As Māori supplier diversity practitioners and specialists, we have unique observations and insights of the impacts of the practice as well as the nuances of Māori businesses. These insights have been formed through the practical implementation of supplier diversity, working with both buying organisations that want to embed supplier diversity, as well as with Māori businesses that we have connected to buyers. In this article we share 5 insights from working in the field over the past 8 years.
This is article is a follow on from the practitioner insights we published in our journal article; Empowering indigenous enterprise through supplier diversity – The case for Puna Awarau in Aotearoa (New Zealand). For a copy, email kiaora@punaawaru.com
Meeting business owners is powerful
Engaging directly with business owners is one of the most impactful strategies for driving meaningful change through social procurement. These interactions build strong relationships and foster a deeper understanding of the challenges and opportunities faced by diverse suppliers. Meeting face-to-face allows for authentic dialogue, helping to break down barriers and create a sense of mutual respect and collaboration. Often these hui squash procurers own pre-conceived ideas and help them to identify their unconscious bias. It also humanises the procurement process, making it more than just a transactional relationship. By understanding the unique value and perspectives that diverse suppliers bring, organisations can tailor their approaches to better support these businesses, ultimately leading to more sustainable and impactful outcomes.
Project success doesn’t mean organisational change
Often in projects, supplier diversity or the pursuit of a social or environmental outcome is sought because of targets or KPI’s. Organisations will strive to hit targets for a particular project, but this is often in isolation of the organisational objectives. This means, there is limited internal knowledge transfer, no organisation wide commitment and limited long term impact. There is often a need for an AND-AND approach. There is a need for both a project AND organisational focus.
Key champions drive change, but once they're gone, it can fall apart
A significant risk in social procurement efforts arises when initiatives are heavily reliant on a single key individual. These champions often possess the passion, vision, influence and drive necessary to spearhead change and inspire others within the organisation. However, if this champion leaves, the initiative may lose momentum, and the commitment to social procurement can wane. This dependence on individuals rather than building a resilient and embedded organisational culture around social procurement makes these efforts vulnerable. To ensure long-term success, it is crucial to institutionalise social procurement practices, create robust frameworks, and foster widespread buy-in across all levels of the organisation.
Targets are the floor not the ceiling
Most projects set targets at a level that is easily achievable with a bit of focus; they are not usually outrageously ambitious. This approach is intended to support businesses in their success. However, these targets should be treated as the minimum standard rather than the maximum. This principle applies to both environmental and social targets. By aiming higher and viewing these benchmarks as a starting point rather than an endpoint, organisations can drive continuous improvement and make a more significant impact.
The time from koorero to contract can be very long
Sometimes, organisations can take a year, maybe more, to finalise a formal contract with a business. This prolonged process can feel like an endless cycle of free kōrero, free advice, and free time before a contract is awarded. For businesses, this can be incredibly frustrating, leading to a sense of being strung along with no fruitful outcome. It is essential for organisations to streamline their procurement processes and ensure timely decision-making to respect the time and effort of all parties involved. Reducing these delays not only fosters better relationships but also enhances the efficiency and effectiveness of procurement initiatives.
Conclusion
As social procurement and supplier diversity practitioners, we recognise the importance of sharing insights and maintaining a reflective practice. We hope these reflections provide valuable guidance and encouragement on your social procurement journey.
