The success of small businesses – which are the backbone of South Africa’s economy – is being jeopardised by a lack of resources, skills and support in the critical area of supply chain management, according to supply chain industry body SAPICS.
“Small, medium and micro enterprises (SMMEs) have a crucial role to play in the national economy as employers that can fight the country’s dire unemployment rate and drivers of inclusive economic growth. A major factor in the growth and development of SMMEs is an understanding of operations and supply chain management best practices, but they are falling short and big business needs to step up,” says SAPICS president MJ Schoemaker.
“Small businesses have so many responsibilities, and so many things to consider, that the essential supply chain function is often overlooked. But it can make or break the business and is increasingly important in today’s complex and volatile business environment,” she states.
Schoemaker says that the SAPICS training and support programme for SMMEs offers a solution. A vital lifeline for small businesses that must navigate the turbulent supply chain landscape, the SAPICS Small Business Hub is also a valuable conduit for corporate businesses to support SMMEs and participate in the development of their suppliers. SAPICS is urging corporates to sponsor Small Business Hub membership for their suppliers. “Businesses can earn Enterprise and Supplier Development (ESD) points while empowering and uplifting SMMEs and upskilling their own supplier base,” Shoemaker expands.
“Usually, training for SMMEs focuses on aspects such as marketing and finance, leaving operational skills undeveloped. To survive and thrive, SMMEs need to address the knowledge gaps that exist, including in supply chain management.”
For an annual membership fee, SMMEs can join the SAPICS Small Business Hub and reap the benefits of skills development and knowledge sharing activities like workshops and webinars. They can expand their professional network and have regular face to face and online interaction with the SAPICS supply chain community across Africa. They can enjoy discounted registration fees for industry events, including the annual SAPICS Conference, the leading event in Africa for the supply chain profession.
The topics covered in SAPICS’s skills development events specifically for SMMEs include introductions to supply chain management, demand planning, and sales and operations planning. Case studies and success stories are covered and SMMEs receive advice from industry leaders. Accredited education programmes are also offered and can be sponsored by corporates to grow and develop their suppliers.
These focus on specific aspects of supply chain management – like warehouse control, inventory replenishment principles, operational planning and scheduling, lean manufacturing principles and supply chain and materials management – as well as general entrepreneurial topics like business management and basic finance.
A SAPICS SMME Support Line enables small business owners to get advice and assistance.
“When it comes to reaping the benefits of supply chain optimisation – including efficiency enhancements and cost savings – SMMEs are being left behind, but we can change this, and corporates have a role to play,” Shoemaker stresses.