In its first year, the Malinauskas Government made changes to the state government procurement policy. Positive changes, intended to address concerns from local businesses who felt they were unfairly shut out from government tenders or overlooked in favour of interstate companies where the offering and price seemed comparable.
As the sun sets on this Government’s inaugural term, businesses are telling us that they are still facing some of the same issues as four years ago.
The next government needs to prioritise reviewing the implementation of this policy and how it has performed in real terms, to ensure it is delivering on its promise and is fit for purpose. This cannot be a desk-top exercise as the stats don’t always tell the full story; transparency is key, and the voice of business must be heard.
As our economy transitions and massive government-funded infrastructure projects roll out across the state, the scope of procurement from the public purse has never been greater, and its significance to local business never more important.
It is more than simply supporting local jobs and keeping dollars in the SA economy. Winning these contracts is often the catalyst for business expansion, creating the drivers to attract and build a local talent pool that can be drawn on for decades to come. We will not realise our state’s economic potential without an expanded skilled workforce.
Buying local fuels business investment, encourages relocation and start-ups to our state, in turn growing competition and demanding a culture of efficiency and productivity.
The true measure of how South Australia’s economy is performing and the breadth of our economic complexity will not be through a business survey. It will be viewed through a lens of opportunity and value being created across businesses of all shapes and sizes.This rising tide needs to float all the boats.
The impact of local businesses winning large government contracts is felt right along the supply chain and adjacent sectors and industries. That ripple effect is necessary so that no business is left behind. The small business sector is ready and willing to play its part.
Much has changed in SA over the past four years, and projects lay ahead that were not on the table back in 2022. The size of the prize is bigger than ever, and businesses are concerned that history will repeat itself if we don’t address this now.
Good policy is the starting point. Ensuring those who hold the purse strings implement and are accountable for that policy is the only way it can achieve the desired outcome.