Procurement Intelligence Unit

As I was rushing to a seminar, juggling free ice cream in hand, my progress through the throng of procurement professions was arrested by an unexpected question: "how much do you think this bee hive cost to make?" This struck an unlikely chord at the recent Public Procurement Conference in London.

I stopped and considered the beehive before me. It was constructed of disused pallets and a few tacks. Labour and nails were its only costs. Perhaps £2?

At this time, I was struggling to balance myself under the weight of free pens, product samples and literature. The imminent melting of a strawberry whirl was an added concern. I was already late for a talk on collaborative procurement in Scotland and yet the refreshing difference of the question halted me. The nature of the project was a world away from the world of e-auctions, supply relationship management and public contracting.

I was stopped by a representative of Wooden Tiger, a social enterprise organisation that seeks to provide the long-term unemployed and vulnerable adults with employment and skills to re-enter the labour market. One such project was the building of beehive-shaped composters constructed through reused materials.

This was one of the many exhibitors at the conference, which sought to provide corporations with socially responsible supplies. Others manufactured wheelchairs, offered mail distribution services and ground maintenance staff. These organisations provide training and employment opportunities for former offenders, disabled veterans or vulnerable adults, who otherwise may be unable to find a job.

In the UK, apprenticeship programmes encourage companies to train and employ young people from disadvantaged backgrounds at a subsidised rate. But generally the UK is behind other economies in this regard. Vocational qualifications are afforded a higher status in Germany, with a 2005 reform act linking secondary qualifications to vocational training providing a productive employee for the economy early in his/her career. In the US, Motorola procures 10% of its spend from small businesses owned by minority groups or women.

Programmes for socially responsible are often seen as expensive or glamorous global initiatives. Companies engage in carbon offsetting programmes, rainforest conservations initiatives or environment checklists for supplies, however, socially aware sourcing can take place closer to home.

The rallying cry of green activists for generations can be applied to businesses in their recruitment or sourcing initiatives and by providing work for those from disadvantaged communities, organisations can truly "think global, act local."

Some companies may think that distant and rather abstract social sourcing projects are the bees' knees. Certainly they provide a respectability to annual reports, but they may not carry as much of an impact as turning a person that may otherwise be a welfare transfer claimant into a productive member of society. Companies can make a difference by considering the local, social enterprises offering socially responsible sourcing closer to home.