To effectively tackle the pressing social issues the continent and the world at large are facing, the public, private and development sectors must collaborate systemically and comprehensively. Identifying the potential for improved collaboration, the Roger Federer Foundation partnered with DNA Economics to highlight the potential of multistakeholder partnerships and draw attention to considerations for such partnerships in Africa, drawing on numerous case studies.
Improving the effectiveness of collaborations
Social issues, including low-quality and insufficient education, unemployment, poor health and climate change are too intricate, deeply rooted and wide-ranging to be left to governments or development actors alone to solve. The need for the private sector to play a leading role in addressing these challenges has become clearer. However, collaborative partnerships are often plagued by misunderstandings and miscommunication between business, the government and nonprofit organisations. While the number of punctual collaborations between the public and private sectors are growing, many are not functional and effective.
The report is aimed at a diverse range of stakeholders across the government, business and nonprofit sectors, as they can all benefit from maximising the value of multisectoral partnerships and become inspired by successful approaches.
Methodology
The report’s findings were based on a literature review focused on multisectoral partnerships, funding collaboratives and public-private partnerships, defined below.
Its content is also based on interviews with stakeholders, ranging from corporates spanning the retail, financial and mining sectors of South Africa and other African countries as well as global development organisations, funding aggregator bodies and philanthropies.
Collaboration models
Multisectoral partnerships
These are “formed explicitly to address social issues and causes that actively engage the partners on an ongoing basis”.1 These partnerships can range from being transactional, short-term arrangements or integrated developmental projects. This report focuses more on the latter type of partnership.
Funding collaboratives
This is a model through which philanthropies pool resources to magnify their contribution towards a particular social cause.2 An intermediary often governs collaboratives to ensure the fund is operated and governed by a neutral party.
Public-private partnerships (PPPs)
In this report the term describes the contractual arrangements between the public and private sector, mostly in cases where private sector providers are appointed by a government to help deliver public services. The entity is repaid from the revenues generated from the asset or project by either the users of the asset or by the public authority.3
Key Findings
How to address common barriers to partnerships
| Challenge | Solution |
| Mistrust | Involve a trusted broker |
| Risk | Implement appropriate governance structures |
| Duplication | Governments should keep track of development projects and alert businesses and donor organisations to similar efforts that are already ongoing |
| Language | Discuss and clarify terminology and develop a common understanding |
| Decision-making approach and processes | All actors should jointly agree on a process for making decisions collectively and agree on non-negotiable issues when the partnership is formed |
How business should approach the government
- The government needs to be in the driving seat. The success of a large-scale initiative often lies in the extent to which governments embrace a particular initiative and integrate it into broader government systems and development plans.
- The government is usually the guarantor of the sustainability of interventions or their continuous monitoring. Include all relevant government stakeholders as soon as possible. Give strategic consideration to the level of government with which you intend to work.
- Treat the government as a critical partner along the journey. Companies need to recognise that the expertise of governments lies in their ability to scale and roll out initiatives over time.
- Innovation is often not at the forefront of the government’s thinking. Thus, initiatives must have individuals at prominent levels who are championing ideas and encouraging non-traditional approaches.
Summary of recommendations for business
The recommendations have been structured according to three main themes:
| ‘Seeing’ | ‘What’ | ‘How’ |
| Recognising the opportunities for collaboration | What agreements and structures to put in place | The ‘how’ of the collaboration |
| 1. Businesses need to recognise and identify opportunities where social investment can be made more impactful by partnering with governments. This will require you to put aside your fears of getting caught up in government bureaucracy and have a partnering-for-impact mindset. 2. Actively pursue the opportunities to create a better business environment that can flow from collaborative co-production and funding social delivery programmes with governments. 3. Learn to speak the language of governments. | 4. Consider working with the government through existing collaborative structures. The business sector could also use its influence, resources and expertise to establish new structures and agreements. 5. Explore and learn about the various legislative tools and formal and informal approaches available to partner with governments. 6. Determine you time horizon. Will you be partnering for the short term (< 3 years), medium term (3–5 years) or long term (> 5 years)? This could influence your choice of the tools and structure of the partnership. | 7. Integrate ESG metrics, with a specific focus on the ‘social’ factor, into CSI approaches. 8. Have or involve an ESG expert to build the bridge between CSI activities and ESG. Embed CSI focus areas and projects to ensure the longevity and sustainability of initiatives are not at risk when leaders leave or join the company. 9. Invest in grant coordination to make all CSI efforts more leverageable. Think beyond only company-level projects and initiatives to collaborate at a higher level (national or even global). 10. Prioritise simpler initiatives, some potentially beyond the comfort zone of the company, which are aligned with existing government and ministry strategies and policies. |
Critical decision nodes for structuring a partnership agreement with a government partner
CASE STUDY
National Education Collaboration Trust (NECT) (South Africa) – convening stakeholders in an independent body for collaboration
Established in 2013 in response to the country’s National Development Plan (NDP) and its call for heightened collaboration to improve South Africa’s educational outcomes, the NECT serves as a governance platform for joint education initiatives involving civil society, business, trade unions and the government. The Trust oversees the implementation of collaborative education programmes, ensuring their alignment with national education reform goals.
It is an example of how an aggregator can be established to bring different stakeholders to consolidate and share funding for a social development concern of shared interest.
How the NECT arose
The NECT was initiated through an extensive dialogue process with stakeholders from the government, private sector, civil society and trade unions. Crucially, three major figures from various sectors – the Minister of Basic Education, the CEO of a large South African bank and an education development specialist – were responsible for the initial planning of the dialogue. Due to their business connections, the organisers secured support from Business Leadership South Africa.
What does the NECT do?
The NECT seeks to strengthen the coordination of private sector-funded education activities, promoting good social returns on investment for both private and public spending on education. The Trust also engages specialised service providers, managed by the NECT’s education specialists, especially in remote areas through its district development programme. It operates by pooling funding from the government, private sector and foundations each year to invest in its various programmes. In 2022 alone, the private sector donated R50 million to the NECT.4
Why collaborate in a structure like the NECT?
Many South African companies consulted in the research of this project expressed a preference for collaborating with the NECT, rather than developing their own education projects, due to its established networks and relationship with the government.
From the stakeholders interviewed who have an existing partnership with the NECT, the following reasons for participating in the aggregator body were mentioned:
- A proven track record and strong recognition throughout the country
- A national footprint with extensive reach across provinces that allows for more impactful initiatives and outcomes
- Extensive experience and knowledge.
Challenges, risks and opportunities
In addition to its successful projects, the Trust plays a pivotal role in the South African education system by bringing together various stakeholders and fostering collaboration. However, in supporting broad collaborations and diversifying too widely in recent years, the Trust no longer plays a strategic role in the education sector and the innovation needed to drive it forward.
Given that it was founded a decade ago, comparative collaborations were not as prevalent and, therefore, it was innovative for its time. The Trust has successfully grown initiatives across the country and embedded novel approaches to teaching and learning into the Department of Basic Education.5
Lessons learnt
The NECT arose from a specific government mandate to improve education outcomes in South Africa. In addition, its model of collaboration was also explicitly called for within the NDP. As such, the collaboration started with great momentum and political legitimacy.
Sources and further reading:
- ‘Cross-Sector Partnerships to Address Social Issues: Challenges to Theory and Practice’. Journal of Management 2005. ↩︎
- ‘Releasing the Potential of Philanthropic Contributions: The power of making collaborative giving platforms a part of every donor’s portfolio’. Bridgespan 2021. ↩︎
- ‘Public Private Partnerships in sub-Saharan Africa: Case Studies for Policymakers’. Uongozi Institute 2017. ↩︎
- National Education Collaboration Trust: Annual Financial Report 2022. ↩︎
- Refer to footnote 4. ↩︎
Find out more
- Read the report.
- Contact information: Ramona Luminati – ramona.luminati@rogerfederer.com
