Keeping the Lights On for SMEs: How Procurement Teams Can Refresh ESD Programmes and Build Resilience in the Face of Load Shedding”

Load shedding is a persistent issue in Africa, with power cuts disrupting the operations of businesses of all sizes. Small and medium-sized enterprises (SMEs) are particularly vulnerable, as they often lack the resources to implement backup power systems or relocate to areas with more reliable electricity supply. To support SMEs and ensure the continuity of their supply chain cycle, procurement teams can play a vital role in refreshing their Enterprise and Supplier Development (ESD) programmes. By leveraging ESD initiatives to address the challenges of load shedding, procurement teams can not only enhance the resilience of their supply chain but also create new opportunities for SMEs. To supportSMEs and address the impact of load shedding on their operations, Here are some strategies that procurement teams can adopt to refresh their ESD programmes: 1. Engage with SMEs to understand their load shedding challenges Procurement teams can proactively engage with SMEs in their supply chain to understand their specific load shedding challenges. This could involve conducting surveys, holding focus groups or one-on-one discussions, and gathering data on the impact of power cuts on their operations. By understanding the unique needs of SMEs, procurement teams can tailor their ESD programmes to address the specific challenges faced by these businesses. 2. Promote the use of renewable energy solutions Renewable energy solutions such as solar power and wind power can provide a reliable and sustainable source of electricity, even in areas prone to load shedding. Procurement teams can encourage SMEs to adopt renewable energy solutions by offering incentives such as funding or technical support. This not only helps SMEs to mitigate the impact of load shedding but also promotes the use of green energy sources. 3. Support the development of energy storage solutions Energy storage solutions such as batteries and generators can provide backup power during periods of load shedding. Procurement teams can support the development of energy storage solutions by partnering with SMEs and suppliers to identify innovative solutions that are cost-effective and scalable. By doing so, procurement teams can help SMEs to maintain continuity in their operations and reduce the risk of losses due to power cuts. 4. Build resilience through diversified supply chain Procurement teams can build resilience in their supply chain by diversifying their supplier base. By working with a wide range of suppliers across different regions and industries, procurement teams can mitigate the risk of disruptions caused by load shedding in specific regions. Moreover, this approach can also open up new possibilities for SMEs to get involved in the supply chain, thus bolstering their opportunities for growth. In conclusion, load shedding continues to pose a major obstacle for businesses in Africa, particularly for SMEs. However, procurement teams can help to alleviate this challenge by considering to refresh their ESD programmes and using that as a tool to support SMEs and enhance the resilience of their supply chains. While we acknowledge that these changes may take time, especially given the cost and complexity of implementing energy-saving options. Responsible procurement involves fostering the growth and sustainability of SMEs, which are the backbone of our economies. By implementing these strategies, Procurement can contribute to the economic development of our communities while also mitigating the impact of load shedding on small businesses. Let’s work together to create a more resilient and sustainable future for everyone. If you liked this article, please like, share & comment! Follow me on Instagram; https://www.instagram.com/lerato_procurement_genius/ YouTube: https://www.youtube.com/@Lerato_procurement_genius/videos Facebook: https://www.facebook.com/Procurementchatcorner/