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Journal of the Australian Petroleum Production & Exploration Association (APPEA)
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RESEARCH ARTICLE (Non peer reviewed)
Contents Vol 57 (Conference Proceedings)

Improving success rates for Indigenous business engagement

Murray Saylor A and Deb Archbold A B
+ Author Affiliations
- Author Affiliations

A Indigenous Supply Chain Connections, First Floor, Unit 1, 2 Maynard Street, Woolloongabba, Qld 4102, Australia.

B Corresponding author. Email: deb.archbold@isccgoup.com.au

The APPEA Journal 57(2) 543-545 https://doi.org/10.1071/AJ16234
Accepted: 18 April 2017   Published: 29 May 2017

Abstract

Although some oil and gas projects have successfully engaged Indigenous businesses in their supply chain, other projects have found this difficult to achieve. Understanding the risk factors in the process of Indigenous engagement and successfully managing those risks creates a positive environment for Indigenous business engagement, one that is much more likely to support long-term success and minimise business and contract failure. Risk management areas to consider include not understanding Traditional Owner community goals and priorities, not assisting communities to build their capabilities and poor communication.

This paper maps these risks and outlines four practical strategies to mitigate these risks: (1) giving local Indigenous businesses the lead time to prepare for work opportunities and build their capabilities; (2) including a mix of large, medium-sized and small local Indigenous businesses in the supply chain; (3) using culturally respectful pathways for Indigenous employment; and (4) maintaining the relationship with Traditional Owner groups.

Managing risks and using these practical approaches will improve and increase Indigenous business engagement in project supply chains.

Murray Saylor is a supply chain engagement specialist who works with large supply chains to assist them to identify and engage with local suppliers. Murray is a Principal of Tagai Management Consultants, a Supply Nation accredited business that works in regional and remote areas to support local content outcomes.

Deb Archbold is a supply chain relationship development expert with over 20 years experience in the major projects market. Deb has developed and delivered successful Indigenous capability development programs. Deb is a Director of Indigenous Supply Chain Connections and is Managing Director of Deborah Wilson Consulting Services, a research and consulting practice specialising in the major projects market.