Purchasing Consortium Southern Africa PURCO SA Purchasing Consortium Southern Africa

VISION STATEMENT MISSION STATEMENT The Purchasing Consortium Southern Africa (PURCO SA) shall strive to be a leading centre of excellence in procurement, using best practices in an ethical, open and transparent manner to support Higher Education in Southern Africa. MISSION STATEMENT The Purchasing Consortium Southern Africa (PURCO SA) is committed to the principles of collaboration with its members to save time and money through professional and focused collaborative procurement whilst strengthening partnerships with all stakeholders in the Higher Education Sector in Southern Africa. Company Profile-11/03/2014

26 South African Public Universities 3 Non-South African Universities 250 Active Suppliers 90 Contract Types >R1B (2014) 26 South African Public Universities 3 Non-South African Universities 14 Associate Members Company Profile-11/03/2014

PURCO SA FACTS Non Profit Organisation (NPC) World first ISO 9001:2008 HE purchasing consortium Created by our members to serve our members Our members are our shareholders Operating since 1978 PURCO SA subscribes to the BBBEE Act of February 2007 PURCO SA is a level 2 contributor Procurement co-operation Top Management support and co-operation for improved savings and efficiencies Company Profile-11/03/2014

PURCO SA FACTS 43 Members- target to reach100 Full and Associate Members >R1B collaborative spend Strategy built on 3 pillars Quality- ISO 9001:2008 listed Technology- E-procurement platform for HE Professional training and development – Training Academy / CIPS 3 Categories of Contracts Collective Individual Negotiated Company Profile-11/03/2014

PURCO SA ADDS VALUE BY: Achieving competitive upfront prices and back-end rebates Creating an opportunity for experts to contribute. Creating an environment for interchange of ideas, sharing new developments and benchmarking of activities. Focusing on and specialising in specific contracts that are commonly used by our members. Neutral party in tender adjudication process on tenders specific to members. Saving time for buyers, allowing them to attend to strategic matters. Spreading procurement costs over a greater spend. Company Profile-11/03/2014

WORKING PROCESS Board meeting: Executive management meetings x 4 JPPF: forum for procurement managers to plan, discuss issues of common interest and formulate action plans x 2 Annually: Conference: involve all stakeholders, new industry developments, new procurement practices, professional development, etc. AGM: Annual General meeting for members, to report back and elections of board representatives. Company Profile-11/03/2014

Contract negotiations: tender or RFP process -2-3 months WORKING PROCESS Ongoing: Contract negotiations: tender or RFP process -2-3 months Rebates: to PURCO SA from suppliers at minimum of 2% of total turnover Incentives: to members, best prices upfront and annual rebate disbursements to members. Independent Benchmarking Savings reporting Member visits Company Profile-11/03/2014

PURCO SA TENDER PROCESS Public Transparent Open Objective Aligned with Member procurement policies Independent Benchmarks Company Profile-11/03/2014

PURCO SA TENDER PROCESS Invitation from Member Meeting with Specification Committee Draft and finalise tender document / project plan Public tender/advertise Receive tenders Evaluate tenders Produce draft report & present to Evaluation Committee Finalise recommendations & present to Award Committee Award Committee-approves &/or send to EMC depending on value of tenders Appointment made /sign contract and SLA Assist with annual escalations/performance management of suppliers Contract cycle begins after 3 years Company Profile-11/03/2014

PURCO SA TENDER PROCESS Mandatory Documents Income tax / VAT / BBBEE / WCA / Fin.statements / lndustry specific licences Non-compliant tenders rejected Functionality Evaluation References/ Experience /Quality /Maintenance & Support / Training / Locality Threshold is 70% Rejected if < 70% Price and BBBEE Evaluation Tender <1Rm 80:20 Tender >1Rm 90:10 Company Profile-11/03/2014

MEMBER BENEFITS Upfront in terms of low prices, significant savings Back- end rebates Staff & admin cost reduction Single point of contact for 100’s of goods Single channel of communication No duplication of activities Eliminates request for 3 quotations by using PURCO SA contract Aligned to members’ financial policy Members are shareholders in the company Company Profile-11/03/2014

1 Point of contact to reach a vast Membership WHY ITS GOOD FOR SUPPLIERS? 1 Point of contact to reach a vast Membership Increase of volumes due to the aggregate spend of the Membership Long term partnerships Higher profits, reduced time and reduced costs Central point for promotions and marketing Access to PURCO SA website and newsletter Access to National forums – JPPF, User groups, Regional meetings; Annual Conference Company Profile-11/03/2014

SCOPE OF OPERATION Company Profile-11/03/2014 INSTITUTION PROVINCE PURCO SA REGION Council for Scientific and Industrial Research GP CENTRAL Council on Higher Education Engineering Council of South Africa MINTEK Monash University National Research Foundation North West University NW Polytechnic of Namibia NAM Quality Council on Trade and Occupation Sol Plaatje University NC South African Bureau of Standards Tshwane University of Technology UMALUSI Council for Quality Assurance in General and Further Education and Training University of Johannesburg University of Limpopo – Medunsa University of Limpopo – Turfloop University of Mpumalanga MP University of Namibia University of Pretoria University of South Africa University of the Witwatersrand Company Profile-11/03/2014

SCOPE OF OPERATION Company Profile-11/03/2014 INSTITUTION PROVINCE PURCO SA REGION University of Venda GP CENTRAL Vaal University of Technology Nelson Mandela Metropolitan University EC Rhodes University University of Fort Hare Walter Sisulu University Central University of Technology FS University of the Free State Centre for the AIDS Programme of Research in South Africa - CAPRISA KZN Durban University of Technology K-RITH KwaZulu-Natal Research Institute for Tuberculosis and HIV Mangosuthu University of Technology SANTRUST University of KwaZulu-Natal University of Zululand Boland College WC Cape Peninsula University of Technology Milpark Education Stellenbosch University University of Cape Town University of the Western Cape Company Profile-11/03/2014

CONTROL & REPORTING Company Profile-11/03/2014 MEMBERS BOARD OF DIRECTORS Operations Manager CHIEF EXECUTIVE OFFICER PERSONAL ASSISTANT CONTRACTS MANAGER CONTRACTS MANAGER CONTRACTS MANAGER CONTRACTS MANAGER CONTRACTS MANAGER FINANCIAL CONTROLLER PROJECTS CO-ORDINATOR CONTRACTS ADMINISTRATOR CONTRACTS ADMINISTRATOR CONTRACTS ADMINISTRATOR CONTRACTS ADMINISTRATOR CONTRACTS ADMINISTRATOR FINANCIAL ADMINISTRATOR Company Profile-11/03/2014

BOARD MEMBERS Vuyo Memani-Sedile Unisa Vice-Chairperson Chris Liebenberg University of Free State Chairman Riaan Basson Stellenbosch University Johan Wasserman Nelson Mandela Metropolitan University Morgan Thambiran Durban University of Technology Buggy Pillay University of Johannesburg David Tsieane Vaal University of Technology Company Profile-11/03/2014 S.GOVENDER

BOARD MEMBERS Gladman James University of Fort Hare Errol Earl North-West University Trevor Adams University of Cape Town Joel Nkhuna University of Limpopo Precious Dube University of Kwa Zulu Natal Naeem Moolla University of Pretoria Company Profile-11/03/2014 S.GOVENDER

REGIONAL CHAIRPERSONS Trevor Adams Western Cape Region University of Cape Town Jakes Jacobs Eastern Cape Region Nelson Mandela Metropolitan University Eschell Boshoff Central Region University of South Africa Morgan Thambiran KwaZulu Natal Region Durban University of Technology Company Profile-11/03/2014 S.GOVENDER

THANK YOU Company Profile-11/03/2014