NAB promotes diversity in our supply chain through our Australian Supplier Diversity Program. Through the program, which began in 2012, we’re working to build sustainable enterprises and support communities through the power of purchasing.
Incorporating diverse suppliers (businesses owned by women, Indigenous people, people with disability and social enterprises) into our supply chain helps increase their exposure to corporate procurement while creating employment and training opportunities, sustainable growth and social and financial inclusion.
Our approach to supplier diversity focuses on facilitating introductions between our national Tier 1 suppliers with potential Tier 2 diverse suppliers, who generally only have local or regional reach. Recently, we facilitated three introductions:
- We introduced Yaru Water (an Indigenous business) to our Tier 1 catering supplier;
- We introduced Waverley Industries (an Australian Disability Enterprise), to our Tier 1 print management supplier; and
- We introduced Pacific Services Group Holdings (an Indigenous business) to one of our Tier 1 property management suppliers.
All of these introductions have resulted in commercial outcomes between these organisations. Through our supply chain, we have supported more than 18 diverse suppliers, and significantly increased our spend with diverse suppliers since 2012.
Given that engagement of diverse suppliers is typically through our Tier 1 suppliers, capturing spend data has been challenging. In 2014, we developed a reporting process in Australia to track both our direct and indirect spend, as well as an introduction tracker that has enabled us to track the success of our introduction program and the degree to which introductions are translating into tangible commercial outcomes for diverse suppliers. These changes will increase the robustness of the Supplier Diversity Program and allow us to better track our progress.
In 2013-14 we developed and ran a series of Procurement Awareness workshops across Australia for Supply Nation-certified Indigenous businesses to increase their capability and understanding of corporate procurement processes and expectations. In 2015 we have been working to expand the content of these workshops beyond a procurement focus, and to open them up to all of our diverse supplier streams. We are expecting to roll out these workshops in 2016.
We also continued to support Supply Nation by sponsoring their Connect 2015 Annual Indigenous Business Tradeshow, and providing speakers to open the event. Supply Nation’s Connect event provides the opportunity to create links and build relationships between member organisations and certified Indigenous suppliers. We also facilitated eight introductions with Supply Nation certified Indigenous businesses, exceeding our Reconciliation Action Plan target of five.