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Case
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Reference no. 301-187-1
Published by: Wits Business School - University of the Witwatersrand
Published in: 2001

Abstract

The case presents the efforts of the Amanz''abantu Consortium to meet the mandate of the Government for ''water delivery''. Entrepreneur Oliver Ive faced a difficult decision regarding the way forward for both the company and consortium he had founded. The Amanz''abantu consortium, an initiative among public and private sector groups, delivered water services to the rural communities in the Eastern Cape, one of South Africa''s poorest provinces. Under Ive''s leadership, the Amanz''abantu consortium had become a model of integrated water services delivery to the rural poor. The new government faced the challenge of meeting pent-up demand for the basic services that had been denied the majority population under the apartheid regime. The water services sector was characterised as bureaucratic and highly politicised. As an entrepreneur working in the ''social'' sector, Ive and his colleagues had experienced tremendous hurdles in becoming operational. Indeed, the privatisation of water was the subject of a polemical debate. Given the uncertainty of another BoTT, Ive saw three potential options for the future. He could continue to develop the core business, working to consolidate Amanz''abantu''s niche in the water services sector. A second option was for Ive to broaden the company''s scope of work, perhaps by entering the transport and infrastructure sector. A third alternative was for Amanz''abantu to expand into other areas of South Africa, perhaps pursuing collaborative activities outside the continent. The teaching objectives are: (1) to provide a local South African example of an innovative partnership across the private and public sector, based on an entrepreneurial concept, which maximises both social welfare and profits; (2) to demonstrate the value created by partnering among sectors; and (3) to illustrate the principles of social enterprise, particularly within the context of an emerging market economy. A video ''Amanz''abantu: Water for the People'' (301-187-3) is available to accompany the case.
Location:
Industry:
Size:
Medium
Other setting(s):
2000

About

Abstract

The case presents the efforts of the Amanz''abantu Consortium to meet the mandate of the Government for ''water delivery''. Entrepreneur Oliver Ive faced a difficult decision regarding the way forward for both the company and consortium he had founded. The Amanz''abantu consortium, an initiative among public and private sector groups, delivered water services to the rural communities in the Eastern Cape, one of South Africa''s poorest provinces. Under Ive''s leadership, the Amanz''abantu consortium had become a model of integrated water services delivery to the rural poor. The new government faced the challenge of meeting pent-up demand for the basic services that had been denied the majority population under the apartheid regime. The water services sector was characterised as bureaucratic and highly politicised. As an entrepreneur working in the ''social'' sector, Ive and his colleagues had experienced tremendous hurdles in becoming operational. Indeed, the privatisation of water was the subject of a polemical debate. Given the uncertainty of another BoTT, Ive saw three potential options for the future. He could continue to develop the core business, working to consolidate Amanz''abantu''s niche in the water services sector. A second option was for Ive to broaden the company''s scope of work, perhaps by entering the transport and infrastructure sector. A third alternative was for Amanz''abantu to expand into other areas of South Africa, perhaps pursuing collaborative activities outside the continent. The teaching objectives are: (1) to provide a local South African example of an innovative partnership across the private and public sector, based on an entrepreneurial concept, which maximises both social welfare and profits; (2) to demonstrate the value created by partnering among sectors; and (3) to illustrate the principles of social enterprise, particularly within the context of an emerging market economy. A video ''Amanz''abantu: Water for the People'' (301-187-3) is available to accompany the case.

Settings

Location:
Industry:
Size:
Medium
Other setting(s):
2000

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