The federal government’s 5% Indigenous procurement target has spurred progress – but many organizations struggle with implementation. Indigenous Services Canada reports that only 37% of large firms meet reporting requirements, missing both social impact and financial benefits.
Building an Effective Program
- Supplier Identification:
Use verified directories like CCAB’s Progressive Aboriginal Relations (PAR) database. AIG Pro clients tag Indigenous suppliers directly in their systems. - Community Engagement:
Suncor’s model of pre-bidding workshops with Indigenous businesses increased contract awards by 200% over 3 years. - Tracking & Reporting:
Modern tools automate spend tracking by nation/region – critical for reconciliation reports.
Success Story:
A Manitoba construction firm exceeded their 5% target by:
- Partnering with 3 Indigenous-owned concrete suppliers
- Simplifying bidding requirements for smaller businesses
- Using AIG Pro’s diversity analytics for real-time tracking
Their CEO notes: “This isn’t just compliance – it’s strengthened our social license to operate.