Harare to roll out ERP system next week to track missing US$200 m

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HARARE City Council has signed the long-awaited contract for the implementation of an effective Enterprise Resource Planning (ERP) system, which is set to be operationalised next week as it moves to trace the missing US$200 million as per the Auditor-

General’s recommendation.

The decision has been necessitated by exceptional circumstances highlighted in the Auditor’s General reports of 2018 and 2019 which revealed serious deficiencies in financial reporting and missing information, in particular a sum of approximately US$200

million which could not be verified.

An ERP system is software that integrates and automates various municipal operations, such as budgeting, procurement, payroll and service delivery, to enhance efficiency, transparency and responsiveness to the community’s needs.

Harare Mayor Councillor Jacob Mafume told councillors during a full council meeting on Wednesday that the ERP system had survived several legal and administrative hurdles and was finally being operationalised.

This comes amid the revelation that the city has allegedly been losing nearly US$200 000 per day since 2019 due to the delayed implementation of a modern Enterprise Resource Planning (ERP) system, with estimates suggesting total losses could be around

US$500 million.

However, last year, the Local Government and Public Works Ministry requested that the Procurement Regulatory Authority (PRAZ) permit the city to re-engage Quill Associates to reactivate the outdated ERP system for a transitional period of 12 months, which

would allow for the cover of information, including the missing funds.

Clr Mafume said the contract has already been signed and work has commenced, with the full roll-out scheduled for next week.

“What that will do is help us chase money that we are missing, especially the missing US$200 million, which is unaccounted for. It will help us produce a bill that residents can understand. It will also help us to account and to track progress in terms of the revenue,

and how we are using that revenue,” he said.

Clr Mafume stressed that the ERP was a fundamental pillar of good governance, describing it as the sine qua non of accountability in Local Government.

“This is a breakthrough in modernising council systems. We are no longer operating in the dark. Residents will be able to see, in black and white, what they owe and how their money is being utilised. That is the essence of transparency,” he added.

The ERP system was challenged in the courts on an urgent basis, but the council won the cases, clearing the way for its implementation.

“They took it to court, where we won. They took it on an urgent basis, where again we won. The legal attempts to derail this reform have failed, and now the system is here,” Clr Mafume said.

Clr Mafume said the move aligned directly with President Mnangagwa’s 10 principles of governance, which include transparency, accountability, efficiency and results-driven administration.

“This ERP system speaks to the President’s vision. It is about making sure residents get value for their money and ensuring that every dollar collected is accounted for. That is what Vision 2030 is about, systems that deliver, not excuses,” he said.

He further cautioned individuals using the courts to frustrate reforms, saying such actions were detrimental to service delivery.

“Those who take council to court for personal or political reasons must know they are delaying progress for ordinary residents. We cannot afford to waste time when the city needs solutions,” Clr Mafume said.

The operationalisation of the ERP system is expected to modernise Harare’s financial management, enhance billing clarity for ratepayers, and significantly reduce the city’s perennial revenue leakages.

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