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South Africa : GOVT. notes shortcomings in supply and purchase chain processes, asks to make them more effective
Publish Date : 09-Feb-2015
Asking to make them more effective, the government has noted shortcomings in its supply and purchase chain processes. According to some estimates, up to R30bn is being lost every year to corruption in all government spheres, stressing the need to tighten the systems. The Treasury has released a supply chain management review that show that the public sector invested R500bn on goods and services and building work in the 2013-14 financial year.
However, the review admitted the presence of several inadequacies, including : employees who failed to understand the importance of what they did; insufficient skills; increased staff turnover; no separation of duties between technocrats and political office-bearers; no consequences for those who did not perform properly; cumbersome rules and policies; and the difficulty of balancing changewith getting work of the right quality at the best prices, on time.
According to Free Market Foundation executive director Leon Louw said addressing corruption and making procurement more effective called for transparency. Louw said : "There need to be checks and balances, transparency, independent assessors and access to information by people bidding for tenders."
