Launched in 2015, Sands China’s Local Small, Medium and Micro Suppliers Support Programme is enjoying continued success as the company demonstrates its commitment to supporting local enterprises as part of the its corporate social responsibility efforts. Since the start of the programme, the company’s total spend on local SME suppliers amounts to MOP$5.5 billion.
Results of the programme as of Q3 2017
Sands China has already spent nearly MOP$1.7 billion on purchases from local small-and medium-sized enterprises (SMEs) as of the third quarter of 2017, accounting for 21% of the company’s total purchase amount. Nearly 50% of that amount (MOP$829 million) has benefited the three types of local enterprises targeted by the Local Supplier Support Programme – small and micro companies, “Made-in-Macau” companies, and Macau young entrepreneurs.
In 2016, Sands China had cooperated with 294 of the three local business types, increasing that number to 340 in 2017. Among them are 159 small and micro enterprises, 67 Made-in-Macau companies, and 114 Macau young entrepreneurs.
As part of its local procurement effort, Sands China launched its new F.I.T. programme for local Macau SME suppliers in April, which included the first in a series of unique invitational matching sessions for SME suppliers to connect with Sands China user departments to demonstrate their goods and services. As a result of the first invitational matching session for local SMEs, Sands China purchased nearly 160 products from local SMEs participating in that session, totalling over MOP$2.1 million.
Dr Wilfred Wong, President of Sands China Ltd, said, “Sands China is very pleased at the success of our F.I.T. programme. We are happy to see positive results coming from our first invitational matching session, which was a first-of-its-kind in Macao, and are looking forward to our upcoming second session. The company is particularly pleased to see local enterprises expanding their business opportunities as a result of the programme, and we wish for continued success for of our local SME suppliers.”
SME support after Typhoon Hato
In the aftermath of Typhoon Hato in August, Sands China has been extending additional support to its local SME suppliers, launching a new SME support programme:
– For any goods or services that were delivered in August 2017 by micro-enterprises, young entrepreneurs or “Made-in-Macau” companies, Sands China is, at the request of these suppliers, expediting payments to them. A total of 50 purchase orders have been expedited to date, totalling more than MOP$2.1 million.
– Upon suppliers’ request, Sands China is also offering a 50 per cent advance payment for purchase orders or contracts issued during the remainder of 2017. Based on the average monthly spend of the three types of SME suppliers, the estimated total value of this 50 per cent advance payment during the final four months of the year will likely amount to approximately US$25 million (MOP$200 million).
– Local SME suppliers having challenges delivering goods on time were able to coordinate with Sands China’s procurement and supply chain staff in advance to arrange alternate delivery times. Sands China’s receiving team extended its working hours to accommodate these special requests Monday-Saturday until Sept. 30.
– Sands China did not cancel any purchase orders or contracts as a result of local SME suppliers not being able to deliver goods or services on time due to the typhoons. However, suppliers were still given the option to cancel their purchase orders or contracts without any penalty from Sands China.
– Sands China helped restore critical business operations for a micro-enterprise, including a new desktop computer and printer.
In addition, Sands China’s procurement team has made more than 350 phone calls to the company’s SME suppliers to make sure they are recovering well and to see if any further support is needed, with the feedback coming through that most of them are recovering well after the storms.
Second invitational matching session
As part of the third pillar of its F.I.T. programme (Financial Support, Invitational Matching, and Training and Development), Sands China hosts targeted trade shows, inviting local SMEs to go beyond simply meeting potential Sands China buyers. These invitational matching sessions take the process a step further by providing a platform for local SMEs to present and demonstrate their products and services to potential users and buyers at Sands China properties, with the company’s full support. The goal is to enhance communication between vendors and users, and to improve the procurement success rate.
The first of these new invitational matching sessions was held in April at the launch of the F.I.T. programme and focused on food and beverage, giving 22 invited local SME suppliers a chance to showcase their products and services to Sands China food and beverage management, chefs from Sands China and partner hotels, as well as representatives from food and beverage outlets located throughout Sands Shoppes.
The second session takes place 23 November at The Venetian Macao, targeting local SME suppliers of operating supplies and equipment, providing them an opportunity to demonstrate their hotel room commodities, such as towels, slippers, bed sheets, sustainability products and others.
Future invitational matching sessions will target other specific areas such as furniture and lighting, and others.
RelatedPosts
