Liaison Committees
Guideline for Liaison Committees on the Association's position on certain key issues
Introduction
The Liaison Committees of the Association, both at national and branch level, are key contact points where clients interact with persons representing the Association. Thus the lobbying and liaison that takes place at these interactions forms part of the lifeblood and raison d'être of the Association, i.e. to enhance members' business interests.
This document is to serve as a guide for liaison committees when dealing with clients. The Association previously published the document "Role and Function of Liaison Committees" as well as a suggested reporting proforma for liaison committees.
What is the Association?
CESA is a voluntary association of firms of consulting engineers and/or allied professionals which
- are primarily in the business of offering independent technology-based intellectual services in the built, human and natural environment to clients for a fee
- are managed and have their operating policies determined by people whose professional qualifications and conduct are in keeping with the requirements of the Constitution and its By-laws
- have high professional repute and ethical standards.
The Association has membership by firm, represented by Principals of the firms. A Principal is any person so designated by that member (firm) as a Principal. 50% of the directors need to be Registered Principals, i.e. a Principal professionally registered with a statutory body recognised by Council.
The Association has approximately 460 members, employing approximately 4 300 professionally registered persons, and a total staff complement of approximately 16 500 people. The total fee value earned by members of the Association is more than R7 billion per annum, implying that the members of the Association have a responsibility for a substantial amount of construction and related work.
25% of all members (firms) employ ten people or less. The largest 13% of firms (firms employing 100 people or more) employ 73% of all staff.
The Association's vision
The South African Association of Consulting Engineers is committed to:
- enhancing the professional and business interests of its members
- improving the quality of life for all South Africans by the promotion of engineering excellence
- serving clients with professionalism, integrity and independence of judgement.
Please note that the Association is not a learned or vocational society (e.g. SAICE or SARF), or is it a regulatory body (e.g. ECSA). CESA is a business-support organization made out of consulting engineering firms.
The Association has committed itself to the following Strategic Thrusts 2008/2009:
- To educate members and clients on preferred business model
- To address skill shortages in an expanding economy
- To maintain standards of professionalism and quality management
- To drive sustainable transformation
- To improve client liaison/performance of committees, regional structures and directorate
- Create a formal IBDS Export council
- To develop an HIV/AIDS policy for consulting engineers
- To develop and create an awareness amongst consulting engineers of environmental issues affecting the industry
- To rebrand the SAACE in a manner that is supportive of strategic intent
These Strategic Thrusts receive top priority from the CESA President, the Executive Director and feature as the first items on the agendas of Council and the Executive Committee.
Ethics and the Code of Conduct
The new Constitution, adopted in January 2003 includes the Code of Conduct. Please note that a Disciplinary Committee packed with heavyweights upholds compliance with the Code of Conduct. Where the case becomes more complicated it is referred to an independent Disciplinary Tribunal. The Disciplinary Committee works closely with the Engineering Council of South Africa (ECSA).
Transformation
The Association is strongly committed to the transformation process in the country. The CESA's Transformation Charter is endorsed by the full Council of the Association.
Ongoing transformation issues are also dealt with by the Transformation Committee, which has been given the freedom to consult freely with an informal grouping, the Black Caucus.
To tender or not
Whereas increasingly "organs of State" would be required to conform to the preferential procurement legislation, there are many instances, e.g. private sector, donor-funded projects, etc. which would not fall under the ambit of the preferential procurement legislation. The Association's preferred route for the selection of professional services is to use quality-based competitive selection. Such a system includes elements such as expertise, experience, methodology, etc. and price. Usually price should form a minor component. For smaller appointments, a simpler selection process, excluding price, should be preferred. See the Guideline : How to select and appoint a Consulting Engineer.
Tendering where price is the dominant element should be avoided. International research has shown that this is generally not in the client's interest. In fact, this position is recognised in the 1997 Green Paper on Public Sector Procurement Reform, published by the National Department of Public Works.
You may also note that a study by the World Bank indicates that the professional fee comprises approximately 2% of the total lifecycle cost of a project. Why risk the 98% of the project by trying to achieve "saving" on the 2%?
Our country's Constitution requires that organs of State award contracts for goods and services in accordance with a system which is fair, equitable, transparent, competitive and cost-effective. There is no requirement for tendering. In fact, in October 1998, the Local Government Transition Act was amended by regulations which are called "The Dispensing of Tenders Regulations", 1998.
A useful PowerPoint Presentation was prepared by the Association some time ago, and may be used as required.
Principals of Members should also be aware of Clause 2.7 of the Association's Code of Conduct:
"Members ..... shall:
2.7 Price Competition |
- When compelled to submit priced proposals, structure any offer such as to enable them to discharge their responsibilities to the client adequately in every respect.
- Inform the Association of instances of irresponsible fee competition which may jeopardise the quality of professional services to be rendered and which may bring the Association and/or any of its Members into disrepute.
- Promote the Associaton's policy regarding the concept of Quality-Based Selection (QBS)."
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SABTACO
The Association promotes positive and constructive engagement with SABTACO. The Association recognises the particular mission and mandate of SABTACO. There are many areas of common business interest between SABTACO and members of the Association.
Professional indemnity insurance
Membership of the Association is dependant on satisfactory professional indemnity insurance by members. Without satisfactory professional indemnity insurance, a consulting engineering firm or allied professional cannot become a member of the Association.
Website
Clients should be encouraged to browse the website (www.cesa.co.za), which contains much useful information that would also be of relevance to clients. A members-only section of the website is dedicated to CESA members. Members can log on to this section in order to gain access to additional support information such as notices, advisory notes, forthcoming meetings and events, etc. Important additions to the website are highlighted by the Directorate via a regular e-mail newsletter to the principals of all member firms.
Directorate
The Directorate of the Association comprises of 12 highly competent staff and is situated in Bryanston, Johannesburg.
Member Services
The main areas of business support to its approximately 460 members and their clients are clustered around the following activities, which is not exhaustive:
· Business Support |
- Management Information Survey
- Salary Survey
- Business Opportunities |
· Practice Support |
- Forms of Agreement
- Advisory Notes / Case Studies
- P I Insurance |
· Marketing and Promotional Support |
- Directory of Firms
- Business Excellence Awards
- www.cesa.co.za |
· Lobbying |
- Best Practice Policies
- QBS
- Strategic Partnerships |
· Liaison |
- BEP (SABTACO, ASAQS, ACPM & SAIA)
- SAFCEC
- MBSA
- SAPOA
- - PROCSA
- All three levels of Government
- Government Institutions and Agencies
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· Affiliation
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- FIDIC
- - Group of African Member Association (GAMA)
- ECSA |
· School of Consulting Engineering |
- Courses
- Seminars
- Workshops |
· International Business Development Section (IBDS) |
- Access to international business opportunities
- Missions to World Bank. African Development Bank and other markets
- Access to DTI support
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