City Development Plan 2001/2002
Sectoral outcomes, outputs, and targets


Enterprises:


  • Civic Theatre
  • Johannesburg Fresh Produce Market
  • Johannesburg Zoo
  • Metrobus
  • Johannesburg Property Company


10.39 Civic Theatre

i. Functions/outlook
In July 2000, the Greater Johannesburg Metropolitan Council - as an integral part of its declared iGoli 2002 process - corporatised the Johannesburg Civic Theatre. A management committee had overseen the necessary process of change including negotiations with staff and trade unions, voluntary severance packages (resulting in a reduction in the permanent staff complement from 120 to 84, due legal process and communication with stakeholders.

The Johannesburg Civic Theatre will aim:

  • To be the country's receiving theatre of choice, leasing its stages to third-party tenants for the very best of world-class live entertainment sourced both locally and overseas.
  • To be an internationally recognised venue for global touring theatrical productions
  • To be a community meeting place from early morning to late night, within a leisurely environment offering a choice of catering establishments, target market shops and arts related experiences
  • To offer opportunities for African performers, musicians, writers, directors, designers and technicians to develop skills on a sponsored basis in order to create commercially viable and exploitable stage productions that can also provide ongoing revenue streams for the theatre
  • To be a first class facility for private catering, corporate functions, business meetings, office parties and trade launches
  • To offer a warm and welcoming building providing the best of service standards and an attitude of sincerity
  • To be an admired and respected business operation, creating a competitive platform for corporate sponsorship opportunities and long-term strategic partnerships.

ii. Outcome
African world-class venue of choice providing and developing world-class entertainment

iii. Strategies

  • Optimally utilise facilities, through leasing, to accommodate a wide range of catering establishments, target market shops, and art related experiences
  • Appeal to all sections of the population by presenting a comprehensive mix of entertainment that is affordable and accessible
  • Design programmes to identify, support and promote African talent
  • Proactively pursue industry contacts locally and internationally
  • Build and maintain an audience base through a subscriber base and ticket discounts
  • Maintain and strengthen linkages and relations with industry contacts.

iv. Outputs and targets

OutputsTargets
Affordable, accessible, world-class entertainment for allDevelop, market and implement the Civic Theatre "brand" plan.
Optimally utilised facilitiesNumber of days of the year on which the theatres are rented: 200
International/local relationshipsInteractive activities with National School of ArtsHost international promoters, producers and entrepreneurs
Superior building and technical facilitiesRe-opening of Civic Theatre Gallery
Launch of performers and creative artists' Green Room for exclusive use as rehearsal and auditions space, club house and communications forum.
Clearly define the obligations and rights in terms of the facility by July 2001
A receiving theatre of choice4 world-class international companies of actors, dancers or musicians presented at the theatre.
Education, empowerment and trainingInitiation of management "shadow" programmes for members of disadvantages communities
Regular creative workshops and training sessions conducted without charge to participants by leading practitioners of the theatre industry
New business opportunitiesEstablish and target new markets of theatregoers
Corporate sponsorshipsSecure at least R400 000 by June 2002
PartnershipsIdentify potential partnership opportunities and develop a partnership programme by June 2002
Customer satisfactionOne survey completed by June 2002
Increased revenueOverall percentage of paid audience attendance: 65%
Restaurant, bars, functions, retail outlets: R1.5 mil
New catering and retail outlets - % floor space let and total lease periods by June 2002
Establish revenue per production database by June 2002


10.40 Johannesburg Fresh Produce Market

i. Function/outlook
The first "Market Square" started in 1889 and by 1913 an Auction Market was developed in the Newtown area. In 1974 the Fresh Produce Market was established in the City Deep area. The Johannesburg Fresh Produce Market was corporatised as part of the iGoli 2002 initiative in June 2000.

JFPM is a commission market. This means that producers send their produce on consignment to the Market agents, who reside on the market. The agents sell the produce on their behalf and, in turn, charge a 7.5% commission based on the value of transactions. The market's role is to provide the infrastructure eg floor space, computer system etc, which facilitates the transactions between agents and buyers. JFPM charges 5% commission on the value of transactions.

The Johannesburg Fresh Produce Market will aim to:

  • Improve customer relations through service excellence and by exceeding customer expectations
  • Be regarded as an operation with a people-centred focus by treating people with respect ("People matter here")
  • Improve ethics focusing on honesty, integrity and transparency
  • Effective leadership.

ii. Problem statements

  • General lack of awareness of fresh produce markets and their role
  • Increase in "direct deliveries" through large supermarket chains
  • E-commerce
  • Low consumption of fresh produce
  • Unpredictability of markets (seasonality)
  • The impact (both positive and negative) of natural disasters and climatic conditions
  • Fresh produce markets loss of market share in favour of multiples
  • Rural rather than chain store trade is increasing, taking away from national fresh produce markets.

iii. Outcome
A world-class leading operator of choice in the fresh produce industry that is efficient, meet customer needs, contributes to small business growth and economic development and provides competitive returns.

iv. Strategies

  • Maintain a well-managed and expanding market facility
  • Identify and penetrate new markets
  • Informal and small business trade promotion and empowerment
  • Customer relations programme

v. Outputs and targets

OutputsTargets
Clean administrationGovernance, effective systems and controls
Revisit by-laws
Lobbying
Policies and procedures
Skills development programme
Increase in revenueOutdoor advertising
Reasonable rental per square metre
Sound management of cold stores
Land-use options
Cost recovery programme
Effective consignment control
Increase return on sales by June 2002
Cost reductionEffective outsourcing of non-core activities
Eliminate non-value adding costs
Extension of facilitiesAdditional trading space for platform traders
Upgrading of JFPM assets
Efficient market operations and managementHealthy, safe and secure operation
Turnaround time for deliveries : average 2,5 hours
Cleanliness scoreboard
Safety and security scoreboard
Reduce wastage to national average by June 2002
Create business units & profit centres
Transformation management programme
Performance management systemClean-up campaign
Security measures
Maintenance programme
Customer satisfaction programmeMarket segmentation completed by June 2002
Establish a customer service centre by March 2002
Service excellence (quality) programme by December 2001
Customer relationship programme by June 2002
Customer satisfaction level of 70%
Increased market shareDetermine market share relative to other fresh produce markets and ensure an acceptable market share of total and a dominant market share of markets by June 2002
Tonnage growth to increase by 2%
Marketing campaignReposition market in eyes of consumer - USP
Communication strategy targeted at stakeholders
New business developmentGet-them-back campaign targeted at ex-buyers and producers
Encourage current users to "use" moreDevelop informal trade (hawkers, etc)
Increase the number of buyers, producers and agents
Other value added fresh food products
Attracting other market segmentsIdentify, investigate, undertake feasibility studies and plan for new retail satellite markets (strategic areas and joint ventures)


10.41 Johannesburg Zoo

i. Functions/outlook
The Zoo's vision is:
"To be recognised as the environmental and wildlife recreational destination of choice".

ii. Outcome
An accessible world-class zoo facility contributing to tourism and the quality of life of all citizens through outreach programmes, education, conservation, recreation and animal life research.

iii. Strategies

  • Develop and promote the Zoo as a world-class conservation facility and tourist destination
  • Provide edutainment on animal and plant life to all sectors of society
  • Engage in public/private partnerships and sponsorship programmes to enhance the effectiveness and efficiency of the zoo
  • Increase cost effectiveness
  • Develop research facilities and programmes measurable against world-class facilities
  • Promote and market the zoo as an accessible and affordable centre of edutainment and recreation that attracts residents and tourists.
  • Establish a patronage and utilisation database and baselines
  • Improved infrastructure
  • Identify new business opportunities and expand the business of the Zoo
  • Develop job creation and skills development programmes related to the Zoo's activities.

iv. Outputs and targets

OutputsTargets
Maximise revenueIncrease visitors:
Marketing plan in place to target schools kids visists, children visists, adult visitors by December 2001.
Moonlight tours and zoo ferries will also be addressed in marketing plan.
Increase visits in terms of marketing plan by 5% by June 2002

Zoo-to-you programme: (current: 50 schools)
Plan in place to target schools by December 2001 and increase baseline by 5% by June 2002

Holiday programme: (current: 2000 kids)
Plan in place to target children and schools by December 2001 and increase baseline by 5% by June 2002

Gate controls:
Proper gate control measures to ensure each visitor pays appropriate fees and secure the revenue streams implemented by June 2002
Proper systems in place to ensure proper reporting of visitors by category

Visitor services:
To upgrade restaurant, conference facilities, kiosks and retail shop by June 2002Conclude service level agreements with all service providers
Increase advertising revenue by 20% by June 2002

Recreation:
Tender awarded for the development of facilities for a children's zoo, fun fair and birthday parties by June 2002

Run-walk for wildlife programme:
Increase current income by 5% by June 2002

Memberships:
Increase income by R175 000 by June 2002

Accounting systems and reporting:
Monthly analysis of variances; reduce the percentage variance; monthly income statements and balance sheets

Increase sponsorships:
8% of total income increase by June 2002 and secure at least one major sponsorship

Improved Zoo operationsIncrease staff to visitor ratios by 5% by June 2002
Sickness and deaths to animal ratio: Obtain benchmark and implement by June 2002 - 0% sickness and deaths due to negligence
Decrease of unethical enclosures: Improve at least one by June 2002
Performance contracts with employees and a strategic operational plan in place by June 2002 resulting in 50% improved service to visitors
Staff developmentSkills audit conducted, training and development plan approved and implementation initiated by June 2002
Succession plan: Candidates identified and training initiated by June 2002
Human resources policy and procedures approved by June 2002
Strategic partnershipsIdentify and formalise three new partnerships with local/international organisations by June 2002
Marketing plan in place to position the zoo as a tourist destination of choice, subject to budgetary constraints, by June 2002
One international twin-sister zoo partnership in place by June 2002
Customer serviceDevelop capex plan to increase parking bays with the assistance of sponsors
Fully developed web-site, attracting at least 100 hits a month, which takes advantage of e-commerce by June 2002
Twelve majot events annuallySet up measurement systems and controls in line with marketing plan to increase media exposure and visitor numbers
Zoo magazine distributed and circulated to members
Construction of ramps for disabled to commence by June 2002
Upgrading and construction of at least two toilet facilities by June 2002
Adjudicate and award contract to new service provider with a clear service level agreement signed resulting in 80% improvement in security by June 2002
System in place to monitor visitor complaints/ compliments and keep complaints to less than two a month
Compliance with legislationAdherance to PAAZAB and WAZA practices, municipal by-laws, flora and fauna practices and the requirements of the Occupational Health and Safety Act.


10.42 Metrobus

i. Functions/outlook
The corporatisation of the Metrobus was identified in terms of the iGoli 2002 Plan. The primary aim of this strategy is to improve the operational efficiencies and profitability of Metrobus coupled with more targeted and demand-driven service delivery. The corporate entity will promote operational independence from the City of Johannesburg and improve the commercial viability of this municipal public transport service.

Metrobus has a number of advantages since its corporatisation namely:

  • Its organisational design is based on functionality and delivery to customers
  • All new products, especially buses, and related management systems focus on the principles of safety, environmental sustainability and customer service
  • Metrobuses' new perspective is one of marketing, communication and service delivery partnerships
  • Management, mentorship and empowerment
  • Supportive service-provision that addresses changing demand and complement the social service.

The core competencies of the Johannesburg Metropolitan Bus Services (Pty) Ltd is to provide a public transport service to the commuters of the City of Johannesburg. Metrobus operates 414 shifts per day along 80 routes throughout the City.

While the principal business of Metrobus is to provide a subsidised public transport service, it does carry out other related and complementary activities. These include the provision of a private hire facility, the sale of advertising space on buses and termini, and the provision of bus transportation in terms of a central government contract. Metrobus also provides specialised services, including transport for people with disabilities and a tourism line.

ii. Outcome
A well-managed integrated public transport bus service for commuters and "shareholders of Johannesburg" that is accessible, convenient, efficient, safe and reliable.

iii. Strategies

  • Provide all citizens with equal access to bus services through rescheduling and extension of service in terms of demand
  • Provide an excellent service standard in terms of quality and quantity of service provided
  • Deliver services in a sustainable manner that is environmentally sustainable, efficient, effective, reliable and innovative
  • Provide a value-for-money service
  • Ensure safety at all times by implementing sound health and safety practices.

iv. Outputs and targets
OutputsTargets
Subsidy reduction programme and sound financial governance42% reduction over five (5) years, ending June 2005
Formulate a revenue growth plan
Formulate a cost reduction planConduct a risk analysis profile
Develop an internal audit charter and plan
Younger average fleet ageAverage age of fleet = 12 years by June 2002
Reliable scheduled bus service75% of buses to arrive/depart as per scheduled service by June 2002 (current: 60%)
Management information reporting systemBy June 2002 system will be fully operational
Employment equity planTrained staff to 100% literacy
100% parity within 5 years
Reduction of lost days
Compliance to Employment Equity Act and Skills Development Act
100% parity in pay terms by December 2001
Reduced average cost per paasenger kilometer% reduction to be developed
Improved financial ratiosDebt service cover ratio
Improvement in debtor days
Liquidity ratios
Increased bus utilisationPassenger revenue to grow in excess of tariff increases
Increase routes and coverage to previously disadvantaged areas by 5% per annum
Reduction in passenger injuries and claims
Increase services for the disabled
Improved customer satisfactionEstablish a call centre
Maintain a customer satisfaction index
Develop a Public Transport Charter
Effective fleet management70% of fleet operational
Accreditation as certified repair agent for OEMs (Original Equipment Manufacturers)


10.43 Johannesburg Property Company

i. Functions/outlook
The Greater Johannesburg Metropolitan Council took a decision as part of the iGoli 2002 strategy that property management services should be corporatised. This decision was premised on the fact that council owns land and properties that can generate revenue for the council but that this potential is limited by the constraints experienced with operating as an integral department. The Johannesburg Propcom (Pty) Ltd was incorporated in July 2000 with its main business being the management and development of the immovable property portfolio of the City of Johannesburg. As opposed to the other entities that were corporatised, the property management services of the council were disperse and limited. A strategic management agreement was established with Intersite Property Management Services to manage the company and its operations for a period of 42 months commencing on 1 October 2000.

The contract between the council and Propcom and between Propcom and Intersite was divided into two phases; the initial phase where the basic information was to be compiled and the strategic planning conducted for the subsequent phase.

It is estimated that the property portfolio of the City of Johannesburg comprises of some 30 000 properties, approximately 20 000 servitudes; and ±100 properties of significant revenue income.

The services rendered by the Propcom cover all administrative and other actions pertaining to land purchases/expropriations, land identification and designations, conveyancing of land, general maintenance of the specified properties, land sales, leases, leasehold developments, servitudes, outdoor advertising, wayleaves, access/use rights, air rights and ad hoc property management and/or development services.

ii. Outcome
Effective and efficient management and development of the property portfolio of the City of Johannesburg and its UACs.

iii. Strategies

  • To complete the company establishment process and ensure sustainable management capacity through skills transfer from Intersite to Propcom
  • To agree to an acceptable level of service offered to the City of Johannesburg and the UACs
  • To establish profitability through economies of scale and operational efficiency
  • To position the company as the sole provider of property management and development services to the City of Johannesburg and the UACs
  • To establish an income base for the company through the expansion of the City of Johannesburg and the UAC's rental portfolios and fee generating services
  • To actively support and promote socio-economic transformation both within the company and the portfolio management and development activities
  • To maximise the long term recurring income and investment on the property portfolio
  • To dispose of surplus land in an efficient and transparent manner
  • To complete the land register
  • To maximise recurring net rental income on the portfolios
  • To ensure effective and efficient land acquisition for the City of Johannesburg and the UACs
  • To optimally position the portfolio and market its properties
  • To negotiate and finalise use-rights of each UAC.

iv. Outputs and targets

OutputsTargets
Company establishment and operational managementFinalise by June 2001 and implement on an annual basis strategic and business plans
Finalise functional and staff structure by June 2001
Establish Human Resources Plan by September 2001.
Establish a Management Information System Foundation by June 2001
Information data base on financial transactions by June 2001 and on land register by June 2002
Review, standardise, refine and implement all contracting, tendering and proposal call policies and procedures:Completed policies
August for complete implementation
Establish a Fraud Prevention Plan by August 2001
Update lease management system
80% Complete the land register by June 2002
Customer satisfactionDevelop and implement a Client Communications Strategy and Programme by August 2001
Annual/market survey (customer satisfaction)
Identify contracting entities
Conclude and implement Property Portfolio Management Agreements with the City of Johannesburg and UACs by June 2001
Marketing strategyDevelop and implement a comprehensive portfolio marketing plan - Company: August
Portfolio: Ongoing
ProjectsIdentify,and develop project portfolio by June 2001 - income as indicated as per the budget from sales and leases
Implementation and monitoring - ongoing
Financial efficiencyAnnual assessment of company revenue
Increased rental portfolio and fee-generating servicesReview existing leases by June 2001
Conclude leases on newly aquired land within 60 days/months
Negotiate lease on all vacant space to raise approved income
Number of new leases in terms of income on budget
Socio-economic transformationDevelop policies and procedures to favour SMME's completed
Identify mechanisms to aid historically marginalised businesses through project plans
Value and number of socio-economic projects to be assessed annually
Value added report by June 2002
Long-term recurring income and investment portfolioFinalise existing development transactions (Jerusalem site, Huddle Park, Marks Park) by June 2002
Identify, investigate and develop 10 new properties with long-term development potential by June 2002
Outdoor Advertising portfolioAudit Outdoor Advertising Portfolio by July 2001 and develop optimisation strategy by December 2001
Review and assess existing leases by September 2001 and renegotiate leases to market value where applicable by June 2002 (50% increase in income from leases: new and renegotiated by June 2002 )
Increase Outdoor advertising portfolio by 30%
Land disposalVerify all existing vacant land by June 2002
Identify and package land parcels to be disposed of and marketed on a quarterly basis
Land acquisition 60 days to process land acquisitions
Use rights of UACsDefine the rights to be transferred to UACs by June 2001
Effect 80% of transfers by June 2002


Joburg City site | Budget Main Menu | City Development Plan