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May 2016
Industry Buzz
T
he summary measured the
performance of the industry,
focusing on clients, the client’s
agent/consultant and clients from
519 construction projects, contrac-
tors and subcontractors on 1 331
projects countrywide.
Essentially, it’s about assessing
client satisfaction with all aspects
of the service received. Client needs
are summed up comprehensively by
Movement for Innovation of the UK:
Regular clients expect continuous
improvement fromtheir construction
team to achieve year on year reduc-
tions in project cost and reductions in
project time.” The summary revealed
that 18% of the work carried out
by contractors in 2014 was judged
unsatisfactory by clients, with unac-
ceptable defects recorded in 13% of
these projects. Seen against client
dissatisfaction of 13% in 2012 and
16% in 2013, it paints a worrying
picture of ongoing deterioration in
performance.
However, cidb’s Programme Man-
ager: Construction Industry Perfor-
mance, Dr Rodney Milford says that
this dark cloud must be seen against
the increasingly stormymarket condi-
tions being experienced across South
African economic sectors.
“Although the trend is of concern,
the survey also shows that a large
proportion of companies in the con-
tracting and consulting sector deliver
a high-quality and value-for money
service.”
He continues: “Significantly, our
surveys often uncover a mismatch of
projects and contractors and this, we
believe, is because functionality is not
taken into account when contractors
are appointed.
He continues, “We would like to
A change of direction
The latest cidb Construction Industry Indicators summary shows
reports that clients want projects delivered on time, on budget and
free from defects, right first time and by profitable companies.
see clients undertake risk assess-
ments when procuring services. This
empowers the client to weigh up the
capabilities and track record of the
contractor so as tomanage risks early
in the process.”
As with any industry, ongoing
access to work and sustainability in
construction hinge on the ability to
deliver a superior standard of work
consistently.
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P
GBison and Sonae are the only
twomanufacturers of particle-
board and Medium Density Fi-
breboard (MDF) in South Africa. These
are wooden products that are used in
a variety of applications, including
the manufacture of home and office
furniture, built in cupboards, kitchen
units, coffins and shop fittings.
The Commission has reasonable
grounds to suspect that PG Bison
and Sonae have engaged in collusive
practices in contravention of the
Competition Act.
The search operation is conducted
as part of an ongoing investigation
against the two firms and with due
regard to the rights of all the affected
persons. During the search docu-
ments and electronic data seized
will be analysed together with other
information gathered to determine
Commission raids PG Bison and Sonae
The Competition Commission is conducting a search and seizure
operation at the Gauteng premises of PG Bison and Sonae Novobord
as part of an investigation into alleged collusion.
whether a contravention of the Com-
petition Act has taken place.
In terms of the Competition Act,
the Commission is authorised to
enter and search premises and seize
documents which have a bearing on
an investigation
“Cartels are harmful because they
result in high prices for consumers
and reduce the incentive for firms to
be innovative.
It is for this reason that the inves-
tigation of cartels continues to be a
priority for the Commission. Should
this investigationuncover evidence of
collusion, we will prosecute the firms
involved for contravening the Compe-
tition Act,” saidCompetition Commis-
sioner, Tembinkosi Bonakele.
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