Perceptions of small, medium and micro enterprises (SMMEs) regarding the supply chain practices of the Department of Transport (DoT) in the Chris Hani District

Abstract

Small, medium, and micro-enterprises (SMMEs) are vital contributors to economic enhancement, job creation, and poverty alleviation, particularly in developing regions. Their integration into public sector supply chain processes often faces significant challenges, undermining their growth potential. This study explores the perceptions of SMMEs regarding the supply chain management (SCM) practices of the Department of Transport (DoT) in the Chris Hani District in the Eastern Cape, South Africa. This study employs a qualitative research approach and utilizes a case study approach to explore how SMMEs engage with the Department of Transport’s supply chain processes, aiming to uncover underlying challenges and potential areas for enhancement. Data was gathered using semi structured interviews with 20 representatives from SMMEs operating in different sectors, allowing for a broad range of perspectives. The interview questions focused on the efficiency, transparency, fairness, and support provided by DoT’s SCM practices. The data were analysed thematically using NVivo software, revealing key issues such as delays encountered in procurement processes, lack of clear communication, perceived favouritism, and difficulties meeting regulatory requirements. The study also highlighted limited access to financial and technological resources as critical barriers for SMMEs to participate effectively in government supply chain processes. Guided by the stakeholder theory and the resource-based view, the research contextualizes the findings within the broader public sector accountability and resource optimization framework. Recommendations include improving SCM transparency through digital tools, enhancing communication with SMMEs, implementing capacity-building initiatives, and fostering a more inclusive procurement process. These measures aim to address identified gaps, reduce barriers, and enable the DoT to create a more equitable environment for SMME participation. This study contributes to the growing body of knowledge on SMME development and public sector supply chain practices while providing actionable insights for policymakers to strengthen SMME engagement and promote economic growth in the Chris Hani District.