1.6:Challenges Of Procurement Practices . Soriede (2002)
1609 WordsApr 21, 20177 Pages
1.6: Challenges of Procurement Practices
Soriede (2002) mentions that, it is important to note that SCM is an integral part of procurement in the public sector. Therefore, it is used as a tool for the management of public procurement practices. However, despite the employment of SCM as a strategic tool, public procurement still faces enormous predicaments. These include, among others lack of proper knowledge, skills and capacity, non-compliance with SCM policy and regulations, inadequate planning and the linking of demand to the budget, accountability, fraud and corruption, inadequate monitoring and evaluation of SCM, unethical behavior, and too much decentralization of the procurement system.
a) Lack of Proper Knowledge, Skills and…show more content…
Unfortunately most procurement functionaries within the public service conduct their activities with inadequate planning. Adequate provisions are not made towards appraising the capacity and capabilities of the suppliers prior to awarding contracts. In most cases supply contracts are even discussed at the national political level and forced down the „throat‟ which might not be ready with the processes for such „political‟ contracts. Procurement officials are not given adequate time to implement the procurement processes necessary to ensure that value for money principle is upheld in the procurement processes. Most procurement activities are linked to the budgetary provisions and therefore unbudgeted items cannot be procured. This situation often leads to some important requisition items not being met. d) Inadequate Measures for Monitoring and Evaluating Procurement activities
Sound procurement practices according to Hunja (2003) entails creating structures that will promote effective monitoring and evaluation (M&E) of the various stages of the procurement management processes. This, in the view of Azeem (2007) presupposes that right from the requisition stage some evaluation ought to be conducted to assess the authenticity of the demand. The pre-bidding stage all ought to be monitored to ensure that miscreants did not have their way with