7 Supplier Diversity Challenges, Part I
By Charles Dominick, SPSM, SPSM2, SPSM3
What Are The Challenges Of Using Diverse Suppliers?
As corporate social responsibility becomes more widely discussed, more organizations are asking purchasing departments
to increase supplier diversity spend. But supplier diversity programs have unique challenges.
Challenge #2: Tracking the use of diverse suppliers. There's an old business saying "What gets measured gets
done." So to ensure actual use of diverse suppliers, you need an easy way to determine how much your organization is
spending with them.
In addition, you also must strategize how to handle "double counting" supplier diversity spend. Double counting can occur when doing business with a supplier that qualifies for two or more diversity classifications,such as a supplier that is both a woman-owned business and a minority-owned business. You need to decide whether to pick one of those classifications for reporting purposes in accordance with a hierarchy, divide the spend among the classifications, or report the whole amount in multiple categories.
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Are you tired of not getting enough opportunities, respect, and money out of your procurement career? Well, guess what? Nothing will change unless you take action towards becoming a world-class procurement professional.
Earning your SPSM® Certification is the action to take if you want to bring the most modern procurement practices into your organization and achieve your career potential. Download the SPSM® Certification Guide today to learn how to get started on your journey to a more rewarding procurement career!
Need Better Performance From Your Procurement Team?
Are you a procurement leader whose team isn't achieving the results you know are possible? Maybe it's not enough cost savings. Or frustrating performance from the supply base. Or dissatisfied internal customers.
You need a performance improvement plan that's easy to implement and quick to produce results. The NLPA can help.
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