PUBLIC-SECTOR PROCUREMENT: A SOUTH AFRICAN PERSPECTIVE

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Theories of public administration

A theory is a systematic grouping of interdependent concepts. Mental images of anything formed by generalisation from particulars and principles are generalisations or hypotheses, tested for accuracy, and appear to be true and able to reflect or explain reality that gives a framework to, or ties together, a significant area of knowledge.
Hawking (1996) in Oyedele (2015:7) asserts that theory is “in its lowest form a classification, a set of pigeonholes, a filing cabinet in which fact can accumulate. Theories provide logical structures for explaining and predicting individual and social phenomena” (Thornhill & Van Dijk, 2010:97). Theory leads to a more comprehensive understanding of phenomena of interest than would ever be possible in its absence. In the ideal sense, theories should have an acceptable degree of validity, meant enabling understanding and prediction, and a corresponding degree of utility for practitioners. Theory fosters understanding not only in the academic realm but also in the everyday management of procurement organisations (Flynn & Davis, 2014:144–145). Public Administration has developed as an academic discipline through a number of stages. These stages are categorised under different paradigms. Different authors have given their classification. However, there is a great deal of uniformity in their scholarships (Basheka, 2012:34). Oyedele (2015:2) states that public administration is a combination of theory and practice.
Theories provide a stable focus for understanding what people experience; provide criteria for what is relevant; enable efficient communication; move to what is more complex in relationships; and enhance continuous learning about the world (Rutgers, 2010:10). Henry (2013:36) asserts that Public Administration has developed as an academic and professional field through a succession of four phases of historic development, namely: prehistory, the classic period, the modern study of Public Administration, and the differentiated or contemporary period. The theories that assisted the development of Public Administration and the public procurement per se were also established. The eighteenth-century academics were curious and started to develop more systematic and theoretically founded approaches to the study (Rutgers 2010:7; Raadschelders, 2011:158). Ideas for the improvement of public ethics and a study of administration started to develop in the United States. Traditionally, Woodrow Wilson’s essay “The Study of Administration” (1887) viewed as the first herald of the new study (Henry, 2013:37). The key assumption and strategy was the idea of separate politics and the administrative functions of government, and promoting efficiency and effectiveness (Basheka, 2012:35; Holzer & Schwester, 2011:31; Henry, 2013:37).

The nature of public-sector procurement

Government purchasing influences both domestic and international trade, given that governments spend approximately 10 to 15 percent of their GDP in the procurement marketplace (UNOPS, 2011:2). In the South African context, public procurement spending represents 29 percent of South Africa’s GDP (Turley & Perera, 2014:1). Public procurement is a socio-economic tool used by the government to improve the conditions of lives of people through establishment of SMMEs and job creation. Procurement of goods, works and services contributes enormously towards economic growth. Governments spend public monies to secure inputs and resources to achieve their objectives and create significant impact on key stakeholders and wider society. Section 217(1) of the Constitution of the Republic of South Africa, 1996, refers to contracting authorities as national, provincial and local spheres of government and the public entities. The responsibility and thrust of public procurement legislation relies heavily on the connection between contracting authorities and the state. The structure of the legislation is made up of the Constitution, 1996 (RSA, 1996); the Public Finance Management Act, 1999 (Act 1 of 1999) (PFMA) (RSA, 1999b); the Preferential Procurement Policy Framework Act, 2000 (Act 5 of 2000) (PPPFA) (RSA, 2000c). In addition, the Municipal Finance Management Act, 2003 (Act 56 of 2003) (MFMA) (RSA, 2003b); the Broad-Based Black Economic Empowerment Act, 2003 (Act 53 of 2003) (BBBEEA) (RSA, 2003a); procurement regulations; and other pieces of legislation complementing the ones above. The complement does embrace the purchasing behaviour or practice of all organs of state and their entities, which in essence have a close connection with the state.
The national departments and public organisations disburse public funds on behalf of the public. It is emerging that public procurement plays a significant role in government in terms of the creation of economic opportunities for the inhabitants of a country. The administration of procurement practice can play a role in ensuring that goods, services and public works channeled in a manner in which jobs created.

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The public sector

The public sector is the key machinery of the state. The IIA (2011) defines the public sector as consisting of governments and all publicly controlled or publicly-funded agencies, enterprises, and other entities that deliver public programs, goods, or services (Ghansah, 2016:8). Public services provision tends to take place because of three slightly overlapping roles, such as a regulatory role, an enabling role, and direct provision of goods and services. According to Lienert (2009:10−11), the public sector is comprised, at the broadest level, of public entities and “general government”. Since
public entities may be either financial or non-financial, the public sector therefore encompasses three broad economic sectors: government, financial and non-financial institutions. An entity is a legal entity created to produce goods and services for the market. Shareholders who have the authority to appoint directors responsible for its general management collectively own entities. Public enterprises are resident public corporations owned and/or controlled by government units (Lienert, 2009:11–12). The public sector governed by the values and principles of effective, efficient, transparent,accountable and coherent government (Rose & Lawton, 1999:63).

CHAPTER 1: INTRODUCTION 
1.1. PUBLIC PROCUREMENT PRACTICE
1.2. BACKGROUND TO THE STUDY
1.3. RESEARCH PROBLEM
1.4. RESEARCH QUESTION
1.5. OBJECTIVES OF THE RESEARCH
1.6. MOTIVATION FOR THE STUDY
1.7. RESEARCH METHODOLOGY
1.8. CHAPTER OUTLINE
1.9. CONCLUSION
CHAPTER 2: CONCEPTUALISATION OF PUBLIC ADMINISTRATION 
2.1. INTRODUCTION
2.2. UNDERSTANDING PUBLIC ADMINISTRATION
2.4. PURPOSE, FUNCTION AND ROLE OF THE STATE
2.5. ENVIRONMENT OF PUBLIC ADMINISTRATION
2.6. ADMINISTRATIVE FUNCTIONS
2.7. CONCLUSION
CHAPTER 3: PUBLIC SECTOR PROCUREMENT: AN INTERNATIONAL PERSPECTIVE 
3.1. INTRODUCTION
3.2. OVERVIEW OF INTERNATIONAL PUBLIC PROCUREMENT PRACTICES
3.3. CASE STUDIES: INTERNATIONAL PUBLIC PROCUREMENT
3.4. CONCLUSION
CHAPTER 4: PUBLIC-SECTOR PROCUREMENT: A SOUTH AFRICAN PERSPECTIVE 
4.1. INTRODUCTION
4.2. PUBLIC PROCUREMENT REFORM
4.3. PUBLIC PROCUREMENT PRACTICE
4.4. PROCUREMENT PROCEDURES
4.5. BIDDING PROCESSES
4.6. REMEDIES AND ENFORCEMENT
4.7. CONCLUSION
CHAPTER 5: MANIFESTATION OF UNETHICAL PROCUREMENT PRACTICES IN DEPARTMENTS
5.1. INTRODUCTION
5.2. UNETHICAL PROCUREMENT PRACTICES
5.3. COMPLIANCE WITH SUPPLY CHAIN MANAGEMENT LEGISLATION3
5.4. CASE STUDIES
5.5. MANIFESTATION OF UNETHICAL PROCUREMENT PRACTICES
5.6. CONCLUSION
CHAPTER 6: PRESENTATION OF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS 
6.1. INTRODUCTION
6.2. SUMMARY OF KEY FINDINGS
6.3. KEY RECOMMENDATIONS
6.4. CONCLUDING REMARKS
6.5. RECOMMENDATIONS FOR FURTHER RESEARCH WORK
BIBLIOGRAPHY

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