An exploration of supply chain management practices in the West Rand District Municipalities

Abstract

Despite reform processes in the employment of Supply Chain Management (SCM) as a strategic tool in the South African public sector, there are predicaments in SCM practices, especially in municipalities. This notwithstanding, research that demystifies the SCM implementation practices in local municipalities within the West Rand District, SA is lacking. This study explores supply chain management practices implemented at the West Rand District municipalities. An exploratory and descriptive study was conducted based on a semi-structured questionnaire. The collected data was analysed descriptively using SPSS, inferentially using Fisher Exact test, as well as by content analysis using Atlas.ti. The findings of the study revealed that overall the West Rand District municipalities have adopted and implemented the SCM practices. However, SCM practices are sometimes not always aligned with government policies. The most implemented SCM practice was demand management, followed by acquisition management. The least implemented practices were logistics, disposal, risk and performance management. No significant differences were observed among the municipalities, except for municipality C (within its own supply chain practitioners). The municipalities face serious SCM challenges in implementing their SCM practices. These challenges stem from: a lack of training for SCM staff, lack of proper capacity, poor planning, and ineffective black economic empowerment in the West Rand District. Based on the results, there is a need of training for SCM staff, capacity building, better planning interventions, and more effective black economic empowerment. It should be reiterated that the lack of proper SCM processes and procedures are the root cause of problems in service delivery in South Africa. The study concludes by recommending that SCM practitioners should regularly update their SCM policies, ensure proper compliance with the elements of SCM, as well as to source competencies, skills, and knowledge from higher education institutions and private accredited service providers.