SUPPLY CHAIN
RD
MANAGEMENT 3
QUARTER
IMPLEMENTATION
REPORT
APRIL 2015
REPORT FROM THE SCM MANAGER ON THE QUARTERLY IMPLEMENTATION OF THE SCM POLICY TO
THE FINANCE STANDING COMMITTEE MEETING TO BE HELD ON 29 APRIL 2015.
1.
PURPOSE
To update the Financial Services Standing Committee on the implementation of the Supply Chain
Management Policy.
1. LEGAL AND STATUTORY REQUIREMENTS
Municipal Finance Management Act
Supply Chain Management Regulations
2. BACKGROUND AND REASONING
This report has been submitted to the Municipal Manager and Mayor as prescribed by the SCM Policy.
The Supply Chain Management Policy was revised and adopted by council in May 2014 in a bid to fully
comply with the SCM Regulations communicated under National Treasury general notice 868, Gazette
no. 27636 (effective at the time).
3. OTHER PARTIES CONSULTANT
None
4. FINANCIAL IMPLICATION
None
5. HUMAN RESOURCE IMPLECATION
None
6. NATURE AND SCOPE
This report includes all deviation orders, RFQ’S, tenders, and insurance claims made during the third
quarter.
7. LIST OF DEVIATION ORDERS FROM JULY TILL SEPTEMBER 2014
Enclosed as Annexure A is a list of all deviation orders.
8. TENDERS AND RFQ’S AWARDED FROM JANUARY TO MARCH 2015
Enclosed as Annexure B, is a spreadsheet with tenders and RFQ’S.
9. INSURANCE CLAIMS
 The Store Officer reported a burglary and theft at the store on the 11th of December 2014.They
have stolen petrol, Husqvarna chainsaw, Sthill Chainsaw and four FS450 Sthill Brushcutters at a
total value of R 56 675.00. A case was open at Kareedouw Police station and a claim was
submitted to the insurance. In February 2015 Warrant Officer Le Roux of the Karreedouw Police
Station inform us that the Husqvarna Chainsaw and the four FS450 Brushcutters was found, and
the stores official went and collected the goods. The assessment was done by Mr. A Senekal and
the claim is still in process.
 Ms. B. Kammineth reported on the 29th of January 2015 that she accidentally trip over the
charger cable of her laptop and it fall and was damaged beyond repair. An insurance claim was
submitted for the replacement cost of R 9399.00 and an amount of R 6899.00 was paid over to
us on the 17th of February 2015, the balance of R 2 500.00 was excess money.
 Mr. E.J.Cunningham reported on the 2nd of February 2015 that the Traffic Vehicle, Polo Vivo (HGS
086 EC) windscreen is cracked. A claim for the amount of R 3 084.38 to replace the windscreen
at Clear View Fitment was submitted and excess money for the amount of R 771.09 was paid.
 Mr. V.S. Jacobs reported on the 30th of January 2015 a crack in the windscreen of the Nissan
Hard body (FWZ 139 EC). A claim was submitted for the amount of R 2356.95 and it was replace
by Clear View Fitment. The excess money was R 589.24.
 Mr. J. April reported on the 2nd of February 2015 a crack in the windscreen of the Nissan Hard
body (FWZ 126 EC). A claim was submitted for the amount of R 2356.95 and it was replace by
Clear View Fitment. The excess money was R 581.74.
 Mrs. C. Bruiners librarian at Thornham Library reported on the 9th of February 2015 burglary and
theft of all computer equipment ranging at the value of R 52 532.28. A claim was submitted and is
still in process.
 Mr. S. Charlie IT System Administrator reported on the 11th of March 2015 that his laptop was
accidentally damage beyond repair and a claim of R 15250.00 was submitted to the insurer, the
claim is still in process.
10. SUPPLY CHAIN MANAGEMENT STAFF
The current SCM structure is as follows:
SCM Manager
Fleet Officer
Stores Officer
Assets Clerk
Procurement Clerk
Stores Assistant
11. RECOMMENDATIONS
That the Finance standing committee notes the implementation report on the Supply Chain
Management policy as part of their oversight role.