One of the defining characteristics for corporate America in 2020 was a surge in expressions of support for Black Americans. In the wake of George Floyd’s killing and the Covid-19 pandemic’s disproportionate toll on communities of color, businesses raced to announce a slew of programs and initiatives to address inequality. In many cases, these came in the form of promises to support Black-owned businesses by stepping up their supplier diversity programs.
Supplier Diversity Programs Are Failing Black-Owned Businesses
Five recommendations to help your organization become a better partner.
April 19, 2021
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Summary.
Large companies are increasing their use of supplier diversity programs in an effort to promote racial equity. However, some of the requirements of these programs — such as training requirements and payment policies — can backfire, reducing or eliminating the benefit that Black-owned businesses should be receiving from them.