What is Enterprise Supplier Development and How can it Benefit your Business?

Enterprise Supplier Development (ESD) is affirmative action aimed at promoting economic tranformation through, using, mentoring or developing entrepreneurs or businesses that were previously disadvantaged due to circumstances or legislation. Under the revised BB-BEE scores South African companies can benefit from participating in Economic Supplier Development

Different manners of Enterprise Supplier Development (ESD) are:

1. Preferential Procurement

In South Africa preferential procurement is a national policy that encourages government department and agencies to procure goods or services from previously disadvantaged individuals or businesses.

2. Supplier Diversity

A proactive movement from businesses to use and source goods from suppliers who have been under-used and are struggling to enter the marketplace

3. Supplier Development

Companies or businesses working with under-used and disadvantaged suppliers on a one-to-one basis to improve their performance and improve their chances to be worked with by other businesses and companies.

4. Enterprise Development

This is a strategy from businesses and corporations to work with people to promote economic growth and reducing poverty in their community.

Examples of Enterprise Supplier Development exercises from Businesses:

• Giving previously underprivileged and under-used suppliers to market through opportunities
• Giving business development support to previously underprivileged and under-used suppliers
• Mentorship of entrepreneurs to guide growth of the business
• Putting on training targeted to elevate business owners

If you are looking for Enterprise Supplier Development from either side

Click Here to get in touch with The Transformation Legacy