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Cathy Gallagher-Louisy
Director of Knowledge Services, CCDI
@CatGL @CCDItweets
Supply Chain Innovation and
Sustainability through
Supplier Diversity.
SCMA Conference - June 17, 2016
Dr. Paul D. Larson
CN Professor of Supply Chain Management
University of Manitoba
Agenda.
•Welcome and Icebreaker.
• Introductory polls.
•Research results from Supplier Diversity in Canada.
•The Benefits of Supplier Diversity (aka the business case).
•World Café - Group Discussions.
•Wrap Up.
Canadian Centre for Diversity and Inclusion 2
Icebreaker Activity.
Canadian Centre for Diversity and Inclusion 3
Getting to Know You.
Canadian Centre for Diversity and Inclusion 4
What sector do you work in?
1. Private sector (for profit company).
2. Government.
3. Healthcare.
4. Education.
5. Non-profit or Charity.
6. Other.
7. Not applicable.
Canadian Centre for Diversity and Inclusion 5000
Standard
Where is your organization headquartered?
1. Canada.
2. U.S.A.
3. Another country.
4. Not applicable.
Canadian Centre for Diversity and Inclusion 6000
Standard
What is your role within your organization?
1. Buyer.
2. Procurement/ Purchasing.
3. Supply Chain.
4. Logistics.
5. Senior Leader.
6. Diversity/ Supplier Diversity.
7. CSR/ Sustainability.
8. Other.
9. Not applicable.
Canadian Centre for Diversity and Inclusion 7000
Standard
What is your biggest priority in SCM?
1. Cost reductions and savings
2. Supplier performance
3. Supplier innovation
4. Shorter lead / delivery times
5. Quality of products or services
6. Finding qualified vendors
7. Supplier base consolidation
8. CSR/Sustainability initiatives
9. Supplier Diversity
Canadian Centre for Diversity and Inclusion 8000
Standard
Do you have an ethical supply chain
program?
1. Yes
2. No
3. Considering It
4. I don’t know
5. Not applicable
Canadian Centre for Diversity and Inclusion 9000
Standard
Do you have supply chain sustainability
initiatives?
1. Yes
2. No
3. Considering It
4. I don’t know
5. Not applicable
Canadian Centre for Diversity and Inclusion 10000
Standard
Do you have a diversity and inclusion
policy or strategy?
1. Yes
2. No
3. Considering It
4. I don’t know
5. Not applicable
Canadian Centre for Diversity and Inclusion 11000
Standard
Do you have a supplier diversity program?
1. Yes
2. No
3. Considering It
4. I don’t know
5. Not applicable
Canadian Centre for Diversity and Inclusion 12000
Standard
Research Results.Supplier Diversity in Canada.
Canadian Centre for Diversity and Inclusion 13
What is Supplier Diversity?
Supplier diversity is a strategic business practice that
encourages organizations to purchase goods and services
from businesses owned by minorities, women, LGBT
people, Aboriginal people and people with disabilities.
This helps enable competition for business owners from
traditionally under-represented groups in the Canadian
economy.
Canadian Centre for Diversity and Inclusion 14
Research Methods.
•CCDI Supplier Diversity Committee.
•Literature Review.
•Content Analysis.
•Survey.
• Interviews.
•Case Studies.
Download it for free.
http://www.ccdi.ca/Supplier-Diversity-In-Canada-Report
Canadian Centre for Diversity and Inclusion 15
Key Findings.
Canadian Centre for Diversity and Inclusion 16
Prevalence of Supplier Diversity.
Canadian Centre for Diversity and Inclusion
Canada’s Best
Diversity Employers:
35.4%
17
All survey
respondents:
39%
Impact of Organizational Size.
Canadian Centre for Diversity and Inclusion 18
Impact of Headquarters.
Canadian Centre for Diversity and Inclusion 19
Impact of Sector.
Canadian Centre for Diversity and Inclusion 20
Impact of a D&I Policy.
Canadian Centre for Diversity and Inclusion 21
The Benefits of Supplier
Diversity (aka the business
case).
Canadian Centre for Diversity and Inclusion 22
Which of the following is most important to
you as a supply chain professional?
1. Increasing competition among vendors.
2. Getting better pricing from vendors.
3. Getting more innovative products and services from vendors.
4. Increased flexibility and just-in-time delivery from vendors.
5. Building the most-qualified supplier pool.
6. Reducing supply chain risk, by engaging multiple, capable suppliers.
7. Having a reputation for ethical, socially responsible, or sustainable supply chains.
Canadian Centre for Diversity and Inclusion 23000
Standard
Business Case for Supplier Diversity.
• Increased competition among vendors, leading to better
pricing and more innovative products and services;
• Increased flexibility and just-in-time delivery from vendors;
•Building the most-qualified supplier pool;
•Reducing supply chain risk, by engaging multiple, capable
suppliers;
• Increased access to ethnic or diverse markets;
•Meeting customer expectations for diversity;
Canadian Centre for Diversity and Inclusion 24
Business Case for Supplier Diversity.
•Community relationship building,
•Building economic capacity and prosperity in the
community;
•Building stakeholder relationships and goodwill;
• Increased brand recognition within the community with
improved public and client relations;
•Customization of products or services can be easier with
smaller diverse vendors;
• Improved employee engagement.
Canadian Centre for Diversity and Inclusion 25
World Café - Group
Discussions.
Canadian Centre for Diversity and Inclusion 26
Group Discussions.
Group A: Discuss barriers to implementing supplier
diversity within your organization. i.e., challenges to doing
it.
Group B. Discuss motivators to supplier diversity within
your organization. i.e., reasons for doing it.
Group C. Discuss facilitators to supplier diversity within
your organization. i.e., what would make it easier?
Canadian Centre for Diversity and Inclusion 27
Motivators, Barriers, and
Facilitators to Supplier
Diversity.From research Supplier Diversity in Canada.
Canadian Centre for Diversity and Inclusion 28
Barriers.
Canadian Centre for Diversity and Inclusion 29
Motivators.
Canadian Centre for Diversity and Inclusion 30
Facilitators.
Canadian Centre for Diversity and Inclusion 31
Sustainability.
Canadian Centre for Diversity and Inclusion 32
Does your organization have a corporate
social responsibility or sustainability policy
or mandate?
1. Yes
2. No
3. I don’t know
4. Not applicable
Canadian Centre for Diversity and Inclusion 33000
Standard
If you answered yes, is procurement part
of your corporate social responsibility/
sustainability goals?
1. Yes
2. No
3. I don’t know
4. Not applicable
Canadian Centre for Diversity and Inclusion 34
Social Responsibility / Sustainability
Connection.
•Global Reporting Initiative.
•Canadian Business for Social Responsibility:
• Transformational Company Quality #8 – Employee Engagement
• Transformational Company Quality #9 – Inclusive Business
•2016 Global Diversity and Inclusion Benchmarks:
Standards for Organizations Around the World.
•Benefits of supplier diversity align with social
responsibility goals.
Canadian Centre for Diversity and Inclusion 35
Conclusions.
We encourage you to:
• investigate the benefits of supplier diversity for your
supply chain,
•adopt supplier diversity into your diversity and inclusion or
social responsibility strategies,
• implement metrics to measure the ROI and community
economic impact of supplier diversity initiatives.
Canadian Centre for Diversity and Inclusion 36
Conclusions.
We encourage you to connect with diverse supplier
certifying organizations such as:
• Canadian Aboriginal and Minority Supplier Council.
• Canadian Council for Aboriginal Business.
• WBE Canada.
• Canadian Gay and Lesbian Chamber of Commerce.
Canadian Centre for Diversity and Inclusion 37
Canadian Centre for Diversity and Inclusion
Cathy Gallagher-Louisy
Director of Knowledge Services, CCDI
@CatGL @CCDItweets
Dr. Paul D. Larson
CN Professor of Supply Chain Management
University of Manitoba
Download the report: http://www.ccdi.ca/Supplier-Diversity-In-Canada-Report
Thank you!
Dr. Paul D. Larson
CN Professor of Supply Chain Management
University of Manitoba
Cathy Gallagher-Louisy
Director of Knowledge Services, CCDI
@CatGL @CCDItweets