Umsobomvu Youth Fund Annual Report 2006 - Nyda

statement ofcorporategovernancePhotograph supplied by Marie ClaireJohannesburg International Airport Camelot Spa funded by UYFUmsobomvu Youth Fund 2006 Annual ReportManagement CommitteeThe Management Committee comprisesthe Chief Executive Officer, as CommitteeChairman, the Chief Financial Officer andExecutive Managers of the Fund.This Committee has decision-makingauthority in respect of project grants witha value of less than R5m, subject to priorrecommendation of the Quality AssuranceCommittee 2 . The Committee is responsiblefor ensuring that the programmes adhere tothe goals and strategies of the Fund throughthe monitoring and evaluation process.Relating to entrepreneurship investments ofless that R5m, the Management Committeeis supplemented by the Fund’s Manager– Enterprise Finance.The Management Committee met 36 timesduring the year under review (2005:21 meetings) to evaluate grant-fundedprogrammes, and met an additional 9 timesduring the year under review (2005: 8meetings) to appraise entrepreneurshipinvestments.Risk Management CommitteeThe monitoring of the quality, integrity andreliability of the Fund’s risk managementis delegated to the Risk ManagementCommittee, a Management Committee ledby the Chief Executive Officer, reporting to the UYF Board Audit Committee. The objectiveof the Committee is to assist the Board Audit Committee in the discharge of its dutiesrelating to corporate accountability and the associated risk in terms of management,assurance and reporting. The Committee will review and assess the integrity of therisk control system and ensure that the risk policies and strategies are effectivelymanaged. The Committee will set out the Fund’s practice of corporate accountabilityand the reporting of specifically associated risk, including emerging and prospectiveimpacts. The Committee provides a review of management information on corporateaccountability and specifically associated risk to the Audit Committee on financial,operational and strategic risk.The Risk Manager has a standing invitation to attend Risk Management Committeemeetings.Procurement and Tender CommitteeThe Procurement and Tender Committee (PTC) is chaired by the Chief Executive Officerand the members consist of the Chief Financial Officer and one Executive Manager.The PTC is responsible for the development and implementation of a sound and fairProcurement Policy and to ensure that proper procedures and processes are in place togive effect to the Procurement Policy.The effectiveness and compliance of procurement and tendering management ismonitored through formal reporting of the Procurement Manager, which includes theachievement of best quality, cost-effectiveness and optimum delivery of products andservices to UYF and its programmes. Emphasis on Black Economic Empowerment andYouth-Owned SMMEs is a key objective of UYF’s preferential procurement strategy.The PTC is responsible for the approval of service providers and suppliers that will beincluded in UYF’s Preferred Supplier Database.PTC Sub-Committees are established with a limited mandate to support the PTC inprocurement for programme or project specific requirements. Every PTC Sub-Committeeis chaired by a PTC member.362 The Quality Assurance Committee is a Management sub-committee, chaired by the Manager: Project Office in the office of the CEO, and comprising SeniorManagers, has delegated authority to approve supplementary grants to existing projects of not more than R300 000. This Committee also reviews all newproposals for recommendation to the Management Committee for approval.