Objectives

The primary objective of this tender is to procure an Asset Management System along with support services for a period of 36 months (3 years). The system aims to enhance the municipality's capacity to manage assets effectively, ensure integration with existing financial management systems, and facilitate compliance with relevant standards such as msCOA and GRAP. Additionally, the project includes skills transfer, asset verification, impairment assessments, and addressing audit findings to improve asset management practices within Vhembe District Municipality.

Scope

The scope of work encompasses:

• Provision of an Asset Management System that integrates with the Municipal Financial Management System, capable of:
• Importing the current Excel Fixed Asset Register
• Ensuring msCOA compliance
• Integration with financial systems for project expenditure and journal exchanges
• Asset Management Support covering:
• Management of immovable and movable assets
• Assets verification and physical inspections
• Conditional and impairment assessments of assets and projects under construction
• Unbundling, componentization, valuation, and updating of the Fixed Assets Register (FAR)
• Provision of GIS location data for assets
• Addressing audit findings and implementing the Audit Action Plan
• Reconciliation of Fixed Assets Register with the General Ledger
• Skills transfer to VDM officials

Technical Requirements

The technical specifications include:

• The Asset Management System must be compliant with msCOA and integrate seamlessly with the Municipal Financial Management System.
• The system should support importing existing asset data from Excel.
• Facilitate project expenditure integration and journal exchange in line with msCOA standards.
• Support comprehensive asset verification, componentization, valuation, and impairment assessments.
• Provide GIS location mapping for all assets.
• Develop an implementation plan within one week of appointment.
• Develop methodologies aligned with GRAP standards for asset impairment, valuation, and unbundling.

Skills Requirements

The tender emphasizes the need for a qualified and experienced team with the following competencies:

• Knowledge of asset management in local government environments.
• Qualifications in Engineering and Accounting (e.g., CA(SA), RGA, SAIPA).
• Proven project management skills.
• Experience in applying Generally Recognized Accounting Practice (GRAP) standards.
• Experience working with Municipal Financial Systems.
• Company registration with professional bodies such as SAICA, SAIGA, SAAMA, ECSA, or similar.
• A team comprising at least two qualified accountants, two registered engineers (civil, electrical, or mechanical), and a qualified project manager.
• Specialist asset management expertise, including a Certified Asset Management Specialist (CASM) designation.

Summary

The successful bidder must deliver a compliant Asset Management System with robust support services, ensure integration with existing financial systems, perform asset verification and assessments, address audit findings, and transfer skills to VDM officials. The team must possess relevant qualifications, experience, and professional registrations to meet the technical and skills requirements outlined above.