A MOU has been drafted and signed by the Chief Executives of the 7 major Stores groups in SA. The MOU has also been signed by the CEO's of the major manufactures of FMCG products in SA. This commits these companies to participating in the Programme, as well as providing the funding for the budget of some R10 million.

Each Store group has also appointed a dedicated "Champion" to drive the Initiative in their organisation.

Each company retains varying levels of information of the crimes that affect them. However, the information is generally insurance focused, and does not facilitate analysis, in order to produce preventative measures or enhance Police investigations into these crimes. The Consumer Goods Council - Risk Initiative has therefore developed a centralized database, a British software package, called Analyst Notebook to compile a central repository of this information. This is only one of the databases used to analize the data we recieve.

We have already been able to assist the police in formulating a systematic approach to a series of criminal events. We were also able to analyse a range of violent crimes to develop a meaningful set of guidelines of how to behave during an incident of Armed Robbery, to minimize injuries and loss of lives.

It is common for candidate employees to omit portions of their work history, in an attempt to disguise those episodes that ended dishonorably. This lack of information results in employment decisions that are based on part-truths. After extensive research, which included Senior Counsel's opinion, we have developed a central register of employment records, in order for participating employers to access accurate work histories (within the FMCG Industry only) of candidates. We currently have in excess of over 148 000 names on this database.

This segment of the Programme focuses on VAT and other forms of tax evasion. The most common form of this practice is known as round-tripping, i.e. ostensibly purchasing goods for export, thereby obtaining a VAT rebate, yet selling the goods in South Africa.

The Consumer Goods Council - Risk Initiative is working with the South African Revenue of Services in developing a set of Best Practices for Manufacturers and Exporters to ensure that they are complying with the various Acts and Regulations that pertain to the process and tax rules for exporting goods.

We have also established a process to assist SARS in their investigations and prosecution of those suspected of active in these illegal trade practices.

There are a number of areas that are particularly vulnerable as well as industry procedures and processes that are susceptible to exploitation by Criminal elements.

These have been identified and a number of projects initiated to develop "Best Practices" in these areas, with a view to eliminating the opportunity or reducing the incidence of crime in these areas. Some of the Focus areas are Violent Crime (Armed Robberies, Cash-in-Transit Heists, etc), Truck Hi-jackings, In Store Procedures (including access controls for Third Party Service Provider Staff); Delivery Fraud, Cheque and Credit Card Fraud. A special investigation into the Supply Chain of Hot Products (those that experience an especially high rate of theft) is also underway.

Sub-Committees have been formed from the appropriate mix of Manufacturers, Distributors, Service Providers and Stores, to develop these Best Practices.

The Best Practices are growing rapidly within each sector of the Fast Moving Consumer Goods Industry (Retail, Security. Logistics, Manufacturing and more) on a constant basis within each forum that has been set up to place the best practices into the industry.

The Consumer Goods Council - Crime Prevention Office has installed a capacity of sending SMS messages to cell phones of the members in an area, when an incidence of serious crime occurs in his vicinity. This will alert the members as to the modus operandi of the particular crime, in order to prevent it occurring in his operation.

The SA Police Services have been supportive of our endeavors from the outset. Our approach has been to provide support to the Police in their efforts to combat crime, and their guidance and keen interest has paid dividends already, with successful investigations leading to the arrest and conviction a number of perpetrators.

Business Against Crime (BAC) has likewise played a mentoring role from the outset. Their experience and contacts in the Police and Prosecutions has enabled us to fast-track our relationship with these organizations, to the extent that (through BAC facilitation we have a meeting arranged for the CEOs of our major constituents with the National Commissioner of Police Jackie Selebi.)

The CGC Risk Initiative is heading up the ID Cards initiative which has been initiated from the 7 major store groups. All non store staff employees, sales and merchandisers, security, promoter's drivers etc will need these cards to enter the back of the stores. On 01 October 2004, all sales & merchandising staff needed the cards to now enter the store. By the 31 March 2005 all promotional staff and drivers and assistant/co-drivers will need these cards too. This initiative will move over all sectors in the FMCG, the nest sector will be announced and given a d-day for the ID cards well in advance. For all application information please contact the offices on 011 789 1160 /fax: 011 919 0080/ e-mail: idcards@cgcsa.co.za.