SUPPLIER DEVELOPMENT


Supplier Development (SD) is a critical aspect of the South African BBBEE scorecard. Offering a 3% reclaim on net-profit-after-tax, SD provides corporates with the opportunity to save and
strategically develop their supply chain. 

The key to SD success is mobilising corporate support for a strategic approach. Through its partner network, the Connexion.zone platform allows large corporations to manage their
procurement needs effectively. Through valuable linkages, the network facilitates access to local and international markets.

Optimising and consolidating procurement spend significantly improves the bottom line. Connexion.zone helps customers achieve this through:

  • Consolidation within specific spend categories
  • Negotiation on costing and special deals
  • Leveraging volumes to decrease spend

Connexion.zone offers: 

  • Strategic supply base development
  • Supply development and capacity building by developing a SD plan
  • Supplier Diversity Model


Advantages:

  • Stronger supply base
  • Reliable list of diverse, transaction-ready suppliers
  • Pre-screened due diligence
  • Tools such as: company diagnostics, training and development, specific demand-driven interventions, and the monitoring and evaluation of processes

ABOUT


Enterprise Development (ED) success requires the development of strong suppliers. While this is essential, incorrect companies are often selected for ED programmes, compromising their
effectiveness. Businesses requiring too many interventions to succeed, are most likely not ideal candidates. 

The Connexion.zone platform is designed to help organisations identify businesses that are actually likely to succeed. With the right assistance (through the ED programme) these
businesses will flourish. Through the process, businesses that are unlikely to perform despite intervention are screened out. This ensures that the right suppliers are developed and
integrated successfully into the supply chain.


PROJECT MANAGEMENT


To be successful, SD interventions must be managed effectively. Connexion.zone offers the following project management solutions: 
  • Overseeing of SD spend per SD partner
  • Reporting back to Fund Manager
  • Processing claims payments
  • Finalising report for submission to SD sponsor
  • Integrating report with SAP information from SD sponsor

OUTCOMES



The overarching outcome required is the growth and success of the business participating in the ED programme. Selecting the right businesses is the first step to achieving return on
investment (ROI). When ROI is experienced, the ED programme is empowered to help more businesses and improve its track record.

Connexion.zone therefore offers pre-screening to help companies offering ED programmes to reduce the level of analysis required. Members are able to select sound companies for their
programmes, delivering a higher success rate and faster turn-around time.

Access to markets, business opportunities and corporations are crucial for SMMEs to survive and to be sustainable. To facilitate the development of a business-to-business network, Connexion.zone links corporate members to bona-fide Black Owned Business Enterprises.