Supplier Diversity and Diverse Spending

Supplier Diversity and Diverse Spending

First and foremost, supplier diversity programming adds economic value because it encourages the growth of diverse businesses. Diverse businesses typically encounter barriers that challenge their startup and sustainability efforts, such as access to capital - and effective supplier diversity programs can alleviate these challenges.

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Developing a diverse supplier program adds tremendous value to a procuring company’s operations and creates new opportunities for minority-owned enterprises to excel in a competitive global market.

Diverse businesses have access to a larger pool of talented people who possess more representation of perspectives with respect to good leadership and execution.  These perspectives ultimately generate a competitive edge. Not only does supplier diversity benefit underrepresented businesses, but it also uplifts the communities where those businesses are located through job creation, increased wages, and tax revenue. This dynamic demonstrates how valuable supplier diversity is critical to local economies and communities.

If your organization has a sustainability/social responsibility mandate, supplier diversity should be in alignment with that mandate.  Inclusion provides the best of our desires for a better, more equitable world and the drive to be a competitive leader in the marketplace.