Our site uses cookies

I agree Our site saves small pieces of text information, called “cookies” on your device. Find out more in our cookie policy. You can disable the usage of cookies by changing the settings of your browser. By continuing to browse the site you are agreeing to our use of cookies.

Local Content / In Country Value (ICV)

Efficio’s ICV and Local Content Development service helps legislate and regulate procurement practices by national and local authorities and by companies, foreign or domestic-owned, especially where these are performing ‘public’ functions.

Developing countries often find their economic potential is undermined when public and private procurement expenditures flow out of the country to foreign companies.

In view of this, several countries and companies have developed localisation programmes which aim to improve economic prosperity through investments into the economy, increasing jobs and wealth for the local workforce, growing local manufacturing capability and capacity, increasing economic sustainability and political stability, driving knowledge transfer and technology localisation, and so on.

Efficio’s holistic In Country Value (ICV) and Local Content Development service helps authorities and companies to drive sustainable local content growth through the implementation of procurement localisation and strategic market development activities.  

Efficio’s Local Content Service 

Efficio’s end-to-end Local Content Service is divided into three key areas: identifying the localisation opportunities, delivering the associated localisation initiatives, and sustaining and measuring the impact and benefits. 

Identify

The first phase aims to identify the country’s or company’s current level of localisation through:

  • Supply chain analysis (baselining)
  • Identifying key areas of future demand as well as opportunities for increasing localisation (demand analysis and opportunity identification)
  • Setting the localisation strategies and approaches for key opportunities – be it through leveraging and developing the existing local supply chain to increase their capacity and capability, or through attracting new investments and strategic partnerships

Deliver

The localisation strategy is then implemented swiftly and efficiently, through: 

  • Embedding local content requirements into national procurement policies, Target Operating Models, procurement strategies, sourcing processes and ultimately supply agreements
  • Growing the existing local supply chains through targeted supplier development programmes focusing on capability and capacity development (e.g. improved quality, Health & Safety improvement, cost reduction etc.)
  • Identifying and attracting potential foreign investors and strategic supply partners through robust investor value propositions and supporting investments through a wide range of incentives such as tax breaks, land access, regulatory support, joint funding etc.

Sustain

The final phase focuses on securing and measuring the long-term benefit of localisation efforts. It includes managing the cultural and process change in organisations to embed new requirements, while measuring the impact of localisation through various KPIs. 

Efficio’s Local Content experience

Efficio has designed and implemented a variety of local content programmes for major organisations across the Middle East and Africa, including key players of the local content ecosystem in the Kingdom of Saudi Arabia. 

Sample references include defining Saudi Arabia’s national standard for local content for the Ministry of Energy and SAGIA, developing and delivering holistic local content programmes at SABIC, Ma’aden and the Saudi Telecoms Company, and localisation of CAPEX project expenditure at NEOM. 

Our projects are advised and delivered by our Local Content Centre of Excellence, and our services are underpinned by our eFlow technology platform, which enables more flexible analysis of supply chain data, demand planning and automated reporting of local content performance through a dynamic Local Content Reporting System. 

Local Content and In Country Value (ICV) in the GCC region in 2019 and beyond
Webinar
Local Content and In Country Value (ICV) in the GCC region in 2019 and beyond

This webinar is designed to provide insight for procurement staff at the operational end of localising their supply chains, and business development managers charged with winning work in an environment where local content is an important differentiator

Moving up the value chain: transforming procurement at Elm
Case study
Moving up the value chain: transforming procurement at Elm

Moving from a transactional focus to a strategic one is a major challenge for many procurement teams. Efficio helped transform Elm’s procurement function into a strategic partner, while adding significant and rapid value to the business.

Local Content in The Middle East: What You Need to Know
Insight
Local Content in The Middle East: What You Need to Know

What is local content policy in Saudi Arabia and the Middle East? How does it affect procurement, supply chain, contracts and business operations?

Expert view: the latest procurement trends in your region
Opinion
Expert view: the latest procurement trends in your region

What are the key procurement developments in the UK, US, Germany, Nordics, Middle East and Africa? And what should CPOs do about them?

Which procurement trends will drive global markets in 2017?
Opinion
Which procurement trends will drive global markets in 2017?

Efficio’s experts highlight the latest procurement developments in the Nordics, Germany, Middle East and Africa, the UK and US, and outline the changes clients need to prepare for.