Transcript NB Presentation - Consulting Engineers South Africa

Civilution Congress 2014
CESA: Break-Away Plenary Session
Panel Discussion Session 2F – Assembly 4
PROCUREMENT DELIVERY CAPABILITY
(PART 1/2)
Meaningful partnership International &
Multinationals/Local
Andre van der Walt
[email protected]
CESA Member
Firms - of
Past
10 years
Consulting
Engineers
South
Africa
Africon
Ninhan Shand
Vela VKE
Kwezi V3
BKS
Steward Scott
PD Naidoo
Goba
Aurecon
SMEC
WorleyParsons
AECOM
Royal Haskoning DHV
Mott McDonald
Hatch Goba
SAACE
CESA
Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement
Meaningful partnership International & Multinationals/Local –
Past 10 Years
Consulting Engineers of South Africa
Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement
CESA Fee earnings vs Gross Fixed Capital Formation
Rbn, real prices
Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement
Employment
vs REAL fee
Consulting
Engineers
ofincome
South (Rbn)
Africa
(Deflated using the CPI & LCI)
Employment Revised (right axis)
Income: CPI 2000 prices
Income : CESA LCI 2005 prices
12.0
24,500
22,500
10.0
20,500
8.0
18,500
6.0
16,500
14,500
4.0
12,500
2.0
10,500
8,500
Dec-97
Jun-98
Dec-98
Jun-99
Dec-99
Jun-00
Dec-00
Jun-01
Dec-01
Jun-02
Dec-02
Jun-03
Dec-03
Jun-04
Dec-04
Jun-05
Dec-05
Jun-06
Dec-06
Jun-07
Dec-07
Jun-08
Dec-08
Jun-09
Dec-09
Jun-10
Dec-10
Jun-11
Dec-11
Jun-12
Dec-12
Jun-13
0.0
Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement
Africa
1,400
1,200
200
0
Dec-98
Sep-99
Jun-00
Mar-01
Dec-01
Sep-02
Jun-03
Mar-04
Dec-04
Sep-05
Jun-06
Mar-07
Dec-07
Sep-08
Jun-09
Mar-10
Dec-10
Sep-11
Jun-12
Mar-13
Dec-98
Sep-99
Jun-00
Mar-01
Dec-01
Sep-02
Jun-03
Mar-04
Dec-04
Sep-05
Jun-06
Mar-07
Dec-07
Sep-08
Jun-09
Mar-10
Dec-10
Sep-11
Jun-12
Mar-13
CESA Fee income
earnedof
(Rm
real prices)
Consulting
Engineers
South
Africa
Other International
600
500
1,000
400
800
300
600
400
200
100
0
Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement
Meaningful partnership ??
International & Multinationals/Local









Foreign Capital Inflow - projects
Capability access - specialists
Capacity – equipment, resources
Experience – mega projects
Local skills development
Global market access for SA
Access to multinational clients
Economies of scale
Legitimacy of profession
enhanced
 Access to grant funding
× Growth expectation drive
hyper competition
× Fees and Profit outflow
× Loss of local control
× Global management style
× Added governance burden
× Local standards development
neglected
Infrastructure Procurement Civilution – A CODESA of Infrastructure Procurement
Andre van der Walt
[email protected]