MBN USA

October 28, 2021

UnFollow View Profile Send Message Copy Link

UnFollow View Profile Send Message Copy Link

Procter & Gamble joined BDR in 2005

“The BDR organization is an exclusive group of companiesthat believe supplier diversity is the right thing to do for the business, and through this work, we make a positive impact on the communities we serve.”

Q: When did your company begin its supplier diversity program?

A: 1976.

Q: Can you tell us a bit about your supplier diversity program history?

A: Supplier diversity is our strategy since 1976 to grow and develop our supply base to include [women-owned business enterprises, minority-owned business enterprises], veteran- and disability-owned companies — along with lesbian, gay, bisexual and transgender- or LGBT-owned companies — in the United States. P&G is generally regarded as having a world-class program; we spend over $2 billion annually with diverse-owned companies in the United States and have done so for 13 straight years. Our global supplier diversity program launched in 2015 and is focused on growing spend with women-owned businesses outside the U.S.

Q: Why did your company decide to become a BDR member?

A: Being a part of this organization was an acknowledgment of P&G’s world-class, supplier diversity program and sustainable results. The BDR organization is an exclusive group of companies that believe supplier diversity is the right thing to do for the business, and through this work, we make a positive impact on the communities we serve.

Q: Besides having a $1 billion annual spend with diverse suppliers, what does it take to be a BDR company?

A: You must be an active member, innovative, forward-thinking, a leader within the industry and an organization willing to enable the growth of minority-owned firms.

Q: What are some best practices or lessons learned you can share with companies striving to reach the $1 billion diverse spend mark?

A: Supplier diversity is multifaceted. While we spend a lot of time searching for diverse-owned companies ready to do business with P&G, we also must invest in current incumbents. We know it is hard work to sustain a supplier’s position and their diverse status, so P&G will be building a sponsorship program to ensure we are supporting current suppliers as well.

Best practices we have implemented include integrating supplier diversity in every aspect of sourcing and enhancing our data analytics and insights. Supplier diversity is “built into” the buyers’ work, and they have data available to ensure their long-term strategies will support their supplier diversity targets.

Q: What advice do you have for MBEs interested in doing business with your company?

A: Patience is a virtue. P&G receives many requests from suppliers across the world. It does take time to be considered for new business opportunities, so be patient in trying to achieve the ultimate goal. Our advice when meeting with a P&G buyer: describe your core expertise, customer base, global footprint (if applicable) and any unique capability that may offer P&G a competitive edge.

Q: What’s your vision for the future of minority business development and supply chain diversity?

A: The evolution of our work should consider all aspects of diversity when evaluating potential suppliers. We want some suppliers to be diverse-owned, but we also value suppliers that have diverse leadership — regardless of ownership — and those that have a diverse workforce. All these scenarios contribute to economically empowering all potential consumers, which is important to grow P&G’s business.

To learn more about P&G’s supplier diversity program, visit pgsupplier.com/supplier-citizenship.