
How ESD supports MSMEs for the future?
How ESD supports MSMEs for the future? The ESD (Enterprise Supplier Development) serves as a strategic tool for equitable economic growth, focusing on the enhancement
Enterprise and Supplier Development (ESD) programmes have the potential to transform not only individual businesses but communities. However, one of the biggest challenges facing ESD officials today is securing genuine buy-in across their organisations. Without it, even the most well-intentioned programmes struggle to deliver meaningful impact.
What do we mean by ESD buy-in?
Buy-in means getting support and agreement from everyone involved for the implementation, project or strategy. When we talk about ESD buy-in, we are referring to each department agreeing on the ESD strategy, investing in the approach to ESD, and committing to the implementation of initiatives. It’s not just nodding heads in a meeting; it’s genuine support that translates into action.
Why Don’t People Buy In?
The barriers to ESD buy-in are both practical and perceptual:
1. Lack of Understanding
Many people see ESD as a compliance exercise, ignoring its role in corporate operations. This makes it difficult to develop meaningful commitment without knowing its significance beyond ticking boxes.
2. Fear of Change
Buyers often have long-standing relationships with trusted service providers. The thought of bringing in new, untested MSMEs raises concerns about quality and reliability. This fear of the unknown keeps people clinging to the familiar, even when change would be beneficial.
3. Missing from Core Strategy
Without formal policy backing, departments can’t cascade it down to their teams, and implementation becomes fragmented and inconsistent.
4. Failure to See Alignment
Many divisions struggle to understand how ESD solves their specific problems. If procurement can’t find the right suppliers, how does ESD help? If operations face delays, how does supplier development address that? Without clear answers, buy-in remains elusive.
Who Needs to Be Involved in the ESD Buy-in?
Everyone should be involved in ESD buy-in. Even though this might sound overwhelming, the reality is that Enterprise and Supplier Development (ESD) touch every corner of a corporate organisation. Top executives (CEO, CFO, COO) set policy and make crucial decisions that cascade down; supply chain and procurement work directly with service providers; and operations manage the day-to-day relationships with MSMEs (Micro, Small, and Medium Enterprises). Furthermore, Corporate Social Investment (CSI) teams align ESD with broader impact goals, while legal departments handle contracting and compliance. Ultimately, every other function has touchpoints with small businesses, even if they don’t always recognise the link to ESD.
Why Buy-In Matters
To achieve successful ESD, cross-departmental buy-in is essential as a lack of collaboration hinders performance across several critical functions. From a supply chain perspective, departments struggle to find suitable service providers without collaboration, making it impossible to get the right fit if MSMEs aren’t actively developed to meet specific organizational needs. From a financial perspective, the allocation of an effective ESD budget requires CFO agreement; without this buy-in, programmes risk remaining underfunded and ineffective. Furthermore, from a risk perspective, when ESD is viewed only as a compliance task rather than a transformative initiative, organisations minimize their potential impact and miss opportunities to genuinely support small business growth. Conversely, from a strategic perspective, when ESD is successfully aligned with broader business objectives, it becomes a powerful tool for achieving corporate goals while simultaneously creating significant economic value within the communities they serve.
Managing the Risks of Poor Buy-In
What happens if you don’t prioritise buy-in? The risks are real and costly:
Practical Steps to Build Buy-In
If you’re an ESD official looking to strengthen buy-in in your organisation:Practical Steps to Build Buy-In
If you’re an ESD official looking to strengthen buy-in in your organisation:
1. Assess your transformation objectives: Are they aligned with company strategy? Can they be embedded in policy that’s implementable across all departments?
2. Conduct strategic workshops: Don’t shy away from getting all decision-makers in one room. Present the value clearly and demonstrate the impact potential.
3. Make it written policy: Move ESD from a peripheral activity to a core strategy. When it’s in the policy documents, it becomes non-negotiable, and everyone must find ways to implement it.
4. Communicate constantly: Strengthen communication between departments and stakeholders. Regular dialogue keeps ESD visible and top of mind.
5. Show the evidence: Use data, testimonials, and case studies to prove impact. Evidence-based arguments are harder to dismiss.
6. Frame it as problem-solving: Help each department see how ESD addresses their specific challenges rather than creating more work.
Final Thoughts
Final Thoughts
ESD support is necessary for the programme to succeed. Without it, you’re just conducting compliance drills that tick boxes but don’t really add anything. Building sustainable ecosystems with it allows MSMEs to flourish, corporations to find better suppliers, and communities to reap economic benefits.
Intentionality is necessary to get buy-in strategic alignment, unambiguous communication, proven value, and sincere cooperation. Moving ESD from the periphery to the core of corporate activities is necessary.
Therefore, go around the table. Make the difficult talks. Demonstrate the impact. Adapt to business goals. And make ESD an integral component of your organisation’s operations rather than merely a programme you conduct.
Because when everyone buys in, everyone wins.

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