How Data-Driven Supplier Diversity Strengthens Supply Chains

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Supplier.io has unveiled its 2024 Supplier Diversity Economic Impact Report. Picture: Getty Images
Supplier.io's latest research, the 2024 Supplier Diversity Economic Impact Report, highlights how inclusive sourcing benefits businesses and communities

Partnerships with diverse suppliers are transforming economies, creating jobs and advancing sustainable procurement practices globally.

This insight comes from Supplier.io's latest research, the 2024 Supplier Diversity Economic Impact Report, which highlights how inclusive sourcing benefits both businesses and communities.

The report reveals that direct spending of US$168bn with small and diverse suppliers has produced a wider economic impact of US$303bn, underscoring the far-reaching potential of responsible procurement to drive economic development.

Aylin Basom, CEO of Supplier.io, highlights the role of data-driven strategies in fostering supplier diversity and strengthening supply chains.

Aylin Basom, CEO of Supplier.io

She explains: "At Supplier.io, we believe empowering businesses with advanced supplier intelligence not only enhances their operational resilience but also significantly mitigates risks.

"Our platform provides critical insights that drive efficiency and innovation, enabling companies to find and invest in small and diverse suppliers. This approach helps build stronger, more reliable supply chains. Consequently, it supports robust economic growth and job creation globally."

The economic impact of supplier diversity

The 2024 Supplier Diversity Economic Impact Report demonstrates how partnering with diverse suppliers can have profound economic benefits at every level.

According to the study, organisations engaging with small and diverse suppliers collectively supported more tan 710,000 direct jobs and contributed US$60bn in wages. Beyond these direct impacts, an additional 1.4 million jobs were created indirectly, accounting for US$105bn in total income.

Notably, each dollar spent with small and diverse suppliers generated US$1.80 in broader economic value, showcasing the multiplier effect of inclusive procurement.

The report also recognises companies making significant contributions to job creation through supplier diversity.

CVS leads the way in job creation through supplier diversity. Picture: CVS

Leading organisations include:

  • CVS Health, which supported more than 40,000 jobs.
  • Cummins, JPMorgan Chase & Co and Pacific Gas and Electric Company (PG&E), each supporting more than 20,000 jobs.
  • Cencora (formerly AmerisourceBergen), Eaton Corporation, Exelon Corporation, Health Trust Purchasing Group, Southern California Edison Company and Truist, each creating 10,000 or more jobs.

These figures illustrate how supplier diversity programmes can bolster employment, strengthen communities and deliver sustained economic benefits.

Supplier.io: Supporting responsible sourcing globally

Supplier.io is a leading provider of supplier intelligence solutions, serving more than half of Fortune 100 companies and 60% of the Billion Dollar Roundtable.

By offering advanced tools for supplier diversity, sustainability and spend management, the organisation enables its clients to achieve measurable outcomes in their ESG goals.

Supplier.io’s solutions help businesses identify and engage with diverse suppliers, fostering innovation and competitiveness in global markets. This commitment to responsible sourcing accelerates growth and supports long-term economic empowerment.

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Recognition for trailblazers

In addition to the report, Supplier.io has announced the winners of its annual Supply Chain Diversity Excellence Awards, which celebrate organisations that are setting new benchmarks in supplier diversity.

Aylin states: "Through our Supply Chain Diversity Excellence Awards, we honour organisations that demonstrate an outstanding commitment to these principles, thereby enriching the global marketplace through informed and inclusive procurement practices."

This year, a new category was introduced to recognise companies achieving exceptional growth in job creation, defined as supporting at least 50% more jobs year-on-year. Among those honoured were American Water, State Street and Point32, all of which exemplify the potential of inclusive procurement to advance economic empowerment.

Chris Stanley, Global Head of Supplier Diversity at State Street, reflects on the significance of the recognition: "We’re honoured to receive the Supplier Diversity Champions award from Supplier.io, recognising the significant growth and impact of State Street’s Supplier Diversity Program.

"This is a testament to our commitment to fostering economic empowerment and driving meaningful change through inclusive procurement practices.

"Being acknowledged as one of the top programmes growing impact in the US is both a validation of our efforts and an inspiration to continue advancing opportunities for diverse businesses. This award reflects the collaborative efforts of our team, our partners and our diverse suppliers, who together make this progress possible."


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