supplier diversity - december 2011 ibm bedfont lakes

© 2011 IBM Corporation

IBM Meet the Member Event

Supplier Diversity 7th December 2011 IBM Bedfont Lakes


"Diversity policies lie as close to IBM's core as they have throughout our heritage. Today,

we‘re building a workforce in keeping with the global, diverse marketplace, to better serve

our customers and capture a greater share of the on demand opportunity."

Sam Palmisano, IBM Chairman


What is Supplier Diversity? - Definition

  51% owned managed and controlled by a minority group.

Global Categories:

  Women Owned Business Enterprise (WBE)

  Gay, Lesbian, Bi-sexual, Tran-sexual (GLBT)

  Ethnic Minority Business (EMB)

  People with Disabilities (PWD)


IBM Supplier Diversity – Going Global

  IBM Corporate Policy states

  "Wherever IBM operates around the world, we strive to conduct our business in a fair and equitable manner. Consistent with this objective, we follow local laws and customs of the countries in which we operate, and we actively seek to establish close working relationships with businesses indigenous to those countries.


IBM’s Supplier Diversity Program


Why does IBM have a Supplier Diversity Program?

Within the diverse communities are rapidly growing markets where IBM is maximizing their opportunities. This is done by driving targeted revenue, mind share, and market share with all diverse owned businesses.


•  Rate of growth and buying power of diverse owned businesses has caught IBM's and IBM customer’s attention.

•  Customers require supplier diversity programs and performance reporting from their suppliers. Quarterly spend reports are provided to more than 200 of IBM's largest customers.

•  Over $40 billion in IBM's revenue is influenced by the supplier diversity program. A world-class program is a competitive differentiator where new business has been won because of IBM's supplier diversity program.

•  IBM are now requiring its suppliers have supplier diversity programs and report their performance to create opportunities for diverse owned businesses throughout the supply chain.

Customers


IBM recognizes that a diverse supplier base is integral to company profitability and strategic objectives---solidifying the connection between customer satisfaction and winning in the marketplace.

Suppliers

Collaboration helps IBM deliver:   innovation,   quality products,   world-class service

Diverse suppliers become important IBM customers.


The more we focus on customer differences in buying habits, the better we can leverage

is a key component in the business case for supplier diversity which is focused on accelerating attainment of IBM’s business objectives.

Diversity Brand Loyalty


Brand Loyalty Builds Strong Customer Relationships and Drives Company Growth

  Customers do business with suppliers who understand and respect local conditions, both in geography and culture.

  As customers recognize the value of diversity in their workforces, they want to see it in their suppliers.

  Bottom line: brand loyalty increases market share, gains new customers, and retains current ones.


 Influence on revenue

  Increased market share

  Improved customer satisfaction

  Support for diverse communities

  Government compliance

  Supplier growth and development

  Enhanced innovation/creativity

  Attract and retain talent

Summary of Benefits of Supplier Diversity


Key Strategic Initiatives for Supplier Diversity 2012

  Identification of more Diverse Suppliers

  Improved Supplier Tools and Resources – SME Tool Kit (www.us.smetoolkit.org/us/en) – Supplier Connection (www.supplier-connection.net )

  IBM Supplier Diversity Mentoring Program

  Increase 2nd Tier Opportunities with IBM’s Strategic Suppliers


Becoming an IBM Diverse Supplier – Next Steps

  Diversity Certification –  Weconnect, MSDUK

  IBM Registration as a Diverse Supplier

  Contact with IBM Procurement

  Inclusion in competitive tenders

  Ongoing feedback

  Contracting –  Master Framework Agreements, SOWs

–  Supplier Questionnaire

–  Supplier Conduct Principles Letter agreement


Summary- How Diversity affects you!

 Diversity Matters

  Inclusion in competitive tenders

 Utilise Tools and Resources

 Networking

 Partnership and Collaboration

 Understand your client

 Follow Up


Questions?

supplier diversity - december 2011 ibm bedfont lakes

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