SCM Review Update - 2016

Procurement of goods, services and works over the next three years will amount to R1.5 trillion across all spheres of government. This is an enormous amount of money. Wisely and efficiently spent, it can be a great force for good. It can ensure that those in need receive services, that infrastructure like roads and ports is built and maintained, that schools are well-equipped and that health services are widely available. It can also spread wealth to hard-working entrepreneurs who successfully tender for government contracts and, in doing so, create jobs. Even those not directly involved in public procurement can benefit, as suppliers to government source their supplies and materials from manufacturers, farmers and many others. Efficiently and cost effectively managed public procurement can, through intelligent strategic procurement strategies, accelerate quality delivery of services and at the same time contribute to economic growth. The 2014 Public Sector Supply Chain Management Review provided a frank assessment of the current SCM system and provides a roadmap for reform. This chapter provides a snapshot of progress that has been made since the release of the Review and the on-going programme of action. The Office of the Chief Procurement Officer (OCPO) is accelerating measures to make it easy for business and government to transact; and at the same time ensure that government purchase what it needs at the right time, the right price, in the correct quantities and delivered to right location. Central to this objective is the following pertinent themes:  Optimising procurement strategies;  Supplier relationship management;  eProcurement and digitalisation of procurement;  Performance optimisation.