3 Reasons Why Victoria Has A Lot To Offer The World

I love Victoria for so many reasons.

It’s the place where I was born, grew up and had the opportunity to start a business and raise my family. Many street corners hold fond memories, from my first legal practice on Lygon St, Carlton to Geelong where I served as the Mayor.

Victoria has been supportive and nurturing, shaping me into the individual I am today.

I’ve had the privilege to give back to Victoria in many different ways.

As a business owner I hoped to have served the community through my legal practice. My time in politics allowed me to serve as a Councilor and Deputy Lord Mayor in the City of Melbourne and Mayor in Geelong. And lastly, as the former President of the Victorian Chamber of Commerce (VCCI) I have worked closely with the business community, particularly small and medium sized businesses.

But it’s the future that Victoria is creating that gets me most excited. Here’s why.

Victoria is leading Australia (and the world).

The Victorian government is taking the concept of social value seriously.

More than just rhetoric, they were first state in Australia to move beyond words and make policy that would make Victoria a world leader. They’ve taken the principles of social impact and combined it with the buying power of government procurement.

Some examples include:

• Local Jobs First Policy
• Building Equality Policy
• Fair Jobs Code
• Social Procurement Framework

The Social Procurement Framework (2018) is the (not so) new kid on the block. I’ve seen social procurement (albeit a different name) applied during my time on council at the City of Melbourne and then again as the Mayor of Geelong.

The term social procurement is bandied around quite a bit. For me, social procurement is when the government leverages its buying power to achieve outcomes (or value) above and beyond the goods and services being purchased. You can achieve these goals through directly purchasing from a social enterprise or using social clauses within your contracts.

As I mentioned before, the idea of social procurement is not new, but the momentum building behind it is.

And just as in life and business, momentum is everything. You might be asking what’s the difference between buying local and social procurement?

The short answer? Scale.

For example,

• Buying local as an individual is getting your everyday needs from the locally-owned grocer.
• Social procurement is leveraging multimillion dollar government investments in your community to create jobs and education pathways for local people.

The Social Procurement Framework is more than just a dusty old policy that sits on the shelf in a bureaucrats office. It creates real outcomes through job creation, employment hours and spend with social benefit suppliers.

Are there shortcomings and limitations? Of course.

Just like any ambitious policy, there will be growing pains. As industry adapts, suppliers become more mature and the government is able to apply the appropriate regulation and compliance, the potential of social procurement will be unlocked.

I am not naive to the challenges of applying principles of social value, sustainability and impact. It's a necessary change, but it's not one we can make without encountering difficulties.

If we only did what was easy, we would never make any progress. And if it were easy, it wouldn’t be worth doing.

But why do I care about the Social Procurement Framework so much?

Well....

This brings me to the 2025 World Chambers Congress

The biggest Chambers of Commerce event is coming to Melbourne in 2025.

This sets the stage to showcase Victoria’s approach to social value to the world.

As international delegates and business leaders visit to learn about the latest trends, innovations and market forecasts, the spotlight will be on how Victoria has embedded Environmental, Social and Government (ESG) principles and practice within business and public spending. There is no doubt that there will be a focus on how social value can be created through procurement.?

By leveraging its purchasing power, Victoria has managed to influence a positive societal change, ensuring that every contract over a certain threshold resonates with a purpose that goes beyond mere financial transactions.

We have the opportunity to create a global ripple effect.

Through Victoria’s example, we can encourage businesses and governments worldwide to consider the wider impact of their procurement decisions.

Melbourne's 2025 World Chambers Congress event is not just a regular business gathering but an invitation to show how business can be a force for good, and how Victoria is leading the charge.

Case study: Geelong Convention and Exhibition Centre

I know I am biased, but Geelong is doing something right.

An exciting example I’ve seen so far are the social procurement requirements for the new Geelong Convention and Exhibition Centre in the two year build process and 25 years facilities management phase.

Many social procurement objectives focus on the construction phase, whilst ignoring the lifetime maintenance of the building once complete.

According to Buy Social Canada, a large portion of social procurement opportunities can be locked in the maintenance of the building rather than the construction.

My friends Bill Mithen and Meg Price from the Give Where You Live Foundation that host the GROW network have been instrumental in ensuring the application of this ambitious social procurement approach in this local investment.

They are not just thinking about buying locally but also how this investment interacts with a global supply chain.

I can’t wait to see the potential social impact of this project on the community.

Can you see why I am so excited?

It’s hard not to be in my opinion.

As a relentless optimist, I am seeing the tide shifting towards business being leveraged as a business for good.

Everywhere I look, from small startups to massive corporations, there's a growing realisation that profit and purpose can, and should, coexist.

It's a thrilling time to be a part of the business world, watching and participating in this transformative journey.

And honestly? I can't help but believe that the best is yet to come.

Till next time,

Peter.

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