SITA Today,
SITA Tomorrow ,
SITA to the Future
“Unleashing Entrepreneurship through
Technology”
SITA National SMME Road-Show 2011
Welcome Address
“Unleashing Entrepreneurship in Technology”
2
Agenda







Expectations of the Road-show
SITA the organisation
SITA`s Strategic Intent towards SMME’s
SMME development strategy
Opportunities in SITA
Analysis of SITA spending on BEE/SMME for Quarter 2, 2011
Conclusion
3
Expectations of the Road-Show
•
To raise awareness about SITA’s role and programme to promote
SMMEs in all the provinces
•
To share the SITA SMME Development Strategy
•
To foster relations with emerging and established SMMEs within the
ICT sector
•
To encourage participation by SMMEs in SITA’s procurement as
part of stimulating economic development for all
•
To support the creation of special interest groups on ICT matters to
facilitate better engagement in the future
SITA the Organisation....
“Unleashing Entrepreneurship in Technology”
5
State Information Technology Agency
(SITA)
SITA is committed to leveraging Information Technology (IT) as a strategic
resource for government, managing the IT procurement and delivery
process to ensure that the Government gets value for money, and using IT
to support the delivery of e-Government services to all citizens
SITA Mandate
The mandate of SITA as spelled out in the SITA Act is:
a) to improve service delivery to the public through the provision of
information technology, information systems and related services
in a maintained information systems security environment to
departments and public bodies; and
b) to promote the efficiency of departments and public bodies through
the use of information technology
6
SITA’s Contribution to Government’s Priorities
Re-engineering of the business process of government through the
development and implementation of information systems that support the
modernization of the public service such as the IFMS
Facilitate citizen convenience by enable the delivery of e-Government services
through the development and implementation of solutions that are govt –tocitizen (G2C) and govt-to-business (G2B) oriented.
Ensure security of government data assets through the maintenance of a
secure environment wherein govt information systems operate, set standards for
govt information systems security and certify compliance of goods and services
with those standards.
Facilitate interoperability of government systems by ensuring that govt
information systems can interconnect and exchange data by setting standards for
interoperability and certify goods and services for compliance with those
standards.
Reduction of duplication of government systems through a dedicated
programme to converge the existing duplicated systems and prevent the
emergence of divergent systems to ensure integrated planning, efficiency and
lower the cost of govt business
7
Mandatory Services
Private Telecoms Network
(Act, Sec 7(1)(a)(i))
Transversal Systems
(Act, Sec 7(1)(a)(ii))
Data Processing
Standards (Interoperability &
Security)
(Act, Sec 7(6)(a)(i),(ii))
Certify against Standards
(Act, Sec 7(6)(b))
(Act, Sec 7(1)(a)(iii))
IS Convergence Strategy
Information System Security
(Regulation, Sec 4.1.1 (a))
(Act, Sec 6(a))
Disaster Recovery Plan
Information System Inventory
(Regulation, Sec 4.6)
(Regulation, Sec 4.1.2)
Procurement
Research Plan
(Act, Sec 7(3))
(Regulation, Sec 4.4.1)
8
SITA Service Portfolio
Full Outsourcing
End-to-end management of IT operations to enable high
performing business
Systems Integration & Solution
Development
Predictable delivery and integration of new & existing
systems to transform business processes into industrial
solutions
MANAGED APPLICATIONS
SOLUTION DEVELOPMENT
MANAGED DESKTOP
SYSTEMS INTEGRATION
MANAGED INFRASTRUCTURE
Value Add Services
Support & Transaction Services
SITA offers a spectrum of additional services to address
your professional and business requirements
Provisioning of support services that ensures the
successful execution of IT initiatives and processes
SOURCING
COMMERCIAL PRINTING
IT CONSULTING & ADVISORY
TRAINING
INFORMATION MANAGEMENT
BUSINESS CONTACT CENTRE
SECURITY MANAGEMENT
PROJECT MANAGEMENT
NB: SITA also procures non IT related services for internal consumption
9
SITA Top Structure
Minister of Public Service and
Administration
Mr Roy Padayachee
Board of Directors
Mrs F Potgieter Gqubule (act)
Internal
Audit
Company
Secretary
Chief Executive Officer
Mr Blake Mosley-Lefatola
Chief Operations Officer
Ms Khumbudzo Ntshavheni
ICT
Service
Delivery
Govt
Solutions
&
Standards
SCM
Finance
Corporate
Services
10
SITA`s Strategic Intent towards SMME
development ….
Public-private risk & reward sharing in the acquisition of
ICT goods and services (Presidential Review
Commission)
“Unleashing Entrepreneurship in Technology”
11
SITA’s Turnaround
• The Turnaround Strategy (TAS) is a 3 year programme to reposition
SITA towards achieving its founding objectives of:
o Enabling integrated planning by government through the interoperability of government ICT systems.
o Facilitating and developing e-governance that builds the
capability of the state, including improving public sector
efficiency and ensure citizen-convenience.
o Driving economies of scale in the acquisition of ICT goods and
services, and reduce the duplication of government ICT
systems.
o Ensuring security of government data assets,
• Thus building SITA’s capacity as a Prime System Integrator (PSI)
for government
12
Seven outcomes of Turnaround
No.
SITA Strategic Outcomes (2010-2014)
01 Quality ICT service delivery to the public sector
O2 Proficient lead agency in the public sector ICT
03 Integrated public sector ICT Supply Chain
Management (SCM)
O4 Competitive pricing and financial sustainability
05 Effective ICT Regulator
06 Effective Governance and Monitoring
07 Employer of choice
13
Integrating SITA’s TAS and the development of an
indigenous IT sector
Our strategic intent towards SMME’s is to:

Transform the IT industry and create meaningful opportunities which result in
industry growth (indigenous IT industry)

Creating an enabling environment to support Economic Transformation through ICT

Creating a new Procurement ethos reconfirming the principles of fairness, equity,
transparency, integrity and competitiveness

Increase participation by SMME’s focusing on Black IT suppliers at both national
and provincial level

To leverage the competiveness of IT Black Owned Enterprises through provision of
appropriate support measures (i.e. Supplier development initiatives)

Ensure that SITA provides an oversight capability to monitor development within
the industry
14
SITA`s SMME Development Strategy….
“Unleashing Entrepreneurship in Technology”
15
Challenges faced by SMME
These are some of the challenges faced by SMME’s according to an
article published in the African Journal of Business Management (2010)
as well as through discussions with SMME’s
 Lack of access to finance – very complex projects with high financial
risk are barriers to entry for SMME’s
 Inadequate demand – cyclical demand for services (complex vs
simple projects; high integration of services) negatively impacting
sustainability of SMME’s
 High competition within the industry – highly competitive bids issued
tend to favor those business with more financial muscle and
capabilities and spread (national vs provincial)
16
Challenges faced by SMME (cont…)
 Insufficient experience relevant to a new opportunity – the inability to
have the necessary core skills within the industry
 Partnerships – ability to partner with established OEM’s for skills
transfer and growth opportunities
 Localized services – regional tender’s for Local Economic
(provinces)
 Regulatory constraints – challenges created by the Treasury
regulations
17
Programme 2020
 Legal Framework




PFMA
Skills development Act
BBBEE framework
Preferential Procurement Policy Framework Act
 Government commitment




Infrastructure expansion programmes
Job creation programmes
Fiscal Budget allocation
Entrepreneurial initiatives
18
SITA SMME Development Strategy
Grow SMME’s by enabling new entrants;
introduce new opportunities for growth and
reduce barriers to entry
Defend SMME’s by supporting
existing SMME; locking in
opportunities for growth and
collaborating with financial
institutions to support current
SMME’s for new projects
Develop SMME’s for new
markets/trends by skilling
for the future (e.g. Cloud,
intelligent systems etc)
and recognizing
excellence
1
2
3
Aspects within SITA’s SMME
Development strategy
Grow
•
•
•
•
•
Registration on SITA database
Set aside’s
Fulfillment Partner’s
Local Economic Empowerment
SMME/ Black ICT supplier Lekgotla / Forum
Defend
•
•
•
•
Improved invoicing and payment terms for SMME
Supplier database (SMME)
Set aside’s
Fulfillment partner’s
Develop
• Training
• Incubation / ICT Academy
• SMME Awards/ recognitions
• SMME Expo (network opportunity)
• Supplier Relationship management
20
Opportunities in SITA….
“Unleashing Entrepreneurship in Technology”
21
Potential projects for SMME future Participation
Contract
Number
Duration
period
153
3 Years
285
3 Years
285/1
3 Years
431
3 Years
570
3 Years
Date of Expiry
30 June 2012
(extended)
Scope of services
Provision, installing, maintaining and
support of X64 (X86) Servers (Tower,
Rack and Blade), Storage (DAS, NAS,
SAN), Server Racks and UPS
Month to month Procurement of Information Technology
and provision of seat management
(extended)
services i.e. deskop,laptop etc (Lease)
Month to month Procurement of Information Technology
and provision of seat management
(extended)
services i.e. deskop,laptop etc
(outright purchase)
30-Jun-12
Provision of Audiovisual
Communications Technologies, Services
and Solutions for the Department of
Public Service and Administration.
30 May 2012
(extended)
Acquisition of IT Services
Potential projects for SMME future Participation
Contract
Number
Duration
period
Date of Expiry
Scope of services
770
3 Years
768
3 Years
776
3 Years
783
3 Years
31 October 2013 Supply, design and installation of
network equipment
790
1 Years
30 June 2012
31 October 2013
Hardware maintenance and selected
software support on WAN and LAN
devices.
Maintenance of switching centre
31 July 2013
facilities infrastructure for SITA and
clients.
31 October 2013 Provision of Advisory service planning,
design, supply, installation,
commissioning, project management
and maintenance of network cabling
and associated services.
LAN & Base Lining, Design,
Integration, Supply, Installation,
Commissioning & Maintenance of
Network (DOD)
Additional info
 SITA makes use of refreshes to enable new participants to
partake in SITA’s preferred list contracts
 SITA also issues once off tender’s
 Tender’s are notified in the Government gazette
(www.gov.za) and published on the SITA website
(www.sita.co.za)
 SITA provincial offices available for additional support and
enquiry
 Tender’s published for R200 non refundable
 Procurement in SITA guideline (handout to be issued in this
session)
24
Registration on SITA Database
 SITA will only do business with suppliers registered on the SITA
database. Supplier registration site
 Supplier must ensure that information on the database is correct i.e.
contact details, Tax Clearance Certificate, commodity, provincial
offices, etc,
 Registered suppliers must update their information on line i.e. contact
details , commodity, provincial offices, BEE status etc,
 The Original Tax Clearance Certificate must be submitted before the
expiry date to SITA (SCM)
 Implementation of ERP all RFQ's and Tenders/bids will be electronic
 Open BIDS will still be published on the WEB and GOV Bulleting
25
26
SITA’s BEE procurement spend –
statistics….
“Unleashing Entrepreneurship in Technology”
27
In conclusion....Our Commitment to YOU
 SITA is committed to enacting on its SMME Development
Strategy and pursuing all that the strategy intends to achieve
 SITA is committed to engaging with SMME’s and creating
opportunities for growth through our process to procure in SITA
 SITA is committed to make available its own resources to
support SMME Development (e.g. SITA’s ICT Academy)
 SITA is committed to the fostering and nurturing of the
Indigenous ICT Sector in a responsible manner for all to benefit
 SITA is committed to engaging through our Industry
Engagement and Partnership Strategy to support an integrated
and transformational environment for SMME Development
28