AN INDUSTRY PERSPECTIVE OF THE CIDB PROCESS
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AN INDUSTRY PERSPECTIVE OF THE CIDB PROCESS. Transport, Housing, Public Works, Local Government & Provincial Affairs, Water Affairs & Forestry. CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB). Slide 1 of 21. Next. Previous. ROLE OF GOVT. CLIENT FACILITATOR REGULATOR VESTED INTEREST

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AN INDUSTRY PERSPECTIVE OF THE CIDB PROCESS

Transport, Housing, Public Works, Local

Government & Provincial Affairs, Water

Affairs & Forestry


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 1 of 21

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Previous

ROLE OF GOVT

  • CLIENT

  • FACILITATOR

  • REGULATOR

  • VESTED INTEREST

    • VALUE FOR MONEY

  • SOCIAL & ECONOMIC RESPONSIBILITY

    • GROWTH & DEVELOPMENT OF INDUSTRY


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 2 of 21

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WHY THE CIDB?

  • OBJECTIVE : TRANSFORMATION

  • HOW?

  • CREATING AN ENABLING ENVIRONMENT FOR RECONSTRUCTION, GROWTH AND DEVELOPMENT IN THE CONSTRUCTION INDUSTRY

INTER-

MINISTERIAL

COMMITTEE

FOCUS GROUPS

REFERENCE GROUPS

TASK TEAM


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 3 of 21

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PROCESS

  • GREEN PAPER OUTLINED POLICY & APPOINTMENT OF TASK TEAM

  • WHITE PAPER

  • FRAMEWORK PLAN - CRITERIA FOR ESTABLISHMENT OF CIDB

  • CONSULTATION VIA REFERENCE & FOCUS GROUPS

  • SUBMISSION TO INTER-MINISTERIAL COMMITTEE, THEN CABINET, STATE LAW ADVISOR AND FINALLY PARLIAMENT


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 4 of 21

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NEED FOR CIDB

  • SA CONSTRUCTION INDUSTRY NATIONAL ASSET

  • WELL DEVELOPED INFRASTRUCTURE

  • LARGER FIRMS INTERNATIONALLY COMPETITIVE

  • STRUCTURAL PROBLEMS

    • INVESTMENT VOLATILITY & DECLINE

    • WORKFORCE INSTABILITY & SKILLS DECLINE

    • RACIALLY SKEWED OWNERSHIP & PARTICIPATION

    • LACK OF UNIFORMITY & CAPACITY IN PUBLIC SECTOR

  • DISPERSED STAKEHOLDERS & CLIENTS

  • SYSTEMATIC APPROACH REQUIRED FOR ABOVE BETWEEN PUBLIC & PRIVATE


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 5 of 21

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OBJECTIVES

OBJECTIVES

PROGRAMMES

GROWTH

BUSINESS, ECONOMIC & MARKET DEVELOPMENT

PERFORMANCE

INDUSTRY DEVELOPMENT

DELIVERY

PROCUREMENT & DELIVERY MANAGEMENT

  • LEADERSHIP

  • STABILITY

  • UNBLOCK DELIVERY

  • FACILITATOR

  • OPTIMISE INDUSTRY


FOCUS GROUP 6 : PROCUREMENT

Slide 6 of 21

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TERMS OF REFERENCE

REVIEW SELECTED OUTPUTS OF GOVERNMENT PROCUREMENT REFORM POLICIES, PROCUREMENT PRACTICES, PROCEDURES IN CONSTRUCTION INDUSTRY, DEVELOP BEST PRACTICES & STRATEGIES

ENABLE CID TASK TEAM TO ADVISE GOVERNMENT, PROMOTE BEST PRACTICES, FURTHER PUBLIC/PRIVATE CO-OPERATION AND ENHANCE DELIVERY AND PERFORMANCE

CIDB WHEN CONSTITUTED WILL PROMOTE ABOVE


FOCUS GROUP 6 : PROCUREMENT

Slide 7 of 21

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BEST PRACTICES

  • UNIFORM PROCUREMENT DOCUMENTS

  • MODERN FORM OF CONTRACT FEATURES

  • COMPILATION OF PROCUREMENT DOCUMENTS

  • MANNER TO APPOINT CONSULTANTS

  • FAIR CONDITIONS OF SUBCONTRACT

  • GOVERNING ACTIONS OF THOSE PROCURING

  • NORMS FOR PROCUREMENT & DELIVERY MANAGEMENT

  • USE OF PROCUREMENT FOR SOCIAL POLICY

  • MANAGING RISK ON CONTRACTS

  • JOINT VENTURE FORMATION TO DEVELOP EMERGING SECTOR


FOCUS GROUP 6 : PROCUREMENT

Slide 8 of 21

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RECOMMENDATIONS

PUBLIC CONSTRUCTION PROCUREMENT UTILISE STANDARD APPOVED PROCUREMENT DOCUMENTS(FIDIC, GCC, JBCC, NEC)

COMPLY WITH: BEST PRACTICE GUIDE (BPG) #2 : FEATURES OF A MODERN FORM OF ENGINEERING & CONSTRUCTION CONTRACT

ORGANS OF STATE INCLUDE NAT & PROVINCIAL DEPT’s(DPW, TRANSPORT, WATER AFFAIRS & FORESTRY, HOUSING & CONSTITUTIONAL DEVELOPMENT), METROPOLITIAN COUNCILS, & PUBLIC ENTITIES


FOCUS GROUP 6 : PROCUREMENT

Slide 9 of 21

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RECOMMENDATIONS

ENGINEERING & CONSTRUCTION WORKS CONTRACTS SUBJECT TO ST36, THE GENERAL CONDITIONS OF WHICH ARE TO BE MODIFIED AND REDRAFTED

ST36 NOT TO BE REFERRED TO IN CONDITIONS OF TENDER


FOCUS GROUP 6 : PROCUREMENT

Slide 10 of 21

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RECOMMENDATIONS

PROCUREMENT DOCUMENTS TO BE DRAFTED IN ACCORDANCE WITH BPG #1 : UNIFORMITY IN PROCUREMENT DOCUMENTS

SEPERATE CONDITIONS OF TENDER, CONDITIONS OF CONTRACT, SPECIFICATIONS & TERMS OF PAYMENT


FOCUS GROUP 6 : PROCUREMENT

Slide 11 of 21

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RECOMMENDATIONS

CONSULTANTS APPOINTED IN TERMS OF THE STANDARD PROFESSIONAL SERVICES CONTRACT IN ACCORDANCE WITH BPG #4 : APPOINTMENT OF CONSULTANTS IN THE PUBLIC SECTOR

SUBCONSULTANTS - STANDARD SUBCONSULTANCY AGREEMENT


FOCUS GROUP 6 : PROCUREMENT

Slide 12 of 21

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RECOMMENDATIONS

SUBCONTRACTORS ENGAGED IN TERMS OF WRITTEN CONTRACT THAT SATISFY PROVISIONS OF BPG #3 : FAIR CONDITIONS OF SUBCONTRACT

GCC, JBCC, NEC, FIDIC (NOT COLTO) AND NO MIXING OF ONE MAIN CONTRACT WITH ANOTHER SUBCONTRACT

MINIMAL PROJECT SPECIFICATION AMENDMENTS


FOCUS GROUP 6 : PROCUREMENT

Slide 13 of 21

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RECOMMENDATIONS

CODE OF CONDUCT APPLIES TO PROCUREMENT OF GOODS, SERVICES & ENGINEERING CONSTRUCTION WORKS BY PUBLIC BODIES


FOCUS GROUP 6 : PROCUREMENT

Slide 14 of 21

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RECOMMENDATIONS

PROCUREMENT & DELIVERY MANAGEMENT PROCEDURES & PRACTICES IN ACCORDANCE BPG #5 : PUBLIC SECTOR PROCUREMENT & DELIVERY MANAGEMENT FOR ENGINEERING & CONSTRUCTION WORKS

APPLIES TO PRE PLANNED DESIGN,

BUILD DEVELOP & CONSTRUCT, AND

RAPID DELIVERY PROCUREMENT CONTRACTS


FOCUS GROUP 6 : PROCUREMENT

Slide 15 of 21

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RECOMMENDATIONS

UNSOLICITED PROPOSALS IN ACCORDANCE WITH BPG #6 : GUIDELINES IN RESPECT OF UNSOLICED PROPOSALS FROM THE PRIVATE SECTOR TO ORGANS OF STATE


FOCUS GROUP 6 : PROCUREMENT

Slide 16 of 21

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RECOMMENDATIONS

TARGETED PROCUREMENT AS DEVELOPED, DOCUMENTED AND CO-ORDINATED BY THE DPW MUST BE UTILISED TO ATTAIN SOCIO-ECONOMIC DELIVERABLES IN ENGINEERING AND CONSTRUCTION WORKS CONTRACTS

www.pwdprocure.co.za


FOCUS GROUP 6 : PROCUREMENT

Slide 17 of 21

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RECOMMENDATIONS

RISK ON PUBLIC SECTOR CONTRACTS MANAGED IN ACCORDANCE WITH BPG #8 : MANAGING RISK ON PUBLIC SECTOR ENGINEERING AND CONSTRUCTION WORKS CONTRACTS


FOCUS GROUP 6 : PROCUREMENT

Slide 18 of 21

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RECOMMENDATIONS

JV AGREEMENTS TO SATISFY PRINCIPLES OF BPG #7 : FEATURES OF A JOINT VENTURE AGREEMENT

MODEL DOCUMENTS INCLUDE THOSE BY SAFCEC (ENGINEERING & CONSTRUCTION), FIDIC (PROFESSIONAL)


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 19 of 21

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FUNCTIONING

CIDB TO MONITOR DOCUMENT USAGE BY STATE ORGANS & PROBLEMS/DISPUTES THAT ARISE

DPW GEOGRAPHICAL TARGETED PROCUREMENT MANAGEMENT SYSTEM TO TRACK CONTRACT & SOSIO-ECONOMIC OBJECTIVES BY STATE ORGANS

REGISTER OF CONTRACTORS

REGISTER OF CONTRACTS


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 20 of 21

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FUNCTIONING

  • CIDB TO ENSURE UNIT STANDARDS OF LEARNING IN :

  • PUBLIC SECTOR PROCUREMENT

  • TARGETED PROCUREMENT

  • CONTRACTING STRATEGIES

  • PROCUREMENT DOCUMENTS

  • DISPUTE RESOLUTION MECHANISMS

  • RISK MANAGEMENT

  • THE FULL PROJECT CYCLE

  • WHOLE LIFE CYCLE COSTS


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

Slide 21 of 21

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COMPOSITION

  • MEMBERS APPOINTED PER PROCEDURES OUTLINED IN REGULATION, NOT BILL

  • MUST HAVE CONSTRUCTION INDUSTRY DEVELOPMENT EXPERTISE

  • REPRESENT RACE & GENDER

  • MEMBERS IN INDIVIDUAL CAPACITY


CONSTRUCTION INDUSTRY DEVELOPMENT BOARD (CIDB)

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IMPLICATIONS

  • STANDARDISED DOCUMENTS & SPECIFIC FEATURES FOR ALL

  • CODE OF CONDUCT & NORMS AND STANDARDS

  • FAIR CONDITIONS OF CONTRACTING

  • JV FORMATION WITH DEVELOPING SECTOR

  • INTRODUCTION OF ARD IN CONSTRUCTION

  • PROCUREMENT = TOOL OF SOCIAL POLICY

  • SUNSET PROVISION FOR APP


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