Leading Practices for Supplier/Vendor Diversity Programs

Supplier and vendor diversity programs are an important part of an organization’s DE&I efforts. They foster greater economic inclusion and address systemic disparities. You can establish a supplier/vendor diversity program at your bank by following these leading practices:

• Integrate specific supplier diversity goals into your bank’s mission statement for DE&I
• Write a business plan that includes spending goals, metrics for accountability and a system for measuring results
• Appoint a leader and an executive sponsor to run the program
• Create measurable benchmarks and goals that align with the bank’s overall mission and business strategy
• Commit appropriate budget and staff resources to the program Implement clear supplier/vendor diversity policies and review them regularly
• Create a webpage where underrepresented groups can sign up as suppliers
• Set up a system to verify that vendors and suppliers meet diversity requirements
• Employ third-party certifications
• Ensure that Tier 1 vendors subcontract to Tier 2 suppliers who also fulfill vendor diversity requirements
• Clearly communicate program goals to individuals and procurement and sales teams
• Establish an onboarding program to acquaint suppliers with the bank’s business processes and supply chain strategy
• Participate in supplier diversity events, including “matchmaking” and mentoring opportunities
• Recognize and reward progress

Additional development opportunities:

• Involve suppliers and vendors in mentoring and professional development programs
• Open up educational opportunities to suppliers
• Involve vendors and suppliers in community outreach efforts
• Provide financial incentives for certified vendors

For more guidance, check out this guide from the National Minority Supplier Development Council.