The State of Social Procurement in Australia and New Zealand
The State of Social Procurement in Australia & New Zealand 2021 report is the first in-depth analysis of the breadth and scope of social procurement in Australia and New Zealand
It has been conducted by the Centre for Social Impact (CSI) Swinburne, in partnership with IPA Personnel, The Chartered Institute of Procurement and Supply (CIPS), Social Traders and Ākina Foundation.
Social procurement is the conscious commitment to generate social value outcomes amongst local communities and economies and to benefit the environment and disadvantaged groups through the purchase of goods and services by organisations.
Introducing the State of Social Procurement in Australia and New Zealand 2021 report
Highlights
Here are some key findings from the State of Social Procurement in Australia and New Zealand 2021 report
74%
of organisations are actively engaged in social procurement
51%
identified the lack of procurement experience as the key barrier
88%
maintained or increased their commitments to social procurement during Covid19
86%
believe social procurement will become more important in the future
Why social procurement?
The drive to social procurement strategies in organisations and businesses is varied and depending on the sector and size of the organisation but the good news is – it is gaining traction. Consumer-driven ethical choices, organisational ambition to improve reputation and policy decisions, state and federal government-sponsored regulation inevitably means more is on its way and organisations and businesses should be prepared.
What next?
The report finds positive sentiment for social procurement across sectors, with participating organisations largely predicting social procurement will grow in significance into the future. Here are some considerations to be mindful of whether you are starting or continuing your social procurement journey.
- More work needs to be done to set specific targets and areas of impact; this will enable greater focus on social procurement plans and allow tracking of outcomes
- Both organisations and their suppliers should place more emphasis in measuring the real impact of their activities
- Organisations should invest in developing and training their procurement staff to ensure adequate knowledge and expertise are at the foundation of social procurement strategies
- Government(s), private sector and intermediaries should work together to support the development of ‘for benefit’ suppliers – in respect to both capability and capacity
- Greater awareness will support better understanding of social procurement opportunities, expectations and requirements
This report has been produced based a study conducted by the Centre for Social Impact (CSI) Swinburne.
Expand your social value skills
Check out more helpful resources
The State of Social Procurement 2021 Report
A useful tool when building your social procurement strategy
Procurement professionals can play a significant role in creating social value for local communities, the environment and minority groups through the adoption of targeted strategies and by supporting the development of diverse suppliers within their supply chains. This aspiration is best placed in the hands of skilled and trained professionals who can incorporate social outcome goals into procurement strategies and operations, seamlessly and with the most impact on the communities they want to help.