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Faculty of Management Sciences

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    The effectiveness of the supply chain management system at a selected community education & training college in KwaZulu-Natal
    (2024) Mthethwa, Bhekefini Sibusiso Vincent; Jugmohan, Sean; Shonhiwa, Kudakwashe
    The current Community Education and Training Colleges (CETCs) have evolved from the old Adult Education and Training (AET) system where all supply chain management processes were centralised nationally in Pretoria. The decentralisation of supply chain processes to CETs in 2019 meant that the CETCs were expected to carry out all the supply chain management functions. The devolving of the supply chain management (SCM) function to the CET colleges meant that a selected community education and training college (CETC) has a mandate of servicing all the community learning centres (CLCs) and satellite learning centres (SLCs) falling within their jurisdiction. This study embarked on an exploration of how a selected CETC has responded to the transition of inheriting SCM functions. This was done by: firstly attempting to establish how human and physical resources impact on SCM in a selected CETC; secondly the identification of possible prevalent SCM risks; thirdly identifying performance measures to supply chain practices; and fourthly establishing what supply chain risk mitigation strategies affected SCM practices. Against this backdrop, the study made recommendations on all four objectives in the process, also suggesting the possible risk mitigation that could be applied to the possible challenges that this study endeavoured to unmask or reveal. In order to collect data that would enable the study to draw these findings on the effectiveness of SCM in a selected CETC, a quantitative method was adopted. The study sourced data from a population size of 118 respondents comprising all management officials at the central office of the selected CETC and all CLC managers and satellite supervisors on the PERSAL system of the selected CETC. The study applied the STATA 17 software package to present the statistical data analysis of the data collected. Consequently, graphs and tables were used in the study to interpret data which corroborated the findings of the study on the effectiveness of SCM systems in a selected CETC, espoused in the objectives of the study.
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    Investigation of factors influencing non-compliance with procurement practices : a case study of head office supply chain management directorate and hospitals within eThekwini District, KwaZulu-Natal
    (2023) Mkhize, Sithembile Gadiosa; Dorasamy, Nirmala
    Regardless of the reforms and the employment of Supply Chain Management (SCM) as a strategic tool, South Africa still faces immense challenges in its procurement practices. Non-compliance with public procurement guidelines cannot be ignored because it has a significant cost to the government and the public as taxpayers. This study investigated the factors influencing non-compliance with procurement practices within the Kwa-Zulu Natal Department of Health. The Auditor General’s reports for the financial year 2017/2018 and 2018/2019 confirmed that this Department had received qualified audit opinions for two consecutive years for incurring irregular expenditure on procurement and contract management following non-compliance with procurement guidelines. A mixed-method of data collection was employed on this study to gather information from the relevant decision makers including officials in finance and SCM components. The results of this study demonstrated that unavailability of SCM staffing norms, shortage of staff, lack of supervision, shortage of skills, unavailability of E-procurement system, and negligence are major determinants for non-compliance. These findings have relevance for the Kwa-Zulu Natal Department of Health and also for the South African Public Sector as it strives to achieve clean audits on procurement and contract management. Furthermore, this study acknowledges the policies and the guidelines on public procurement and contract management. However, it argues that policies and guidelines alone cannot prevent irregular expenditure. Public procurement and contract management policies and guidelines need to be complemented by human resources, appropriate skills, updated technologies, implementation of consequences management, and monitoring and evaluation. Furthermore, this study presented the researcher’s proposed model for addressing non-compliance with procurement and contract management policies, as shown in Figure 4.2. Moreover, this model could play a crucial role in reviving and supplementing the public procurement and contracting objectives thus enhancing compliance.
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    An investigation of factors and challenges influencing non-compliance with procurement guidelines within the KZN Department of Health
    (2022-10-27) Mkhize, Sithembile Gadiosa; Dorasamy, Nirmala; Anwana, Emem
    Despite the reforms and employment of Supply Chain Management (SCM) as a strategic tool, South Africa is still facing enormous challenges in its procurement practices. The country is hugely affected by a critical situation of non-compliance with the legislative frameworks governing public procurement and contract administration, which conveys significant costs to the government and the community as taxpayers. Particularly, the Head office supply chain management directorate and hospitals within eThekwini District in the Kwa-Zulu Natal province have been experiencing enormous problems aligned to non-compliance with the public procurement and contract management guidelines. This paper examines the factors influencing non-compliance with procurement practices within the Kwa-Zulu Natal Department of Health. Mixed methods facilitated the process of data collection and analysis by combining both qualitative and quantitative techniques to identify factors and challenges influencing non-compliance with procurement guidelines within the KZN Department of Health, as well as to identify incurring irregular expenditure on procurement and contract management following non-compliance with procurement guidelines. This study revealed that the unavailability of SCM staffing norms, shortage of staff, lack of supervision, shortage of skills, unavailability of modern technology, negligence, etc., are among the major factors causing non-compliance with public procurement and contract management guidelines. This paper resolves to recommend to the Kwa-Zulu Natal Department of Health that public procurement and contract management policies and guidelines need to be complemented by human resources, appropriate skills, updated technologies, implementation of consequences management, and the best practice of monitoring and evaluation.
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    The influence of global sourcing on local firms’ competitiveness, supply chain competence and performance in the sugar sector in South Africa
    (2021-04) Makhaye, Phumlani Marcus; Hove-Sibanda, Sibanda, Progress
    While a variety of studies have conducted research on the influence of global sourcing, only limited studies have investigated the supply chain competence, competitiveness of local firms and performance within the South African context. Hence, this study illuminates these themes with the intent of suggesting proactive strategies for the South African sugar industry. Furthermore, this study also attempts to suggest means through which the service delivery could be enhanced within the African continent and beyond, while also attracting, retaining and motivating professional business relationships with potential buyers of South African sugar cane growers and manufacturers of sugar from other countries. This study used a quantitative research approach. It focused on suppliers and manufacturers of sugar in South Africa (KZN), particularly sugar manufacturing firms and their sugarcane suppliers who are affiliated with the South African Sugar Association. A final sample size of 312 participants who were selected through the simple random sampling method was used in this study. A designed questionnaire was used to obtain relevant information from these participants. The primary findings of this study indicated a positive and significant influence of global sourcing on local firm competitiveness, supply chain competence and supply chain performance. The results from the study suggest that sourcing some products globally can make the local sugar manufacturers and cane suppliers to enjoy cost and value competitive advantage, help them to create a competence and improve performance for the entire sugar supply chain. They show that there is possibility to create situations where global sourcing and job loss minimisation/stoppage in local firms of South African sugar industry. These findings have relevance for South Africa and for other African countries within the same industry. The study indicated that, to attain competitiveness on a global scale, while meeting the global sourcing expectation standards, these sugar industries need to advance and sharpen their capacities. Invariably, findings emanating through this research may be beneficial to the South African sugar industry as the study provides recommendations on supply chain as well as its advocacy on measures which can enhance service delivery.
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    Supply chain performance and preferential procurement in Gauteng government departments
    (AOSIS, 2022-05-30) Tshikovhi, Ndivhuho; Sibanda, Beatah
    Abstract Background: In the previous two decades, preferential procurement and supply chain performance have gained popularity within academics following the introduction of the Preferential Procurement Policy Framework Act No 05 of 2000 (PPPFA) which was aimed at providing opportunities in government supply chain contracts to previously disadvantaged groups. Despite PPPFA being a corrective measure, research has brought to light the abuse and manipulation in the implementation of this Act by government officials trusted with this function. The study aims to determine how supply chain performance is affected by preferential procurement within selected Gauteng government departments. Objectives: The objectives of the study were twofold: First to determine how supply chain performance is influenced by preferential procurement and the effect of management levels on the implementation of PPPFA, and secondly to determine the effect of the implementation of preferential procurement on supply chain performance within selected government departments. Method: Through a quantitative research approach, data were collected using close-ended questionnaires in the form of a five-point Likert scale and a stratified random sampling technique. The Statistical Package for the Social Sciences (SPSS) software was used to analyse data through descriptive and inferential statistics. Results and conclusion: The study revealed that preferential procurement had an impact on supply chain performance in the selected departments which could be pinned mainly to the gap between policies and implementation. Although preferential procurement was generally applied across the departments, it was noted that some officials within supply chain management had not fully understood the implementation requirements of the PPPFA.