There are concerns about Black owned businesses that fail to deliver or, to put it more bluntly, produce mediocre products or poor services when given preferential project contracts, but it has been established that organisations that sponsor projects could be just as culpable.
The poor performance of some black-owned companies in projects could reflect the poor execution of adjudication processes companies or organisations sponsoring the projects.
Organisations should avoid the following mistakes in their procurement processes:
- “We need to deal with a black-owned company to earn some vital BEE points.”
The problem with this is that sponsors end up granting businesses to companies just because they are black-owned not well-qualified. Eventually, the black-owned company ends up not to live to a project’s expectations. Addressing the oversight costs the sponsor a lot of money.
- “The company we are dealing with is connected to a top politician and we have to curry the favour.”
Well-connected might not necessarily mean well-qualified.
- “We are supporting a black-owned company as part of our CSR programme”
You would rather supply computers to under resourced schools in the country.
There are concerns about Black owned businesses that fail to deliver or, to put it more bluntly, produce mediocre products or poor services when given preferential project contracts, but it has been established that organisations that sponsor projects could be just as culpable.
The poor performance of some black-owned companies in projects could reflect the poor execution of adjudication processes companies or organisations sponsoring the projects.
Organisations should avoid the following mistakes in their procurement processes:
- “We need to deal with a black-owned company to earn some vital BEE points.”
The problem with this is that sponsors end up granting businesses to companies just because they are black-owned not well-qualified. Eventually, the black-owned company ends up not to live to a project’s expectations. Addressing the oversight costs the sponsor a lot of money.
- “The company we are dealing with is connected to a top politician and we have to curry the favour.”
Well-connected might not necessarily mean well-qualified.
- “We are supporting a black-owned company as part of our CSR programme”
You would rather supply computers to under resourced schools in the country.