The South African tourism industry is tackling the issue of transformation head-on. That’s the message from the newly elected president of the Southern African Tourism Services Association (Satsa) Mike Speed.
Responding to the “call to arms” made by Minister of Environmental Affairs and Tourism Marthinus van Schalkwyk at this year’s tourism Indaba, Speed is spearheading Satsa, a non-profit organisation that represents the country’s major tourism role players, in a drive to make the industry more representative.
The challenge was laid down last year by Van Schalkwyk’s predecessor, Mohammed Valli Moosa, who was intent on seeing real and lasting changes in an industry regarded by many as the last outpost of apartheid. Moosa even threatened legislation to force change if none was forthcoming.
“The need to transform has forced many of us to give serious thought to how we do business,” says Speed of Satsa’s almost 1 000 members, which include major names in South African tourism such as Sun International, Southern Sun, Protea and some of the country’s top safari companies and tour operators.
“By looking deeply into our company structures, most of us have found that we have already begun the transformation process in some form or another and just really need to build on this.”
Speed adds that the hub of the transformation will take place in a market that Satsa is not traditionally familiar with — domestic tourism.
“The launch of the Department of Environmental Affairs and Tourism’s domestic tourism growth strategy has forced us to examine the role we are playing in growing tourism opportunities here in our home market,” says Speed.
“Traditionally Satsa represents companies that concentrate on the inbound, international market. But most of our membership is just as active in the domestic arena. The last two or three years has seen a huge growth in domestic tourism, especially in the wake of September 11 [2001], which gave many of us a wake-up call as to how fragile the inbound market can be and forced us to look within our own borders for additional business.”
Speed is a successful businessman and entrepreneur. He came into the tourism industry via the plastics and automotive repair industry, which had given him a grounding in transport-allied industries — tourism included. In 1997 he developed Amanzingwe Lodge in the Magaliesberg. Today, the lodge is a graded four-star establishment with a five-star conference centre.
His experience has taught him that skills exchange is the key to transformation, together with the building of better partnerships with government bodies such as the Department of Environmental Affairs and Tourism (Deat) and organisations such as South African Tourism and the Tourism Business Council of South Africa.
“For too long there has been a sense of ‘them’ and ‘us’ between the private sector and the government. Certainly, one of my main aims is to bring Satsa into closer, more interactive partnerships with Deat and South African Tourism because I fully respect the ethics of the ‘team SA’ concept. We are all working in the same arena to build tourism in this country so it makes perfect sense to work together in a constructive and practical sense. And that means working to build and develop our home market and ensure that South Africans retain a sense of ownership over the fantastic tourism resources this country has.”
That sense of ownership is not just restricted to holidaymakers and travellers, Speed adds.
“It is essential that we become more responsible as tourism service providers in ensuring that we are giving back to the people and communities we work with. Empowerment and upliftment of previously disadvantaged people is of paramount importance and I am encouraging my members to consider that baby steps are just as vital as giant strides.
“Every little bit of help contributes to the process of change, whether it be giving local entrepreneurs the opportunity to build satellite businesses or launching a training initiative for staff members.”
Speed says the concept of black economic empowerment has received a lot of negative press and that there is a misconception that companies will be forced to give shares away to silent black partners. In reality, he says, nothing is further from the truth.
“The concept, as I understand it, is not to give things away but to create opportunities for empowerment and grow that process in a sustainable and responsible way.
“No one is asking a small family tour operation to give 51% of its shares to someone who is not able to contribute to that business in a meaningful way.
“But we are asking them to train, mentor, uplift and empower in practical ways. For example, we are saying that if you have a guest house — look at contracting out your laundry to a member of the local community, creating a business opportunity in that way.
“It’s a case of training people to contribute meaningfully to your business in a way that will benefit both them and your business, working together in a symbiotic and fully reciprocal relationship.”
Speed adds that the government has a responsibility to partner the transformation process.
“The only way the tourism industry can be transformed and remain sustainable is with the industry providing the intellectual capital, experience and expertise, and government making available funds and facilities to achieve this common goal. It would be foolish to believe that either party could, or should, be expected to achieve real and lasting transformation on their own.
“This process is going to create an interesting partnership where both sides realise the need and have the desire to change without either party compromising their individual identities, beliefs or credibility.
“The past 10 years has taught us that we will inevitably find a way forward that satisfies all role players and delivers a workable solution which allows the emerging market to become fully integrated, responsible and respected players in our industry.”