Enterprises continue to view supplier diversity as a value-generating supply chain strategy and are implementing programs as planned, according to the 2023 State of Supplier Diversity report, released September 12 by Supplier.io. The report, the company’s sixth on supplier diversity, found most businesses (69%) report the current economic climate has had minimal impact on their supplier diversity programs, and 89% expect business expect to maintain or increase their activities in the upcoming year.

In this year’s report, Supplier.io heard from 216 respondents across the globe, and in a wide variety of industries, spend, and level of maturity with their program, 67% of which work at organizations with revenues of $1 billion or higher.

Two-thirds of those surveyed cited supply chain competitiveness, such as cost savings, risk reduction and innovation, as a primary driver for their supplier diversity program. The research also found few organizations are investing solely because of corporate, regulatory or societal requirements. In fact, when evaluating the business drivers of supplier diversity, the impetus of customer requirements and government compliance were down 33% and 27%, respectively, over the past six years. 

Supplier.io says the survey shows the business value of supplier diversity remains strong and broad. In addition to supply chain competitiveness, companies are investing in supplier diversity to enhance their brand image (53%), win new business (46%) and align with corporate culture and workforce inclusiveness (81%).

Supplier diversity programs also aid in reach ESG goals, Supplier.io says. More than half of respondents (55%) said supplier diversity helps drive their organization’s overall ESG strategy.

Data management is critical to monitoring and improving supplier diversity, also. Some 67% of those surveyed say they are now using third-party data services to improve supplier diversity programs, a 44% increase over 2022. More than half report that the diversity data they have access to has improved compared to last year.

“Supplier diversity remains an intentional and essential supply chain strategy,” said Aylin Basom, CEO of Supplier.io. “Our research continues to show wide-ranging investments in diverse businesses of all types — including SMBs, veteran- and women-owned businesses, minority-owned organizations and more. Programs have matured substantially over the past few years, resulting in a bigger impact for the businesses and across the global economy.”

To access the full data, download the 2023 State of Supplier Diversity report here.