ABSTRACT

There are serious problems in the South Africa’s municipalities. The latter is principally, but not exclusively, one of the key element that brands corruption as both petty and grand among the state entities. The importance of supply chain management (SCM) systems in the fight against corruption cannot be overemphasized. Should a middle manager miss a number, or another misuses the ICT database system by default, or on purpose during the adjudication and evaluation process, the tender could be awarded to the wrong bidder. Heggstad et al. (2010:14) revealed in their research that publicsector SCM is in many ways more complicated when compared to that of the private sector. This is primarily because SCM in the public sector plays the role of a strategic planner that is determined by the success of its processes. Successful strategic planning in this instance, benefits the citizens and not capital accumulation, or the maximization of profits. SCM systems and processes are rooted in a number of laws, regulations, procedures, rules, and

Introduction ........................................................................................................ 167 The South African Local Government Setting ............................................... 168 SCM in South Africa: The Legislative Framework ......................................... 169 The Dilemma: Centralized or Decentralized Systems ................................... 170 The New Broom: The Centralized Procurement Office ................................ 172 Financial Viability and the Threat/s of Corruption in South African Local Government SCM .................................................................................... 174 Conclusions ......................................................................................................... 180 References ............................................................................................................ 180

steps undertaken by professional personnel involved in accomplishing the task or tasks that need to be fulfilled. The regulatory significance in this sense cannot ensure the effectiveness of the systems in any environment. These are examined in the context of this article, in relation to corruption in SCM, and procurement among South African municipalities.