How do you feel the pandemic has changed the world of work for in-house counsel and the function of the general counsel?
The pandemic transformed the role of in-house counsel, as it transformed the operation of businesses. To adapt to the transformation of the business, the legal departments had to become more dynamic, technologically oriented, better communicators and closer to all employees and stakeholders. As an example, Cervecería Nacional in Ecuador led the digital transformation of mom-and-pop stores throughout the country. When the pandemic began, an important government effort was made to ensure that neighborhood stores are stocked and serve as the main supply point for people, avoiding crowds and shortages in large chains and supermarkets.
In this regard, Cervecería Nacional (i) expanded its product catalog and used its logistical capacity to distribute food, something it had never done before, and (ii) implemented a digital platform so that shopkeepers can place their orders directly. The challenges were significant, ranging from the construction of business plans, negotiations with dozens of suppliers to the implementation of a technological tool that processes orders, collects personal data, tailors discounts, and allows personalised interactions, all while profoundly modifying the way companies reach retail businesses in Ecuador. To attain this the legal team had to be agile, empathetic, creative, and demonstrate significant leadership. Currently 90 percent of all purchases from Cervecería Nacional are made through the app.
Apart from legal matters, has the team worked on other company initiatives?
Undoubtedly, the most important plan is Siembra por Contrato. This is a project through which Cervecería Nacional purchases barley, corn, and rice from small farmers to brew with them Nuestra Siembra, the first beer brewed with 100 percent Ecuadorian local crops. In its first year, the program purchased 3666 tons of these products, impacting more than 1900 farmers. By 2025, the program expects to generate local purchases of 200,000 tons of barley, rice, and corn, generating 80,000 new jobs and dozens of millions in direct investment in Ecuadorian agriculture.
The main objective of the program is one of social investment. Traditionally, beer producers in Ecuador import raw materials from other countries. Cervecería Nacional decided to invest in local agriculture and, although doing so is more costly, we seek to make an impact that transforms lives. The selected farmers are in nine provinces of the country. The nine provinces were selected because they have the highest rates of extreme poverty in Ecuador.
This programme represents a complicated challenge for the legal team, from the formalisation of many farmers to the complex logistics of difficult access areas. This programme, which has won several national and international awards, makes us especially proud.
