What is supplier diversity and how do I get certified?

In recent years, there has been a growing emphasis on supplier diversity in the business world. Many companies are seeking to diversify their supply chains by working with businesses owned and operated by members of underrepresented demographic groups. If you are a business owner who belongs to one of these groups, there are several benefits to becoming a certified diverse supplier. In this prompt, we will explore what supplier diversity means, why it is important, and how to become certified as a diverse supplier.

First, let's define supplier diversity. This term refers to the practice of working with businesses that are owned and operated by people from diverse backgrounds, including women, minorities, veterans, LGBTQ+ individuals, and people with disabilities. The goal of supplier diversity is to improve economic opportunities for these groups by creating a more inclusive supply chain.

Why is supplier diversity important? For one, it can help companies meet their diversity and inclusion goals. Businesses that prioritize diversity tend to have happier, more engaged employees and better relationships with customers. Additionally, supplier diversity can help companies meet government-mandated diversity requirements and avoid legal trouble down the line. From a financial standpoint, working with diverse suppliers can lead to cost savings, as smaller businesses may offer more competitive pricing than larger corporations.

If you are a business owner who belongs to a diverse group, you may wonder how to become certified as a diverse supplier. The process varies depending on the certifying organization, but generally, you will need to provide proof of ownership and control of your business, as well as documentation of your group membership status. You may also need to complete a site visit or interview. Several organizations certify diverse suppliers, including the National Minority Supplier Development Council, the Women's Business Enterprise National Council, and the National LGBT Chamber of Commerce, among others.

Overall, supplier diversity is an important practice that can benefit both businesses and underrepresented groups. If you are a business owner from a diverse background, becoming a certified diverse supplier can open up new opportunities and help you grow your business.