Project Pegasus

Project Pegasus (Phambili) Transforming CPUT through an Ethical, Engaged and Empowered Workforce

What we will discuss today The Case for Change Our Strategic Response: Project Pegasus Top Pegasus Priorities for Academic Year 2024 Alignment with Other Institutional Initiatives Implementation Approach for Project Pegasus Envisaged Outcomes Q&A

THE CASE FOR CHANGE Unsustainable Cost Structure with Salary Bill accounting for ~77% of our Total Income;

Steep cuts in subsidies for public universities by the Government in recent years against rising fixed and operational costs: CPUT Subsidy increased by ONLY 1% against an expected 4% in 2023; Marked decline in Philanthropic giving and other donations for Universities and public institutions; CPUT has recorded above-inflation cost increases in utilities and other essential services against declining revenues over the past several years; Massification of South African Higher Education Access not supported with concomitant financial resources e.g. NSFAS Funding; NRF etc.

Legislative constraints to enhance University Revenue streams e.g. Fee increase regulation

ENVISAGED IMPACT Within the next three years, CPUT’s financial sustainability will deteriorate significantly if no action is taken.

i.e. Our cost creep is not sustainable, placing our ability to optimally deliver on our Academic Agenda at risk

INTRODUCING

PROJECT PEGASUS

Strategic intent Project Pegasus (Phambili) was approved

by Mancom to implement identified and necessary actions to ensure CPUT’s Financial Sustainability in the Medium to Long Term

TOP PEGASUS PRIORITIES FOR AY 2024 one

Fiscal Prudence (doing more with less) Cost management and containment (spec. overheads such as utilities) Increase 3rd Stream income generating activities

two

Entrenching an ethics and compliance culture with less Promotion of CPUT Ethics Framework Socialization of Ethics and ESG Initiatives Training and Stakeholder Engagements

TOP PEGASUS PRIORITIES FOR AY 2024

three

Improving Operational Efficiency and Effectiveness Business Process Optimization Relevant and up to date Policies, Procedures, and Guidelines Effective Facilities Management and Monetization

four

Improving Operational Human Capital Process Improvements Efficient and Effective Staff Recruitment and Retention Headcount Management Optimization Talent Management (e.g. Training)

TOP PEGASUS PRIORITIES FOR AY 2024

five

Student Engagement Review of all student support processes from recruitment to graduation as well as proactive alumni engagement

six

Leveraging Technology Enablers Implement Automation and Digitalization Initiatives where possible

DISCLAIMER Project Pegasus is not about reducing CPUT Staff headcount but ensuring we achieve more Outputs relative to our Staff Complement; It is about eliminating services and accompanying expenditures that are not core to CPUT’s purpose as an institution namely teaching, research, and community engagement; It is about streamlining or consolidation of services/functions: eliminating duplications and adhering to the approved Delegation of Authority Matrix; Enhancing service provision by leveraging internal resources, expertise, and competencies rather than outsourcing to third parties; Prioritizing Cost Containment to ensure Financial Sustainability for CPUT’s for long-term viability

GOVERNANCE Executive Sponsor for Project Pegasus: Prof Chris Nhlapo, CPUT Vice Chancellor and Principal; Executive Managers will have strategic oversight on Delivery of Project Pegasus Work Streams (Not aligned to their Normal Responsibilities) Work Streams Leads will work with various CPUT Personnel to oversee, align, and coordinate the Project Pegasus activities; Priorities for Mancom is to tracks results, drives change management and communication in the interest of all CPUT Stakeholders;

LEVERS AND ENABLERS Effective Change Management Approach to ensure Stakeholder buy-in; Effective Institutional Leadership (governance and management); Appropriate Institutional Culture; Clear Communication Strategy to create constancy of purpose for stakeholders; Designation of Roles and Responsibilities to ensure empowered accountability across the institution.

ALIGNMENT WITH OTHER INSTITUTIONAL INITIATIVES

CPUT STAFF ESTABLISHMENT PROJECT

Smart human capital and talent management to ensure that we remain focused on people as our most important resource;

Staff Establishment Project in July 2021 to ensure that CPUT’s staff establishment and organizational structure is fit for purpose and is aligned to Vision 2030.

In line with Focus Area 4 of V2030 highlighting: Promote a culture of human-centricity and smart people of integrity, mutual respect, and excellence, who nurture collaboration, and are innovative in support of One Smart CPUT.

CPUT ETHICS FRAMEWORK PURPOSE

The Framework is meant to serve as a guide to all Institutional Stakeholders to conduct all activities through ethical decisions and behaviors: Acting Ethically with Impartiality; Good Conscience; and

Integrity;

Sound Judgment at all times

ENABLERS: Zero Tolerance to Bribery, Unethical Behaviour, Nepotism, Self-Enrichment, etc ENVISAGED OUTCOMES: Honest, Transparent, Responsible, Competent, Unselfish, Ethical, and Fair Behaviors being the norm across CPUT

ENVIRONMENTAL, SOCIAL, AND GOVERNANCE Strategy and Framework for CPUT

ENVIRONMENTAL DIMENSION SPECIFIC PRIORITIES Acting Ethically Pivoting towards Renewable Energy and implementing Energy Efficiency Initiatives across our Campuses’ Waste Management – the adoption of separation at source focusing on waste reducing, reusing, recycling, recovery, and landfill as a last resort approach; Water Conservation – Rainwater harvesting, leakage repairs, plant zoning etc.

SOCIAL DIMENSION SPECIFIC PRIORITIES Safety: Engender a culture as well as the creation of a Suitable Working and Learning Environment where students and staff feel valued and safe from harm; Abuse-Free Environment: Combating Sexual Harassment, GBV, Bullying as well as any form of Discrimination with an unqualified focus on women, lesbian, gay, bisexual, transgender, queer, intersex, and asexual (LGBTQIA+) as well as people with disability rights; Duty of Care: Availability and provision of adequate Health and Social services for all students, staff, and other stakeholders.

GOVERNANCE DIMENSION SPECIFIC PRIORITIES Governance: Diversity of Staff, Management, and Council; Accountability: Financial and accounting transparency (e.g. clean audit, declaration of conflict of interest Leadership Effectiveness: Council, Executive Management, Mancom, Senate, and other institutional structures Risk Management: Leadership and ethics with a significant emphasis on risk management;

ENVISAGED OUTCOMES Cost Containment to ensure CPUT’s long-term Financial Sustainability

Entrenched an ethics and compliance culture as well as consequence management;

Optimised Delegation of Authority empowered and effective accountability and decision-making i.e. Simplified points of accountability;

High-Performance Culture more productive workforce (improved outputs per FTEs);

Simplified, efficient, and effective Business Processes

THANK YOU