White Papers
June 13, 2023

Why we need to talk about Supplier Diversity?

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Procurement is a force for good and has always been a key driver for positive change. Especially on Environmental, Social, Governance (ESG) topics, companies lean heavily on Procurement for translating business objectives into reality through supplier engagement and sourcing activities.

Where the focus in Europe has been heavily on sustainability and environmental topics over the past two decades, North America had historically a stronger focus on the social and ethical aspect of ESG. The first programs for battling social injustice through more inclusive government spending practices have started more than 50 years ago.

Today, these initiatives are often known as supplier diversity programs. The public and private sector both heavily focus on developing their own programs for driving more diverse and inclusive supply chains. And while ethical reasons for doing so are still a valid argument, the rationale is becoming more economical.

We have researched how aware Procurement is of the topic across different regions, countries, and companies. Only 41% of respondents said their company has a program in place, but no patterns in terms of company size or geographic location emerged. We therefore believe that it is important to further the understanding and knowledge around the topic so we can have a common perspective on the opportunities and challenges supplier diversity creates.

Diving deeper into our ambition to make ESG topics actionable, this Whitepaper introduces you to the topic of supplier diversity, explains the different perspectives on diverse suppliers across the world, examines the opportunities it offers, and provides you with a step-by-step guide for building your own supplier diversity program.

Owning the ESG agenda has helped Procurement claim its seat at the table. Expanding from sustainability to supplier diversity will further establish Procurement as a progressive function that can define and operationalize business objectives.

We hope our practical introduction to supplier diversity provides you with the insights and arguments to start your own journey towards a more diverse and inclusive supply chain.

Download our Whitepaper here.


Pioneering thoughts on data-driven sourcing