ASATA updates on National Treasury Procurement Framework
ASATA’s joint project with National Treasury aimed at developing a travel procurement framework for government is making “significant progress”.
Since discussions began in May 2014, the joint project has delivered a code of conduct, MOU and process around the categorisation of government departments and TMCs. This includes tenders, process workflows, best practice and a travel policy.
The project, run by Kim Koen from Kitso Consulting and led by ASATA CEO Otto de Vries, has been driven through a number of ASATA-established Member Advisory Forums in collaboration with National Treasury and other industry stakeholders, including FEDHASA and SAVRALA.
The project’s key objectives include:
- Compliance to Treasury regulations with irregular and/or unauthorised expenditure. Wasteful expenditure related to, no shows, last minute and non-essential travel, resulting in outstanding payments totalling millions that trickle all the way down the supply chain of services.
- Budget deficits as a result of inaccurate tracking of expenditure and misallocations that results in a direct impact on the country’s economy.
- Government’s requirement for a benefit of scale resulting in the best return on investment, value for money and a grading of TMC’s (travel management companies) to qualify and quantify companies to handle the vast array of travel arrangements undertaken by our government officials.
Part of this process is to secure a memorandum of understanding that will see government and industry (represented by ASATA) address these key objectives.
The joint project is currently compiling the executive summary that the Treasury can present to the Minister to highlight what has been achieved to date and what benefits will translate from the project.
We have also established a case log to be better track outstanding payments and assist treasury in helping industry recover overdue payments.
We will continue to keep members and industry updated on the progress.