Public Private Partnership Agreement Management:

Khanyile, Patricia Nonhlanhla
Journal Title
Journal ISSN
Volume Title
Public Private Partnerships (PPPs) are seen as a way of enabling the government to gain access to private expertise and funding in order to improve service delivery without the necessity of borrowing. The Folateng (the private arm of the Johannesburg Provincial Hospital – the Charlotte Maxeke Hospital) PPP initiative was established with the goal of delivering quality medical services to the public at a profit while retaining essential skills. The purpose of this research was to establish the best practices for effective contract and relationship management within the PPP, to maximise benefits to all stakeholders with particular reference to the healthcare sector in South Africa. The data were collected during in-depth interviews with specially selected respondents involved in the healthcare sector, the PPP unit in the Department of Treasury and the Folateng PPP initiative at the Charlotte Maxeke Hospital. A research interview guide was used for the interviews, which were recorded by audiotape and accompanied by extensive handwritten notes. The data were subsequently content analysed. The findings of this research were that setting of goals and objectives was seen as the top priority in ensuring effective contract management, followed by appointing a project officer with the best fit for the specific undertaking, along with selecting a project team of the most appropriate profile. Project monitoring and administration were regarded as the next most important issues for effective contract management. With regard to effective PPP relationship management, communication was found to be a top priority in this research, followed by corporate governance and dispute resolution. The mutual benefits of an effectively managed agreement were found to be firstly keeping to the budget and generating a profit. The iii second benefit was providing or obtaining quality services. The final mutual benefit was delivering the project on time to assure service delivery. There are imperatives that must be in place from the conception to the termination of a PPP agreement to ensure effective management and ultimate success
Public private partnerships, Hospitals