Impact of Supplier Diversity on Startup Activity and Small Business Growth
According to the Chartered Institute of Procurement & Supply (CIPS), “Supplier development is the process of working with certain suppliers on a one-to-one basis to improve their performance (and capabilities) for the benefit of the buying organization and can take the form of a one-off project or an on-going activity that may take some years to come to fruition.” Forward-thinking companies are leading the way in multicultural marketplaces by infusing supplier diversity into their main business processes in unique and creative ways. Many of those who have developed strong relationships with minority business owners are reaping the benefits.
When supplier diversity began, it was a new frontier for everyone. Organizations and entrepreneurs alike learned as they went. The focus was very transactional, and companies used basic metrics to quantify their success.