Show True Commitment to Your Diversity Program | DCR Workforce Blog

Show True Commitment to Your Diversity Program

A diversity program showcases a commitment to equal opportunity and inclusive approach. Even when companies have adopted and publicized a supplier diversity program, they may be failing to walk the talk and implement their program and its goals effectively and successfully.

There is no scarcity of diverse businesses which can meet a company’s requirements, as proved by the data provided below, which shows the exponential manner in which loans to minority groups have increased, and the additional support provided by the government.

Corporations are not only expected to build a diverse supplier base – they are also expected to submit to an audit of their supplier data, with transparency and accountability. The audit is enforced far more seriously for companies which have business relations with the federal government.

These companies need to ask themselves some hard questions about their program and its objectives:

  • Have we set corporate objectives and goals for the program, and trained our managers and decision-makers on their importance, so that everyone is committed to its success?
  • Are we focused on creating real impact and driving the program as our corporate social responsibility? Or, are we doing it only to ensure that we meet federally mandated requirements and possibly win some brownie points from customers?
  • Did we consider the different ways in which we could fulfill these objectives, and the kinds of suppliers who we believe would help us meet these goals? Are we serious about our avowed goals of mentoring, assisting and supporting small suppliers to reach larger goals by scaling up?
  • Is our supplier diversity program facing any challenges from the globalization and outsourcing plans of our business? If so, how do we better align these strategic initiatives to that they are mutually supportive?
  • Are we measuring the social and economic impact of our diversity programs? What quantifiable metrics are we using to assess and demonstrate program progress? Are these metrics directly derived from the Corporation’s overall business objectives and goals?
  • Are we tracking the improvements to our corporate image and our penetration into diverse markets? In other words, has the program improved our revenue or market share?
  • What action do we take when our percent spend with diversity suppliers falls short of the target we set for ourselves?
  • Do we track the volumes of business awarded to our MWBE suppliers and look at ways to further improve them?
  • If we are a multinational entity, do we track these numbers in the US alone or in all the countries we operate in?  Do we apply the standards to orders, outsourced globally?

Companies that fail to evaluate the genuineness of their supplier diversity programs and diligently track their performance will also fail to derive the true benefits offered by a truly well-managed program by way of customer loyalty and enhanced revenues.


Disclaimer:
The content on this blog is for informational purposes only and cannot be construed as specific legal advice or as a substitute for competent legal advice. They reflect the opinions of DCR Workforce and may not reflect the opinions of any individual attorney. Do contact an attorney for advice specific to your issue or problem.
Lalita is a people/project manager with extensive experience in operations, HCM and training and development across industries like banking, education, business consulting, BPO and information technology. She believes in a dynamic approach to life and learning as change is the only constant.