Leveraging procurement spend to create jobs and opportunities

by Australia Post

(Business)

A Global Compact member

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At Australia Post we are dedicated to leveraging our spend to create jobs and opportunities for people who may have struggled to find or sustain work, reinvigorate depressed communities and drive better business outcomes. In 2016-17 we spent more than $5.6 million with the 35 social businesses in our supply chain, up from $1.7 million last year.

Project implemented: 2010

Project goal

To leverage our procurement spend to create jobs

delivering on

why is this project important?

Social procurement is undertaken when buyers use their purchasing power to buy goods and services with the intent to create positive social benefits. Australia Post commenced its social procurement journey in 2010, when it proudly became a member of Supply Nation, publicly committing to engaging Indigenous businesses in our supply chain. As part of our Stretch Reconciliation Plan, we have set ourselves a target to spend $40M with Indigenous businesses by 2020 and we have also solidified our approach to social procurement through the creation of a Social Procurement Strategy in April 2017.

In addition to our commitment to Indigenous businesses, Australia Post became a founding member of Social Traders Connect in 2015.

This partnership has helped drive our growth in spend with social enterprises. Social enterprises trade to intentionally tackle social problems, improve communities, provide people access to employment and training, or help the environment.

Australia Post was a multiple winner at the Chartered Institute of Procurement & Supply (CIPS) Supply Management Awards 2017 for our ‘Social and Sustainable Procurement program’:

  • 2017 ‘Best Contribution to Corporate Responsibility’
  • 2017 ‘Overall Winner – CIPS Procurement and Supply Team of the Year’

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