Sun International commits to procuring 80% of goods and services from empowered providers

Carnival City management portraits. Corporate portrait and headshot photographer in Johannesburg, Sandton and Pretoria by Quintin Mills

Carnival City has embraced the Broad-Based Black Economic Empowerment (BBBEE) objective of its holding company, Sun International, to maintain Level 2 BBBEE status.

The complex is stepping-up efforts to ensure that 80% of its procurement is from compliant, empowered suppliers by the end of 2015, aligned to Sun International’s focus on promoting meaningful and sustainable change in its supply chain.

“Under Sun International’s revised Code of Practice, Carnival City is working to ensure that 80% of products and services procured empowered, black-owned enterprises.

“We have identified a number of opportunities for transforming our supply chain, from service providers and operating equipment suppliers, to maintenance providers, equipment rental, and food and beverage suppliers,” says Annemie Turk, the General Manager at Carnival City.

On behalf of Sun International, Carnival City will be hosting a Supplier Day on Wednesday, 15 July between 10h00 and 12h00 in the Big Top Arena. Suppliers keen to learn more about becoming a supplier to Carnival City and who would like to learn more about BBBEE are welcome to attend.

Carnival City utilizes Sun International’s in-house, automated BBBEE reporting system to interrogate its supply chain to identify areas where improvements can be made, and highlight areas of opportunity. Currently, Carnival City is considering known empowering suppliers with a black ownership of over 51%.

Recognising that there are challenges around attracting empowered providers, Carnival City will use an online tendering portal called Tendersure to connect with potential BBBEE providers, and assess responses against BBBEE and pricing criteria.

A third party, B1SA, will collate and maintain all of Sun International’s supplier certificates, and ensure the validity and authenticity of the documents.

“These mechanisms will help to ensure integrity in the process of selecting appropriate suppliers and providers. This is crucially important not only for ensuring that our suppliers are compliant with our BBBEE requirements, but also to ensure that we are able to effectively manage a large number of smaller suppliers in our supply chain,” says Turk.

Up-skilling and nurturing BBBEE providers in Carnival City’s supply chain will be emphasized to ensure sustainability. In line with Sun International’s new Codes of Practice, Carnival City is required to invest 1% of net profit after tax in Enterprise Development programmes to up-skill qualifying potential suppliers outside of its supply chain. It will also invest 2% of net profit in Supplier Development programmes for existing qualifying suppliers within its supply chain.

Turk concludes saying that providers will be carefully assessed on their ability provide appropriate levels or quality, volumes and efficiencies, taking BBBEE into consideration within the commercial sourcing process.

“Any relationships we develop need to be mutually beneficial from a price and quality perspective. Carnival City must remain efficient and we must continue to provide a premium level of quality in everything that we do, from our food and beverage right though to our printed communication,” explains Turk.

Empowered BBBEE suppliers and providers can register as a potential supplier at www.suninternational.com/corporate/suppliers

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