An Effective Public Procurement Model for Construction Small, Medium and Micro Enterprises in South Africa.
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Date
2022
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Abstract
Public procurement plays a vital role in the economy and public expenditure of any country and
serves as an indicator of the effectiveness of a government. Despite the several reforms made to
the South African public procurement system and application of supply chain management as a
strategic policy strategic instrument, the South African public procurement system has still been
strongly criticised for not encouraging the participation of small and medium enterprises.
Therefore, this study aims to develop an effective public procurement model for small, medium,
and micro enterprises in South Africa. The study further explores the relationship between
competitiveness, openness, accountability, transparency, and value for money on effective public
procurement. A quantitative method consisting of a questionnaire survey was adopted. A stratified
sampling technique was used to select 250 participants for the study. A closed-ended questionnaire
was used to collect data from the respondents. The Statistical Package for Social Sciences, version
27.0, and Analysis of Moment Structures, version 26.0, were used to analyse the data. The results
showed that openness, accountability, transparency, and value for money influenced public
procurement. Competitiveness, as a factor, however, had no effect on public procurement. The
findings revealed that effective public procurement is a four-factor model. The final model
revealed that openness, value for money, accountability, and transparency are significant with
effective public procurement. Therefore, the identified constructs have a significant direct
influence and are determinants of effective public procurement. Also, the goodness of fit and
statistical significance of the parameter estimates met the cut-off criteria for the hypothesized
model. This study is unique as it contributes to expanding the body of knowledge on the publicprocurement
system in South Africa. An important implication of this study is that it contributes
to enhancing efficiency in the South African public-procurement system. This study could be used
as a tool to encourage the participation of small, medium, and micro enterprises in public
procurement. In addition, the value of this study is that it provides mechanisms through which the
South African public-procurement system can be improved to eliminate corruption,
maladministration, and irregularities. Based on the findings, the recommendation is that the public
procurement process comply with procurement regulations to encourage the participation of small,
medium, and micro enterprises.
ISIZULU:
Lolu cwaningo lwakha imodeli yokuthengwa kwempahla yomphakathi esebenzayo yokwakha
ama-SMME eNingizimu Afrika. Ucwaningo luqhubeka nokuhlola ubudlelwano phakathi
kokuncintisana, ukuvuleleka, ukubophezeleka, ukwenza izinto obala kanye nokuthola imali
ekuthengeni komphakathi okusebenzayo.
Indlela yokulinganisa, equkethe inhlolovo yemibuzo yamukelwa. Indlela esetshenzisiwe
yokwenza isampula isetshenziselwe ukukhetha ababambiqhaza abangama-250 ocwaningweni.
Kusetshenziswe uhlu lwemibuzo osekuphele isikhathi ukuqoqa imininingwane kubaphenduli.
Isoftware ye-IBM SPSS, inguqulo 27.0, ne-AMOS, inguqulo 26.0, isetshenziselwe ukuhlaziya
imininingwane. Ukuhlaziywa nokuchazwa kwedatha kwenziwe ngokusebenzisa izibalo
ezichazayo.
Imiphumela yalolu cwaningo ibihambisana nokutholakele ocwaningweni oluningi, ngaphandle
kwethonya eliqondile lokuncintisana ekuthengweni kwempahla okusebenzayo yomphakathi
akuzange kusekelwe kusampula ocwaningweni. Okutholakele kuveze ukuthi ukuthengwa
komphakathi okusebenzayo kuyisibonelo sezici ezine. Imodeli yokugcina iveze ukuthi
ukuvuleleka, inani lemali, ukubophezeleka kanye nokwenza izinto obala kubalulekile ekuthengeni
komphakathi okusebenzayo. Ukuncintisana kutholakale kungabalulekile. Ngakho-ke, ukwakhiwa
okukhonjiwe kunomthelela oqondile oqondile futhi kungukunquma kokuthengwa komphakathi
okusebenzayo. Futhi, ubuhle bokubaluleka okufanelekile nezibalo zesilinganiso sepharamitha
kuhlangabezane nenqubo yokusika yemodeli ye-hypothesised.
Description
Doctoral Degree. University of KwaZulu-Natal, Durban.