Procurement strategy must be aligned to business strategy, says Dirk Karl, Group Executive: Chief Procurement Officer & Member of the Board, Global Sourcing Company (GSC), The MTN Group a valued African brand in telecommunications. He told delegates at the Smart Procurement World Indaba 2022 that two of MTN’s core business strategies are localisation and ESG (environmental, social and governmental) sustainability.
Localisation
One of MTN’s main goals is to promote healthy societies and create prosperity in Africa, said Dirk. Procurement can unlock a digital future for SMEs through local value creation, skills development and citizen inclusion. In Nigeria, all SIM cards are sourced from local suppliers. Financial inclusion means quicker payment, mobile payment channels and providing access to microfinance.
Through its association with DOOKA, MTN is promoting a B2B marketplace for Africa. The benefits are:
- An automated sourcing process with self-service functionality
- Full access to a local supplier database
- More competitive pricing in an open marketplace
ESG
MTN is also creating value and growing its business by doing the right thing on the ESG front, sustainably. They have trained 670 key suppliers in their code of conduct across their markets. Innovations include the development of a biodegradable SIM card, the first of its kind globally.
MTN is a global leader in telecommunications operating in more than 20 countries in Africa and the Middle East. It has more than 282m subscribers and is committed to innovations that enable local SME businesses.
