Procurement plays a critical role in implementing and executing a supplier diversity program. A procurement team is typically responsible for identifying new diverse suppliers, negotiating contracts, and maintaining relationships with them. They must also make sure adequate purchasing is done through those suppliers.
Through a supplier diversity program, procurement experts can actively promote the use of diverse suppliers within the organization’s supply chain. This typically entails creating plans to expand business with current diverse suppliers, and then monitoring and evaluating the effectiveness of these efforts.
When it comes to ensuring that the supplier diversity program is in line with the organization’s objectives and policies procurement professionals are expected to work closely with other departments, including diversity and inclusion, human resources, and legal. They may also be involved in training and education efforts to ensure that all employees understand the importance of supplier diversity and are aware of how to engage with diverse suppliers.
Overall, the role of procurement in a supplier diversity program is to ensure that the organization makes an effort to enrich its supplier portfolio with a diverse and inclusive group of suppliers and that these suppliers are treated fairly and equitably.
CCM’s procurement teams are experienced professionals with the right set of tools to help measure and achieve targeted Supplier Diversity goals. We implement a process to effectively monitor and track spending across diverse suppliers, report regularly on our findings, and communicate results throughout the organization. Because our foremost focus is on cost reduction, we are able to help our clients achieve their diversity goals while simultaneously achieving budget goals. This effort can help to create a more inclusive business environment, attain internal ESG goals, as well as, improve the organization’s reputation.
It is time for your organization to review its procurement and purchasing model?