SMI Supplier Diversity Playbook - Introduction

Executive Summary

Integrating supplier diversity into the supply chain increases resiliency and provides an advantage in addressing economic and racial disparities that impact operations and community health outcomes. Health care supply chain is increasingly prioritizing supplier diversity and other ESG-related activities as critical to the mission of the organization. Gartner’s Healthcare Supply Chain Top 25 incorporates Healthcare Anchor Network (HAN) anchor mission metrics into its methodology and U.S. News & World Report’s Best Hospitals ranking includes health equity measures.

Supporting diverse vendors increases the pool of potential suppliers to fill supply chain needs while leveraging existing resources to drive economic growth, build a culture of health for the community and strengthen institutional and community outcomes. Benefits include:

A successful supplier diversity program includes several components:

A robust supplier diversity program includes intentional leadership engagement and education for internal team members involved in the sourcing process, industry partners and diverse suppliers alike. The change management plan in this chapter offers an exercise to support program development and focuses on two primary strategies for increasing local and diverse purchasing:

1. Building connections within your institution and the diverse supplier community.

2. Building the capacity of diverse suppliers through your purchasing process.