Small Suppliers Development

Soriana

1. No Poverty 4. Quality Education 8. Decent Work and Economic Growth 9. Industry, Innovation and Infrastructure 17. Partnerships for the Goals

Overview

Support local suppliers to grow the economy of isolated communities.

Interview Video

Authors

Lourdes Godines

Lourdes Godines

Enrique Cienfuegos

Enrique Cienfuegos

School

Tecnol­ógico de M­onterrey

Tecnol­ógico de M­onterrey

Professor

MARTIN H BREMER

MARTIN H BREMER

Innovation

Alliances made between Soriana and small and medium business led by local entrepreneurs. Soriana has always worked and worried about the community well-being, that´s why they launched the Supplier Development program in 2011.

With this program, Soriana works together with the small suppliers and Secretary of Economy in Mexico, so these small business can learn and get support from Soriana in different topics such as billing and pricing, since this can be difficult for small business and can be stopper for their growth.

As long as they are small suppliers, Soriana doesn't demand a commercial agreement, instead, Soriana pushes for the suppliers growth.

This initiative is generating new jobs and the community growth and development.

Small Suppliers Development

Inspiration

The inspiration comes from the Directorate General, who from the first years of Soriana noticed that local producers approached stores directly to offer their products.

Soriana started noticed the need to help these suppliers, which many of the came from isolated communites, to become part of their product offer, increasing their variety and consumer preference having local products.

Overall impact

With this program that is being working for 8 years, there have been 1770 new suppliers, from which 856 are active. 7080 direct jobs are been generated (producers, collectors, administrative activities) and 15, 000 indirect jobs (transportation, packaging, marketing).

Each year, Soriana launches 7 fairs in different states in Mexico, so local suppliers can present and promote their products. During a certain period, these suppliers can exhibit their product in the different stores in the area.

A success story is Desavena, which provides oat grains. Desavena started in 3 Soriana stores in Jalisco. Now they supply to 65 stores. So far, Desavena has generated 20 direct jobs and 15 indirect jobs.

Business benefit

With this program, Soriana has increased the trust in their consumers and also their preference, becoming loyal consumers.

Social and environmental benefit

This program helps to generate jobs (direct and indirect) in isolated communities, giving them a better life style and economic opportunities.

Interview

Luis Enrique Mejía Borja and Francisco Gerardo García Martínez, Supplier development manager

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Soriana

Soriana

Monterrey, Nuevo León, MX

Business Website: http://www.organizacionsoriana.com

Year Founded: 1987

Number of Employees: 10000+

Soriana is a Mexican retail company dedicated to commercialize white goods, appliances, clothing, food, drinks, among others. The company focuses on self-service. Thanks to the variety of products, they have a very interesting catalog for final consumers and suppliers.

Soriana is part of Mexico Stock Exchange since 1987 and has 808 stores across the country. Soriana has over 97,000 employees.