Supply Chain Management
A key contributory factor to regressions in local government audit outcomes is the constant failure to develop, implement and monitor effective Supply Chain Management (SCM) systems, oversight, internal controls and financial reporting processes.
There is an urgent and pressing need to develop and implement a culture of effective and efficient systems in the realm of SCM and to establish separate supply chain management controls to stop SCM abuse of process and to ensure that those employees, parties, or companies who transgress procedures and the law vacate their position immediately along with any others who have unduly influenced them to act improperly.
Companies and directors who flaut the law must be backlisted and declared delinquent should they be found party to these transgression and listed on a public awareness database.
Ways to Measure Accountability throughout the Supply Chain
- Supplier Evaluation
- Transparency and Traceability
- Establishing Protocols and Controls
- Management of Non-Compliance
- Supply Chain Optimization and Cost Controls
Control and accountability in supply chain management: Evidence from a South African metropolitan municipality.
Abstract Accountability requires supply chain management (SCM) public officials to account for, report on, explain and justify activities, and accept responsibility for municipal financial expenditure outcomes.
“Corruption becomes systemic when corrupt activity begins to appear at all levels within a political system and when it becomes repetitious, constituting a parallel set of procedures to those which properly constitute the formal functions of the bureaucracy.”
- Tom Lodge
