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

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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