Strategic Procurement and Sourcing for the Public Sector
Course Synopsis:
Part 1: Implementing a Strategic Sourcing vs Traditional Procurement Approach
Strategic Sourcing is a deliberate approach to streamline SCM processes creating greater value for money than the traditional procurement or ad-hoc approaches.
More and more organs of state are considering implementing strategic sourcing as a procurement methodology, and the Public Procurement Act (PPA) stipulates that “‘Strategic Procurement’’ means a comprehensive approach to procurement that aligns with the strategies and objectives of a procuring institution, thereby enhancing cost-effectiveness.”, which is prescribed for by Section 217 of the Constitution.
Section 24 of the PPA prescribes what the Minister may promulgate in terms of such a Strategic Procurement Framework (SPF).
This course equips public sector procurement practitioners with the strategic thinking, tools, and methodologies required to align procurement with government objectives, including value for money, ethical governance, and socio-economic development.
Using the latest Strategic Procurement Framework (SPF) issued by South Africa’s National Treasury, participants will explore policy development, strategic sourcing, and the Sourcing Business Model Mapping (SBMM) approach to elevate procurement from a transactional activity to a transformative lever for public value.
Delegates to this workshop will gain practical skills in procurement planning, supplier engagement, compliance, and performance-based contracting—empowering them to drive innovation, reduce duplication, and integrate sustainability and social values into procurement practices.
Part 2: Managing Contracts Under a Strategic Sourcing Approach
This Session provides public procurement professionals with the knowledge and practical tools to effectively manage contracts from creation through to close-out.
Grounded in the Strategic Procurement Framework (SPF), the program covers the full lifecycle of public sector contracts, emphasising compliance, value delivery, risk mitigation, and performance monitoring.
Participants will explore the four key stages of contract lifecycle management: creation, execution, administration, and close-out.
They’ll also work with essential tools such as contract management plans, performance monitoring frameworks (including SLAs and KPIs), and risk registers.
By the end of the course, participants will be equipped to manage high-value, high-risk contracts with greater strategic oversight, professionalism, and alignment to institutional goals.
Course Outline: Based on National Treasury Policy & Managing of Panel Appointments in line with a recent Court Case:
Session 1: How to Implement Strategic Sourcing
Module 1: Foundations of Strategic Procurement
- Role of public procurement in economic and social development
- Overview of the 2024 Strategic Procurement Framework
- Balancing compliance and performance in public procurement
Module 2: Policy and Planning Integration
- Linking procurement to budgets (AB, APP, MTEF)
- Introduction to Stage 0 Planning and the integration of social values
- Understanding the legislative and ethical context (Constitution Section 217)
Module 3: Procurement Strategy and Professionalism
- Components of a sound procurement strategy
- Promoting ethical standards and professional conduct in SCM
- Creating effective governance and stakeholder structures
Module 4: Strategic Sourcing Methodology
- The 3-phase, 8-stage sourcing process (Stage 0–7)
- Tools, templates, and good practice guides for each stage
- Conducting internal and external landscape analysis
Module 5: Sourcing Business Model Mapping (SBMM)
- Relationship and economic models in sourcing
- Selecting the right sourcing model for different commodities
- Practical SBMM exercises and alignment to procurement methods
Module 6: Differentiated Approaches to Procurement
- Moving from transactional to strategic procurement
- Differentiation by commodity complexity and service criticality
- Aligning procurement methods to business needs
Module 7: Performance-Based Procurement and Supplier Management
- Contracting for outcomes, not just inputs
- Using SLAs and KPIs to manage supplier performance
- Post-contract monitoring and relationship management
Module 8: Implementing the Framework
- Critical success factors for strategic sourcing in practice
- Organisational change, capacity building, and team alignment
- Roadmap for institutionalising strategic procurement
Session 2: Contract Lifecycle Management for Strategic Procurement
Module 1: Introduction to Contract Lifecycle Management (CLM)
Overview of the SPF and the role of CLM
- Why contract management is vital to service delivery and VFM
- Key documents: Contract Management Plan, Close-Out Report, Lessons Learnt
Module 2: Contract Creation
- Drafting clear, consistent contract terms
- Contract planning, template selection, and annexure setup
- Roles and responsibilities in contract drafting and approval
Module 3: Contract Execution
- Purchase order processes and approval pathways
- Managing acceptance or rejection scenarios
- Escalation procedures for disputes or non-performance
Module 4: Contract Administration
- Ongoing administration and coordination across departments
- Monitoring compliance to Terms & Conditions (T&Cs)
- Managing risk, disputes, and variations
- Setting quality and performance standards
Module 5: Performance Management and Reporting
- Designing effective SLAs and KPIs
- Gathering and analysing performance data
- Operational, management, and executive reporting layers
- Issue logging, escalation, and resolution tracking
Module 6: Records and Risk Management
- Maintaining an audit-ready contract file
- Key risks in contract management and how to mitigate them
- Tools and strategies for continuous compliance
Module 7: Contract Close-Out and Lessons Learnt
- Verifying fulfilment of all contractual obligations
- Preparing and using the close-out report and lessons learnt template
- Institutionalising knowledge for future procurement cycles
Module 8: Tools, Templates, and Practical Exercises
- Hands-on use of SPF-aligned templates: CMP, SLA, KPI matrix, Close-Out Report
- Case-based group work: resolving contract lifecycle issues
- Creating a mock contract close-out and lessons learnt session
Who Should Attend this highly interactive Workshop?
- Supply Chain Management (SCM) practitioners
- Public sector procurement officials
- Policy developers and planners
- CFOs, CPOs, and compliance officers
Presented as an In-House Workshop: Online or In-Person.To Book Your Team for an in-house workshop, Click Here
Contact us:
For more discussion on how to book this training for your team, kindly contact Gerrit Davids, Lead Advisor on Cell. +27 82 496 1657 or E-mail: gerrit@taranisco.co.za