Department of Sport, Recreation, Arts & Culture

STRATEGY TO POSITION GAUTENG AS THE PREFERRED HOME OF COMPETIVE SPORT

21 MAY2005

CONTENTS

PAGE NO. 1.
2.

GAUTENG GOVERNMENT OBJECTIVES IN RELATION TO SPORT THE CONTRIBUTION OF SPORT & RECREATION
2.1 2.2 2.3 The Economic Impact of Sport An International Case for Sport The South African Perspective

6 7 9 10

3.

OUR STRATEGY
3.1 3.2 3.3 3.4 3.5 Strategic Overview Strategic Priority 1: Major Events Strategic Priority 2: Economic Evaluation & Prioritisation Scorecard Strategic Priority 3: High Performance & Talent Identification Strategic Priority 4: Infrastructure & Facility Provision

14 14 16 19 23 24

6.

RESEARCH PRIORITIES GAUTENG SPORTS INDABA ANNEXURE (SEPARATE SECTION)

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7.

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1.

GAUTENG GOVERNMENT OBJECTIVES IN RELATION TO SPORT & RECREATION

Gauteng has a rich sporting heritage, complemented by modern investment. The region is passionate about sport and this plan is intended to build on this passion.

Sport, embracing all forms of physical activity, has the power to change lives, extend and improve living experiences and therefore, benefit the region. It is widely accepted that sport plays a major role in improving health, generating economic impact, and encouraging social equality. Commitment to achieving a more active, healthy regional population is fundamental and the promotion of the regions approach to sport, the way success will be measured and relationships built between sectors will form the basis for generating further investment for sport.

The overarching challenge to all stakeholders is to open sport to every segment to society and improve the sport experience of all the people of the region by ensuring the harmonious and effective functioning, and transparency of the sport system. Shared leadership and collaboration amongst all stakeholders to achieve the universal overall goals of sport systems enhanced participation, excellence, capacity and interaction in sport are key elements of the challenge.

For a sport system to foster a smooth transition from entry to excellence, each form of involvement is essential and contributes to the success of the other. Stakeholder support in the creation and support of an integrated athlete/participant sport model ensuring seamless progress of athletes/participants to the full extent of their abilities and interests are essential. In the process the key role of volunteers and professionals, the indispensable delivery contribution of sport organisations and the provisional role of government has to be recognised.

Aligned to the Gauteng Provincial Governments new priorities, the Department of Sport & Recreation has taken a conscious decision to develop a sports strategy that will serve as a blueprint for the Province, with the up and coming 2010 Soccer World Cup a particular focus point.

In support of its overall strategy, the vision of the Gauteng Department of Sports, Recreation, Arts and Culture is to be a vibrant Home of Competitive Sport within which nation building, economic growth and, the creation of sustainable livelihoods through ensuring skilled, active and healthy communities, are promoted.

To address these challenges, the following overarching provincial strategic priorities have been outlined to guide the actions, strategies and plans to deliver a quality sports strategy to the people of Gauteng:

PROVINCIAL STRATEGIC PRIORITIES: The provincial strategic priorities are:

1. To stimulate faster economic growth and job creation 2. To fight poverty and build safe, secure and sustainable communities 3. To develop healthy, appropriately skilled and productive people 4. To deepen democracy and nation building and realizing the constitutional rights of our people 5. To build an effective and caring government

DEPARTMENT OF SPORT, RECREATION ARTS & CULTURE KEY PRIORITIES

Aligned to this, the key priorities of the Department of Sport, Recreation Arts & Culture are:

1. To promote Gauteng as the home of competitive Sport where major sports, arts and culture events contribute to growing Gautengs economy and promote sustainable livelihoods for sports women and men, artists and crafters. 2. To promote the development of young sporting and artistic talent by providing opportunities for talent spotting and the development of talent from the entry level through to high performance or professional level. 3. To promote safe, secure and sustainable communities, and healthy lifestyles, through the delivery of community based recreation programmes and mass participation in sports, arts and culture and by encouraging community involvement in heritage management.

4. To deepen democracy and promote nation building by organising and coordinating the celebrations of national days and promoting our heritage. 5. In addition SRAC will focus on building an effective and caring government. A

particular focus in the Youth Directorates role in ensuring that Youth Development is mainstreamed in all Gauteng provincial.

DEPARTMENT OF SPORT & RECREATION

The Department has further evolved a Sport and Recreation Programme in support of the overall strategy. The strategic programme has five main strategic thrusts:

1. To promote the brand: Gauteng the Preferred Home of Competitive Sport by means of contributing to a successful 2010 World Cup by collaborating with the private sector, other provincial government departments, and local and national government in building and refurbishing facilities; 2. Attracting Gauteng based professional teams to play their home games in Gauteng; 3. Marketing and partnerships to promote tournaments and events; 4. Enhancing and expanding the promotion of sports development and talent identification through provincial tournaments and the Legends programme; 5. Identification and development of high performance sporting talent through the Academy

Looking into the future, and in particular being mindful of the tremendous benefits which could flow to the region as a result of the nations winning bid to host the 2010 FIFA World Cup, it is imperative that we find new innovative and creative ways forward. In addition, alignment to existing Provincial government policies, responsibilities and intergovernmental collaboration is essential. In the process the key role of volunteers and professionals, the indispensable delivery contribution of sport organisation, the financial weight of the private sector and the provisional role (at each level) of Government has to be recognised.

This proposal will specifically address the components of the Department of Sport & Recreation programme to position Gauteng as the Preferred Home of Competitive Sport

where major sporting events contribute to growing the provincial socio-economic objectives and promote the sustainable development of high performance athletes from the region.

2.

THE CONTRIBUTION OF SPORT &RECREATION

There are essentially four key pillars when looking at effective Sports & Recreation environments, with the first three pillars, namely; Major Events, Association and Teams driving the economic view and the 4th pillar driving the social component. Isolating the economic benefits first, it is widely held that major sporting events offer the potential of enormous economic stimulus. To derive such benefits, a host country / city must first however be able to demonstrate;

World class major event competency and delivery; A stable image founded by good governance, financial integrity and strong corporate and government relationships.

World class competitive teams / athletes in all age groups.

Sport is also playing an increasingly important role in a world of changing economic, political, cultural and social systems. Sport a force within education, health, economic development, the labour market, social issues, national and community cohesion and identity is increasingly taking the form of a tool for development on an education, social, economic, urban planning and image level of nations, regions and communities (See Annexure 1). Sport helps to achieve social goals, such as reducing and eliminating inequities, equalizing opportunities for women, access for the socially disadvantages and greater access for rural populations and people with disability.

Sport transmits societal values, such as fair play and equality. Important in youth development, sport teaches life skills, values and ethics and promotes community attachment and goodwill among citizens. The final pillar is therefore responsible for driving social uplifliftment across key communities

The economic impact associated with staging a major sporting event can be extremely significant, especially if the event forms part of a diverse program of local economic regeneration

2.1

THE ECONOMIC IMPACT OF SPORT

Economic impact in sport events can be defined as the net change in an economy resulting from a sport even (See Annexure 2). The change is caused by activity involving the acquisition, operation, development, and use of sport facilities and services (Lieber & Alton, 1983). These in turn generate visitors' spending, public spending, employment opportunities, and tax revenue. Economic impacts of expenditure are composed both direct and indirect effects. Direct effects are the purchases required to meet the increased demand of visitors for goods and services. Indirect effects are the ripple effect of additional rounds of re-circulating the initial spectators' dollars. Specifically, the economic impact of both major events as well as sport & recreation in general, should be evaluated in terms of the following three benfits drivers: EVENT SPECIFIC BENEFITS Event specific benefits can be defined as revenue sources directly attributed and specific to the planning, marketing, and delivery of a Sports Event. Event-specific benefits of MegaSports Events are significant and may be quantified by evaluating several key variables that drive revenue generation (See Annexure 3). Examples typically include Broadcast Rights, Global and Local Sponsorship, Tickets and Licensing. The key beneficiaries are most

commonly the event organisers and the governing sports body. Mega sporting events offer the potential of enormous economic stimulus to a host country. Previous events of this nature have demonstrated the significant economic impact on host cities, countries (See Annexure 4).

INDUCED BENEFITS Induced benefits are driven by the incremental number of visitors to the host city/ country and the resulting increase in tourism and local business revenues. As illustrated below, the staging of the Mega-event generates incremental tourism in the games-year as well as the

years prior and subsequent to the hosting of the Mega-Event (typically a range of 10-15 years). Examples typically include Domestic and international tourism, other local business revenues (e.g. retail), and Government tax revenue. The key beneficiaries are local business and government (See Annexure 5).

INDIRECT BENEFITS

Indirect benefits are the macro-economic impact of hosting the event on the local economy, measured in terms of increase to Gross Domestic Product (GDP) and in terms of the number of jobs created, resulting from increased public-sector and foreign visitor spending.

Examples include employment resulting from construction, tourism, and event related jobs. Benefits must also consider the multiplier effect of foreign visitor spending (See Annexure 6). Key beneficiaries extend to the National economy as well as Government.

COST / BENEFIT VARIABLES & FUNDING REQUIREMENTS

Mega sporting events offer the potential of enormous economic stimulus to a host country. In many countries and cities around the world, previous events of this nature are analysed to provide evidence based research demonstrating the significant economic impact on host cities, countries. Based on the proven economic benefits and impact which sport has delivered to numerous countries, governments worldwide have become increasing supportive towards further investment and funding of sport. Nevertheless, the decision of local authorities to use sports, leisure and tourism events as a means of promoting economic development has, on occasion, been controversial. There is no logic to any prejudice towards policies of this type, as sport, leisure and tourism are amongst the few industries that display long-term growth patterns.

While Mega-Sports Events offer the potential of enormous economic stimulus to a host city/country cost/benefit variables must be carefully considered before confirming the decision to move forward. The direct costs required to host an event vary greatly, depending

on the condition and availability of the existing sporting facilities, public infrastructure, and convention space (See Annexure 7 and 8).

2.2

INTERNATIONAL CASE STUDIES

Based on the proven economic benefits and impact which sport has delivered to numerous countries, governments worldwide have become increasing supportive towards further investment and funding of sport. (See Annexure 3 - 5)

Country Germany (1998) Canada (1996) UK (2000)

Contribution to Overall GDP 1,4% 1,1% 1,5% (GVA)

Employment 783 000 2% of jobs 400 000 (2%)

Per-capita household spend 800DM $700 n/a

As the following examples illustrate, the case for sport is becoming more and more pronounced with each passing year:

According to the Value of the Sports Economy in England (2000) report, sport contributes 5.5bn to Central Government through taxes, compared with the 660m received in direct grants.

Following its establishment, the Irish Sports Council has increased sports related funding from 13 million in 1999 to 30.75 million in 2004. Under the Sports Capital programme, almost 331 million has been allocated since 1998 to 4,271 projects to provide badly needed facilities and equipment in virtually every parish, village, town and city in the country, ranging from the smallest clubs to national sports centres. (John ODonohue, Irish minister for Arts, Sports & Tourism)

The IAAF World Indoor Athletics Championships, staged in the UK resulted in a $6.18m (EUR5.31m) financial boost to the local economy, according to figures released by UK Sport, the organisation responsible for co-ordinating major events in the UK. The results of the economic impact study, carried out by independent researchers revealed that, spectators, competitors, officials and the media contributed to an extra 2.7m ($4.51m/EUR3.88m) of expenditure in Birmingham and the West Midlands during the championships.

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For IAAF World Indoor Athletics Championships, accommodation was by far the largest expense accounting for 54 percent of their outlay. Food and drink was the next highest expenditure at 21 percent. Researchers also concluded that 90 percent of UK Sports total pre-event 1.1m Lottery award equating to 970,000 ($1.6m/EUR1.4m) could be included in the economic impact as the goods and services were delivered locally. In the West Midlands as a whole therefore, the total expenditure that could be attributed to the staging of the 2003 World Indoor Athletics Championships was 3.7m ($6.18m/EUR5.31m).

According to Richard Callicott, UK Sports chief executive: These results back-up UK Sports belief that staging events can be a valuable way for cities to attract increased investment. Birmingham should be commended for its proactive record of bidding for and staging some of the worlds largest sporting events, and it is clearly now reaping the rewards.

2.3

THE SOUTH AFRICAN PERSPECTIVE

In South Africa, the entry into international sport in 1990 provided a major stimulus to the market. This opened up new opportunities within high profile and other sports, and companies associated themselves with these opportunities in a significant way. According to BMI statistics, the result was that the sport sponsorship market experienced significant growth of more than 58% from 1990 to 1992. In South Africa, Sponsorship spend has grown from R63 million in 1985 to R1 884 million indirect spend in 2004, representing an average annual compound growth rate of about 19,6%.

YEAR

SOUTH AFRICAN SPONSORSHIP SPEND [MILLIONS OF RANDS] DIRECT SPEND 1 254 1 492 1 772 1 884 LEVERAGING 1 054 1 239 1 462 1 629 TOTAL 2 308 2 731 3 234 3 513

2001 2002 2003 2004

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By comparison, despite excellent growth of 12% in 1999 and 14% in 2000, compound growth in sponsorship spend worldwide has only averaged single digit growth per year ever since.

YEAR 1999 2000 2001 2002 2003 2004

ESTIMATED EXPENDITURE [$ MILLION] 19 400 22 100 23 600 24 400 25 900 28 000 *(estimate)

PERCENTAGE [YOY] GROWTH 12% 14% 6.5% 3.4% 6.1% 8.1%

PROJECTED ECONOMIC IMPACT FROM 2010 The 2010 Soccer World Cup Bid Committee has commissioned an economic impact study that looks very promising in terms of the potential benefits of hosting the event in South Africa. They predict that: 2,72 million tickets will be sold, generating revenue to the tune of R4,6 billion. Capital expenditure on the upgrades of stadiums and other infrastructure will amount to R2,3 billion and the event will lead to direct expenditure of R12,7 billion while contributing R21,3 billion to the country's Gross Domestic Product. Some 159 000 new employment opportunities will be created and some R7,2 billion will be paid to government in taxes.

HISTORICAL IMPACT STUDIES OF EVENTS IN SOUTH AFRICA The Minister of Sport and Recreation announced during his budget vote in April 2003 that the SRSA had conducted socio-economic impact studies on international sports events hosted by South Africa. Findings include:

RWC was hosted in South Africa in 1995. A growth of 22% in foreign tourism was experienced, with a 52% growth from lucrative overseas markets, and a 12% growth

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from the African continent. Tourism slowed down to an increase of 9,4% from 1995 to 1996 after Rugby world Cup (See Annexure 9). The International Cricket Council (ICC) Cricket World Cup hosted in South Africa in February and March 2003 attracted some 20 000 foreign spectators. Even in a regular year, 10 percent of foreign tourists come to participate in or watch a sporting event, and they contribute about R250-million a year to the GDP. A study on the impact of the Cricket World Cup shows that the economic impact of the tournament in terms of South African economic activity was estimated at R2,0 billion. The estimated economic impact of the Cricket World Cup in terms of net foreign spend in the country was R1,1 billion. This led to the creation of 3 500 jobs during the World Cup. The World Surfing Games, which according to the studies, brought in revenue of more than R11 million. It was also determined that the 2002 Argus Cycle Tour generated more than R300 million countrywide, with the City of Cape Town benefiting by more than R200 million. Staging the Soccer World Cup in South Africa in 2010 will create significant direct and indirect socio-economic benefits for the country's economy

THE CONTRIBUTION OF SPORT & RECREATION TO GDP

According to the most recent South African government survey conducted in 2000, there was an increase in the contribution of sport and recreation to the (GDP) Gross Domestic Product of South Africa from 1,9% in 1997 to 2% in 2000. In a worldwide context that is more than in Britain, Germany or Canada. In financial terms the estimated worth was some R15 913 million. Adding capital expenditure to this total, the contribution rises to R16 765 million or 2,1% of GDP.

In addition the study also found that Sport and Recreation provided employment for some 34 325 full-time and 6 140 part-time workers, and makes use of 8 000 volunteers. If one further considers that tourism contributes 8.2 percent to the South African GDP, proportionately, sport contributes an enormous amount. This is in a regular year. [Source: John Dobson The Business of Sport].

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THE CONTRIBUTION OF SPORT & RECREATION TO THE SECOND ECONOMY

In his State of the Nation address President Thabo Mbeki said:

". during each one of the years that make up our Second Decade of Liberation, including this one, we must achieve new and decisive advances towards..(inter alia) eradicating poverty and underdevelopment, within the context of a thriving and growing First Economy and the successful transformation of a Second Economy

Similarly, the economic evaluations of sporting events have demonstrated an economic impact on the local area by way of additional expenditure and the generation of additional employment and the potential for long-term economic gains, particularly when a major sporting event has been a catalyst for regeneration of an area.

Evaluations of major cultural and sporting events have demonstrated that a strong and close partnership working, can contribute significantly to the success of the event. The 2003 Cricket World Cup serves as a case in point through its delivery of a host of unique socio-political benefits. The vision employed at the time extended beyond traditional cricket authorities, to include local & national government, commercial sponsors, schools & cricket fans to make the event more accessible and appealing to the entire population. Other benefits were:

Companies with solid black empowerment credentials were first in line to benefit from the tournament Submission & selection process of official sponsors strongly focussed on social upliftment & development of cricket in previously disadvantaged communities DGB owners Bellingham The official sponsor Allocated a significant share of the funds generated to development of game in less privileged communities Funded a bursary scheme for up and coming black cricket journalists.

Sport makes a fundamental contribution to the people of this region and therefore it must be promoted and made accessible to all.

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OUR STRATEGY
To position Gauteng as the Preferred Home of Competitive Sport where major sporting events contribute to growing Gautengs socio-economic objectives and promote the sustainable development of high performance athletes from the region, our proposed strategic approach focuses the Departments objectives, actions, measures and performance measurements on the following four key strategic priority areas: 1. Major events 2. Economic Impact Evaluation and Prioritisation Scorecard 3. High Performance & Talent Identification 4. Infrastructure & Facility Provision

3.1

STRATEGIC OVERVIEW

At the core of our strategy the priority is to position Gauteng as the Preferred Home of Competitive Sport by actively attracting and supporting major sporting events to the region.

ATTRACTING EVENTS

Events are the lifeblood of sport. It is therefore a priority of the department to actively solicit and attract key targeted events to the region. A formalised approach will be adopted and structured within the following framework (See Annexure 10):

Sporting Codes, Event Organisers and Rights Holders will be invited to submit proposals to stage their events in Gauteng over the next two 5 year periods. Proposals received will be evaluated and prioritized utilizing a scorecard approach to scientifically establish the broader economic impact and social benefits thereof on the region and its communities. Dependent on the magnitude of the impact the department will offer successful applicants a range of benefits which may include: Facility provision and maintenance Sponsorship, Marketing or other related support Inclusion in the overall Home of Competitive Sport Campaign

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HIGH PERFORMANCE & TALENT ID Competition is the principal purpose behind the years of training and preparation not only for athletes but also for coaches, officials and administrators. Major events also play a vital role in the wider development of sport and should be part of the strategic development plan of a sports governing body, or in the case of multi sport events, should contribute to the wider development of sport.

Event led development strategies will encourage participation and boost performance at all levels of sport everything from assisting potential medal winners to inspiring children to take up the sport. Partnerships with targeted sporting codes will be forged to promote the development of young sporting talent by providing opportunities for talent identification and the development of talent from the entry level through to high performance or professional level.

INFRASTRUCTURE & FACILITY PROVISION

In addition, the winning of the bid for hosting the 2010 FIFA World Cup tournament places particular responsibilities on the department to facilitate the development of an environment conducive to hosting major sporting events with regard to;

Safety, and emergency services Transport, traffic management, road infrastructure, Stadium infrastructure and facility provision.

Gauteng Department of Sport and Recreation will collaborate with the private sector, sporting authorities, other provincial government departments, and local and national government in building and refurbishing facilities to ensure the establishment and maintenance of the required infrastructure to enable the region to be successfully positioned as the preferred home of competitive sport up to and beyond 2010.

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3.2

STRATEGIC PRIORITY 1: MAJOR EVENTS

To promote Gauteng and establish the region as the preferred home of competitive sport where major sporting events contribute to growing Gautengs economy and promote sustainable livelihoods for sports women and men and the province as a whole.

Within this first strategic priority, three separate objectives have been set. Below, each of the objectives will be addressed independently to clearly identify the actions, measures and performance measurements as they relate to the specific situation.

OBJECTIVE 1: ATTRACTING EVENTS To attract major events to the region (International & National). ACTIONS Solicitation of Event Proposals Extend invitations to sporting bodies and codes, event organisers and rights holders to submit proposals to stage major sporting events in the region over the period 20052015. Design and distribute a proposal format to all potential interested parties. Establish a preliminary events calendar. Establish a consistent mechanism to evaluate (forecast) the feasibility and attractiveness of events proposed. Select portfolio of sporting events with the highest potential of being successfully staged. Prioritise opportunities for attracting future events based on the results of the above economic and social impact studies Initiate negotiations and enter into partnership agreements with all relevant stakeholders (including Media) to ensure targeted number of events are hosted in Gauteng Ongoing relationship building with key stakeholders MEASURES Compilation of an events calendar of all major events to be staged over the period of 2005-2015 Events Proposals Received & Evaluated Number of events staged

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PERFORMANCE MEASUREMENTS The number of categorised events on the 2005-2015 events calendar Number of event proposals (concepts) which have gone through the various phases of the following event procurement cycle: Been solicited & received Undergone preliminary evaluation / feasibility reviews Completed final evaluation stage Undergone market testing Have been approved Have been implemented Resulted in the successful completion of an event being staged

OBJECTIVE 2: MARKETING CAMPAIGN To promote and establish Gauteng as the Preferred Home of Competitive Sport, positioning Gauteng as the most attractive region to host major events.

ACTIONS Design and launch an awareness campaign to promote region as the Home of Champions in cooperation with all major cities in the region Inclusion of the promotion of Gauteng as the Preferred Home of Competitive Sport in partnership with sporting codes, teams and athletes from the region In partnership with Gauteng Tourism, define and package a guide to demonstrate the regions competitive advantage; (i.e.: Facilities, well developed information technology, communication infrastructure, hotels, altitude, Intl airport, economic powerhouse of the country, etc.) in terms of staging major events Attract high profile / newsworthy sporting events to showcase our facilities and the region as a whole and enhance the regions National & International reputation Host a minimum number of major sporting events per year which will deliver national and international media exposure (Annual targets) Showcase region and community to potential future visitors (stimulate tourism) Demonstrate ability to host large events Position Gauteng as the leading sporting region in the country

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MEASURES Media Monitoring of Preferred Home of Competitive Sport Campaign Preferred Home of Competitive Sport Brand Image and Awareness

PERFORMANCE MEASUREMENTS

Overall awareness, image and reputation tracking (Regional & National samples) Media tracking Valuation of all exposure generated (TV, Radio & Print)

OBJECTIVE 3: EXISTING EVENTS

To partner with existing events and tournaments in athletics, soccer, cricket, rugby and, boxing to promote Preferred Home of Competitive Sport brand.

Specific focus will be on soccer to develop the love of soccer and grow attendance and sponsorship in preparation for the 2010 FIFA World Cup tournament as this is critical in securing the matches to Gauteng. Attracting Gauteng based professional teams to play their home games in the province through facilitation and coordination to create an environment conducive for the teams to play their games in Gauteng.

ACTIONS

Engage key provincial sporting authorities and sport federations to incorporate selected high profile existing events/ derbies/ competitions [i.e.; Currie Cup, Super 12, PSL (Chiefs vs. Pirates / SuperSport vs. Sundowns), 94.7 Cycle Race, etc.] as part of the Preferred Home of Competitive Sport Campaign.

MEASURES

Partnership meetings and forums Partnership agreements signed with sporting codes, event organizers and rights holders, Investment, sponsorship agreements with private sector

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Number of high profile exiting events added as part of the Preferred Home of Competitive Sport campaign Percentage of Gauteng based PSL teams home games played in the region

PERFORMANCE MEASUREMENTS

Number of partnership meetings Number of partnership agreements Number of sponsorship signed Commercial funding / rand value of sponsorship packages

3.3

STRATGIC PRIORITY 2: EVALUATION & PRIORITISATION SCORECARD

To develop a Scorecard from which policy makers will be able to evaluate and prioritise targeted major sporting events in terms of their ability to deliver against the departments socio-economic objectives.

OBJECTIVE 1: QUANTIFY ECONOMIC IMPACT & SOCIAL BENEFITS

To stimulate regional and local economies To generate tax revenues To attract heads on beds events to the region Model to forecast economic impact and social benefits from hosting major events Present a positive quality of life program to the community Revitalise economically disadvantages or newly developed parts of the community Promote active lifestyles through participation and Social inclusion Stimulate skills development & job creation

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ACTIONS

Establishment of the Major Events & Projects Centre of Excellence Team to evaluate and prioritise all event proposals. Model to forecast economic impact and social benefits from hosting major events Framework to evaluate and prioritise event proposals Research review studies on similar type events (Local & International) Risk and Issue Management Longer Term Legacy Achievement Prioritisation of sporting codes Establishment of a common, systematic, method of researching and evaluating sporting events that will provide on-going comparable and meaningful data for those involved in developing policy in this field Obtain independent research to quantify historical and future trends on all relevant sporting codes by geographic (regional, national & international) and demographic profile (Adults and Juniors) to include:

Participation numbers & Spectator Interest per code Sponsorship profile National TV Exposure and International Audiences

MEASURES

Direct and Indirect Revenue generation through hosting events Regional and Local Economic & Social impact of event Economic impact of sport to the region and major cities Legacy benefits Sport Tourism Impact and trends (National & Intl Visitor Numbers) Accuracy of Forecast model with respect to projected revenue impact and scorecard evaluation against post-event evaluation Participation and Spectator Trends for prioritization of sport codes

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PERFORMANCE MEASUREMENTS Rand value of the economic impact of the event as well as the social benefits Rand value of the economic impact of and social benefits of sport to the region Rand spend on support marketing and promotion of the Preferred Home of Competitive Sport brand. Quantification on the campaigns contribution to sports tourism to the region Had Post-evaluations conducted BMI Adult SportTrack Report (Adult & Junior Participation & Spectator trends)

METHODOLOGY TO DETERMINE ECONOMIC IMPACT FROM HOSTING AN EVENT

CATEGORY

COMPONENT

R VALUE

A B C D= BxC E F G H= ExFxG I

Direct spending by the organiser (including Facility provisions) Particpants / Audience hotel room nights not accounted for in A Particpants / Audience hotel room rate Particpants / Audience hotel spending Number of participants / audience (excluding individuals from the community) Number of days involved Per diem spending (participants / audience expenditure spend on meals, refreshments, entertainment, and personal items - luandry etc.) Particpants / Audience per diem spending Direct spending by sponsors / partners in the market (hosting of meals, receptions, special events for own guests) Other estimated spending (recreational expenses, non-event specific souveniers, local transportation (taxis, mass transportation, car rentals, fuel, tolls, parking), local retail purchases etc. SUB TOTAL (Direct Economic Impact generated by the event) Economic Multiplier = 2 ( Note: Overall impact of an event is greater than the Direct Economic Impact of an Event) TOTAL ESTIMATED ECONOMIC IMPACT R Value

K= A +D+H + I+J L=2 M = KxL

Note: The Gross Economic Impact of an event is the key figure when considering hosting an event.

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ADDITIONAL SCORECARD MEASURES

The Economic Impact of an event can be trustfully used in comparing event proposals. Other SCORECARD measurements that could be included in evaluating events proposals include:

Funding needed to upgrade existing facilities and infrastructure required by the event; Additional expenditure required for new facilities and infrastructure to stage the event; Amount of additional tax revenue which could be generated Additional sponsorship and private sector funding that could be raised The potential local support for the event The number of volunteers that could become involved The existing sponsors rights package (Exclusivity clauses) Percentage of Marketing budget that would be required to effectively promote the Home of Champions brand associated to this event Adherence to transformation objectives and status of sporting code The criteria of BBBEE (including gender equity) ownership in keeping with national norms for any promoters and / or commercial entities to be supported

TOWARDS A BALANCED SCORECARD APPROACH

Over and above the event's economic impact, additional aims and benefits might arise in the form of;

Economic & Social Benefits to the Second Economy Media value linked to coverage at home or internationally Place marketing benefits ( Future tourism & investment) Social Benefits (Job creation, skills development, Legacy benefits, regional pride, social inclusion, etc.) Sport Development benefits in terms of; facility and infrastructure development Inspiring youth to take up sport (Mass participation)

Note: (See Annexure 11)

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3.4

STRATGIC PRIORITY 3: HIGH PERFORMANCE & TALENT ID

To promote the development of young sporting talent by providing opportunities for talent spotting and the development of talent from the entry level through to high performance or professional level

OBJECTIVE 1: To implement a high performance programme focussed on the prioritised codes ; athletics, swimming, soccer, boxing, rugby and cricket, to develop sporting talent pool in the region Enhancing and expanding the promotion of sport development and the identification of High-performance sporting talent (Athletes, coaches, officials, volunteers)

ACTIONS HIGH PERFORMANCE & DEVELOPMENT

Extend invitations to all regional High Performance Centres to position themselves as the preferred academy amongst the prioritised sporting codes specified Partner existing sporting structure (Provincial codes, teams etc,) to identify teams and athletes to be prioritised for assistance Attract high performance athletes and teams to regions premier facilities Review status of the existing sports academy programme in the province and reposition Evaluate High Performance Institute structure in province and consider the case for one such institute for the area to focus on. Engage targeted sporting codes with a view to partnership agreements to utilise specific events for the purpose of ; Staging high quality mass participation events (i.e.; Masakane Games) with the purpose of identifying and developing world class athletes through high performance programmes. Implementation of a high-performance programme focusing on prioritised codes as identified Develop and provide support packages to select athletes as part of the development of this talent pool. The establishment of sporting pools to support and ensure long-term performance

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MEASURES Talent pool Sport scholarships Number of talent spotting events staged Partnership with Provincial structures, coaches, scouts to ID & talent

PERFORMANCE MEASUREMENTS Number of sports persons currently in talent pool Rand support for development of talent pool Number of talent spotting events staged Number of talented sports persons or teams identified at talent spotting events Number of talented athletes or teams identified as a result of applications received for assistance from their associated provincial sporting structures (Federations, teams, etc.) Sporting success of individuals and teams (Number of medals, records, personal bests, winning competitions, league champion teamsetc.) Number & value of sport scholarships and bursaries

3.5

STRATGIC PRIORITY 4: INFRASTRUCTURE & FACILTY PROVISION

To promote the brand: Gauteng the Preferred Home of Competitive Sport by demonstrating ongoing support towards the successful hosting of the 2010 World Cup and the establishment of the FIFA head quarters, OBJECTIVE 1: Position as the leading sporting region in the country Demonstrate ability to host large events Future facility infrastructure

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ACTIONS Invite all exiting or future regional facilities to submit a plan to become an approved venue for infrastructure development Participating in partnerships to facilitate the development of an environment conducive to hosting major sporting events, with regard to; Safety & security Transport, traffic management, road infrastructure, Stadium infrastructure and emergency services

Compile a Inventory package profiling the regions infrastructure as related to staging sporting events Showcase existing or new sports facilities to key stakeholders Conduct a detailed facility audit for the region to determine; The quality of existing facilities Any current shortfall to meet existing needs ID any future needs requirements to accommodate hosting strategy

Demonstrate internally the need for improved facilities / infrastructure where required Collaborate with the private sector, other provincial government departments, and local and national government in building and refurbishing facilities Determine the capacity (in terms of both quality and availability)of existing infrastructure to support high profile sporting events MEASURES Facilities Audit Submissions from facilities for infrastructure development Partnership meetings and forums

PERFORMANCE MEASUREMENTS Number of facilities in the region categorised by quality and services available Number of submissions from facilities to become an approved venue for infrastructure development Shortfall in facilities by category and by location Number of new facilities (categorised) established in the region Quantification on usage /capacity of all facilities Rand Value of additional Public & Private funding raised

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4.

RESEARCH PRIORITIES

Despite the wealth of available international research on the benefits derived from Sport and Recreation, sport will continue to be called upon to demonstrate tangible benefits to individuals, communities and the nation as a whole, if it is to compete with many other worthy causes for a share of limited public resources.

Any successful long-term strategy must therefore also be able to respond to the challenge: Why invest in Sport?

Through the investment of systematic approach to commissioning and then drawing on the best scientific evidence available, combined with local examples of good practice, countries / cities which have excelled in this area, (UK, Australia, Canada), have been able to consistently demonstrate that sport can make a difference to peoples lives and to the communities in which they live. They are able to show that for every Rand invested in sport there are multiple returns in terms of, for example, improved health for individuals and therefore less demand on the health service by those of middle and older age, reduced criminal behaviour among young people, and economic regeneration and improved employment opportunities. There is further evidence to show that sport has the ability to overcome social barriers and empower individuals, can reduce social exclusion, promote lifelong learning, and provide opportunities for engagement in community life through voluntary work.

It is therefore a further priority of the Department of Sport & Recreation to position itself as the leader in sport research in this country (See Annexure 12) through undertaking and supporting reliable evidence-based research that: Verifies claims of the social, health and economic benefits attributable to involvement in sport; Investigates issues relevant to sport participation and excellence in performance; Assesses stakeholder (partners and clients) satisfaction with the departments programmes and services; Monitors sports industry trends; and importantly, Evaluates the impact of the departments programs and policies and result from this strategy.

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5.

STRATEGIC APPROACH TO THE INDABA

The successful development of a Gauteng Sport and Recreation Strategy is closely linked to the identification and Analysis of the Critical Issues relating to the strategic priorities as outlined in this report. A Critical Issue is usually a complex situation, event or trend that is likely to affect the Departments strategic performance in achieving its vision for sport and recreation in the province. It is therefore important to identify and analyse these issues as part of the formulation of an overall detailed Sport and Recreation strategy.

The Indaba will be strategically positioned to address the following two key objectives:

1.

To provide us with a unique platform to launch our campaign, Gauteng, the Preferred Home of Competitive Sport to the both the media as well as our key stakeholders.

2.

To provide us with an opportunity to present and debate the proposed strategic approach in an inclusive fashion directly with our key stakeholders.

The programme for the one-day Gauteng Sports Indaba should be curtailed to ensure focus on achieving all Gauteng Sport objectives. The programme will include a keynote address by the Premier, introducing our sports strategy, followed by an overview of the aims and objectives by the MEC. It is envisaged that a speaker who is knowledgeable in the field of competitive sport, such as Dr. Irvin Khoza, would also be invited to share invaluable insights on the current landscape and importance of sport to the region as well as the nation. (See Annexure 13)

The delegates will then be provided an opportunity to gain further insights and brainstorm in our breakaway sessions covering the following four strategic priority areas of the Gauteng Sport Strategy.

1. Major Events 2. Economic & Social Impact 3. High Performance & Talent Identification 4. Infrastructure & Facility Provision

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The workshops will occur simultaneously, each with experienced facilitators, knowledgeable in the area, conducting the sessions. Stakeholders will be asked to join the appropriate session based on their particular role or function within the sport and recreation environment.

Formal closure of the proceedings will be preceded by feedback sessions from the breakaway teams.

In summary, the Sports Indaba is structured to identify, analyse and contribute to a deeper understanding of our strategic priorities. It will allow us to test our objectives and initiate our action plans, in order to ensure the formulation of a Sport and Recreation Strategy that if effectively implemented and monitored, will have a meaningful and lasting impact on the province.

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