The causes of non-compliance to PFMA payment cycle in the North West department of Culture, Arts and Traditional Affairs

Abstract

The purpose of this study is to identify the causes of non-compliance with the PFMA payment cycles in the North West Department of Culture, Arts and Traditional Affairs (CATA) head office in Mafikeng. This study stems from the perennial failure by the CATA Department to pay its creditors within a period of 30 days as prescribed by the PFMA. The study adopted a quantitative research method. A questionnaire with close ended questions was distributed to selected employees at the head office of the Department of Culture, Arts and Traditional Affairs in Mafikeng. Convenience sampling was used to select the respondents. The data was analysed using the latest SPSS software package. The findings reveal that the department does not always comply with the supply chain management principles as well as general policies guiding the management of public institutions that are prescribed by the PFMA. The officials within the SCM and Payment Unit should conduct a Risk Assessment and identify the risks associated with non-compliance to Payment of Suppliers within 30 days as stipulated in the PFMA and Treasury Regulations and other Financial Circulars.