Changes brought about at the regional chapter level of the South African Association of Freight Forwarders (Saaff) forms part of transitioning “from an industry association to a fully constituted Non-Profit Company (NPC)”.
According to an official statement sent through by Saaff’s head office in Johannesburg in response to the closure of Executive Committees (Excos) at regional level, the statement says: “The NPC structure was duly adopted by the members at the 2023 Annual General Meeting.
“As a matter of legal process, the legacy association framework was required to be dissolved upon the establishment of the NPC.”
The statement also adds that the “transition materially and fundamentally altered the organisation’s governance architecture and statutory obligations under the Companies Act”.
Responding to reports in Freight News that the decision to close the Excos was taken by the national executive, Saaff says: “The decision to consolidate regional services does not originate from the executive, nor should it in any way be construed as a reflection on the quality, commitment, or value of the work delivered by the association’s expert consultants and dedicated volunteer members.
“On the contrary, their contributions remain both recognised and appreciated. However, following the formal establishment of the NPC under the authority of the Board of Directors, it is neither prudent nor governance-aligned to maintain parallel or duplicate structural arrangements. Therefore, the ‘exco’ could not exist under the NPC structure.”
Saaff says communication with the regions opened in the second half of last year, “leading to a six-month restructuring period to enable the introduction of greater member integration and participation as a critical outcome for enhanced and progressive development of the sector”.
The association adds that it is also important to consider the context of the current changes.
The statement says the transition fits an evolutionary framework, adding that as the organisation grows and matures, future developments, aligned with its strategic trajectory towards new representative models and expansion, will meet evolving member representation needs.
“The changes currently under way are deliberate evidence-based and necessary to align Saaff with contemporary corporate governance standards, institutional best practice and the heightened compliance requirements applicable to an NPC of its standing.”
The statement also serves to address perceptions about notifications of service termination served on regional consultants, many of whom will be released from their contracts with Saaff by the end of April.
Freight News knows who these consultants are but for reasons of professional courtesy prefers not to divulge their names at this stage.
The statement says that “the experience that exists with the longstanding members of Saaff’s previous exco structures is recognised and the assumption is that their willingness to serve will not disappear because of structural changes”.
“This industry is made up of thousands of combined years of experience that will collectively drive the industry forward in what is already the most challenging environment in recent years since Covid. The message conveyed should be to encourage greater and increasingly meaningful participation, bringing Saaff members to the table.”
- This is not the full statement sent through. More information from Saaff’s official view will be processed during the rest of the week.
