RPI Newsletter - Q3 2019

Skot Welch, Principal/Founder, Global Bridgebuilders

Derek Ludwig, Vice President of Global Procurement, Steelcase

The importance of supplier diversity Investor Breakfast

In 2015, Forbes named Grand Rapids as the second worst city in the nation for African Americans to prosper. This came as a stark contrast to the long list of accolades the region receives on an annual basis. Our community has been tackling this topic head-on, but there is still a lot more work to be done. That's why The Right Place recently hosted an Investor Breakfast at the West Michigan Center for Arts and Technology (WMCAT) on the topic of Supplier Diversity. A panel of speakers provided insight on how and when companies should be diversifying not only their supply chain, but their business operations as a whole. The panel included the participants shown above and was moderated by Skot Welch, Principal/Founder, Global Bridgebuilders. Each of these panelists tackle the topic of diversity in different capacities within their organizations and brought unique perspectives to the morning’s discussion.

WHAT DOES SUCCESSFUL DIVERSIFICATION LOOK LIKE? For any supply chain to be successful, says Ludwig, it must be both competitive and sustainable. In that same vein, the individuals making up the supply chain must be able to approach problems in a way that drives an innovative solution. Welch points towards studies that have found heterogeneous groups to be smarter and more innovative than those that are not. Innovation is born out of diverse thinkers collaborating together to solve a common problem. The Hispanic community now accounts for nearly 17% of West Michigan’s population, according to Cisneros. His question for employers was whether or not their workforce reflects the true makeup of the community they’re in. This factor, Cisneros says, is a key indicator of successful diversification efforts.

FROM TOP TO BOTTOM, WHO LEADS DIVERSIFICATION? The panelists agreed diversity initiatives come into existence at the hands of executive-level leadership. The decision makers of an organization are the ones with the ability to fuel, or stall, diversification efforts from the start. Stakeholder buy-in is a critical factor in the success of making diversity an effective and meaningful business strategy. However, middle-management and the rest of the workforce are also vital to the success of diversification. While those at the top may create these concepts for their organizations, the people responsible for breathing life into them are those who are working on the ground, day-in and day-out. This means the desire to diversify must come from all levels of the organization. If it doesn’t, implementation will fail as it gets lost in the mix of what’s both familiar and comfortable.

6

SUPPLIER DIVERSITY

Made with FlippingBook Learn more on our blog