Spply Chain Management Policy update to enhance efficiency

The City of Cape Town is proposing changes to its Supply Chain Management Policy to improve alignment with existing legislation and to further enhance tender process efficiency. Members of the public are invited to comment on the draft revised Supply Chain Management Policy between 16 August 2021 and 14 September 2021. Read more below:

‘As a well-run city, efficiency, transparency and accountability in City tender processes are of paramount importance. It is also vital to ensure that these processes are free from interference or manipulation. Extensive efforts have been made over recent years to improve good governance and compliance, and ensure that public funds are used to best serve the public. The City has a zero tolerance approach to corruption and ensures that it can account to the public for the use of these funds, and that its tender processes are open and transparent for all to see and scrutinise. The SCM Policy has been revised to drive more effective and efficient tender and contract processes as far as possible within the current legislative environment. The SCM Policy strives to ensure that it supports the delivery of key goods, services and construction works to ensure that the City’s Integrated Development Plan (IDP) is achieved and public funds are optimally used for the betterment of the residents of Cape Town. The proposals emanating from an annual review of the Supply Chain Management Policy are set to further enhance the City’s supply chain management systems and processes.

The Supply Chain Management Policy is reviewed annually in accordance with the Municipal Finance Management Act (MFMA) Supply Chain Management Regulation 3(1)(b).

‘Through past revisions of the SCM Policy, for the financial year ending June 2021, the City successfully completed more than 94% of the planned tenders required and paid 97% of its suppliers on time. This means service delivery can happen, the local economy can be boosted and the City can sustain livelihoods by paying 97% of its suppliers, mostly small and medium enterprises, within 30 days. Importantly, it is only through successful demand management that the City is able to deliver a high level of services and boost the economy by enabling the spend of tenders and total purchase orders of approximately R14 billion for operating and capital budgets combined in the same year.

‘The high tender award rate also contributed towards the successful record capital expenditure of R6,5 billion for the past Financial Year,’ said the City’s Mayoral Committee Member for Finance, Alderman Ian Neilson.

This review of the SCM Policy aims to further improve on current systems, processes and performance targets.

The City has done much work over the past few years to improve tender and contract management. This management is helping to drive the City’s capital and service programme, sustain livelihoods and ensure that the City can continue to boost the local economy in an efficient, compliant, robust and accountable manner.

The proposed amendments to the policy are available to view at City libraries and subcouncil offices, and online at www.capetown.gov.za/haveyoursay.

Comments, recommendations and input may be submitted as follows:

Via the City’s website: www.capetown.gov.za/haveyoursay

By hand: City of Cape Town, Supply Chain Management, 8th Floor Tower Block, Cape Town Civic Centre (Attention Sandra Gomm)

Via email: scm.enquiries@capetown.gov.za

The City’s Public Participation Unit will assist people living with disabilities who are unable to submit written comments to have their objections recorded and submitted to the City. Contact Frederick Venter by sending an email to Frederick.Venter@capetown.gov.za.

Source: City Of Cape Town