The practice whereby everyone on the boards of public procurement institutions must be appointed by the president should be reviewed, as it is a “recipe for chaos” and promotes corruption and bad governance, renowned corporate executive Dr. Ishmael Yamson has stressed.
Dr. Yamson is therefore calling for an amendment of the Procurement Act to shield it from political influence in use of the public purse.
“The Procurement Act itself, as it is currently, makes the job of procurement officers difficult and risky.
“If Ghana is to use its procurement process to derive value, the law needs to be amended to take away the overly-political control and influence,” he said at the maiden induction ceremony for new members of the Ghana Institute of Procurement and Supply (GIPS), in Accra.
Dr. Yamson indicated that procurement is no longer a back-office function, but a strategic role that must be handled by skilled and ethical professionals to derive the needed gains for the economy.
He added: “Procurement is about between 70 and 80 percent of this economy, so if all those decisions are taken by people appointed by the president of the country, then there is a big risk”,
Dr. Yamson said amending the Act must consider the balance between blocking revenue losses and value creation.
Mr. Yamson said unlike previously, when procurement was seen as a back-office function, the profession is now pivotal to the success or optimal efficiency of every business in both the public and private sectors.
He said: “Enterprises that focus on strategic sourcing and procurement generate substantial economic value – not just by eliminating waste, reducing costs, and improving administrative efficiency, but also by building stronger relationships that can make them more competitive.
“It also improves margins and profits, and simultaneously helps to avoid business hold-ups and execution delays because of failure in the sourcing process and plans.”
Dr. Yamson added: “We use procurement to create competitive advantage. If we can buy faster, more cheaply and more intelligently, then we stand a better chance of being more competitive as an economy or business”.
GIPS inducts new members
The Ghana Institute of Procurement and Supply (GIPS) is a central organisation for professionals, practitioners and students of the procurement and supply chain management in the country, dedicated to promoting standards integrity in the profession.
The maiden induction ceremony of GIPS, which was on the theme ‘Developing ethically upright procurement and supply professionals for nation-building’, saw new fellows, full members and associate members being admitted into its fold.
President of GIPS, Collins Agyemang Sarpong, in his remarks said the institute is positioned to become the de facto local body for procurement practitioners and students.
In pursuit of high standards and ethics in the profession, he said, the institute has developed a professional code of ethics to guide members in the discharge of their duty.
“As a member of GIPS, you are required to uphold the constitution, code of ethics and reputation of the institute in the course of practicing procurement and supply management as a professional practitioner at all times,” he admonished the inductees.