“We need to retire the term sustainable procurement – it should just be procurement. If you’re doing procurement in the correct way, it should not be unsustainable.”
Sam Achampong is the Regional Director of the Chartered Institute of Procurement and Supply (CIPS) for the Middle East, Africa and Asia Pacific region.
Greener drive
Achampong operates in a region that is historically very unsustainable in nature, partly because of water scarcity and extreme weather conditions. However, sustainability is an area very close to Achampong’s heart and he even believes it should just be factored into the decision-making process within procurement and accepted as an additional cost.
“In 2025 and beyond, can we really justify procurement decisions that knowingly cause environmental or social harm?” asks Achampong. “Should we be comfortable sourcing in a way that displaces communities – like forcing 30 people in a rainforest from their homes? That has to be part of the decision-making process. Procurement isn’t just about profit. You wouldn’t knowingly purchase something that would bankrupt your company – so why would you procure something that jeopardises the planet’s renewable resources or harms people? These considerations must be included in the total cost of ownership.
“My point is if procurement is about securing goods and services at the lowest total cost of ownership, then sustainability is already embedded in the definition. So really, the term ‘sustainable procurement’ is redundant – it should just be procurement.”
Embracing positive change
A real shift towards more sustainable development practices is already underway. According to recent data from PwC’s sustainability survey, key findings revealed how companies in the region are making sustainability an important part of their corporate strategic agenda. The survey found that four out of five executives reported how their companies have a formal sustainability strategy in place while over half have said this strategy is fully embedded across their organisation.
The survey was backed up by data from PwC’s 27th Annual CEO survey: Middle East findings which revealed how regional leaders are determined to address climate change while emphasising the requirement for businesses to take action in order to help achieve the region’s lofty climate targets. Slightly more regional CEOs identified climate change as a major concern in comparison to the global average (15% vs 12%) and were likely to see it as a key drive for corporate change in the next three years (36% vs 30%).
“Sustainability is a top-down priority in the region,” says Achampong. “There are unique challenges here. Anecdotally, it’s considered one of the most unsustainable places in the world – simply because having people live here requires creating water sources and vegetation in a naturally resource-scarce environment. Still, governments have set aggressive net-zero targets aligned with global standards, and companies are actively implementing measures to address issues like Scope 3 emissions.
“But sustainability isn’t just environmental – that’s where many people get stuck. When we talk about ESG, the social aspect is just as critical. In this region, there’s a strong emphasis on local content. Circular supply chains are prioritised, and long supply chains are avoided unless absolutely necessary. Local sourcing and employment aren’t just encouraged but often mandated.”
Sam Achampong, Regional Director of CIPS for the Middle East, Africa and Asia Pacific
Achampong possesses extensive experience in senior executive roles across the UK, Middle East and Africa. Within this role, Achampong ensures that ethics, responsibility, and education are standardised within the profession and that more organisations understand the value of procurement.
But as is so common within the industry, Achampong actually fell into procurement by chance. While collaborating on a project in a past role, Achampong was introduced to the diverse responsibilities of procurement professionals. When given the chance to transition into the procurement department, his answer was an immediate yes.
Middle East introduction
Achampong’s first entry into the Middle East was via Dubai when he joined Nakheel Asset Management in 2008 in the role of Head of Contracts and Procurement. In the years that followed, Achampong was always an active CIPS member as a volunteer speaking at conferences and being close to the professional body. In 2015, he joined the organisation itself to manage CIPS for the region but initially declined.
“I said ‘I’m not interested, I’m a procurement man.’ But of course, I didn’t fully understand the extent of what CIPS does,” reveals Achampong. “People told me, ‘But Sam, you’re always very vocal about what you think the professional body should do. This is your chance to make a difference.’ So I agreed and assumed I’d be there a few years sorting the institute out but here I am 10 years later. One of the reasons I joined and am still with CIPS is because of the opportunity to go into organisations, set up procurement teams and strategies as well as make those teams successful and high performing. Coming to CIPS allows me not to just work with one organisation at a time, I’m able to make a difference with lots of companies. That’s a huge benefit.”
Change in the Middle East
Since Achampong first entered the Middle East, significant transformation has taken place both within the region and in the procurement function itself. “I always used to say that procurement as a function in the Middle East is probably 20 years behind the UK. That is no longer the case,” he tells us. “And in terms of business practices generally, Dubai at the time, was lagging 10 or 15 years behind Asia or Europe in terms of general business practices.
“One of the main reasons I went there was because it was exciting. It gave me an opportunity to not just do roles where you’re turning the wheel. Every single role I went to was about setting up a team. The region has changed massively.
Saudi Vision
“If you look at Saudi who are going through the Saudi Vision 2030, which is a huge transformation exercise, the UAE did that back in 2007, and got to that level of maturity to diversify their economy fully away from reliance on oil back then and look at how the economy has changed. And Dubai as an emirate doesn’t rely on oil at all. Business practice, maturity and sophistication has changed significantly over those years in all sectors from digital, industrial, tourism and the aviation sector. Around 2009, Dubai International Airport even overtook Heathrow as the largest international hub and has maintained it to this day. I think you can really see the ambition and change in what is happening in the region.”
Indeed, in recent years, the region has hosted the FIFA World Cup 2022, Abu Dhabi Grand Prix and Expo 2020, as well as being awarded the Expo for 2030 too. Interest in the Saudi Pro League is also rising following the likes of recent high-profile signings Cristiano Ronaldo, Karim Benzema and Sadio Mané, among an ever-increasing list of other global names.
“Their new vision and diversification programme is now the most active thing that’s happening in the region and probably globally because it’s huge in terms of what they’re trying to achieve,” reveals Achampong. “All of these things have involved building capabilities in procurement. Our capabilities there are at a level of maturity and where there aren’t, we’ve been able to as CIPS go in there and partner with organisations to make sure that they’re not just working at an acceptable standard, but at a global standard. We work very closely with these organisations because the ambitions are national and they have a real emphasis to make sure that they invest in people.”
Technology adoption
Organisations throughout the world are seeking ways to leverage AI into processes and the Middle East is no different. Such is the interest in embracing new technologies within the region that the UAE even has a minister for AI. Achampong describes it as a ‘real leapfrogging effect of the adoption of technology’. However, he believes it is still largely hype.
“It’s a little like with blockchain because whether we like it or not there is still no end-to-end procurement supply chain solution, which is fully AI-integrated,” says Achampong. “There are great pieces of software, best-of-breed solutions which cover strategic sourcing or category management as well as category management AI solutions, and supplier relationship management tools which utilise AI. There are also some great risk management tools which utilise AI to draw out risk scenarios in the supply chain. There’s a lot of organisations who have already implemented bots as part of their solution to deliver effective procurement bots which interrogate their data and realise that historically we raise a purchase order (PO) every Monday for the delivery of water or whatever it is.
“That bot will automatically start to also generate these POs rather than someone having to go in and physically do it. There’s a massive adoption of different AI solutions, and it is making organisations more efficient, but I don’t think we got to the point where we have end-to-end agreement on how effective AI is. The reason is because humans don’t like change but the flip side is that there needs to be a more integrated understanding of what technology can do for procurement.”
Middle Eastern procurement talent
Procurement has long since suffered a talent shortage. The best procurement teams are built with people equipped with a combination of qualities and qualifications. Employers require procurement professionals that possess technical capabilities and soft skills, along with the MCIPS designation. Last year’s CIPS Procurement and Supply Salary Guide 2024 showed 58% of those responsible for hiring procurement and supply professionals globally struggled to find and retain talent within the last 12 months. Achampong stresses it is a global problem rather than a Middle East one but a key area that must be addressed regardless.
“I don’t mean there is a shortage of candidates, but a lack of qualified verifiable talent,” he reveals. “There are people who want to do procurement roles, but how many of them have got something that verifies that they actually have the current skills? That’s where we come in really because in trying to make sure that there are learning opportunities across the region for people to upskill themselves and have a designation that says, ‘I am a procurement professional’, is what we’re all about.
Talent management
“Perhaps seven years ago we had three study centres around the region, now we have 27 across all of the countries in the MENA region. There are lots of places where people can go and learn CIPS in person, and there are lots of places where they can learn virtually. We work with a plethora of organisations to upskill the in-house teams to take them up to license to practice what we call MCIPS level, working with probably 300 people in the region to get them there.
“Organisations are looking for candidates who are demonstrably talented in procurement. The function can be a tricky profession because there is no mandate to have something to demonstrate how current your skills are in procurement. What we do is we provide that as the designation of MCIPS, and then people end up looking for that to make sure that whoever they’re employing can evidence that they have current knowledge and procurement because we can validate for them that for them.
“What we find in the salary guide is that employees are paying a premium for that. I think it’s a 30% differential for people doing the same job. One person has MCIPS, the other doesn’t, and there’s up to a 30% differential in what people will pay them if you have a recognisable designation because there is a shortage of talented procurement staff in the region and extrapolates across the world.”
Future
With an eye on the future, Achampong is bullish about what the next chapter holds for procurement and is positive about tomorrow’s generation of leaders who will be tasked with building on today’s transformation. “It’s very exciting because it is very fast moving and the infrastructure is there to make procurement that efficient department that it’s supposed to be,” he tells us. “Technology coming along allows procurement to get away from that tactical side of it. The tools we have now enable us to focus on that top 80% spending value and really come up with effective solutions and strategies to affect that to make sure that we’re adding value back in the organisation. Technology and AI coming in gives procurement leaders the dashboard view to be able to go to an organisation and say ‘This is how we’re going to affect your bottom line.’
“It is very exciting because the new crop of procurement leaders are IT savvy. They understand what the tools are and recognise that it’s all about adding value to the business’s bottom line. They also understand the current nuances around things like sustainability and how important that is to an organisation.”