Public Sector Procurement

Procurement inefficiencies uphold poor intra-Africa trade

  The impact of ineffective procurement in Africa has been estimated at US$31,5-billion – US$24,9-billion for sub-Saharan Africa alone – in terms of value leakage – by auditor KPMG. The inefficiencies are caused by procurement organisations struggling with basic issues around delivering value, such as low use of technology, inadequate skills and non-compliance with procurement […]

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Buy local or face audit findings!

  Under the World Trade Organisation’s agreement on Trade-Related Investment Measures, The South African government cannot prescribe to the business sector that they must follow localisation (75% local content in purchases) in the same way it prescribes to public entities. “We don’t have that ability, and are challenged internationally [if the topic of localisation is

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Short-term SCM investment for long-term savings

The City of Cape Town has leveraged its supply chain management policy to grow its economy, procure sustainably and create jobs. And save money, of course. Opening the Smart Procurement World Western Cape Conference, the city’s Executive Deputy Mayor, Alderman Ian Neilson gave delegates an insight into the City’s supply chain efforts to create employment

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Is SA’s public procurement mature enough to grow the country’s SMMES?

It is not surprising that today many believe that public sector supply chain management is a new thing and that its advent has brought about challenges. While it is true that the world of supply chain management has evolved a great deal, 1994 was not a quantum leap that brought about the new South African

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Buyers must know what is made locally before they can consciously ‘buy local’

  “Buyers need to understand the importance of ‘buying locally’ and have the ability to identify locally manufactured products. By doing so they actually buy back jobs,” said Philippa Rodseth, Executive Director of the Manufacturing Circle. Speaking at an Economic Policy Dialogue hosted by the Department of Trade and Industry (dti), Rodseth said that there

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10 things to consider when selling performance improvements to government

  It is important to understand the process procurement managers go through before they will take the risk to adopt a new product for use in a municipal setting. Not only is it the many rules, regulations, bylaws and municipal documents, it is also how government procurement personnel react to new ideas related to goods

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Overpricing is where government’s real leakage sits, says Treasury’s Kenneth Brown

It is South Africa’s equivalent to the proverbial $640 Pentagon toilet seat — a paper binding machine that the government buys from its suppliers for the rand equivalent of almost $2,000, about 13 times what it should cost. Chief Procurement Officer Kenneth Brown cited the binding machine as an example of the massive waste that

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Cost-cutting drive has pitted Treasury against government departments

  Treasury’s cost-cutting drive has pitted it against other government departments. Chief Procurement Officer Kenneth Brown has drawn criticism from politicians who are unhappy with his investigations of procurement, said Ralph Mathekga, a political analyst at the Johannesburg-based research group, the Mapungubwe Institute of Strategic Reflection. In September the Treasury said it rejected a request

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eProcurement is actually about people

  The Council of the European Union (EU) placed a renewed focus on public e-Procurement when it adopted directives for the reform of public procurement in February 2014. Globally, governments have been pursuing initiatives to affect good governance and the “smart expenditure” of limited funds. They have pursued the implementation of a more effective procurement

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Drones delivering blood for transfusions: Supply Chain Innovation

  A drone service delivering blood for transfusions has been launched in Rwanda. The drones are expected to make between 50 and 150 life-saving deliveries each day to far-flung and inaccessible clinics across the western half of the country. Excessive blood loss during childbirth is the leading cause of death in pregnant women in Rwanda. Zipline,

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