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PPG801S- PROCUREMENT AND GOOD GOVERNANCE- 2ND OPP- JUL 2024 |
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nAmI BIA unlVERSITY
OF SCIEnCE Ano TECHnOLOGY
FACULTY OF COMMERCE, HUMAN SCIENCES AND EDUCATION
DEPARTMENT OF MARKETING, LOGISTICS AND SPORTS MANAGEMENT
QUALIFICATION: POSTGRADUATE DIPLOMA: PROCUREMENT MANAGEMENT
QUALIFICATION CODE: 08PDPM
COURSE CODE: PPG801S
LEVEL: 8
COURSE NAME: PROCUREMENT AND GOOD
GOVERNANCE
SESSION: JULY2024
DURATION: 3 HOURS
PAPER: THEORY
MARKS: 100
SECOND OPPORTUNITY EXAMINATION QUESTION PAPER
EXAMINER(S) Dr Emilia Salomo
MODERATOR: Ms Ester Bachenamisi
INSTRUCTIONS
1. Answer all the questions.
2. Write as legible and precise as possible.
3. Read each question carefully.
4. Provide practical examples to section B
THIS QUESTION PAPER CONSIST OF 3 PAGES, INCLUDING THE COVER PAGE
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SECTIONA
[40 MARKS)
QUESTION 1: MULTIPLE CHOICE
I 16 MARKS[
There are eight (8) multiple-choice questions with several possible choices each. Choose the best
possible answer, e.g. 1.1 A. Each question is worth two marks.
I. Market analysis should be done at which stage of the procurement process?
a) Contract management
b) Needs assessment
c) Choice of procurement method
d) All of the above
2. At which stage of the procurement cycle must you consider the key components of
procurement governance
a) Planning stage
b) Tendering stage
c) Contract management stage
d) All the stages
3. A supply chain that middlemen highly characterize is susceptible to which of the following
types of supply chain fraud?
a) Misrepresentation of Goods or Services:
b) Sanctions Violations
c) Conflict of Interest
d) All of the above
4. What is the importance of procurement ethics and integrity
a) Avoiding conflicts of interest
b) Maintaining a level playing field
c) Helps organization to be above reproach.
d) All of the above
5. Which of the following laws supports the Namibian public procurement system?
a) Labour Act 11 of2007
b) Code of Good Practice on Preferences
c) The Procurement Act of2015
d) All of the above
6. Which of the following are typical environmental considerations throughout the contract life
cycle?
a) Standards of ethical behaviour
b) Energy usage in manufacturing
c) Employee welfare
d) All the above
7. A supplier has not raised the price of a product for the third year in a row. What should your
action be?
a) Don't contact the supplier; maybe he has forgotten to raise the price; enjoy it as long
as it lasts.
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b) Give the supplier a call and ask him ifhe did not make a mistake. You do not want a
surprise during the year on your purchasing budget.
c) You should wonder if you are not paying too much and whether you have paid too
much in the past years.
d) All of the above
8. You are busy evaluating bids with the bid evaluation committee. One member argues for a
particular supplier, while another member wants the project awarded to a different supplier for
various new reasons based on bids submitted. Which of the below will you refer to the
committees' members?
a) Bidding document.
b) Procurements audits.
C) Source selection criteria.
d) All of the above
OUESTION2
[24MARKS)
Please indicate which scenarios are compliant with the Namibian public procurement law. For
each scenario, indicate Compliant or Non-compliant. Your judgment is sorely based on the
information provided. Please note all the scenarios are for public entities regulated by the
Procurement Act of 2015, its amendments and regulations.
Each scenario is worth two marks.
I. A company issued an advert on all Namibian circulated media print, its website and the E-
GP system sourcing for a supplier for a Toyota Fortuner 4x4 2024-year model.
2. A company used restricted bidding to procure cleaning materials worth N$ 30 million.
3. A category two public entity issued a tender to procure vehicles worth N$ 15 million.
4. A company issued a request for quotation to procurer a consultant to develop their 5-year
strategic plan.
5. A company used direct procurement to procure stationery worth N$ 1.5 million.
6. A company directly engaged MTC to provide them with daily SMS services.
7. A category one public entity advertised a tender to construct service stations across the
country worth N$ 150 million.
8. An entity used emergency procurement to acquire stationeries for daily operations.
9. The Oshakati Hospital restricted beef procurement only from abattoirs north of the
veterinary cordon fence approved by the Meat Board of Namibia.
I0. A company awarded a bid to a bidder whose price was the third lowest because they scored
8% on the margin of preference. Thus, they reduced their price by 8% for evaluation
purposes only.
11. A company advertised an open national bid to procure Covid 19 vaccines.
12. A company advertised an open international bid to procure promotional items such as t-
shirts, caps, etc., for an upcoming survey.
SUBTOTAL: 40 MARKS
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SECTION B
[60 MARKS]
QUESTION3
(40MARKSj
XYZ company was notified as the successful bidder for a tender worth $120 million to supply condoms
to the Ministry of Health. In line with the country procurement act, the procuring entity published the
notice of selection for the award on their company website, giving a chance for other unsuccessful
bidders to submit applications for review within seven days.
The second runner-up bid was at N$ 68.5 million, but XYZ was awarded as it was regarded as a local
manufacturer, although this wasn't a requirement in the bidding document. More so, the company
employed only 5 employees, and the certificate of registration of a factory was issued three months
before the tender was advertised.
Inquiries later revealed that the company was not a manufacturing company but was repackaging
imported pharmaceutical products. The country has been reported to be out of stock of critical drugs,
such as medication for hypertension and epilepsy is threatening to bring state facilities to their knees.
Also, the major hospital is reported to be dilapidated. The procuring entity resulted in issuing a public
notice announcing the cancellation of the tender citing section 54 (I) (b), which allows public entities
to cancel if the lowest evaluated bid is substantially above the applicable cost estimate.
Disclaimer: this case is for learning purposes.
3.1 Discuss any five roles of the Bid Evaluation Committee in public procurement governance in the
context of the case above.
[15 marks)
3.2 Create a sourcing strategic matrix for the Ministry of Health based on risk, complexity and amount
spent. Giving practical examples of sourced material/products for each portfolio. Also, suggest possible
procurement strategies for each quadrant.
[25 marks]
QUESTION 4
20MARKS
You are tasked to review the Namibian public procurement system; identify any four key components
of procurement governance you will consider in your review and why.
GRAND TOTAL:
100 MARKS
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