Strategic overview

The board and group executive management seek to balance the expectations of investors for reasonable capital growth. They act responsibly concerning the interests of other stakeholders, including customers; employees; suppliers and contractors; communities; industry associations; government; and organised labour. The group aims for effective stakeholder engagement to develop and maintain mutually beneficial relationships. The key stakeholders are categorised based on the influence they have on the group and vice versa.

The group executive management formulates SepHold’s strategy and manages the business in an integrated manner. The board oversees and guides SepHold to capitalise on opportunities decisively, ethically, and responsibly. The strategy translates into operational action plans to ensure the achievement of group objectives. The strategy is reviewed annually and revised if necessary to align to the dynamic South African socio-economic operating context and trading environment.

The group’s strategic objectives focus on financial sustainability, product and service quality and operational efficiency as follows:

• To produce high-quality products and implement effective marketing activities to maintain sustainable sales volumes and maximise margins
• To implement cost management programmes that improve cost efficiencies
• To implement action plans that strengthen the operations’ balance sheets and increase free cashflow

The group actively seeks for diversification opportunities in the building and construction materials industry to enhance the ability to create value in cognisance of the constrained economic environment.