannerthatbroadenseconomicparticipation,economicgrowthandjobcreation.► Strengtheningourcollectivecontributiontobroad-basedblackeconomicempowerment,skillsdevelopmentandthegrowthofsmall,medium,and

macroenterprisesandco-operatives,withaparticularbiastowardstownship,dorpieandruraleconomies.► Innovation and effective participation in international and multilateral bodies.

TheRegulator’sfive-yearstrategywillensurealignmentwiththeapplicableoutcomesoftheDoT.


1

2

3

4

5


PART B

OUR STRATEGIC

FOCUS

5.


VISIONAworld-classcivilaviationregulator.

MISSIONTo regulate civil aviation safety and security in support of thesustainable development of the aviation industry.

BRAND PROMISEKeepingyousafeinthesky.

VALUESVALUE ATTRIBUTES

Integrity Maintain high ethical standards and approach issues professionally withintegrity, without any bias and in a transparentmanner that engenders trustamongstallourstakeholders.

Service excellence Service delivery ahead of customer expectations, striving to always exceedcustomer expectations.

Teamwork Workingwithothersandtakingjointaccountabilityfortheresults.

Collaboration Workingtogethertoachievemutuallybeneficialgoals.

OUR STRATEGIC FOCUS (continued)


The International Air Transport Association (IATA) predicts that global airpassengeractivitywill doubleby2035.Africa’sgrowthof5.4%perannumisexpectedtooutstrip theglobalaverageof less than5%perannumoverthis period. Last year alone, the air transport sector is believed to havegenerated approximately R460 billion profit. However, most recently, thebusiness environment for airlines has deteriorated, with rising fuel pricesandasubstantialweakeningofworldtrade.Therearesignificantriskfactorsadverselyimpactingtheaviationsectorglobally.Thepoliticalinstabilityandthe recent political conflict between Iran and theUSAnever bodewell forair travel. Even more critical is the proliferation of protectionist measures andtheescalationoftradewars.AstheUS-Chinatradewarintensifies,theimmediateriskstoanalreadybeleagueredaircargoindustryincrease;and,whilepassengertrafficdemandisholdingup,theimpactofworseningtraderelations could spill over and dampen demand.

FortheAfricancontinent,IATAprojectsthatAfricanairlineswilldelivera$0.1billionloss(unchangedfrom2018),continuingaweaktrendintoitsfourthyear.However,fewairlinesintheregioncanachieveadequateloadfactors,whichaveragedthelowestgloballyat60.7%in2018.Overall,industryperformanceis improving, but slowly. Most recently,Africa’s initiative to boost regionalintegrationcameintoeffectinJuly2019.TheAfricanContinentalFreeTradeArea (AfCFTA) agreement, which plans to expand regional trade by 54%bycutting tariffson90%ofgoods tradedacross thecontinent tozero,hasentered the implementationphase.Foraviation, theAfCFTA, togetherwithothercontinentalinitiatives,includingtheSingleAfricanAirTransportMarket,

willbeagamechangerinstimulatingintra-Africatrade,iffullyimplemented.These complimentary instruments are expected to stimulate demand for air travelandtrade,unlockthepoorconnectivityissuesonthecontinent,resultintheupgradingoftransportinfrastructureaswellasincreasethediversificationofeconomies,whichhavetraditionallyreliedonabundantnaturalresources.

Atthenationallevel,theAirlinesAssociationofSouthernAfrica(AASA)statedthat airlines across the Southern African Development Community (SADC) have reported a massive collective loss of about R4.08 billion. However,travelandtourism,forleisureandbusiness,isthefastestgrowingsectorintheworldandrepresentsoneofthelargestsourcesofgrowthopportunitiesand powerful levers for growth in the local aviation sector. Unfortunately,the travel and tourism opportunities in SouthAfrica are being stunted byimmigration(visa)policyuncertainties,leadershipinstability,poorgovernanceandmanagementandinsomecases,inadequateinfrastructure.TheNationalDevelopmentPlanhighlights tourismasoneofSouthAfrica’s threepriorityindustries.Around 69million people visitedAfrica in 2018,which is sevenpercent (7%)more than in2017.However,according to theDepartmentofTourisminSouthAfrica,totakefulladvantageoftheopportunityofferedbythetourismindustry,certaininhibitorsmustfirstberemoved.Theseincludefindingspeedysolutionswithwhichtounlocktheeconomicleversresponsibleforjumpstartingthestallingeconomyandthevisaregime.

For the local aviation industry to expand and fulfil its potential, passengergrowthmustreturntolevelsgreaterthan5%.

SITUATIONAL ANALYSIS

7.


7.1 EXTERNAL ENVIRONMENTAL ANALYSISPESTLE Analysis

Political Factors Impact on the SACAA Impact

Uncertaintyingovernmentpoliciessuchaslandexpropriation,andproposalstonationalisetheReserveBank.

Mayaffectthegrowthoftheaviationindustry.-

DelaysinapprovingpolicyreformssuchastheNationalCivilAviationPolicy (White Paper).

Effective execution of the SACAA mandate.-

Treasurypoliciese.g.PFMAprocurementrulesthatapplytoRegulatorslikeSACAA,eventhoughtheyarenotdependentonthefiscus.

Constraintsonsalaryincreasesandlabourregulations,whichleadtodifficultyinattractingandretainingcriticalskills.

-

Globalandregionalpoliticalinstability(e.g.terrorismandconflict). Aviation activity will decrease and affect the revenue of the SACAA. -

Reluctanceofsomecountriestocooperateintermsofinformation-sharing,owingtosecuritysensitiveness.

The achievement of interoperability and the harmonisation of air transport.-

Regionally,politicallystablerelationshipswithexternalstatesliketheSADC,BRICS,SAATM,AU,etc.

Willimpactonthegrowthofcivilaviationbusiness.+

Introduction of prohibitive Visa laws. Passengermovementswilldecrease,especiallyfromtourism. -

Economic Factors Impact on the SACAA Impact

TheglobaleconomyandthecurrentUS/Chinatradewar,leadingtoinstabilityintheexchangerateandtheoilprice.

Negativegrowthofthecivilaviationindustrywillreducerevenue.-

The decline in the country’s GDP. Economicrobustnessofairlines,especiallySouthAfricanAirways,isanimportantfactor,asistherangeofeconomicfactorsthatcanaffectthepropensityofpeopletospend/fly.

-

Dependence on fossil fuels makes the industry vulnerable to supply shortagesandrisingprices.

Growth and development of the aviation industry.-

AgoodZAR/USDexchangerateimprovesthecostofaircraft,whileapoorZAR/USDexchangerateincreasesthenumberofforeignvisitors.

FinancialsustainabilityandtheexecutionoftheSACAA’sregulatoryfunctionsmaybeaffected.

+

Waningsustainabilityofairlines. TheSACAA’srevenuemaydecreaseasaconsequence,duetothedependenceonthePassengerSafetyCharge(PSC).

-

SITUATIONAL ANALYSIS (continued)


Lowcommoditypricesinemergingmarkets. Adverse impact on SACAA revenue -

Reduceddisposableincome,affectingthepropensitytofly. TherevenueoftheSACAAmaydecreaseconsequently,duetothedependenceonthePassengerSafetyCharge(PSC).

-

Strongergovernmentfiscalcontrols. Willhaveapositiveeconomicimpactontheindustry,intermsofbetterserviceexcellence.

+

Macroeconomic policy certainty. Exchangeratefluctuationsaffecttourismandpassengermovementsintheaviationindustry.

-

Global economic meltdown. Decreaseinpassengernumbersandthemovementofgoodsbetweencountries. -

Fiscal constraints can have an adverse impact on SACAA revenue streams,astheycontrolhowmuchSACAAcanincreasethepassengersafetycharges.

ThismaynotmatchincreasesintheoperatingexpensesoftheSACAA.-

Social Factors Impact on the SACAA Impact

Inequalityandtransformation,education,etc. Discriminationandinequality(particularlyrace,genderanddisability)causeinstabilitythatinvitestheinsecurityofprotestsandstrikes,potentiallyrenderingSACAA’sregulatoryfunctioncompromised.

-

Industrial action and community protests. Businessenvironmentisadverselyaffected,andthisleadstolow/disruptedproductivity and service.

-

Highrateofunemploymentandcrime. Unemploymentleadstopoverty,causinganadverseimpactoneconomicgrowthandproductivity.

-

SpreadofCommunicablediseases,e.g.Zikavirus,Ebola. Decreasedaviationactivity,whichaffectstourismandpassengernumbers. -

Changingworkforceecosystem. Inability to meet the future professional requirements and Transport Charter requirements for the South African aviation industry.

-

Globalisation. Thefightforlimitedskillsputsdevelopingcountriesonthebackfootasopposedtofirstworldcountries,withtheirstrongercurrenciesandnon-taxablesalaries.

-

Rise in substance abuse. Impacts the safety record of airlines and therefore the safety of South African skies. -

IncreaseinpoormanagementofhealthcaseswithintheSACAAandthe industry.

Absenteeism and productivity are affected. -



Technological Factors Impact on the SACAA Impact

The 4thIndustrialRevolution(4IR)isofgreatsignificancetotheaviationindustry and the SACAA.

Levelandspeedofadaptationtoinnovationandtechnologyiscritical.+

Thehighcostofnewtechnologies,theleveloftechnologicalawareness(nationallyandwithintheorganisation),theskillsrequiredtousenewtechnologies,andautomation-UnmannedAerialVehicles(UAV)andRemotely Piloted Aerial Systems (RPAS).

TechnologyislikelytoplayanincreasinglyimportantroleinhowtheSACAAbringsitsproduct / services to the market.

+

Cyber security threats. Cyberthreatshaveanadverseimpactonbusinesssystems,whichcancreateregulatoryandconfidentialitychallenges.

-

Rapidadvancementoftechnology,especiallyArtificialIntelligenceandRobotics.

Newdevelopmentsandtechnologieswillrequirerevisedprocessesandskillsetswithin the SACAA.

-

Legal and Regulatory Factors Impact on the SACAA Impact

ProposedCivilAviationAmendmentBill,2017. Willenhanceregulatorypracticesandrevisionstosomebusinessoperationsandbusiness processes.

+

Amendmentstoexistingortheintroductionofnewlegislation,e.g.theamendmentoftheImmigrationAct,introductionoftheProtectionofPersonalInformationAct,2013,(ActNo.4of2013),PromotionofAccesstoInformationAct,2000(ActNo.2of2000),TaxationLaws,B-BBEEtransportcodes,AirServicesBillandlabourlaws,environmental laws.

Adversereactionsfromaffectedpartiesorpossiblelitigation.

-

GrowingprivatisationorcommercialisationofhistoricalStatefunctions(self-regulation).

TheroleoftheSACAAasaNationalRegulatormaybenegativelyaffected.-

Environmental Factors Impact on the SACAA Impact

Changingglobalweatherpatterns. Adverseimpactonaviationsectorduetoflightoperationssuspensionsandeffectonthesafetyofpassengers,aircraft,andstaff.

-

IntroductionofGlobalMarket-basedMeasures. Mayimproveglobalaviationenvironmentalprotectionandthedevelopmentofrelevantstandards.

+

Aviationinfrastructurethatmeetsacceptableenvironmentallaws,e.g.Green airports.

Newpoliciesandtaxesoncarbonemissionswillalsohaveanimpactontheindustry.+



SWOT Analysis

STRENGTHS WEAKNESSES

• StrongleadershipfocusedongrowthanddevelopmentoftheindustryandAuthority.

• Definedcustomerservicestandards.• BrandvisibilityofSACAAonsocialmediaplatforms.• Structuredindustryforummeetings.• SACAA visible in industry events.• Co-marketingcampaignsstrengthentherelationshipofSACAAwithindustry,

especiallyregardingsafety-relatedcampaigns,e.g.RPAS.• Safetycampaignswithindustrye.g.Safety-Firstcampaign”.• SACAAstrengtheninglocalandglobalreputation.• Healthyfinancialposition.• Effectiveandappropriatecivilaviationlegislation.• Highlyskilledhumancapital.• Transformedorganisation.• Consistentlyperformingtransportentity.• Stronginternalcontrolenvironmentandcleanaudit(6yearsinarow).• Goodgovernanceandethics.• Transformed and stable leadership team.• Strong,favourableinternationalreputation.• Ratedamongthetop100“EmployerofChoice”inSouthAfrica.• Transformational Leadership.• Continuous investment in human capital development.• Attainedabove-world-averageEffectiveImplementationofICAOcritical

elements.• TrustedandrecognisedasexpertAviationRegulatorbypeers.

• Lackofautomatedsystemstomanagecustomertransactionsandqueries.• LackofmonitoringtooltomeasurethesuccesslevelsoftheServiceLevel

Agreements(SLAs).• Lack of visibility of the SACAA brand in mainstream media.• Lackofacustomer-centricculture.Poorresponsetimelinestocustomerqueries.• SACAAisseenasa“policeman”Authorityratherthanapartnerinsafetyand

security. • OverrelianceonPassengerSafetyCharge(PSC).• Work-lifebalancenotoptimised.• Inadequateofficespace.• LackofsecureICTsystemthatcandetectandprohibitcyber-attacks.• PoorperceptionofSACAAbeingviewedasanunapproachableAuthority,

divorcedfromtheneedsandplightofitsstakeholders.• Theproliferationofdronetechnologyandlackofmonitoringtools.• GeneralAviationisseentobearoguesegment,withpilotsopenlydefying

applicablecivilaviationregulationsto“maintaintheirfreedom”.• Informationleakagestoboththemediaandindustrymaysabotagethework

beingdonetoimprovetheimageoftheorganisation.



OPPORTUNITIES THREATS

• StabilityintheleadershipandthestrengthoftheleadershipprovidesafertilegroundforthereputationandgrowthoftheSACAA.

• DuetothesuccessestheSACAAhasachievedinthepastfewyears,educatingtheflyingcommunityaboutthevaluetheSACAAbringstoitsclientelewouldshowSACAAasprovidingrealvalueintheexecutionofitsmandate.

• TheSACAA’simprovingregionalandglobalstandingpositionstheAuthoritytobeseenashavingthoughtleadersinvariousspecialisedareasincivilaviation,e.g.safety,securityandenvironmentalmatters.

• Introduction of a formal alternative dispute resolution mechanism in the form of mediation.

• Improveoversightonrecreationalaviation.

• Optimisestakeholderengagements,usingnewtechnologyplatforms.

• Reskill towards future work ecosystem.

• Promotegrowth,developmentandtransformationofthecivilaviationindustry.

• Fosterrobustregionalcooperationandcollaboration.

• Increase the national footprint and visibility of the SACAA

• Advanceintechnologicaladvancements(externalsystems)

• ElevationtoNo1CAAstatusinAfricaandotherglobalcertifications.

• LegalliabilitiesarisingfromlitigationagainsttheSACAA.

• Increasedcyber-attacksoncriticalinfrastructureglobally.

• Terrorism (innovative and adaptive).

• UncertaintyregardingthefutureofSouthAfricanAirwaysandSouthAfricanExpressaffectingtherevenueoftheSACAA.

SITUATIONAL ANALYSIS (continued)SITUATIONAL ANALYSIS (continued)


7.2 INTERNAL ENVIRONMENTAL ANALYSIS


Employee Engagement

ThemostimportantassetoftheorganisationisourmostvaluedHumanCapital,ouremployees.SACAAhasstrengthenedtheemployeeengagementmechanismstoimprovethevalueoffering.Theorganisationisgearedtowardsthephasinginofthemillennialworkforceandstrikingthebalancewiththeexistingmiddle-agedworkforce,whereaculturethatisbothtraditionalandreceptivetonewwaysofdoingbusinesscanco-exist.Thisisalsoreflectedintheindustryweserve.Theorganisationalcultureembodiesthevaluesthatwillservetheimplementationofthestrategicobjectives.

Itisforthesereasonsthatthedevelopmentofthenewstrategicplan2020/21–2024/25,wasbothabottom-upapproachaswellasatop-downapproach.Theemployeeshavebeenengagedandconsulted rigorouslyon thevaluecreationfortheSACAAclient,theflyingpublicandotherrelevantstakeholderswhomweserve.Thisreflectiveengagementincludedself-introspectionasanorganisationonhowwecandelivertheSACAAmandatebetter,takingintoconsiderationallmicroandmacro factorsaffecting thebusiness.More importantly,what impactwouldtheSACAAliketoseeintheworld,theregionandinnationalenvironments?Havingidentifiedalltheorganisationalstrengthsandweaknesses,thekeythemesfortheinternalorganisationonwhichtofocusandimprove,arethefollowing:

1. Customer-Centricitya. Building a customer-centric culture, that seeks to provide effective

regulationthroughpartnershipwiththeindustry.

b. Theimprovementofinternalprocessestoreducedelays,redtapeandbureaucracy.

c. TheSACAAismandate-driven,seekingtodeliverserviceaccordingtotheresponsibilityandaccountabilityaffordedtotheorganisationbytheState. The discharging of these critical functions ensures that SouthAfrica achieves its national plans and outcomes of being a capableState.

2. Building organisational capability and capacitya. Weare facingachangingbusinessandaviationsectorenvironment,

with the advent of the Fourth Industrial Revolution (4IR), and thisprovides relevant opportunities to transform the organisation, reviewtraditional methods, reskill the workforce to ensure relevance andprovide associated capabilities to deliver on the SACAA mandate.

b. Review of organisational processes to be more responsive to thebusinessimperativesandtoultimatelyprovideagoodcustomeroffering.

c. Automationofbusinessprocessestosimplifyregulatoryprocessesandmake it seamless to transact with SACAA.

3. Holistic administration and governance factorsa. TheroleoftheRegulatorinvolvesadministrativefunctionsandactions,

whichrequire theefficientandeffectivemanagementofall resourcesemployed. In the quest to remain financially stable, the operationalelementsofthebusinessmustbeconductedinacost-effectivemannerthat issensitive to thecommercial factorsaffectingourstakeholders.There is a strong correlation in the compliance to statutory financial,legal and other administrative factors with financial sustainability.Internally,weseektooptimiseinternaloperations,withoutaffectingthequality of work.



AstheSACAApreparedthedevelopmentofitsnew5-YearStrategicPlan,itwascriticaltousetheopportunitytounderlinetheorganisation’scommitmentto improving aviation safety and security. The development of the newSACAAStrategicPlan included thecriticalelementofeffectivelyengagingthekeystakeholdersandpartnersinthisjourneyandcreatinganewaviationfuturefortheorganisationandcountryatlarge.

Toachieveeffectivestakeholderengagement,itwasimportantfortheSACAAto identify the key stakeholders that will enable the future vision. It is noted that there aremany stakeholderswithwhomSACAAengages on variousmatters,butforthedevelopmentofthestrategicplanandtheplanningofthefuture,itwasimportanttoselectthekeystakeholdersandpartnerstoprovidevaluable input to theSACAA, to ensure thatwe balance all strategic andmaterialmattersdrivingtheindustry.

Participatingorganisationswereselected,basedontheirstrategicpositioningin the country and sector, as well as through the SACAA StakeholderManagementPlanguide.TheselectionwasalsoaimedatensuringalignmenttothemandateoftheSACAA,recognisingtheRegulator’skeyfocusareas.

The process of stakeholder participation involved the following two steps:

a. Thefirststepwasforstakeholderstoprovidewrittenresponsestokeystrategicquestions.

b. The second step was a consultation workshop where refined inputswere discussed between the SACAA and key industry stakeholders. The workshop presented the SACAA with a unique opportunity to access collectiveexpertise,andtodefineandrefinetheaspirations,objectivesandactionsforconsiderationbytheSACAAmanagementandBoard.

The expected outcome of the stakeholder consultation was a comprehensive plantodeliverontheSACAAmandate,developedbybalancingtheneeds,interests and expectations of stakeholders, and considering all inputs.The consolidated inputs of the stakeholders were presented in a holistic,transparent and comprehensive manner. The Regulator presented itsmandate,operatingenvironmentandcontext.Theindustrystakeholderswerepresentedwith anopportunity to engage theRegulator on value creation,concernsandexpectations.Theirinputswerethoroughlyinterrogatedagainstthecriteriaofrelevance,materialityandvaluecreation.

The important themes of focus areas and value streamswere confirmed,with the keymessage being partnerships and collaboration in the holisticmanagementofaviationsafetyandsecurity.

7.3 STRATEGIC PLAN: STAKEHOLDER CONSULTATIONS



PART C

MEASURING PERFORMANCE

8.


ThecorethrustoftheStrategicPlanistocreatearesults-basedandvalue-basedplanthatdeliversimpact.Toenablethis,theorganisationhasengagedrigorouslytodefinetheimpactstatement,whichwillbetheguidingforceofalltheoutcomesforthenextfiveyears.TheimpactstatementisalignedtothecoremandateoftheorganisationandhasalsobeenwidelyconsultedwiththekeyStakeholders.

8.1 MEASURING THE IMPACT

8.2 MEASURING OUTCOMESThekeytoachievingstrategyexecutionliesintheeffectivenessofmeasuringoutcomes.TheSACAAhasdesignedkeypriorities,alignedtothelong-termvisiontoenablethedeliveryofsaferskies.Theoutcomeshavebeenselectedagainstthebackdropofunderstandingthedrivingforcesofthebusinessenvironment,theanalysisthereof,emergingissues,risksandthechangingneedsofavarietyofstakeholders.

Whiletherecanbemanycompetingpriorities,itwasimportantfortheorganisationtoprovidetherationaleforthestrategicchoicesandthereasonsforthenon-selection of other factors.

TheselectionofthedefinedoutcomeswasdrivenbytheSACAAmandate,andtheresponsibilityplacedontheorganisationbytheState.Thisiscloselysupportedbythevaluecreationforkeystakeholders.ThereisaprovisionfortheselectionrationaleforeachoftheOutcomes,presentedinTable2below.

TheSACAAhasthoroughlyconsultedtoselectthefollowingOutcomesthatinformtheStrategicThrustinthenextfiveyears:

8.3 DEFINING OUTCOMES FOR 2020/21 – 2024/25

1. StrengthenedSafetyandSecurityOversightSystem

2. Financial Sustainability

3. EnhancedHumanCapitalManagement

4. InnovationandTechnologyManagement

5. ImprovedStakeholderEngagementandServiceExcellence

6. Sustained Good Corporate Governance.

MEASURING PERFORMANCE

IMPACT STATEMENT

A safe, secure, efficient and sustainable civil aviation oversight system that contributes to industry development

and socio-economic growth.


8.4 ALIGNMENT BETWEEN THE SACAA OUTCOMES, DOT OUTCOME AND THE NDPAsapublicentityreportingtotheDepartmentofTransport,itisimportantthattheSACAAtakesitscuefromtheGovernmentblueprintintheformoftheNationalDevelopmentPlan(NDP)aswellastheoutcomesoftheDepartment.BelowisanalignmentdrawnbetweentheSACAAoutcomes,theDoToutcomesandtheAPEXprioritiesthatsupporttheNDPPillars.

No. APEX PRIORITIES SACAA OUTCOMES DOT OUTCOMES SACAA OUTCOMES

1. Social cohesion and safe communities.

Strengthenedsafetyandsecurityoversightsystem.

Safety as an enabler of service delivery.

Strengthenedsafetyandsecurityoversightsystem.

2. Economic Transformation and Job Creation.

Enhanced human capital management.

Acceleratingtransformationtowardsgreatereconomicparticipation.

Enhanced human capital management.

3. Education,SkillsandHealth. Improved stakeholder engagementandserviceexcellence.

4. Spatialintegration,humansettlementsandlocalgovernment.

N/A Public transport that enables social emancipation and an economy that actually works.

Innovationandtechnologymanagement.

5. A better Africa and World. Improvedstakeholderengagementand service excellence.

Financial Sustainability.

6. Consolidatingthesocialwagethroughreliableandqualitybasicservices.

Sustained Good Corporate Governance.

7. Acapable,ethicalanddevelopmentalstate.

Sustainedgoodgovernance.

Financial sustainability.

MEASURING PERFORMANCE (continued)


8.5 EXPLANATION OF PLANNED PERFORMANCE FOR 2020/21 – 2024/25Contribution of Outcomes to achieving Mandate, Impact and APEX Priorities

TheorganisationidentifiedthecontributionofeachOutcometoachievingtheentity’smandate,theImpact,the7APEXPrioritiesandotherkeypolicygoals.Theorganisationalsoidentifiedenablerstoachievethefive-yeartargets,andhowtheoutcomescontributetotheachievementoftheImpact.Belowarethecontributionsalignedtoeachoutcome:

Table: Selection criteria and supporting statements for each Outcome

Outcome 1: Strengthened Safety and Security Oversight System

Outcome’s contribution to the achievement of:

Mandate. ItwillensurethatwecarryoutourmandateeffectivelyandreducetheGeneralAviationaccidentrateandmaintaintherateofzerofatalitiesinscheduledcommercialaviation.Itwillimproveindustrycompliance,fostergrowthintheindustryandcontributetoICAOauditsregardingEffectiveImplementation.

NDPandAPEXPriorities. Itwillenhancethesustainabilityoftheindustry,supportcompetitiveness,andmaintainsafetyandsecurity.

Women,children,youthandpersons with disabilities.

Facilitatemovementofpeopleandgoodsthroughareliableairtransportsystem.Inclusive,non-discriminatorysociety.Reducefatalities.

Other policies. Itwillimprovetheregulatorylegalframework.Itisanenableroftourism.

Explanation of enablers to achieve thefive-yeartargets.

Resources,politicalwill,partnershipsandcollaboration,budgetavailability.

How will this Outcome contribute to the achievement of the Impact?

Itwillenableasafeandsecureaviationsectorandreputablestateaviationoversightadministration.Itwillhaveadirectinfluenceonimpact and ensure sustainability as well.

Outcome 2: Financial Sustainability


Mandate. ItwillenabletheexecutionorfulfilmentofthecoremandateinrelationtoemploymentandinfrastructureandmaintainandenhancetheSACAA’soversightcapability.Itwillalsoenabletheretentionofscarceresourcesthroughcompetitivepay.



NDPandAPEXPriorities. Itwillsupporteconomicgrowthandopportunities,reduceunemployment,andsupporttransformationandjobcreation.


ItwillenableincreaseddirectB-BBEEspendonwomen,youthandpersonswithdisabilitiesthroughe.g.theidentificationofsuppliersmeetingthesecriteria.Itwillenableinvestmentinsuppliersandenterprisedevelopmentforthesevulnerablegroups.

Other policies. ItwillsupportcompliancewithPFMAandNationalTreasury.ItwillalsosupporttheachievementofeconomicpoliciesandB-BBEE.


Enablersincludetheavailabilityofbudget,diversifiedrevenuestreams,increasedpassengernumbersandastableeconomy.


Financialsustainabilityiscriticaltothemaintenanceofaneffectivesafetysystem.Itwillenableasustainableorganisation.

Outcome 3: Enhanced Human Capital Management


Mandate. ThiswillenabletheSACAAtofulfiltheaviationsafetyandsecuritymandateeffectively.

NDPandAPEXPriorities. Skilledhumancapitalwillleadtoimprovedcapacityandproductivity,supportingeconomicgrowth.Willsupportdeliveryongovernmentpriorities,aviationconnectivity,tourism,trade,economyetc.APEXpriority2:Educationandskills.


Outcomecanbefocusedonvulnerablegroups.Thereisscopetobringtransformationintothesectorbyensuringthatthosewhowerepreviouslymarginalised,caneffectivelycontributetothedevelopmentoftheeconomy.Theoutcomeshouldreachchildren(promotionofcivilaviationcareers),womenandpersonswithdisabilities(skillsdevelopment).Empowermentofdesignatedgroups,children,youth,povertyalleviation.Improvesemployability.

Other policies. Transformation,representation,skillsdevelopmentpolicies,NationalCivilAviationPolicy(NCAP)(WhitePaper),labour,BasicConditionsofEmploymentAct(BCEA).


Funding/budgetandresources,collaboration,culture,leadership.Broad-BasedBlackEconomicEmpowerment(B-BBEE),SkillsDevelopmentAct(SDA),EmploymentEquityAct(EEA).


Skilledandcompetentworkforcewillcontributetosafety.Buildapipelineofacompetentandcapableworkforcethroughdiversity.Safety requires education/awareness and a skilled workforce.



Outcome 4: Innovation and Technology Management


Mandate. ThiswillenabletheSACAAtoproactivelyrespondtothechangingbusinessenvironmentintermsoftechnologicalshifts,whileaddressingthestakeholders’needsforefficiency,agilityandclient-centricity.

NDPandAPEXPriorities. Pillar2and3oftheNDP:CapableSouthAfricansandacapableStaterespectively.


Facilitatereskillingoftheorganisation,providingopportunitiestopreviouslymarginalisedgroupstomakeuseofnewopportunities.

Other policies. National4IRframeworksandpolicies,skillsdevelopment.


Investmentintotechnologyinfrastructure,skillsdevelopmentandresearchresources.


Theredesignofbusinessprocessestoensureagilitybothinandoutsideoftheorganisation,willdelivergreatvaluetothestakeholders,savingtimeandensuringserviceexcellence.Researchanddevelopmentstrategy.

Outcome 5: Improved Stakeholder Engagement and Service Excellence


Mandate. Quickerturnaround,improvedsafetymanagement,betterfit–economicgrowth,industrygrowth,greatervoluntarycompliance,saferskies.Regionalcooperationparticipation.Contributestothedevelopmentoftheaviationindustry.Positiononcontinentenhanced. Delivers on the interests and expectations of all stakeholders.

NDPandAPEXPriorities. Fastereconomicgrowth;stakeholderneedsareensured.Ensurethatallcitizenscanaccessasafeandreliableairtransportsystem. Safe skies for all in South Africa. Pillar 2: capabilities of South Africans. Economic inclusion. Transform the economy. IntroduceRegionalsupportinitiatives.ContributestoAfricanUnionvisionof“Nocountryleftbehind”.


Needsofvulnerablegroups,addressedbymeansofengagementandsolutionsthatwillmakeitfeasibleforallgroupstouseairtravelasanalternativemodeoftravel.Thiswillbringaboutbalanceregardinggenderandequalityforpersonswithdisabilities.Enablethefocusandprogrammeforimprovingthelivesofvulnerablegroups.



Other policies. Serviceexcellenceaspect.BathoPele.B-BBEE.EEAct.SDA.PFMA.KingIV™.


Financialresources–increases,rewards,etc.Budget.(AdisablerisPFMA).Specialisedhumancapital.Finances.Resources.Socialandeconomicpoliciesandfinancialviability.Leadership.


Helpssustainabilityandsocio-economicdevelopment.Reducedaccidents.Sustainableairtransportsystem.Responsibleregulatoryoversightleadstothrivingsocial,economicandenvironmentalfactors.

Outcome 6: Sustained Good Corporate Governance


Mandate. RegulatoryoversightresponsibilitiesoftheSACAArequiregoodcorporategovernancetoachievetheobjectsoftheCAAAct,2009(ActNo.13of2009).Compliance,sounddecision-making,transparency.CompliancewithKingIV™.

NDPandAPEXPriorities. AlignedtoAPEXpriority6:capable,ethicalanddevelopmentalstateandNDPpillar3:ACapableState,andaBetterSouthAfricaandWorld.Goodcorporatecitizen.


Equalopportunities,equalrights.Corporategovernancecreatesvalueforallstakeholders.GoodcorporategovernancethereforeservestheobligationsandaccountabilityofSACAAtowardsachievingdevelopmentalobjectivesoftheState.Corporatesocialresponsibility.

Other policies. NationalCivilAviationPolicy.Transportpolicies.CompliancewithPFMAandNTregulations.


Legislation,policies,procedures,technology,shareholderbuy-in,awarenessandtraining,compliance,audits,culture.


Governance=sustainability.Goodcorporategovernancewillensurethattherightsystemsandprocessesareinplace.Todeliverareliableandsafeoversightsystemrequiresgoodgovernance.Properdecision-making.



8.6 OUTCOME INDICATORS

Outcome Outcome Indicators Rationale for choice of Outcome Indicators

1. Strengthened Safety and Security Oversight System

Numberoffatalaccidentsinscheduledcommercialaviation.

Thereisaneedtoensurethatwecontinuetomaintaintheaccident-freerecordin scheduled commercial aviation over the last three decades.

NumberoffatalaccidentsinGeneralAviation. Reduce number of accidents in General Aviation.

NumberofRPASinfringementsintocontrolledairspace. TheintegrationofRPASintotheairspacecouldleadtoinfringementsinvolvingcommercialaircraft;thereisthereforeaneedtoensurethatRPASareintegratedsafelyintothecontrolledairspace.RPASwillbeintegratedintothecontrolledairspaceoverthenextfiveyears.Policyandimplementation.

Numberofsuccessfulcyber-attacks. Withcontinuedinnovation,theriskofcyber-attacksisheightened.

Numberoflandsideincidentsatinternationalairports. Duetoincreasedairsidesecurity,terroristsaretargetinglandside.

PercentageofEffectiveImplementation(EI)inrelationtoSafetyOversight.

Increased EI will lead to improved results and improved reputation.

PercentageofEIinrelationtoSecurityOversight. Increased EI will lead to improved results and improved reputation.

2. Financial Sustainability Percentageincreaseinrevenuecollection. Ensure sustainability in order to carry out mandate.

Percentagereductionofoperatingcosts. Compliance with Treasury instructions. Sustainability.

PercentagegrowthinFIUrevenue. Capital-intensive. Loss-making.

Numberofmonthsofoperatingcostscoveredbycashreserves.

To ensure that the entity is sustainable over time.




3. Enhanced human capital management

Coverratioforcritical,scarceandleadershippositions. Tocreateasufficientandreadypoolofqualifiedhumancapital.

Cover ratio for skills impacted by 4IR. Toensureagilityinthe4IR.

Percentageengagementlevels. To attract and retain critical talent.

Percentageofwomenintransformationprogrammes(bursaries,trainees,internships).

Tobuildapoolofqualifiedhumancapitalandtocontributetotransformation.

Percentageofyouthintransformationprogrammes(bursaries,trainees,internships).


PercentageofPWDintransformationprogrammes(bursaries,trainees,internships).


Productivity index Optimisation. To optimise productivity of the workforce for sustainability.

4. Innovation and technology management

Businessprocessredesign. Toreviewallbusinessprocessesandreduceinefficiencies,bureaucracyandnon-value-addingprocesses.

Businessintelligencecapability(dataanalyticstoolsandtechniques).

Tostreamlineallinformationanddataintheorganisationinacentralisedmanner,tosupportsmarterbusinessdecisionsandeffectivereportingmechanisms.

Percentagesystemreliability. To ensure that business continuity and service level standards are met.

Percentageautomationofmanualoperationsandsystemsupgrade.

Toensureefficientserviceexcellence.

Numberoftimestherearesuccessfulcyber-attacks. Tobuildcyberresilienceagainstthreats.




5. Improved stakeholder engagement and service excellence

Customer satisfaction index. To ensure that the SLA measurements are met.

Numberofcountrieswhereregionalsupportinitiativesare offered.

SpeakstoICAO“NoCountryLeftBehind”,talkstoabetterAfricaandWorld.

Numberoflearnersinallprovincesenrolledintransformationinitiativesperyear(e.g.careerawareness/MathsandScienceeducationcampaigns).

TalkstotheAPEXpriorities,NDP,enhancesreputation,buildscapacity.

Numberofsocio-economicdevelopmentprogrammes. AlignswiththeAPEXpriorityrelatingtowomen,youthandpeoplewithlivingdisabilities,povertyalleviation,addressingunemployment,andreducingtheinequalitygap.

Numberofsupplierandenterprisedevelopmentinitiatives.

Compliancewithnationallegislation,equity,transformationandinclusivityintermsofeconomicgrowth.

Increasedengagementwithstakeholdersoncoremandate.

Increasedeffectivenessoftherelevantgovernmentdepartments,agenciesandaviation industry on SACAA’s core mandate.

6. Sustained good corporate governance

PercentagecompliancewithPFMAandNationalTreasury prescripts.

Speakstocredibilityasaregulator,buildstrustandconfidence,ensurescomplianceasaregulatorintermsofbeingaSchedule3Aentity,improvedreputation,increasedconfidence,transparentandaccountabledecisions.ImprovesCAAstanding,bothgloballyandlocally.

ImprovedAuditor-Generalauditreport. Speakstocredibilityasaregulator,buildstrustandconfidence,ensurescomplianceasaregulatorintermsofbeingaSchedule3Aentity,ensuresdeliveryofmandate,improvedreputation,increasedconfidence,transparentandaccountabledecisions,measurescompliance,anddemonstratesgoodgovernance.

PercentageclosureofInternalAuditfindings. Ensuresproperdecision-making,accountability,responsibleregulator,andtalksto increased compliance.

PercentageAPPPerformanceAchievement. Ensuresdeliveryonthecoremandate,createsvalueforstakeholders,engendersshareholderconfidence,andensurescompliancetolegalprescripts.



8.7 MEASURING OUTCOMES

Outcome Outcome Indicators: Baselines 5-year target

1. Strengthened Safety and Security Oversight System

Numberoffatalaccidentsinscheduledcommercialaviation. 0 0

MaintainaPositiveSafetyOversightIndexinallareas. +1 +1

NumberoffatalaccidentsinGeneralAviation. 20 50% Reduction

NumberofRPASinfringementsintocontrolledairspace. TBD TBD

Numberofcyber-attacks. TBD 0

Numberoflandsideincidentsatinternationalairports. 40 30

PercentageofEIinrelationtoSafetyOversight. 87% 90%

PercentageofEIinrelationtoSecurityOversight. 83% 90%

2. Financial sustainability Percentageincreaseinrevenuecollection. 8% Minimum 1% increase per annum

Percentagereductionofoperatingcosts. 0 2% of baseline

PercentagegrowthinFlightInspectionUnit(FIU). R15 mil 2%growth

Numberofmonthsofoperatingcostscoveredbycashreserves. 3 months 6 months

3. Enhanced human capital management

Coverratioforcritical,scarceandleadershippositions. 1:1 2:1

Cover ratio for skills impacted by 4IR. 0:0 1:1

Percentageengagementlevels. 65% 70%

Percentageofwomenintransformationprogrammes(e.g.bursaries,trainees,internships).

47% 50%

Percentageofyouthintransformationprogrammes(e.g.bursaries,trainees,internships).

100% 100%

PercentageofPWDintransformationprogrammes(bursaries,trainees,internships).

0,5% 3%

Productivity index. Zero Productivity matrix



Outcome Outcome Indicators: Baselines 5-year target

4. Innovation and technology management

Businessprocessredesign. NotKnown 100%

Businessintelligencematurityassessmentandcapabilitydevelopment. Zero Maturity level 3

Percentagesystemreliability. 70% 90%

Percentageautomationofmanualoperations. 40% 90%

Numberoftimesthereisasuccessfulcyber-attack. 1 0

5. Improved stakeholder engagement and service excellence

Customer satisfaction index. 0 75%

Numberofcountrieswhereregionalsupportinitiativesareoffered. 3 14

Numberoflearnersinallprovincesenrolledintransformationinitiativesperyear(careerawareness/Maths&Scienceeducationcampaigns).

40 000 60 000

Numberofsocio-economicdevelopmentprogrammes. 2 3

Numberofsupplier&enterprisedevelopmentinitiatives. 3 10

6. Sustained good corporate governance

PercentagecompliancewithPFMA. 90% 100%

Auditor-General’sAuditOpinion. Unqualified Unqualified

PercentageclosureofInternalAuditfindings. 69% 75%

PercentageAPPAchievement. 100% 100%



8.8 OUTCOMES, OUTPUTS, PERFORMANCE INDICATORS AND TARGETS

NO Outcome Outputs Output Indicators

Audited / Actual Performance 2019/20 MTEF period – Annual Targets

2017/18 2018/19 2019/20 Estimated Performance

2020/21 2021/22 2022/23 2023/24 2024/25

1 Strengthenedsafety and security oversightsystem

Cyber Security Strategyandregulations

ExCo approved Strategyandregulationson industry cyber security.

N/A N/A N/A N/A Develop an Industry Cyber Security Strategyfor ExCo approval.

Implement 90% of Phase 1 of the Industry Cyber Security Strategy,and report progresstothe ExCo.

Implement 90% of Phase 2 of the Industry Cyber Security Strategy,Framework and report progresstothe ExCo.

Develop regulationson industry cyber security and consult industry.

Revise regulationsand incorporate consultation feedback and submit to DoT for further processing.

Aviation Safety Plan

ExCo approved Aviation Safety Plan.

N/A N/A N/A N/A Develop an Aviation Safety Plan for approval by ExCo.

Implement Phase 1 of the safety enhance-ment initiatives as per ASP and report progresstoExCo.



Review the ASP and implement new initiatives for approval by ExCo.

Risk-basedoversight

ExCo approved Risk-basedoversightmodel.

N/A N/A N/A N/A Develop a risk-basedoversightmodel for approval by ExCo.

Implement 95% of Aviation Safety and Security Risk-Basedmodel and report progresstoExCo.

Conduct risk-basedoversightusingapproved model for approval by ExCo.








2020/21 2021/22 2022/23 2023/24 2024/25

Revised RPAS Regulations

Draft RPAS regulationssignedoffbyExemption and RegulationsDepartment (ERD). Progressreport approved by ExCo.

N/A Develop a business case for RPAS Operations MonitoringSystem.

Implement 80% of Phase 1 of RPAS Operations MonitoringSystem project plan and report progresstotheBoard.

80% of Phase 1 of RPAS Operations MonitoringSystem project plan implemented and reported totheBoard.

Revision of RPAS regulationsto include enforcement of the monitoringandtrackingof RPAS operations. Report progresstoExCo.

Approval of draft revised regulationsthat enforce the monitoringandtrackingof RPAS by CARCom.

Submit revised regulationstoDoT.

Develop RPAS full Integrationinto Controlled Airspace regulatoryconcept.

N/A

Implemen-tation of the Peer Assess-ment CAP

100% Peer Assessment CAP closure approved by ExCo.

Develop and implement an ICAO USAP-CMAreadiness plan.

Develop a Peer Assessment USAP CMA Corrective Action Plan (CAP) for ExCo approval.

Implement 80% of the Peer Assessment SACAA specificUSAP CMA CAP and report to ExCo.

90% imple-mentation of the Peer Assessment CAP.

Develop and Implement 80% of the USAP CMA Prepared-ness plan for approval by ExCo.

Develop a USAP CMA CAP for approval by the ExCo and report progresstotheBoard.

Close 75% of the USAP CMA CAP findingsas per the approved CAP and report progresstoExCo and Board.

Close 90% of the USAP CMA CAP findingsas per the approved CAP and report progresstoExCo and Board.

N/A

ICVM Pre-paredness Plan.

ExCo ap-proved ICVM prepared-ness plan.

USOAP CMA Audit outcome with noSignificantSafety Concern (SSC).

Implement 84,62%ofthe SACAA specificUSOAP CMA CAP approved by ExCo.

Implement 90% of the SACAA specificUSOAP CMA CAP approved by ExCo.

90% of the SACAA specificUSOAP CMA CAP approved by ExCo.

Develop an ICVM Prepared-ness plan for approval by ExCo.

Develop an ICVM Prepared-ness plan for approval by ExCo.

Implement 70% of the ICVM CAP and submit to ExCo for approval.








2020/21 2021/22 2022/23 2023/24 2024/25

N/A Develop Improved Aviation Personnel LicensingApproach and submit to ExCo for approval.

Implement Phase 1 of Improved Personnel LicensingApproach project plan and report progresstotheBoard.

100% of the Phase 1 Improved LicensingApproach project plan was implemented and approved by ExCo. Progressisreported to Board.

Implement Phase 2 of Improved Personnel LicensingApproach and report to ExCo.

Evaluate effectiveness of Improved Personnel LicensingApproach andalignto ICAO standards.

N/A N/A N/A

Implemen-tation of FIU programme

ExCo approved FIU programmeto close backlog.

N/A N/A Develop a framework for FIU sustainability for approval bytheBoard.

The framework for FIU sustainability developed and approved by theBoard.

Develop and implement 100% of the FIU programmeto close the calibration missions’ backlogforall SACAA FIU clients.

Preparefit-for-purposeFIU aircraft and report progresstoExCo.

Increase revenue by 5%.



GAstrategyimplementa-tion

Percentageimplemen-tation of the GA plan.

N/A N/A Develop the General Aviation (GA) safety strategyandimplementa-tion plan for approval by DCA.

The General Aviation safety strategydeveloped and approved by DCA.

90% Imple-mentation of Phase 1 of the General Aviation strategyand report quarterly to ExCo.

Implement Phase 2 of the General Aviation strategyand report quarterly to ExCo.

Implement Phase 3 of the General Aviation strategyandsubmitclose-out to ExCo.

Revise GA Safety Strategyforapproval by DCA.

Implement reviewed GA Safety Strategy.






2020/21 2021/22 2022/23 2023/24 2024/25

2 Financial sustainability

Activi-ty-BasedCostingmodel imple-mentation

90% Imple-mentation oftheABCmodel.

N/A N/A N/A Implement Phase 2 of theFundingModel project plan and report progress.

Develop the implementa-tion plan for ABCmodeland imple-ment 90% for approval by theBoard.

Implement 50% of theABCimplemen-tation plan and report to Board.



Conduct an impact analysis of theABCforapproval by Board.

3 Enhanced human capital management

Human Resource Strategydevelopment

HRC approved five-yearHuman Capital Strategy.

N/A Develop an annual HR plan for approval by Board.

Implement 90% of HRplan,reportingprogresstoBoard.

90% of HR Plan implemented andprogressreported to Board.

Develop and implement a 5-yearcom-prehensive Human Cap-italstrategythat supports organisation-alstrategyfor approval by HRC.

Implement HR Strategyinaccordance with the approved roll-outplanand report progresstoHRC.

Implement HR Strategyinaccordance with the approved roll-outplanand report progresstothe HRC.



4 Innovation and TechnologyManagement

Businessprocess redesign

ExCo approved business process project plan.

N/A N/A N/A N/A Develop a project plan for business process redesignforapproval by ExCo.

Mappingofidentifiedcurrent business processes anddraftingtheTo-Beprocesses for approval by ExCo.

DesignTo-Beprocesses and implement for approval by ExCo.

Continuous improvement of business process automation for approval by ExCo.

Evaluation and monitoringofTo-Beprocesses againstefficiencytargetsforapproval by ExCo.






2020/21 2021/22 2022/23 2023/24 2024/25

ICTstrategyreview and implementa-tion

Percentageimplemen-tation of the ICT plan.

N/A N/A N/A 3-yearICTStrategydeveloped and approved by Board.

Implement 90% of Phase 1 of ICTstrategyapproved by Board.

Implement 90% of Phase 2 of ICT roadmap approved by Board.

Implement 90% of Phase 3 of ICT roadmap approved by Board.

Review and revise the ICTStrategyfor approval bytheBoard.

Implement new ICT strategyroadmap for approval by Board.

Research Strategy

ExCo approved Research Strategy.

N/A N/A N/A N/A Develop SACAA research strategyandimplementa-tion plan for approval by ExCo.

Conduct Applied research on priority operational projects for approval by ExCo.

Develop a collaborative aviation industry research Roadmap for approval by ExCo.

Implement Phase 1 of the Collaborative aviation industry research Roadmap for approval by ExCo.

Implement Phase 2 of the Collaborative aviation industry research Roadmap for approval by ExCo.

Scientificallyresearched study on the civil aviation industry landscape in South Africa.

A research report with recommen-dations approved by theBoard.

N/A N/A N/A N/A N/A Commission a study on the economic impact of the current civil aviation landscape and framework in South Africa and propose areas of improvement forBoardapproval.

Implement recommen-dations from the study and report progresstoExCo.








2020/21 2021/22 2022/23 2023/24 2024/25

5 Improved Stakeholder engagementand service excellence

Stakeholder ManagementStrategyimplementa-tion

Percentageimplemen-tation of the Stakeholder Manage-ment Plan approved by theBoard.

90% of Stakeholder ManagementPlan implemented and reported toBoard.



The revised Stakeholder ManagementStrategydeveloped and approved by theBoard.

Implement 80% of Phase 1 Stakeholder ManagementPlan and report progresstotheBoard.

Revise and Implement 90% of Phase 2 Stakeholder ManagementPlan and report progresstotheBoard.

Revise and Implement 90% of Phase 3 Stakeholder ManagementPlan and report progresstotheBoard.

Revised Stakeholder ManagementStrategytobe approved byBoard.

Implement 90% Phase 1 revised Stakeholder ManagementPlan and report progresstotheBoard.

Customer Contact Centre imple-mentation

Percentageimplemen-tation of the Customer Contact Centre plan approved by Board.

TheChangeManagementprogrammeand imple-mentation plan devel-oped and approved by Board.

90% of Phase 1 of theChangeManagementprogrammeimplemented and reported to ExCo.

90% of Phase 2 of theChangeManagementProgrammeand report to ExCo.

The Customer Contact Centre business case developed and approved by theBoard.

Implement 80% of Phase 1 Contact Centre business case and report progresstoBoard.

Implement 85% of Phase 2 Customer Contact Centre business case and report progresstoBoard.

Implement 90% of Phase 3 Customer Contact Centre business case and report progresstoBoard.

Monitor and evaluate effectiveness of Customer Contact Centre and implement recommen-dations for approval by Board.

N/A

Transfor-mation plan development

Boardapproved transforma-tion plan.

N/A N/A N/A N/A Develop a three-yearTransforma-tion plan tar-getingYouth,Women and Peoplelivingwith Dis-abilities for approval by theBoard.

Implement year 1 of the transforma-tion plan and report progresstoBoard.



N/A






2020/21 2021/22 2022/23 2023/24 2024/25

RegionalCooperation Strategyimplementa-tion

Percentageimplemen-tation of the RegionalCoopera-tion plan approved by Board.

N/A N/A TheRegionalCooperation Strategyand Plan developed and approved by Board.

100% of Phase 1 ofBoard-approved RegionalCooperation Plan implemented,andprogressreported to theBoard.

N/A Revise the RegionalCooperation Strategyanddevelop a three-yearroll-outplanfor approval bytheBoard.




6 Sustained Good Governance

Unqualifiedaudit

UnqualifiedauditOutcome by AGSA.

N/A N/A N/A N/A Achieve unqualifiedaudit with no significantfindings.

Achieve unqualifiedaudit with no significantfindings.




LegalCompliance

% PFMA Compliance approved by theBoard.

N/A N/A N/A N/A 100% Compliance with PFMA for approval bytheBoard.

100% Compliance with PFMA for approval bytheBoard.






8.9 ANNUAL AND QUARTERLY TARGETS

NO Output Indicator Annual Targets Q1 Q2 Q3 Q4

1 ExCoapprovedStrategyandregulationsonindustry cyber security.

Develop an Industry Cyber SecurityStrategyforExCoapproval.

Conduct stakeholder consultations towards the development of the Industry Cyber Security StrategyandreportprogresstoExCo.

Finalise stakeholder consultations towards the development of the Industry Cyber Security StrategyandreportprogresstoExCo.

Develop 1st draft Cyber SecurityStrategyandreportprogresstoExCo.

SubmissionoffinalIndustry Cyber Security StrategyforapprovalbyExCo.

2 ExCo approved Aviation Safety Plan. Develop an Aviation Safety Plan for approval by ExCo.

Consult industry stakeholders and report progresstoExCo.

Finalise stakeholder consultations towards the development of the ASP and report the outcome to ExCo.

Develop Draft Aviation Safety Plan for ExCo comments.

Submit Aviation Safety Plan to ExCo for approval.

3 ExCoapprovedRisk-basedoversightmodel. Developarisk-basedoversightmodelforapproval by ExCo.

Consult stakeholders towards the development ofarisk-basedoversightmodel and report progresstoExCo.

Develop1stdraftrisk-based model and report progresstoExCo.

Submitrisk-basedoversightmodeltoExCofor comments.

Submitrisk-basedoversightmodeltoExCofor approval.

4 DraftRPASregulationssignedoffbyExemptionandRegulationsDepartment(ERD).Progressreport approved by ExCo.

Development of regulationsthatenforcethemonitoringofandtrackingofRPAS.SubmitdraftregulationstoERDfor CARCom readiness. ReportprogresstoExCo.

Consult industry and report outcome to ExCo.

Consult industry and report outcome to ExCo.

DevelopdraftregulationsandreportprogresstoExCo.

Submitdraftregulationsto ERD for CARCom readiness and report progresstoExCo.

5 ExCo approved USAP CMA Preparedness Plan. Develop and Implement 80% of the USAP CMA Preparedness Plan for approval by ExCo.

Develop the preparedness plan and consult with ICS.

Submit preparedness plan for approval by ExCo.

Implement 30% of the USAP Preparedness Plan andreportprogresstoExCo.

Implement 80% of the USAP Preparedness Plan andreportprogresstoExCo.

6 ExCo approved ICVM Preparedness Plan. Develop an ICVM Preparedness Plan for approval by ExCo.

Conduct an ICAO compliancegapanalysisagainstthePQsandmake recommendations for ExCo approval.

Develop draft ICVM preparedness plan and consult with technical divisions for input and reportprogresstoExCo.

N/A Consolidate divisional inputandpresentfinalpreparedness plan to ExCo for approval.




7 80%ofPhase2ofImprovedPersonnelLicensingApproachprojectplanimplemented,andprogressreported to ExCo.

Implement Phase 2 of Improved Personnel LicensingApproachandreport to ExCo.

Implement 20% of approved plan and report progresstoExCo.




8 PercentageimplementationoftheGAPlan. Implement Phase 1 of the GeneralAviationStrategyand report quarterly to ExCo.

Implement 30% of Phase 1 of the General Aviation StrategyandreportprogresstoBoard.




9 90%ImplementationoftheABCmodel. Develop the implementation plan fortheABCmodelandimplement 90% for approvalbytheBoard.

Consult stakeholders on theABCmodelandreportprogresstoExCo.

Develop a project plan for implantingtheABCmodeland seek approval from Board.

Implement 50% of the ABCmodelandreportprogresstoBoard.

Implement 90% of the ABCmodelandreportprogresstoBoard.

10 100%implementationoftheFIUprogramme. Develop and implement 100% of the FIU programmetoclosecalibration missions’ backlogforallSACAAFIUclients.

Develop the FIU programmetoclosebacklogofcalibrationmissions for approval by DCA.

Implement the FIU programmetoclosethebacklogandreportprogresstoExCo.



11 HRCapprovedfive-yearHumanCapitalStrategy. Develop and implement a5-yearcomprehensiveHuman Capital strategythatsupportsorganisationalstrategyforapproval by HRC.

Conduct consultations with internal stakeholders andreportprogresstoExCo.

Developa5-yearHumanCapitalstrategyandplanand submit to ExCo for comments.

Submit Human Capital StrategytoHRCforapproval.

Implementyear1targetsin the Human Capital Plan and report to ExCo and HRC quarterly.

12 ExCo approved business process project plan. Develop a project plan for businessprocessredesignfor approval by ExCo.

Develop a project plan to mapBusinessProcessesfromAs-IstoTo-Beforapproval by ExCo.

Consult stakeholders as per project plan to draft To-BeprocessesandreportprogresstoExCo.

Consult stakeholders as per project plan to draft To-BeprocessesandreportprogresstoExCo

Consult stakeholders as per project plan to draft To-BeprocessesandreportprogresstoExCo.

13 PercentageimplementationoftheICTplan. Implement 90% of Phase 1ofICTStrategyapprovedby ExCo.

Implement 30% of Phase 1 of ICT Plan and report progresstoBoard.



Implement 90% of Phase 1ofICTPlanforBoardapproval.




14 ExCoapprovedResearchStrategy. Develop SACAA researchstrategyandimplementation plan for approval by ExCo.

Consult all relevant stakeholders and report outcome to ExCo.

Develop draft research strategyandreportprogresstoExCo.

DevelopfinalresearchstrategyandsubmittoExCo for approval.

SubmitfinalresearchstrategytoBoardforapproval.

15 PercentageimplementationoftheStakeholderManagementplanapprovedbytheBoard.

Implement 80% of Phase 1 of Stakeholder ManagementPlanandreportprogresstotheBoard.

Implement 30% of StakeholderManagementPlanandreportprogresstoBoard.




16 PercentageimplementationoftheCustomerContactCentreplanapprovedbyBoard.

Implement 80% of Phase 1 Contact Centre business caseandreportprogressto ExCo.

Implement 25% of Phase 1 Contact Centre project andreportprogresstoExCo.

Implement 40% of Phase 1 Contact Centre project andreportprogresstoExCo.

Implement 60% of Phase 1 Contact centre project andreportprogresstoExCo.

Implement 80% of Phase 1 Contact centre project andreportprogresstoExCo.

17 Boardapprovedtransformationplan. Developathree-yearTransformation plan targetingYouth,WomenandPeoplelivingwithDisabilities for approval by theBoard.

Consult stakeholders and develop a transformation planandseekBoardapproval.

Implement 30% of approved transformation planandreportprogresstoExCo&Board.

Implement 50% of approved transformation planandreportprogresstoExco&Board.

Implement 80% of approved transformation planandreportprogresstoExCo&Board.

18 Unqualifiedaudit.OutcomebyAGSAapprovedbytheBoard.

AchieveunqualifiedauditwithnosignificantfindingsapprovedbytheBoard.

Develop a corrective action plan for approval byBoard.

Close 50% of the audit findingsandreportprogresstoBoard.

Close 75% of audit findingsandreportprogresstoBoard.

Close 100% of the audit findingsandreportprogresstoBoard.

19 %PFMAComplianceapprovedbytheBoard. 100% Compliance with PFMA for approval by the Board.

Achieve 100% PFMA Compliance and report status to ExCo and Board.






Risk No.

Outcome Key Risk Risk Mitigation Strategies

1 StrengthenedSafetyandSecurityOversightSystem

Regulatoryrisk-Ineffectiveaviationsafetyandsecurityoversight.

ImplementationoftheStateSafetyProgrammeandAviation Safety Plan.

2 Innovationandtechnologymanagement

Technologyrisk-UnavailabilityandvulnerabilityofICTServicesimpactingonthedeliveryofthemandate.

ImplementationoftheICTStrategy.

3 Innovationandtechnologymanagement

Technologyrisk-Datainterception,resultingindataintegritybeingcompromised.

ImplementationoftheCyberSecuritystrategy.


Regulatoryrisk–Non-compliancewithlegislationandchangesinregulations.

ImplementationoftheGeneralAviationSafetyStrategyand the implementation of the Aviation Safety Plan.


Regulatoryrisk-Non-CompliancewithICAOSARPS. Closure of the ICAO USOAP and USAP Peer Assessmentauditfindings.

6 Sustained Good Governance Compliancerisk-Poorcorporategovernance. Implementation of the Ethics plan and the implementation ofanawarenesstrainingplanforemployees.

7 Improved stakeholder engagementandserviceexcellence

Reputationalrisk-Poorstakeholderrelationsimpactingnegativelyonaviationsafetyandsecurityoversight.

ImplementationoftheStakeholderManagementStrategy.

8 Enhanced human capital management

Operationalrisk-Lackofcriticalandscarceskillstodeliveron the SACAA mandate.

ImplementationoftheTalentManagementFramework.

9 Sustained Good Governance Compliancerisk-fraudandcorruptionnegativelyimpactingonthemandateandsustainabilityoftheRegulator.

ImplementationofFraudPreventionPlanandensuringthe timely completion of declaration of interest forms.

10 Financial sustainability Financialrisk–Lackoflong-termfinancialsustainabilityoftheRegulator.

ImplementationoftheActivity-BasedCostingmodeltoensure that the SACAA recovers the full cost of services provided.

KEYRISKS

9.

The organisation identified 17 global and emerging risks and ranked them according to residual risks. The top 10 risks linked to the organisational outcomes will be monitored and reported as part of the organisational Strategic Plan and Annual Performance Plan as per below.


MEDIUM-TERM STRATEGIC BUDGET

10.


STATEMENT OF FINANCIAL POSITION

11.

Physical Address IkhayaLokundiza1 16 Treur Close Waterfall Park BekkerStreet MidrandJohannesburg

Postal Address PrivateBagX73 Halfway House 1685

Telephone No. +27 11 545 1000Fax. No. +27 11 545 1465

Email Address [email protected] Address www.caa.co.za

RP No. RP72/2021ISBN No. 978-0-621-49234-7

Keeping you safe in the sky

STRATEGIC PLAN 2020/21 – 2024/25

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Transcript of STRATEGIC PLAN 2020/21 – 2024/25