Scaling_Loreal_Inclusive_Sourcing_Updated.pptx

loreal

1. Scaling L'Oréal’s Inclusive Sourcing in India Analysis of Current State, Scaling Strategies, and Anticipated Challenges

2. 1. Current State of L'Oréal's Inclusive Sourcing in India Current Reach: - L’Oréal works with **600 suppliers**, impacting **800 beneficiaries** from vulnerable communities. Supply Chain Sectors Involved: - Retail & Promotion, Logistics, Industrials & Supply, Commercial Temporary Labor. Participation Rate: - Only **10-15%** of suppliers currently participate, with significant room for growth.

3. 2. Opportunities for Scaling Supplier Base: - **6.3 crore MSMEs** in India represent a largely untapped market. - Scaling can increase SME participation from **10-15%** to **50-60%** in 3 years. Regional Potential: - **Urban vs Rural**: Rural regions and underserved areas like North Eastern India present high-growth potential. Government & NGO Partnerships: - Leverage **Skill India**, **MUDRA**, and **NGO collaborations** to expand outreach.

4. 3. Key Strategies to Scale L'Oréal's Inclusive Sourcing Supplier Incentives: - **Financial support**: Subsidies, tax incentives, subcontracting. - **Training programs**: Localized centers for supplier education. - **Collaborations**: Work with **NGOs**, **Skill India**, and **industry bodies**. Recognition & Motivation: - Annual **Supplier Excellence Award**. - **Success Story Campaigns** to highlight impact. - **Digital Dashboards** for supplier tracking.

5. 4. Anticipated Challenges in Scaling Supply Chain Complexity: - **Solution**: Build a **centralized digital supplier management system**. Digital Literacy: - **Solution**: Provide **offline-to-online solutions** and **digital literacy programs**. Supplier Resistance: - **Solution**: Offer **cost-sharing programs**, **incentives**, and create **simple guidelines**.