-Abhay Mane


The rationale behind supplier diversity is twofold: to address biases against minority-owned businesses and to create a more inclusive and resilient supply chain. Analyzing recent trends, it is clear that companies have now started increasingly recognizing the importance of supplier diversity and taking measures to promote it.

For example General Motors set up what is regarded as one of the first supplier diversity programs, and much of the American auto industry followed suit. Early movers in the electronics industry such as IBM established supplier diversity programs around the same time.

Addressing Biases

Bias and discrimination have long been obstacles for minority-owned businesses attempting to break into supply chains. These biases have historically manifested in various forms, such as unequal access to opportunities, reduced access to capital, and stereotyping.

One trend that is challenging these biases is the implementation of supplier diversity programs. These initiatives are designed to actively seek out and engage minority-owned suppliers, providing them with a platform to compete fairly. By setting specific goals and metrics for supplier diversity, companies can take proactive steps to dismantle these biases and create a level playing field for all suppliers.

Top 5 Measures to Promote Diversity in the Supply Chain

1. Supplier Diversity Initiatives & Programs. Teams are responsible for identifying qualified minority-owned businesses and facilitating their inclusion in the supply chain through structured programs that offer mentorship & networking opportunities. This ensures that diverse suppliers are not only considered but actively pursued.

2. Accountability & Reporting. Transparency is crucial in promoting supplier diversity. Companies are increasingly publishing their diversity goals and progress reports. This not only holds them accountable but also serves as a benchmark for other organizations.

3. Supplier Diversity Metrics. Organizations are incorporating supplier diversity metrics into their key performance indicators (KPIs). This ensures that diversity goals are not just aspirational but are tracked and measured to drive tangible results.

4. Community Engagement. Engaging with local communities and minority business organizations can help companies discover talented suppliers while contributing to the economic development of underserved areas.

5. Audits and Certifications. Conducting audits and seeking certifications from recognized diversity organizations help companies verify the minority ownership status of their suppliers. These certifications provide an extra layer of assurance and credibility.
Supplier diversity is no longer just a corporate buzzword; it's a strategic imperative. Recent trends indicate a growing awareness among businesses regarding the need to address biases against minority-owned businesses and promote diversity in the supply chain.


Let us get together at 𝐒𝐚𝐦𝐚𝐚𝐯𝐞𝐬𝐡𝐚𝐧, the National DEIB Summit for diving deep on various critical issues that form the essence of the Diversity Culture.

Secure your spot now for 𝐒𝐚𝐦𝐚𝐚𝐯𝐞𝐬𝐡𝐚𝐧 🎟 hosted by National HRD Network, Pune Chapter that promises inspiration, and networking, a full day packed with DEIB thought leadership learning.

Date: 𝐒𝐚𝐭𝐮𝐫𝐝𝐚𝐲, 𝟕𝐭𝐡 𝐎𝐜𝐭𝐨𝐛𝐞𝐫 𝟐𝟎𝟐𝟑
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