SOCIAL DEVELOPMENT DEPARTMENT PRIORITISES WOMEN-OWNED BUSINESSES IN PROCUREMENT STRATEGY

By Lumka Oliphant

• The Department of Social Development (DSD) is actively prioritising procurement from women-owned businesses, even in the absence of an explicit government policy.
• In the 2023/2024 financial year, 17.5% of the department’s goods and services budget was spent on women-owned enterprises, with a goal to increase this to at least 50%.
• Despite efforts to support women entrepreneurs, challenges such as capital constraints and low response rates to requests for quotations hinder full participation.

Although there is no explicit government policy mandating departments to procure from women-owned businesses, the Department of Social Development (DSD) has made it a priority within its supply chain management (SCM) to support these enterprises. During the Public Service Women’s Management Week meeting, Mr Zolisa Mantantana, Director for Supply Chain Management, revealed that 17.5% of the department’s goods and services budget was allocated to women-owned businesses in the 2023/2024 financial year.

Mr Mantantana emphasised the department’s commitment to increasing this percentage, aiming for at least 50% of the budget to be spent on women-owned businesses. He highlighted the innovative strategies employed by the DSD to ensure women entrepreneurs receive the support they need.

“One of the things we do is request a list of women-owned businesses through the Central Supplier Database (CSD) because it provides that option,” Mr Mantantana explained. He also mentioned a point system that assigns higher scores to businesses with female ownership, further incentivising procurement from women-led enterprises.

However, despite these efforts, Mr Mantantana noted that women do not always respond to requests for quotations, which can hinder their participation. “There may be a number of reasons for this. It could be that they lack the capital, as government payments are made only after services are rendered,” he said.

Mr Mantantana reiterated the department’s goal to increase the percentage of its budget spent on women-owned businesses and expressed a desire to see more women actively participating in the economic opportunities provided by the DSD.