B-BBEE Rating Process
The rating process only applies to QSEs and M&L’s:
Step 1: Application, Approval and Payment
- Measured Entity (ME) requests an Application Form
- Client Manager sends Application Form to ME
- ME completes and returns Application Form to Client Manager
- Client Manager sends Application Form to Verifications Manager
- Verifications Manager reviews and approves application against prescribed criteria.
- Client Manager sends Quotation and/or Invoice to ME.
- ME approves quote and pays commitment fee (65% of quoted/Invoiced amount).
Step 2: Pre-site Visit and Legal Processes
- Client Manager prepares and sends SLA and other contracts for signature by ME
- Lead Analyst visits ME for a briefing, to explain the verification process and to agree on Verification Plan, Team and deadlines.
- ME prepares all required documents and sends them to Client Manager.
- Client Manager signs-off Document Register acknowledging receipt and hands documents over to Lead Analyst.
Step 3: Analysis, Site visit, Reporting and Certification
- Lead Analyst performs a basic analysis and measures entity against scorecard.
- Lead Analyst visits ME on site for Verification as agreed on Verification Plan.
- Lead Analyst prepares Verification Report and Recommendation for Verifications Manager.
- Verifications Manager performs Vertical Assessment and Quality Assurance on report and then approves recommendation report.
- Client Manager sends Verification Report and Rating to ME for approval.
- ME approves Verification Report and Rating.
- Verifications Manager issues a Rating Certificate and Final Report.
- Client Manager sends Rating Certificate and Final Report to ME.
Who Should Manage B-BBEE Processes In a Business?
The best way to structure the management process is as follows:
- Chief Executive Officer – Ownership and Management Control
- Chief Financial Officer – Preferential Procurement and Enterprise Development
- Employment Equity Committee – Socio-economic Development, Skills Development and Employment Equity.
The Employment Equity Committee needs training, as they are likely to have limited experience in making strategic recommendations to the CEO on these issues. The CEO should sit in the Employment Equity Committee along with someone with HR experience.
Did You Know?
Unlike State-owned entities, private companies are free to develop their own procurement policies, which may include different criteria and different weightings to that of the generic B-BBEE scorecard.