My Issues with Corporate Procurement and Supplier Diversity Professionals

I truly appreciate it when a corporate procurement person does take the time with me on the phone to learn about my innovative career mapping program for corporations.

I truly appreciate it when a corporate procurement person does take the time with me on the phone to learn about my innovative career mapping program for corporations.

I decided to designate January, 2016 as my “rant about something in my blog month” and I have a series of three such blogs planned for January. But in addition to complaining, I will suggest a solution or propose a fix, albeit for my third and final installment it will be somewhat tongue-in-cheek.

In my first item, I provide some construction criticism after my first five years as a consultant dealing with supplier diversity teams and corporate procurement people. Most of my experience has been as a certified LGBT (Lesbian, Gay, Bisexual, Transgender) Business Enterprise though the National Gay & Lesbian Chamber of Commerce. I have indeed have had some excellent interaction and support from several NGLCC corporate partners, but there has also been a good deal of frustration.

Here are my issues:

1) I feel many of the people are just “going through the motions” to gain a good name in the diverse community. Their major metric is to get companies to enroll in their supplier diversity database and declare victory by quoting how many suppliers are enrolled. Frankly, as a very busy entrepreneur, if you expect me to spend 45 minutes putting my information into your database, don’t you feel you could spend 10 minutes with me to understand my business and what I truly have to offer to your company?

2) Many supply the pat answer, “we will call you when there is an RFP for your service or offering.” Really? How many calls have I received in 5 years? Frankly, many small business and entrepreneurs have innovative solutions to corporate issues and new inventions for which there will never be an RFP. An excellent procurement professional will seek to understand what suppliers have to offer and introduce the innovative solutions to the appropriate line management and decision makers. See my previous blog from 2012 on this titled: “Corporate Procurement: Promoters or Road Blockers of Innovation?”

3) Far too often after initial good meetings and the procurement person promises to follow up, 80% of the time, they never do. And they will not even provide the courtesy of a 30 second reply to an email to call to let you know status or let you know if they have done what they promised.

And now some suggestions:

1) Procurement people, seek to understand what the suppliers have to offer and introduce them or set up a short call with the line business area.

2) Procurement people, when you promise to do something for a potential supplier, honor that commitment and at least follow up or return a call.

3) To the NGLCC – Solicit honest assessments from the LGBT-BEs on the effectiveness of the supplier diversity program including on each corporate partner, and honor the ones that the suppliers say are doing the best job supporting them.

Finally, I encourage procurement people to work hard to establish value-add and respect within their corporations so that the line management will view you as the “go to” people to help find the best, most innovative and cost-effective suppliers to address their most pressing business needs.

Investing in 2014 – Part 2 of 2 – Opening Up a New Market!

In Part 1 of this series, Investing in Organizational and Personal Career (link) I explored the need to focus on career development both within your organizations for all your people as well as for your own personal growth. In addition I introduced a new affiliate relationship and featured links to two interesting articles on the web – on why people hate their jobs and career and financial advice for young professionals. Link to last week’s blog to get caught up on this topic. Now looking ahead to 2014, part 2 of this series is about opening up new markets in 2014, and I want to propose a focus on one of the fastest growing and most dynamic segments, the LGBT (Lesbian, Gay, Bisexual, Transgender) market.

Are you prepared to serve this two lesbian customers with dignity and respect?

Are you prepared to serve this two lesbian customers with dignity and respect?

Just looking within the United States alone, many diversity market place studies place the LGBT disposable income at between $700 – $800B! Even though the number of LGBT people may be smaller than numbers of Asians, Blacks or Hispanics in the US, the disposable income is in the same range. The primary reason is that at least for now, a smaller percentage of LGBT people are raising children (which costs a whole lot of money), which provides more money available for other purchasing decisions. Maybe you should plan to expand into this market in 2014!

One other very important point about the LGBT marketplace is that it is frequently more “brand-loyal” to companies that reach out to them and treat them with respect, and more “brand-punishing” to those companies that do very little to recognize the LGBT community or that even treat them negatively. It seems that on a monthly basis, there is some company that is highly publicized for a misstep with the LGBT community, or one that has done something very special to support the community.

But it goes beyond just the end-consumer! This LGBT market discussion is also important to consider in B2B (or business to business) interactions. Companies that primarily sell to other companies need to be acutely aware that key decision makers they are calling on could be LGBT or strong supporters. Plus an increasing number of very large firms look at potential suppliers’ diversity policies as part of their buying criteria. And many include LGBT-owned businesses as part of their supplier diversity mix and are corporate partners of the NLGCC (National Gay and Lesbian Chamber of Commerce.)

I am now an affiliate partner of LGBT Marketing and Communications expert Jenn T. Grace, offering "How to Authentically Market to the Gay Community"

I am now an affiliate partner of LGBT Marketing and Communications expert Jenn T. Grace, offering “How to Authentically Market to the Gay Community”


Through my consulting practice, I can assist you in your LGBT corporate diversity strategy and training; take a look at my services (link) and also take my 13-question GLBT Diversity quiz to see how your organization rates as LGBT-inclusive.

And now through an affiliate partnership with Jenn T. Grace – you can gain the marketing and communications expertise via the “How to Authentically Market to the Gay Community.” Check out the details on my affiliates web page (link) or to start now, link to Jenn’s free introductory video series.

I am hoping to see the economy to continue to improve in 2014, but in addition to growing with that wave, don’t you want to grow faster than the market? Consider a special effort to court and win LGBT business in 2014!