RONNIE SIPHIKA: SA’s construction industry faces leadership and profitability crisis

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RONNIE SIPHIKA: SA’s construction industry faces leadership and profitability crisis
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There is no single large scale body that represents both industry and clients across all types

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We are going nowhere fast. The government is disorganised, and the SA construction industry and the clients that rely on it are at a critical juncture. Perhaps right now could be the time to review the seriousness of the outlook. The same deep-seated problems have existed for many years and are well known and rehearsed by most industry associations, yet despite that there appears to be a collective reluctance or inability to address these issues and set a course for improvement.

While Casa might be an exception as attempts have been made to align divergent interests, there has essentially been a lack of joined-up strategic thinking that brings together government, clients, major contractors, specialist contractors and relevant professional bodies, including regulars such as the Construction Industry Development Board.

Despite a large infrastructure led pipeline through the new created Infrastructure SA , which was led by the current electricity minister Kgosientsho Ramokgopa, about 75% of all output is not in government’s direct control and there is not enough co-ordinated engagement with private clients of the industry, including real-estate developers, investors, developing occupiers and to a large extent housebuilders.

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