In keeping true to his commitment to improving transparency,
efficiency and eff ectiveness of supply chain management (SCM)
in government, Finance Minister Nhlanhla Nene recently launched the Central Supplier Database (CSD) for government.
First mentioned in the Budget Speech earlier this year, the CSD is a single database that serves as the source of all supplier information for all spheres of government.
Speaking at the launch of the CSD in East London, Eastern Cape, Minister Nene described the database as the first step towards simplifying fragmented SCM in government.
“This central supplier database is the first step towards standardising, automating and simplifying the fragmented supply chain management system and is seen as the precursor to procurement in government,”
the Minister told those attending the launch at the East London Industrial Development Zone.
The CSD comes at a time when there is no single consolidated comprehensive supplier database and as a result information related to the compliance requirements of government is duplicated during procurement processes.
The purpose of centralising government’s supplier database is to reduce duplication of effort and cost for both the supplier and government, while enabling electronic procurement processes.
In addition, the country’s National Development Plan
speaks to the importance of a professional public service with specific mention being made
of the need for a modern public procurement system that will make a meaningful contribution
to economic activity Spending wisely Currently R500 billion flows through
the procurement systems at different spheres of government annually.
If spent wisely, said the Minister, it could be a force for the greater good for all South Africans.
The CSD, which went live on 1 September, presents several benefi ts including that it will
be the source of all supplier information for all organs of state.
In addition, the CSD will enable electronic procurement processes,
as suppliers will only be required to register once when doing business with government.
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