2022 Sustainable Business Report

93 PARTNERING FOR GROWTH: TRANSFORMING LIVES | KPI SUMMARY OUR MATERIAL TOPICS OUR BUSINESS OUR STAKEHOLDERS In response to suppliers’ requests, we initiated a supplier self- assessment survey. This highlighted gaps in OHS administration in areas such as documentation, health and safety policy, vehicle roadworthiness and lack of vehicle tracking units. We conducted forums every quarter to address these issues, together with those raised based on supplier feedback. We also looked at the implementation of the Data Protection Act, which prohibits transfer of personal data to third parties unless the data subject has given prior consent. To support our suppliers further, we continued to collaborate with financial institutions in Kenya including ABSA Bank Kenya (ABSA), Citibank Kenya, and Equity Bank and most recently with Kenya Commercial Bank (KCB) as regards local purchase order (LPO) financing and invoice discounting to provide financial backing. This will broaden financial access to women, youth and PwDs, as we continue signing Memoranda of Understanding (MoUs) with other several financial institutions. To facilitate continuous improvement, we commissioned a survey in February 2022 which gives us a Net Promoter Score (NPS) indicating supplier levels of satisfaction and confidence in Safaricom. The supplier NPS was 68%, a slight decrease but still a commendable score in NPS market scores. Our positive relationship was also reflected in a score of 91% in the overall supplier satisfaction index (2021: 93%). Key findings from the surveys were that Safaricom emphasises quality and is clear in the quality specifications of goods and services; service levels are clearly defined, and payments are prompt. Further indications are that Safaricom commands a significant level of trust – indicated by the high likelihood of recommending Safaricom to other potential business partners. As indicated in the graphs on this page, the total number of suppliers was down by 5%, with spend increasing slightly. On the downside, the number of local suppliers – whom we continue to support where feasible – reduced marginally by 5.7%. However, spend with this group increased by 3%, attributable to increased activity in certain categories, particularly marketing, catering and events following the easing of COVID-related restrictions. TOTAL SUPPLIERS AND SPEND FY19 FY20 FY21 FY22 Number of suppliers 1 138 1 095 839 799 Total spend (KSh million) 84 829 86 696 92 827 94 698 SUPPLIER SPEND BY CATEGORY (KSh million) NUMBER OF SUPPLIERS FY19 FY19 FY20 FY20 FY21 FY21 FY22 FY22 28 311 182 197 191 186 22 226 36 173 36 289 56 519 956 898 648 613 64 470 56 654 58 408 Spend with foreign suppliers Foreign suppliers Spend with local suppliers Local suppliers