1. Purchasing Consortium Southern Africa
PURCO SA
Purchasing Consortium
Southern Africa

2. 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

3. 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

4. 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

5. 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

6. 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

7. 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

8. 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

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

10. 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

11. 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

12. 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

13. 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

14. 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

15. 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

16. 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

17. 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

18. 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

19. 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

20. THANK YOU
Company Profile-11/03/2014