Capacity Constraints in SCM Units: Addressing Skills Gaps in the Public Sector
This Duja Consulting paper explores how skills shortages in public sector supply chain management (SCM) units hinder procurement and service delivery in South Africa, and what can be done about it. Here are five key takeaways from the paper:
Skills Shortages Undermine Procurement: Many government SCM units lack experienced staff, leading to slow, error-prone tender processes and missed opportunities. Filling the skills gap can make procurement more efficient and cost-effective.
Service Delivery Delays: Capacity constraints in SCM mean essential goods and services (textbooks, medicines, infrastructure) often arrive late or in short supply, directly harming citizens who rely on public services.
Accountability at Risk: Inexperienced personnel and inadequate oversight create vulnerabilities for fraud and irregularities. Strengthening skills goes hand-in-hand with better transparency and accountability in public spending.
Root Causes – Training & Turnover: The paper identifies causes of the skills gap, including historical underinvestment in training and high turnover as staff leave for better pay in the private sector. Understanding these causes is crucial for solutions.
Solutions for Change: It outlines evidence-based strategies – from institutional reforms like professionalising the procurement function, to training initiatives via National Treasury and PSETA, to talent retention efforts (clear career paths, improved incentives). By adopting these, South Africa can build an SCM workforce that delivers value and integrity.
Read the full paper to see how closing the SCM skills gap can transform public service delivery and restore public trust.
Executive Summary
Capacity constraints in South Africa’s public sector supply chain management (SCM) units are undermining efficient procurement and service delivery. A critical issue is the skills gap – many SCM staff lack the necessary expertise or experience, leading to delays, non-compliance, and accountability failures. Public procurement in South Africa is significant (about 15% of GDP), so weaknesses in SCM capacity have far-reaching consequences. Skills shortages manifest in high vacancy rates and staff turnover, as qualified professionals often leave for better opportunities. This paper explores how these capacity and skills gaps impact procurement efficiency, public service delivery, and governance accountability. It examines the root causes – from inadequate training and brain drain to organizational and policy shortcomings – and discusses evidence-based strategies to address them. Solutions include institutional reforms (such as clearer mandates and stronger oversight structures), targeted training initiatives to upskill the workforce, and talent retention measures like career pathing and professionalisation of the procurement function. By addressing the skills deficit in SCM units, the public sector can improve procurement outcomes, ensure timely and quality service delivery, and strengthen accountability for how public funds are spent.
Introduction
Supply chain management is the backbone of public service delivery – it governs how hospitals obtain medicines, how schools get textbooks, and how infrastructure projects secure materials. In South Africa, public procurement is especially large and vital, accounting for roughly 15% of the country’s GDP. This translates to hundreds of billions of rand spent annually on goods, services, and works by national, provincial, and local governments. A well-functioning SCM system is therefore crucial for turning budget allocations into tangible outcomes on the ground. However, many public sector SCM units struggle with capacity constraints, particularly a shortage of skilled personnel.
Capacity constraints refer to the limited ability of SCM units to effectively carry out procurement processes due to insufficient or inadequately trained staff, lack of experienced management, or underdeveloped systems. In practice, this means tender processes take longer than they should, errors or non-compliance in procurement documents are common, and oversight may be weak. Over the past decade, South Africa has witnessed how these weaknesses can undermine public services – for example, delays in procurement have at times stalled critical projects, affecting service delivery timelines. Moreover, gaps in capacity can breed opportunities for mismanagement or even corruption, as there may be fewer competent checks and balances in place.
Skills gaps are at the heart of the capacity problem. The term “skills gap” in this context means that the people staffing SCM units often do not have the necessary competencies, qualifications, or experience to perform their roles effectively. This could be due to a number of factors explored later in this paper, such as insufficient training, the exodus of skilled staff to other sectors, or hiring practices that don’t prioritise expertise. The impact of these skills shortages is multi-fold – from procurement inefficiencies and poor service delivery to weakened accountability and higher risk of irregularities.
This report focuses on the challenges posed by skills gaps in public sector SCM units in South Africa. It examines the causes of these gaps, the consequences for procurement and governance, and strategies to address the issue. The goal is to present an accessible yet comprehensive overview, with evidence from government reviews and expert assessments, and to outline practical solutions that policymakers and public sector leaders can implement.
The Skills Gap Challenge in Public Sector SCM
South African public sector SCM units face a well-documented skills challenge. A National Treasury review in 2015 highlighted that many officials involved in procurement were “inexperienced or under-skilled”, and it also flagged high staff turnover and low motivation among SCM personnel. In other words, a significant portion of the workforce tasked with managing billions in public spending lacked either the know-how or the incentive to perform at the required level. Fast-forward ten years, and capacity shortfalls persist: recent assessments find that many government entities still lack sufficient procurement expertise and staff. Skilled practitioners are in short supply and often leave for better-paying private sector jobs, leading to frequent vacancies in SCM positions. This continuous loss of talent creates an unstable environment where even well-designed procurement processes falter because the people needed to drive them are not in place or not adequately prepared.
Several symptoms of the SCM skills gap can be observed across the public sector:
- Vacancies and Turnover: It is common for procurement departments – especially in smaller municipalities – to operate with unfilled positions or acting staff. High turnover means institutional knowledge is lost and remaining staff are stretched thin.
- Inexperienced Staff: In some cases, critical SCM roles are filled by individuals who may not have formal training in procurement or logistics. They might be on steep learning curves, which slows down processes and increases the likelihood of mistakes.
- Reliance on Consultants: Due to internal capacity shortfalls, departments often rely on external consultants for tasks like drafting tender documents or managing big projects. While this can plug a gap, it’s a short-term fix that can be costly and doesn’t build in-house skills.
- Compliance Errors: A lack of understanding of the complex rules and regulations (such as the Public Finance Management Act and Municipal Finance Management Act) leads to frequent compliance issues. For example, bid committees might not follow proper evaluation procedures or documentation might be incomplete – these errors can invalidate tenders or lead to audit findings.
- Low Morale: Overwhelmed staff, unclear career progression, and fear of blame contribute to low morale. In an environment where skilled workers are scarce, those who remain often face heavy workloads and pressure, which can reduce their motivation and performance quality.
In summary, capacity constraints in SCM units are not merely about headcount – they are about having the right people with the right skills in those positions. When that alignment is missing, the entire procurement function of an agency suffers.
Impact on Procurement Efficiency
A capable procurement workforce is essential for efficient and cost-effective procurement. When skills gaps exist, several negative outcomes on procurement processes become evident:
- Slower Procurement Cycles: Transactions that should be routine can get delayed. For instance, if staff are unfamiliar with procurement planning or market analysis, bid processes might start late or be re-run due to mistakes, causing significant delays. Indeed, there have been cases of important projects stalling because procurement could not be completed in time. Such delays not only frustrate the using departments (like a clinic waiting for equipment), but can also lead to price increases (e.g. expired quotes that require re-tendering at higher prices).
- Inefficiencies and Waste: Lack of expertise often means poor demand forecasting, inadequate specifications, or weak evaluation of bids. These inefficiencies can result in buying the wrong quantities, selecting suppliers who are not the best value, or failing to enforce contract terms. The end result is that public funds are not used optimally – money might be wasted on overpriced or low-quality goods and services.
- Errors and Irregularities: The complexity of public procurement regulations in South Africa can trip up unskilled staff. Common errors include non-compliance with competitive bidding thresholds, missing documentation, or improper record-keeping. The Auditor-General’s reports frequently cite procurement compliance issues, and many of these stem from capacity problems. An under-trained official, for example, might unknowingly commit procedural breaches that later get flagged as irregular expenditure. Such irregularities, even when not linked to malfeasance, can result in audit findings and the need to redo processes, further slowing down delivery.
- Loss of Supplier Confidence: When procurement processes are run inefficiently or restarted due to mistakes, it affects suppliers too. Businesses (especially credible ones) may become hesitant to bid on government contracts if they perceive the process as chaotic or unreliable. This reduces competition and can deprive the government of quality vendors. In contrast, a well-run SCM system instils confidence in the market, encouraging more bidders and potentially better pricing for the state.
- Emergency Procurements: In some cases, the skills gap leads to poor planning such that needs are only addressed at the last minute, forcing “emergency” procurements. Emergency purchasing often bypasses standard competitive processes, which can open the door to higher prices or abuse. While emergencies are sometimes genuine, repeated use of emergency procurement due to planning failures is a red flag indicating capacity issues.
In essence, an inefficient procurement process caused by capacity constraints means South Africa does not fully leverage its significant public spending for maximum value. The waste and delays ultimately cost the public: projects run over time, taxpayers’ money buys less, and the development impact of spending is reduced. Conversely, closing the skills gap would help streamline procurement – tenders would be executed on schedule, in compliance with rules, and yield better value for money.
Impact on Service Delivery
The ripple effects of SCM capacity problems are felt directly in service delivery. Government services – whether in health, education, infrastructure, or security – rely on timely and proper procurement of inputs. When SCM units cannot perform, it translates into tangible gaps or failures in services to citizens:
- Interruptions in Essential Services: If a provincial health department’s SCM team delays the purchase of medicines due to poor contract management or slow processes, hospitals and clinics could face stockouts. Similarly, if learning materials for schools are procured late, students may start the school year without textbooks. These scenarios have been witnessed in the past and illustrate how procurement delays undermine the core mandate of departments.
- Infrastructure Delays and Quality Issues: South Africa’s backlog in infrastructure (from roads to water systems) is partly exacerbated by procurement bottlenecks. A lack of skills in drafting technical specifications or evaluating bids can lead to construction contracts being awarded to ill-suited contractors or being stalled by bid disputes. Projects then run behind schedule or have to be redone. For communities, this means waiting longer for improvements like new schools, clinics, or housing. When projects do get completed, weak oversight (another skill issue) might result in sub-standard work because officials didn’t enforce quality standards.
- Unequal Service Provision: Inefficient SCM tends to hit poorer and more remote areas hardest. For example, well-resourced national departments might manage despite some capacity gaps by getting external support, but a small municipality with severe SCM staff shortages might fail to procure critical services (like refuse collection trucks or water treatment chemicals). The result is uneven service delivery where some communities suffer more due to the administrative incapacity of their local government.
- Public Dissatisfaction and Protests: Service delivery failures in South Africa have frequently led to public protests. While the causes of service delivery issues are multi-faceted, weak procurement capacity is often a contributing factor behind lack of maintenance of facilities, delays in service projects, or shortage of supplies. When citizens don’t receive expected services, trust in government erodes. It can also have political consequences, as frustrated communities demand accountability for non-performance.
- Increased Costs to Citizens: In some cases, if government cannot deliver a service, citizens are forced to seek alternatives out-of-pocket. For instance, if a public clinic lacks medicines, patients might have to buy them from private pharmacies, which is a direct burden on low-income households. Thus, the failure of public procurement to deliver goods/services on time effectively transfers costs to the public.
In summary, the quality and reliability of public services are directly linked to the effectiveness of supply chain management within the government. A gap in skills and capacity in SCM is not an abstract administrative issue – it has real human impacts. Addressing these gaps is therefore critical not just for better bureaucracy, but for the well-being of citizens who depend on government services.
Impact on Accountability and Governance
Accountability in the public sector means that officials are answerable for how they spend public funds and that there are consequences for mismanagement or corruption. Strong accountability requires transparency, proper record-keeping, oversight, and skilled personnel who can enforce rules and detect wrongdoing. Unfortunately, capacity constraints in SCM units weaken accountability in several ways:
- Weak Oversight and Controls: In a well-functioning system, procurement officers and managers should catch irregularities – such as a bid that doesn’t meet requirements but is being pushed through, or suspicious patterns like the same supplier winning disproportionately. When SCM teams lack experience or are understaffed, these control mechanisms falter. Red flags that a skilled eye might catch can be missed. The oversight function is compromised by a systemic lack of enforcement and consequence management in many entities. In practical terms, this means that officials who violate procurement rules may not be held to account promptly, allowing problems to persist.
- Heightened Corruption Risks: A shortage of skills and capacity can unfortunately create a fertile ground for fraud and corruption. Unscrupulous individuals (be they internal or external) can exploit inexperienced staff or chaotic processes. For example, if bid committees do not fully understand the rules, they might be manipulated into favouring certain vendors. The appointment of unqualified officials and lack of technical expertise in bid committees have been identified as factors that enable corruption. Essentially, when those tasked with guarding the henhouse are not equipped to do so, the fox finds it easier to get in. South Africa’s painful lessons during the “state capture” era exemplified how weak procurement oversight led to massive corruption scandals. Skills gaps are not the only cause of graft, but they make it harder to prevent and detect.
- Poor Record-Keeping and Transparency: Skilled SCM professionals are trained to maintain thorough documentation of each step of the procurement process. This ensures transparency and allows auditors or the public to scrutinise decisions. In environments with skills deficits, record-keeping may be incomplete or disorganised. Missing paperwork or confusion over what process was followed makes it difficult later to establish accountability for decisions. It also hampers investigations when things go wrong. Transparency suffers if, say, contract information is not properly recorded or published due to staff not knowing the requirements or not having systems in place.
- Lack of Consequence Management: Accountability is undermined when there are few consequences for poor performance or violations. The 2015 Treasury review noted that often “there are few if any consequences for those who… fail to perform at the required level”. This culture can persist when institutions don’t have enough capable managers to enforce discipline. If an SCM unit is barely coping with day-to-day tasks, it may neglect taking action on irregularities or underperformance by staff or suppliers. Over time, this breeds a culture of impunity where rules are seen as toothless.
- Audit Findings and Reputational Damage: Every year, the Auditor-General (AG) reports on how government departments and municipalities manage their finances. SCM shortcomings frequently feature in these audit findings, from irregular expenditure (often due to non-compliant procurement) to fruitless and wasteful expenditure (often due to inefficiencies or project failures). Repeated findings of this nature not only indicate accountability problems but also damage the public institution’s reputation. It becomes caught in a cycle where attracting skilled professionals is even harder (because high-performing individuals may avoid chaotic workplaces), thus perpetuating the capacity problem.
In a virtuous cycle, a skilled SCM workforce and robust processes create a climate of accountability – rules are followed, and when they’re not, issues are flagged and corrected. Breaking the vicious cycle of weak capacity and weak accountability is therefore essential. The next section will discuss the root causes of the skills gap and then propose strategies to strengthen capacity and, by extension, improve accountability.
Causes of Skills Gaps in Public Sector SCM
Understanding why skills gaps exist in SCM units is key to formulating lasting solutions. Several interrelated causes contribute to the capacity constraints:
- Historical Underinvestment in Training: For years, procurement was viewed as a clerical, back-office function rather than a strategic one. Consequently, there was insufficient investment in developing a professional cadre of procurement officers. Unlike fields such as finance or engineering, SCM did not have strong professional development pipelines in the public sector until recently. This has resulted in a generation of SCM staff, especially at local government level, who may not have formal qualifications in supply chain or procurement management.
- Brain Drain to the Private Sector: The public sector struggles to retain talent in supply chain roles. Skilled individuals often transition to the private sector or state-owned enterprises that might offer better pay and growth opportunities. As noted earlier, high turnover is partly driven by the lure of better compensation outside government. Moreover, working conditions in government (such as bureaucracy or political interference) can diminish job satisfaction for talented procurement officers, prompting them to leave.
- Shortage of Qualified Professionals: South Africa faces an economy-wide scarcity of certain skills, and supply chain management is no exception. The overall pool of experienced procurement specialists is limited. This is exacerbated by competition with the private sector and international organisations for the same skills. When new procurement regulations or systems are introduced, there’s often a lag before training catches up, leaving gaps in up-to-date expertise.
- Inadequate Education and Certification: Until recently, there were few specialised educational programs targeting public procurement. Universities might offer logistics or supply chain courses, but public sector procurement, with its unique regulatory environment, was not a prominent part of curricula. The result is that new entrants to the field often learn through trial and error or short workshops. Additionally, while there are certifications available (for instance, through the Chartered Institute of Procurement & Supply or local equivalents), these are not mandatory in the public service. The absence of a mandatory certification or professional license for public procurement means standards for skill levels vary widely.
- Political and Organisational Factors: In some cases, the deployment of personnel to SCM roles can be politicised – e.g. appointments based on affiliation rather than merit. If individuals without the requisite background are placed in key SCM positions, it contributes to skills gaps. Furthermore, frequent changes in leadership or organisational restructuring can disrupt skills development. For example, if a municipal manager or CFO is replaced, the new leadership might reassign or remove experienced SCM heads, causing instability. Unclear role definitions (as the 2015 review noted, roles of technical staff vs. political office-bearers can blur) also lead to confusion and underperformance.
- Lack of Incentives and Career Pathways: For a long time, procurement was not seen as an attractive career path within the civil service. Promotion opportunities were limited – one could get stuck as an SCM practitioner at a department with little upward mobility unless they went into general management. Without clear incentives, many employees did not pursue further skills development. The organisational culture often didn’t reward procurement innovation or excellence, which in turn did not encourage individuals to go above and beyond to build their competencies.
- Systemic Resource Constraints: Some skills issues are a result of broader resource constraints. A department with budget cuts might freeze hiring, leading to unfilled posts. Remaining staff then have less time for training as they juggle multiple roles. Similarly, if basic tools (like functioning procurement IT systems or internet access in remote areas) are lacking, even skilled staff cannot perform optimally and may lose motivation to apply or grow their skills.
It’s clear that the skills gap problem is not due to a single cause but a web of factors, spanning human resource policies, education systems, economic forces, and governance issues. This means tackling it will require a multifaceted approach – addressed next – that goes beyond one-off training and touches on systemic reform.
Strategies to Address the Skills Gaps
Closing the skills gap in public sector SCM units will require concerted action on multiple fronts. Encouragingly, the issue is recognized at high levels of government, and efforts are underway (or being formulated) to professionalise and strengthen SCM capacity. Below are evidence-based strategies across three broad areas – institutional reforms, training initiatives, and talent retention and professionalisation – to address the challenge:
1. Institutional Reforms and Strengthening Structures
Clarify Roles and Strengthen Oversight: A fundamental reform is to ensure that the institutional framework for procurement is clear and supportive of capacity-building. This involves delineating the roles of political office-bearers versus technical SCM staff to prevent interference and role confusion. Political leaders should set policy and provide oversight, while letting qualified SCM professionals manage the procurement process without undue pressure. Strengthening oversight bodies is also key – for instance, giving the Office of the Chief Procurement Officer (OCPO) more authority and resources to monitor procurement practices and intervene where capacity is lacking.
Enforce Accountability and Consequence Management: Reforms must instil a culture of accountability. This could include establishing or empowering independent procurement oversight units or internal audit committees to regularly review SCM decisions. Crucially, there should be consequences for misconduct or persistent incompetence – whether through enforcement of existing public service disciplinary mechanisms or new provisions in the emerging procurement legislation. A 2018 Judicial Commission (Zondo Commission) recommendation even called for an independent anti-corruption agency focused on procurement; while broader in scope, such an idea underscores the need for robust mechanisms to catch and correct procurement failures. By making it clear that flouting procurement rules or tolerating poor practices will result in sanctions, a message is sent that skill and integrity are valued.
Centralised Support and Shared Services: Not every government entity will immediately have all the expertise it needs – hence, creating centralised support mechanisms can alleviate capacity gaps. For example, the National Treasury or provincial treasuries could host “SCM Centres of Excellence” – teams of specialists that smaller municipalities or departments can tap into for complex procurements or advice. Similarly, expanding the use of transversal (centralised) contracts for common goods can reduce the burden on each SCM unit to reinvent the wheel. This frees up local SCM staff to focus on unique, strategic purchases while routine buying is handled centrally. Centralising certain high-value or technical procurements (like ICT systems or capital projects) can ensure that seasoned experts handle them, thus reducing errors and serving as on-the-job learning opportunities for less experienced staff.
Legal and Policy Reforms: South Africa’s Public Procurement Act 2024 (recently signed into law) is a major reform intended to streamline and modernise procurement. Implementation of this Act should be leveraged to embed capacity-building measures. For instance, regulations under the Act could mandate minimum qualifications for certain SCM roles, require periodic skills audits in departments, or establish an SCM professional body by law. The Act also aims to consolidate fragmented rules, which can indirectly help skills development – a simpler, clearer rulebook is easier to teach and learn. Additionally, reviving the Interim SCM Council (set up in 2018 to guide professionalisation, but reportedly dormant) is an institutional step recommended by experts. By reactivating this council or creating a new permanent SCM professional council, the government can drive a focused agenda on upgrading skills, setting competency standards, and monitoring progress.
Data-Driven Management: As part of institutional strengthening, better data on SCM performance and capacity is essential. The National Treasury and OCPO maintain systems like the Central Supplier Database (CSD) and eTender portal. These can be supplemented with data on training, vacancies, and staff qualifications to create a dashboard of SCM capacity across government. Regular audits of skills and capacity should be institutionalised – perhaps as part of annual departmental performance plans – so that gaps are identified early and addressed. Transparency in this data (publishing which departments have high vacancy rates or which have invested in staff training) could also incentivise improvement through a bit of competitive benchmarking.
2. Training and Skills Development Initiatives
Comprehensive Training Programs: Tackling the skills gap head-on means equipping current staff with needed knowledge. Traditional ad-hoc workshops are not enough; what’s needed are structured training programs that cover both the basics and advanced aspects of public procurement. National Treasury, often in partnership with the Public Service Sector Education and Training Authority (PSETA) and academic institutions, has developed training curricula for SCM. These range from short courses on regulations to full qualifications (for example, a certificate or diploma in public procurement management). Scaling up these programs is vital. Training should be made widely accessible – including via online modules – so that even staff in remote municipalities can participate without lengthy travel. Furthermore, training content must stay updated with the latest laws (like the new Procurement Act) and modern procurement methods (such as e-procurement, sustainable procurement, etc.).
Certification and Professionalisation: Introducing a certification system for public sector SCM professionals can professionalise the field. This could be modelled on how accountants or engineers in the public sector require certain credentials. For instance, procurement officers might be encouraged or required to obtain a certification from a recognised body such as CIPS (Chartered Institute of Procurement & Supply) or a local equivalent accredited by SAQA (South African Qualifications Authority). A tiered certification (basic, intermediate, advanced) could allow officials to progress as they gain experience and training. Importantly, linking certification to job grades or promotions would create an incentive for individuals to improve their qualifications. This approach has been recommended by international assessments: the recent MAPS (Methodology for Assessing Procurement Systems) report for South Africa urged prioritising the professionalisation of the SCM function. It noted that while some training programs exist, a more formalised, compulsory professional development path is needed to meet the system’s demands.
On-the-Job Mentorship and Twinning: Not all skills are learned in a classroom. Mentorship programmes can pair less experienced SCM officers with seasoned mentors (from within the public service or even retirees/consultants with deep procurement expertise). For example, a municipality could have a veteran procurement specialist spend a few months working with their SCM unit to transfer skills on real projects. Twinning arrangements, where a well-performing department “adopts” a weaker one to guide their SCM processes, have also shown success in capacity building. These initiatives build practical skills and confidence, and they can be more adaptive to the specific needs of an office.
Use of Technology for Skill Support: Modern procurement software and e-procurement platforms, if designed well, can embed guidance and compliance checks that effectively “guide” users through best practices. By rolling out user-friendly e-procurement systems, the government can reduce the skill burden on individuals. For instance, standardized templates and automated compliance flags in an e-procurement system help an officer who might otherwise struggle with paperwork. Training initiatives should thus go hand-in-hand with technological upgrades, teaching staff not only general principles but also how to use new systems that can enhance their efficiency. Over time, as staff become comfortable with digital tools, their analytical and strategic skills (like data analysis for spend management) can be developed, moving them up the value chain.
Monitoring and Evaluating Training Impact: It’s not enough to offer training – authorities must ensure it is effective. As highlighted in the MAPS recommendations, the effectiveness of existing training programs should be closely monitored. Currently, compliance with reporting on training uptake (as required by a 2004 Treasury Practice Note) is low. Improving this means tracking how many officials get trained, in what areas, and how they perform afterwards. Periodic assessments or even certification exams can help evaluate whether knowledge is translating into better practice. With this data, training can be refined (dropping modules that don’t yield improvement, expanding those that do). In essence, treat capacity-building as a continuous improvement process: plan, do, check, act.
3. Talent Retention and Professionalisation
Even as we train new and existing staff, it’s crucial to keep skilled talent within the public sector. Retention strategies are therefore a key pillar of addressing capacity constraints:
- Career Pathways and Promotion: The public service should establish clear career paths for SCM professionals. This might involve creating more senior specialist roles (so that an excellent procurement officer can rise in rank and pay without having to shift to general management). A tiered structure – e.g., Procurement Officer, Senior Procurement Specialist, Chief Procurement Officer – with corresponding responsibilities and requirements can motivate staff to stay and grow. When people see a future for themselves in a role, they are more likely to remain. This also ties in with professionalisation: higher-level positions could require higher certification levels or experience, reinforcing the value of developing one’s skills.
- Competitive Compensation: While government may not always match private sector salaries, it can ensure that pay scales for SCM roles reflect the strategic importance and scarcity of those skills. Periodic benchmarking of salaries and offering non-monetary benefits (like more vacation days, flexible work conditions, or bursaries for further study) can make public sector roles more attractive. The government has in the past created Occupation Specific Dispensations (OSDs) for certain professions in the public service to retain critical skills – a similar approach could be considered for procurement if the skills gap is deemed an urgent priority.
- Recognition and Support: Talent retention isn’t only about money or promotions. It’s also about workplace satisfaction. Public sector leadership should actively promote a culture that values ethical, excellent procurement work. This could include awards for best-performing procurement teams, acknowledgement in performance reviews for those who save costs or improve processes, and creating platforms for professionals to share success stories. Additionally, providing support in the form of adequate resources (staffing, tools, budgets for training) helps reduce burnout. A well-resourced unit where people are not drowning in impossible workloads is one where they are more likely to feel job satisfaction.
- Mentoring and Communities of Practice: Establishing communities of practice for public procurement professionals can aid retention by creating a sense of belonging and identity. For instance, National Treasury or professional bodies can host forums, conferences, or online groups where SCM officials across government discuss challenges and innovations. When individuals feel part of a larger professional community, they gain peer support and are less likely to feel isolated in their struggles. Mentorship, as mentioned, not only builds skill but can increase an individual’s commitment to their career when they have a mentor guiding them.
- Ethical Environment and Meritocracy: One often overlooked aspect of retention is the ethical environment. If skilled, honest procurement officers are pressured to participate in corrupt or irregular activities, they may choose to leave the public service out of frustration or principle. Implementing the professionalisation framework that prioritises merit-based appointments and ethical conduct is vital. This means hiring and promoting people based on competence and integrity, protecting whistle-blowers, and ensuring that officials can perform their duties without undue political pressure. The Auditor-General has emphasised appointing “qualified and competent officials” and supporting them to act with a strong sense of public service. When professionals know that meritocracy is in place and that they can make a positive impact, they are more likely to commit their careers to the public sector.
Implementing the above retention strategies will help stem the revolving door where the government trains people only to lose them to other sectors. It will also build institutional memory and consistency, which are critical for mentoring new staff and steadily improving procurement practices over time.
Conclusion and Way Forward
South Africa’s public sector cannot deliver on its promises to citizens without efficient and accountable supply chain management. Skills and capacity constraints in SCM units have been a persistent roadblock to achieving faster, fairer, and more economical public procurement. The consequences of ignoring these gaps are evident in delayed projects, wasted funds, and services that fall short of public needs. Conversely, the benefits of addressing the problem are enormous – smoother procurement processes, better value for money, improved service delivery, and stronger public trust in government.
This paper has outlined how skills shortages in SCM units affect procurement, service delivery, and accountability. It has delved into the causes, from underinvestment in human capital to systemic issues, and presented a range of strategies to build capacity. These solutions are not quick fixes; they require sustained commitment. Institutional reforms like professionalising the procurement function and clarifying governance provide the framework. Training initiatives provide the tools for individuals to grow. Talent retention policies ensure that experience and expertise stay within the public service. Together, these approaches reinforce each other: for example, a professionalised environment with good leadership will make training more effective and retention easier, creating a virtuous cycle of continuous improvement.
It is worth noting that progress is already being made. The government’s procurement reform efforts, including the new legislation and various capacity development programs by National Treasury, indicate a recognition of the issue. Some provinces and municipalities have piloted innovative approaches, such as procurement graduate internship programs and partnerships with universities to develop SCM curricula. These efforts need to be scaled up and replicated widely. Importantly, measuring and publishing outcomes – such as reductions in irregular expenditure, improvements in procurement turnaround times, or higher staff certification rates – will keep attention on the issue and maintain momentum.
In closing, bridging the skills gap in SCM units is an investment in better governance. It is about ensuring that every rand of public money works harder and more honestly for the people of South Africa. With capable and well-supported supply chain professionals, the public sector can procure goods and services in a timely, transparent manner that maximises value. This strengthens not only service delivery but the very accountability and trust between citizens and the state. The challenge now is for public sector leaders, together with institutions like Duja Consulting and other stakeholders, to champion these capacity-building initiatives. By doing so, South Africa can transform its procurement landscape from one hampered by capacity constraints to one that is a model of efficiency, integrity, and impact.
