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State capture: a supply chain created problem?

Mediacy_.jpgBy Mediacy Mudekwa

The cost of state capture is estimated to be around R1.5-trillion over the last approximate four years. To put this into perspective, R1.8-trillion is the national budget for 2019. According to the Daily Maverick, state capture has wiped out "a third of South Africa's R4.9-trillion gross domestic product, or effectively annihilated four months of all labour and productivity of all South Africans, from hawkers selling sweets outside schools to boardroom jockeys".

Of course, there is no way we can quantify the true cost and real extent of state capture. One can only guess what this has done to state-owned enterprises (SOEs) and the influence that it has had on their balance sheets and service delivery. The question is: what role has procurement and the supply chain played in this? And what procurement/supply chain management (SCM) lessons can we learn from state capture?

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