The South African National Treasury's Central Supplier Database (CSD) has so fare registered more than 150,000 suppliers of goods and services since it was launched in September last year.
The CSD was introduced to simplify the process of doing business with the government, as well as to make the procurement processes fair, equitable, transparent and competitive. It also reduces the carbon footprint for both government and the private sector by moving away from paper by enabling an electronic registration and verification process.
"It also brings about significant cost savings in terms of reduced paper use and less time spent on the procurement process. Suppliers save time as they no longer have to physically deliver documentation as all the relevant information is captured centrally on the CSD," the Treasury says.
Government procurement practitioners also save time in that they can find suppliers in one easily accessible source. "All organs of State will be required to use suppliers registered on the database. Suppliers therefore only have to register on this singular platform, rather than registering with each organ of State individually," the Treasury says.
The CSD also interfaces with other government systems such as the South African Revenue Service (SARS), the Companies and Intellectual Property Commission (CIPC), the Department of Home Affairs, National Treasury Tender defaulters to verify supplier information and check compliance.
This process provides a quick and easily-accessible snapshot of supplier records to government procurement practitioners, to see if a supplier qualifies to do business with government.
The Treasury says that modernising and streamlining procurement processes through the use of technology is one of the mechanisms that will enable government to realise value for money and save an estimated 25 billion Rand (about 1.65 billion US dollars) a year in costs.
"Over the next three years, the public sector will spend approximately 1.5 trillion Rand on goods and services. Centralising supplier records on an online platform will enhance administrative efficiencies," it adds.
Source: Nam News Network