An evaluation of asset management compliance in the national office of the Department of Justice and Constitutional Development
Abstract
The study was aimed to evaluate compliance to the management of assets in the
National Office of the Department of Justice and Constitutional Development in
Pretoria. Since moveable asset management is still an unfamiliar concept in South
African public sector, not much research ·has been done in this field. From the
problem statement, it was evident that asset management is indeed a subject within
the department that needs attention. Literature review on the study was conducted
and most sources highlighted the evolution of asset management in the public sector
and comparison was made to the current study and asset management concepts
were also analysed.
The methodology followed in the study was of a descriptive quantitative research
design and data were collected by means of questionnaires and presented in the
form of tables. One hundred and fifty questionnaires were randomly distributed in
both offices of the national office of the Department of Justice and Constitutional
Development. From the total questionnaires distributed only 130 were received back
and sorted, coded and analyzed using the Statistical Package for the Social
Sciences (SPSS) version 21 , with frequency count, percentages, correlation and
multiple regression. Demographic results showed female dominance over males in
terms of number of respondents (45.4% males and 54.6% were females). Most
respondents (45%) were on the ages of 30-39 which is the most active age in the
society. The office has 39.2% staff as clerical/admin. Supervisors also reflect a 29%,
management 17.7% and executive management 9.2%. About 89% of staff is aware
that there is a supply chain management policy. A relatively high percentage of
respondents (74.6%) knew about the department's asset management policy; a
notable 63.1% of the respondents did not attend any training on supply chain/asset
management policy while only 33% of staff members did attend a related training
The results also show that there is a significant relationship between compliance with
asset management and knowledge by employee (r = 0.34, p < 0.05); knowledge by
managers (r = 0.28, p < 0.05); awareness of asset management objectives (r = 0.68,
p < 0.05) and awareness of asset management guidelines (r = 0.67, p < 0.05). This shows that compliance to asset management is positively correlated to knowledge
and awareness of asset management by employees and managers.
The results further show that independent variables were significantly related to the
compliance with asset management principles and guidelines. The F value of 18.33
shows a strong relationship between the independent variables and compliance with
asset management principles and guidelines. Which implies that the model is well fit
and adequate The significant determinants are aware of asset management
objectives (t = 6.258, p < 0.05); awareness of guidelines (t = 5.77, p < 0.05); age (t =
1.96, p < 0.05) and types of employment (t = 2.07, p < 0.05). This implies that as the
awareness of asset management objective and guidelines, age of respondents and
types of employment increases compliance with asset management principles and
guidelines will also increase.