Procurement methodologies in the commuter bus sector

Abstract

This paper investigates procurement methodologies employed within the commuter bus sector in Gauteng. Contemporary procurement practices employed within the commuter bus sector have propagated a number of challenges, including a deficit in the allocated funds and a lack of coordinated relationship between the relevant stakeholders. This paper is descriptive and exploratory in nature and employed a mixed-method research approach. The data was collected from a sample of 18 respondents who are key stakeholders directly involved in the procurement of subsidised commuter bus services in Gauteng by means of a face-to-face interview using a semi-structured questionnaire. The findings of the study revealed that there are three types of procurement practices employed within the commuter bus sector, namely, interim, negotiated and tender contracts. However, all these contracts are now outdated, due to the complex implementation of the policies guiding procurement. Most of the old operators are still in the system, limiting the opportunities for new operators to successfully enter the market. The paper recommends that efficient procurement practices be employed and geared towards job creation and economic growth.