Supplier Diversity Momentum & Impact

Momentum: “strength or force gained by motion or by a series of events” (Merriam Webster)

If I had to boil the takeaways from my recent interview about supplier diversity with Ken Yearwood, Associate Partner at McKinsey and Company, down to one word, it would be MOMENTUM.

Supplier diversity is not new – by a long stretch. It was begun by the automotive industry as their response to the 1967 riots in Detroit, MI. After events cooled down and the headlines moved on, supplier diversity faded into the background. Like many corporate initiatives, it might have languished on in tepid fashion forever, finding periodic favor and enthusiasm in certain places and with some companies.

The death of George Floyd in 2020 was the event that provided the supplier diversity movement with a strength and force required to alter its trajectory.

I’m always hesitant to call out this event specifically in discussions about supplier diversity today, but there is really no escaping it. In my LinkedIn Creator Accelerator interviews, I encountered varied comfort levels with the topic and different ways people had for referring to George Floyd. I would never disrespect or dishonor any of those people or conversations.

But if we’re honest, it has to be acknowledged.

The issue now is that the headlines are moving on again. Momentum and attention will undoubtedly die down. The supplier diversity movement cannot maintain speed and progress if we don’t move our focus from MOMENTUM to IMPACT.

What impact do we expect our supplier diversity programs to have?

I love this quote from Ken in our interview:

Economic impact is much greater than jobs created. Children from high income homes are six times more likely to graduate from college. That has a multigenerational impact on a family. Every $1,000 increase in household income increases the likelihood of young adult employment by a percentage point. These are meaningful and eye-opening changes for our society and for our communities.

What impact will your supplier diversity program have? Will it be personal? Human? Multi-generational? Economic? Measurable? Sustainable?

Momentum can get progress started but only dedication and hard work can drive impact.

Listen to my interview with Ken and then share your point of view on supplier diversity today and where you think it is headed in the future.

Special thanks to the inaugural NMSDC Minority Business Economic Forum and the team at McKinsey and Company, without whom this interview would not have been possible. Learn more here.

Other content released this week:

6?? I hosted this week's Procurement 6 podcast on Art of Procurement, short-form coverage of the latest procurement content and events

? The Resurgence and Economic Impact of Supplier Diversity Programs in America Featuring Ken Yearwood with McKinsey and Company on Dial P for Procurement

?? The Sourcing Hero podcast Episode 70: Looking at the Business Impact of Energy Costs and Availability with Kris Lance

?? This Week in Business History LIVE with Scott Luton and I co-hosting covered breakfast sausage, pizza, video games and more!

?? Just released today! I was recently interviewed by Susanne Mariga, CPA for her podcast, The Profit Talk, about what else? Procurement, supply chain, and strategy!