The implementation of affirmative procurement policy : the post tender role of the public client

Abstract

The study investigates the effectiveness of the Public Works Affirmative Procurement Policy in the Republic of South Africa, and the research being conducted in the Western Province. It is the intention of the researcher to determine the role of the public sector, and to determine if government's efforts to implement the policy of procurement have been successful. The aim of the Affirmative Procurement Policy was primarily to promote Affirmable Business Enterprises (ABE's i.e. small medium and micro enterprises which is owned mainly by previously disadvantaged communities or PDI's). The need to transform the public sector procurement system as current policies and procedures clearly favour large and established enterprises. In 1996 the State Tender Board approved the decision that the Department of Public Works implement the policy of APP, in all its construction projects. International models of procurement were explored, so to compare that with the current South African situation. Surveys conducted throughout the research targeted mainly previously disadvantaged individuals, in order to establish the ambiguity of the system. The countries discriminatory past laws contributed largely to the backlog of service delivery and to widespread impoverishment. Due to lack of resources, finance and skills training growth in the emerging sector hinders progress as contractors encounter numerous problems facing the industry. The introduction of the lO-point plan approved by Cabinet as a measure to achieve this goal was not fully successful as some provinces only implemented it partially whilst others have systems in place that differ from the proposal detailed in the plan. The implementation of affrrrnative procurement, which would ensure participation of, targeted groups would consequently address the development of SMME's, increase the volume of work and generate income among the marginalized sector of society.