Supplier Diversity in Canada: An Empirical Study

Abstract

The roots of supplier diversity (SD) can be traced to the American civil rights movement in the 1960s. Legendary leaders of that struggle, like Mr. Medgar Evers, are the true founders of this concept. Today, SD programs are as relevant as ever, due to growing awareness of systemic racism and sexism in North America and elsewhere, along with the Black Lives Matter and Me Too movements. SD is linked to important aspects of organizational culture, such as moral and ethical standards. It creates economic opportunities for businesses owned and operated by folks from historically disadvantaged communities. There is also a business case for SD from the buyer’s perspective; encouraging competition and broadening the supply base can yield better quality and lower cost procurement outcomes. This paper presents results of a recent multi-method study of Canadian buying organizations. The study profiles the state of SD programs in Canada; and identifies barriers, facilitators and motivators of supplier diversity. During the fall of 2020, a hyperlink to the survey was sent to a selection of large purchasing organizations (LPOs) across Canada. In addition, a content analysis was conducted of nearly 100 organizations designated as Canada’s “best diversity employers.” Based on analysis of the statistical and qualitative data gathered by these methods, implications are derived for LPOs, suppliers from diversity communities (e.g. women and visible minorities), public policy makers, educators, and academic researchers.

Presenters

Paul D. Larson
CN Professor, SCM, University of Manitoba, Manitoba, Canada

Jack Kulchitsky
Associate Professor (Marketing), Marketing, University of Calgary, Alberta, Canada

Details

Presentation Type

Paper Presentation in a Themed Session

Theme

Organizational Diversity

KEYWORDS

Supplier Diversity; Organizational Culture; Survey Research; Content Analysis

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