Safaricom - 2021 Sustainable Business Report

85 SAFARICOM SUSTAINABLE BUSINESS REPORT 2021 / STANDING TOGETHER: GOING BEYOND / OUR MATERIAL TOPICS //// OUR STAKEHOLDERS / KPI SUMMARY SUPPORTING WOMEN OWNED BUSINESS GROWTH Our Women in Business (WIB) initiative continues on its transformational journey of empowering women and driving their economic growth. Despite the efforts we have put in place to build the capacity of the supplier and address other barriers such as access to credit, the total spend on women owned businesses remained at 2.3% of our total procurement spend, well below the target of 10%. Worth noting is that the initiative continues to be a model programme for other organisations who have adopted similar models aimed at increasing the participation of women-owned businesses in their supply chains. Despite the slow progress in achieving our WIB targets, we remain focused on building the capacity of women-owned businesses to participate in our areas of high spend and to addressing barriers such as access to finance. To this end, we have signed an MOU with a number of financial institutions for supply chain finance which benefits women suppliers. WIB PERFORMANCE INDICATORS FY18 FY19 FY20 FY21 Number of women-owned businesses 113 178 205 227 Number of women suppliers as a percentage of supplier base 9.1% 10.7% 10.2% 9.7% Number of unique WIB who have participated in tenders 34.5% 31.5% 23.4% 14.1% Procurement spend (KSh billion) 1.9 2.4 1.77 1.7 Procurement spend for WIB vs gross procurement value 2.3% 3.2% 2.3 % 2.3% DEALERS In the year under review, our dealers played an important role in keeping the value chain going. The number of active dealers in our network dropped by five in FY21 from 440 to 435, due to the economic pressures of the COVID-19 pandemic. Notwithstanding the pandemic, we maintained contact with our dealers via virtual dealer forums and ongoing safety engagements with the dealer managers. We held 20 virtual dealer forums, during which we recognised outstanding dealer performance. During engagements, dealers indicated that our targets were too onerous, and we responded by adjusting them by 9%. We supported dealers by growing the number of branded vans from 600 in FY20 to 700 in FY21 and continuing to promote our dealer motorbike scheme. Under the scheme, 350 motorbikes were purchased through a part financing scheme – 30%: Safaricom, 70%: dealer. STREAMLINING PROCESSES We continue to digitise and streamline dealer processes and have commissioned a project to automate the dealer distribution network and provide automations of dealer commission views. We have also simplified the SIM replacement process which is currently running at 19 000 daily within the channel. Our Know Your Customer (KYC) awareness campaign and the Subscriber Registration App (Jiandikishe) helped our dealers to meet the regulatory subscriber registrations requirements. Through our dealer shop managers training programme, we helped to empower our dealers to handle customer queries and practise the appropriate business etiquette. We also supported initiatives to drive usage on the Safaricom Jiandikishe App as well as product activations in strategic dealer outlets to provide visibility and drive sales. OUR DEALER NETWORK ACTIVE DEALERS ACTIVE MANAGERS MOBILITY SCHEME (CUMULATIVE NO. OF BIKES) FY18 FY18 FY18 FY19 FY19 FY19 FY20 FY20 FY20 FY21 FY21 FY21 435 440 433 400 37 40 42 42 6 6 6 6 SALES MANAGERS RELATIONSHIP MANAGERS 2 229 1 978 2 465 2 633