Issue Date: 
Thursday, October 31, 2019

The 5 Pillars of Procurement and Supply Chain Management

By Werner van Rooyen, Director of HowToTender (Pty) Ltd which specializes in tender consulting and tender training.

The South African Government introduced the Five Pillars of Procurement.  These five pillars were introduced to stimulated and grow Small, Medium and Micro Enterprises.  Every State Department’s Procurement Policy should include these five pillars.  All Bid Evaluation Committees are to follow and apply these five pillars.

The Five Pillars are:

  1. Value for Money
    In short this means that it is not necessarily the tender with the lowest price that is going to win the bid.  If the lowest price means an inferior product then the Evaluation Committee will seek for a better product.  Ensure that, when you respond to a tender, your product is good value for money.
  2. Open and Effective Competition
    Government departments must take care that everybody has a reasonable chance to compete for tenders.  They must ensure that their procurement process is transparent and fully understandable.  They must make sure that there is no favouritism towards any bidder.
  3. Ethics and Fair Dealing
    Government officials must conduct themselves properly without compromising their integrity.  When conducting their tender evaluation, they must not accept bribes or gifts from potential suppliers.  In fact, they must not accept anything of sorts from anybody.
  4. Accountability and Reporting
    This is a two-way street.  You, as potential supplier, must be able to account for your actions and plans.  You must ensure that you have good reporting methods build into your bid.  Government departments must report to their superiors and must be held accountable for their procurement actions.
  5. Equity
    The purpose of the fifth pillar is to promote business with Previously Disadvantaged Individuals (PDI’s).  Small, Medium and Micro Enterprises together with PDI’s must player a bigger part in the development of the larger South African Economy.  Any good Procurement Policy will address Equity as a main feature in the procurement process.

In responding to a tender or request for proposal it is always good to keep these five pillars in mind.  Try to address these five pillars in your tender response and you might just be lucky and win a tender.

To learn more about this and many other tender conditions attend our “Become a Tender Expert” 2-Day workshops presented in Johannesburg, Pretoria, Durban, Port Elizabeth, and Cape Town.  Book and pay online at https://howtotender.co.za/tender-expert-form/

Contact us at wernervr@howtotender.co.za should you require more information.

You can also purchase a Tender Manual (Handbook) on our website https://howtotender.co.za/ which is a step by step guide how to respond to a South African Tender.  It includes examples of completed SBD forms.

Title Closing Date Tender No.
Department of Co-Operative Governance and Traditional Affairs: Umzinyathi District: Nquthu: Community Service Centre Infrastructure Rehabilitation Programme: Alterations and Refurbishment for Molefe Tac 2020-10-20 11:00 ZNTL 04222 W
Provision of Maintenance and Support for Cisco Prime Infrastructure for a period of two (2) years. 2020-10-09 11:00 RFB 2250- 2020
Construction of Mandlazi Primary School Early Childhood Development Centre In Harry Gwala District, KZN. 2020-10-12 12:00 CDC/ 462/ 20- T
Supply and install a Unified Communication solution including Project Management Services during the installation, end devices, formal training, and 3rd Level Support and Maintenance (Software and hardware assurance) for 5 years for the Department of Telecommunications and Postal Services (DTPS). 2020-10-09 11:00 RFB 2266/ 2020
Construction of Savela Primary School Early Childhood Development Centre In Harry Gwala District, Umzimkhu, KZN 2020-10-12 12:00 CDC/ 463/ 20- T
Department of Public works: Pretoria: Procurement of 2 -3 bedroomed fully furnished house with the minimum of 2 bathrooms for Cuban Technical Advisors for a period of 18 months in Pretoria East, Faerie Glen, Menlo Park, Waterkloof and Hatfield. 2020-10-12 11:00 H20/ 006PF
Construction of Straalhoek Primary School Early Childhood Development Centre In Harry Gwala District, UMZIMKHU, KZN. 2020-10-12 12:00 CDC/ 464/ 20- T
SAPS-Criminal Records and Crime Scene Management - Procurement of alternative office accommodation of 1 123.25 square meter and 20 parking bays for a period of 5 years in Pretoria North (CBD). 2020-10-12 11:00 H20/ 004PF
DCS: Sevontein Prison: 36 Months Term Contract: Preventative and Maintenance of Water Treatment Plant It is estimated that tenderers should have CIDB contractor grading designation of 3ME or 3CE or Higher. 2020-10-27 11:00 DBN20/ 09/ 01
Construction Of Early Chilhood Development Classrooms (ECDC) At Luzindela Primary School In King Cetshwayo District, KZN 2020-10-12 12:00 CDC/ 465/ 20- T
DCS: Mthunzini Prison: 36 Months Term Contract: Preventative and Maintenance of Sewage Treatment Plant It is estimated that tenderers should have CIDB contractor grading designation of 3ME or 3CE or Higher. 2020-10-29 11:00 DBN20/ 09/ 03
DCS: Sevontein Prison: 36 Months Term Contract: Preventative and Maintenance of Sewage Treatment Plant It is estimated that tenderers should have CIDB contractor grading designation of 3ME or 3CE or Higher. 2020-10-28 11:00 DBN20/ 09/ 02
DCS: Qalakabusha Prison: 36 Months Term Contract: Preventative and Maintenance of Sewage Treatment Plant. It is estimated that tenderers should have CIDB contractor grading designation of 3ME or 3CE or Higher. 2020-11-05 11:00 DBN20/ 09/ 06
The South African Civil Aviation Authority (SACAA), in its quest to strengthen its brand presence on social media platforms wishes to contract a solid and effective social media and marketing company to develop a social media management strategy and implementation thereof. 2020-10-09 11:00 Q66433345
DCS: Waterval Prison: 36 Months Term Contract: Preventative and Maintenance of Piggery Sewage Treatment Plant and Bulk Water Supply Pump Station. 2020-11-10 11:00 DBN20/ 09/ 07
DCS: Ncome Prison: 36 Months Term Contract: Preventative and Maintenance of Water Treatment Plant It is estimated that tenderers should have CIDB contractor grading designation of 3ME or 3CE or Higher. 2020-11-03 11:00 DBN20/ 09/ 04
Appointment of a Training Provider For Life Orientation Teachers Workshops Over Three Years 2020-10-05 11:00 BS/ 2019/ RFB428
Appointment of a Service Provider Who Is MICT Seta Accredited to Deliver and Implement an NQF Level 4 Film and Television Production Operations Qualification as a Learnership Programme for 30 KwaZulu-Natal Youth Per Annum for a Period of Three Years Which Will Capacitate Them With The Relevant Film and TV Skills 2020-09-28 11:00 KZNFC- T06A/ 2020/ 21
Establishment of a Government Technical Advisory Centre (GTAC) Panel of Professional Service Providers for a Period of Three (3) Years – Batch 4 2020-10-02 11:00 GTAC 015- 2020- 21
For The Identification of Accredited Training Providers to Facilitate The Design and Delivery of a Training Programme on The Mfma Regulated Minimum Competency Levels For Approximately 100 National and Provincial Treasury Officials on Identified Unit Standards 2020-09-25 11:00 GTAC 014- 2020- 21

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