Our Vision
Group Sourcing aims to enhance the value proposition of Absa's business units by harnessing and leveraging the external supply environment. With full mandate over third party spend, this is achieved through cost reduction, cost avoidance or revenue generation from working with Absa's supply base.
Absa Group Sourcing - its key purpose being procurement from suppliers - is mainly concerned with cost reduction of third party supplier spend (on behalf of Absa Group) by means of effective category management and overall supplier relationship management. Group Sourcing is headed by Chief Procurement Officer for Absa Group, Karen van Vuuren.
The overall procurement for Absa of value-add goods and services on time, to specification, delivered in full from reputable, quality suppliers lies with Group Sourcing.
There are two components to achieving this, namely a pre-contract phase (registering suppliers, negotiating the deal and putting a contract in place for payment) and a post-contract or relationship management phase for ensuring sustainable value and suitable risk management from quality suppliers.
The management of these pre- and post-contract phases, in itself, implies the need for effective customer relations with Absa internal customers to ensure that ‘right procurement solutions’ are put in place.
Customers’ needs determine the scope of goods and services, which point to the variety or range of suppliers that will be sourced from, if not already listed vendors. Therefore, close working relationships with Absa internal customers in achieving ‘best value for money deals’ for Absa business units (in partnership with Absa suppliers) is an important element for Group Sourcing to drive down costs and increase Preferential Procurement, while realising the One Absa strategy.
Ensuring Supplier Diversity is a pivotal priority for Group Sourcing on behalf of Absa in reaching on overall company BBBEE score. Group Sourcing’s aim to increase procurement from Black, women-owned and small suppliers is built on the Preferential Procurement requirements in the Department of Trade and Industry’s BBBEE Codes of Good Practice.
Furthermore:
- Group Sourcing is also involved with its annual CSI project referred to as MAD (Making a Difference) involving Absa employees and registered suppliers in building much-needed houses for underprivileged communities. The MAD 2010 build week (in support of the Mogale City community) is now featuring as one of the One Absa Connect With Communities phase initiatives. Both local and provincial government is on board, making this a very special community project.
- Group Sourcing is currently piloting an Inside Out leadership approach which aims to develop high performance teams, which is facilitated by the Services Cluster’s Personal Growth Centre.
- Group Sourcing is also the test and learn site for the new open plan, environmentally friendly floor layout in Absa Towers West.
