The Procurement Glossary » Supplier Diversity

Supplier Diversity

Suppliers & Vendors

Definition

A programme to deliberately include suppliers owned by under-represented groups in the supply base.

Explanation

Supplier diversity broadens the supply base, supports social goals and can strengthen resilience and innovation. Programmes set targets, track diverse spend and help such suppliers qualify and compete.

Example

The company reports 12% of addressable spend with certified minority- and women-owned suppliers.

Related terms

• Supplier Base — The full set of suppliers an organisation actively buys from.
• Sustainable Procurement — Buying in a way that minimises environmental harm and maximises social and economic benefit over the whole life cycle.
• Corporate Social Responsibility (CSR) — A company's commitment to operate ethically and contribute positively to society and the environment.

Frequently Asked Questions

What is Supplier Diversity?

A programme to deliberately include suppliers owned by under-represented groups in the supply base. Supplier diversity broadens the supply base, supports social goals and can strengthen resilience and innovation. Programmes set targets, track diverse spend and help such suppliers qualify and compete.

Can you give an example of Supplier Diversity?

The company reports 12% of addressable spend with certified minority- and women-owned suppliers.

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