Global Supplier Diversity & Inclusion Reaching the Gold Standard
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1 Global Supplier Diversity & Inclusion Reaching the Gold Standard As a WEConnect International member, you understand the value of supplier diversity and inclusion. We have developed a Gold Standard Checklist to help you assess your global supplier diversity and inclusion program and identify potential areas for improvement. Policy Assessment Worth 19 Points Corporate Global Supplier Diversity & Inclusion Policy Worth 7 Points 1 Clearly articulated business case with R.O.I. 1 Documented policy 1 Aligned with the organization s mission, goals & business strategy 2 Enterprise-wide 2 Measurable objectives Senior Management Support Worth 8 Points 1 Written CEO Statements, visible on the Annual Report & the company website 1 Executive level champion 1 Adequate budget with dedicated resources & full-time staff, including global process manager with significant control or influence over purchasing 1 Business unit / department advocates, especially in all revenue producing business units & in-country business operations 1 Supplier Diversity & Inclusion events actively supported and attended by senior management 1 Active leadership & support in relevant supplier diversity organizations Version 1 WEConnect International, 2015, Page 1
2 1 Success recognized 1 Senior management is supporter of processes Senior Management Review Worth 4 Points 1 Board level Executive Advisory Council (internal company) 1 All management levels accountable 1 Performance reviews conducted quarterly 1 Annual results published in the Annual Report and on the company website TOTAL POLICY SCORE Planning Worth 18 Points Corporate Global Supplier Diversity & Inclusion Plan Worth 8 Points 1 Integral part of planning process 1 Included in unit objectives & goals with measurable unit objectives 1 Includes all products & services 1 Meets quality system requirements 1 Clear, actionable items with stated values 1 Process orientation 1 Includes full range of inclusion categories including women, ethnic minorities & LGBTs 1 Clear definitions & standards established for each country as needed, & compliance with relevant Laws & Regulations with specific focus on privacy laws in Canada and the EU Version 1 WEConnect International, 2015, Page 2
3 Customer Specific Plans Worth 3 Points 1 Detailed and specific 1 Long-term & short-term measurable goals 1 Meets quality system requirements Supplier Development Plans Worth 7 Points 1 Defined performance goals 1 Included in standard processes 1 Joint improvement teams 1 Meets quality system requirements 1 Plans include mentoring, education, scholarships, & networking opportunities 1 Diverse suppliers are developed to potential underutilized product/service/commodity areas 1 Capacity building activities carried out, encouraging JVs, mergers & acquisitions, & providing technical assistance TOTAL PLANNING SCORE Internal Communication Worth 7 Points Processes & Standards Worth 41 Points Version 1 WEConnect International, 2015, Page 3
4 1 Feedback regularly solicited 1 Company-wide awareness 1 Information disseminated regularly (minimum quarterly) via newsletters, blogs & intranet 1 On-going education, to include training programs for procurement executives & sourcing teams, especially in target markets 1 Included in employee orientation 1 Special education for sales to include Supplier Inclusion Toolkit for sales to use in contract negotiation 1 Recognition provided (minimum annually) External Communication Worth 5 Points 1 Feedback regularly solicited 1 External training classes held 1 Timely proposal feedback provided 1 Supplier Diversity & Inclusion Team contact information (including names & titles) available on company website 1 Participation in benchmarking with other successful corporations to identify best practices Customer & Supplier Teaming Worth 8 Points 1 Feedback regularly solicited 1 Joint improvement plans 1 Standard content in RFXs 1 Inclusion plans required Version 1 WEConnect International, 2015, Page 4
5 1 End-to-end processes reviewed 1 Quarterly performance reports 1 Included in supplier evaluations 1 Special financial consideration re: favorable payment terms Recruitment Worth 7 Points 1 Active participation in trade fairs and events with objectives& a method to measure outcomes 1 Identification resources utilized; supplier diversity & inclusion database & sourcing tools are maintained & integrated into the purchasing process 1 Supplier Diversity & Inclusion Outreach including matchmakers & How to do Business with Us seminars 1 Company web site provides global access and includes program details & list of products and services purchased 1 Inclusive suppliers included in all formal bid processes 1 RFPs/RFQs/RFIs have standard language in place to identify diverse suppliers 1 Cooperate with other corporations to share top performing diverse suppliers Third Party Certification Worth 3 Points 1 Certification standards established 1 Inclusive suppliers verified 1 Status re-verified on a regular basis Version 1 WEConnect International, 2015, Page 5
6 Tier 2 Program Worth 8 Points 3 Active 2nd Tier Program in place 2 Requirement for measurable goals with all key suppliers beginning with RFP process 2 Performance reviews to include supplier inclusive spend, documented efforts to achieve established goals 1 Requirement for suppliers to have an active Tier 2 program in place with regular reporting in place (Tier 3 for company). Internal Standards Worth 3 Points 1 Standards that clearly define which 1st Tier diverse suppliers that are being tracked, e.g., categories, certified, which 3rd party certifications are accepted, self-registered, etc. 1 Standards that clearly define 2nd Tier program tracking, e.g., categories, certified, which 3rd party certifications are accepted, self-registered, etc. 1 Standards for diverse supplier partnerships and/or joint ventures e.g., 51% minimum diverse ownership & control, categories accepted, certified, which 3rd party certifications are accepted, self-registered, etc. TOTAL PROCESSES & STANDARDS SCORE Measurement, Tracking & Reporting Worth 18 Points 4 Clearly stated measurable goals established for the company by geography, sourcing area & inclusive category/commodity as applicable 4 Performance measured against goals (minimum quarterly) Version 1 WEConnect International, 2015, Page 6
7 2 Goals reviewed and updated regularly (minimum annually) 2 Tracking captures total supply chain spend 2 Tracking captures majority of non-traditional spend, e.g. legal & treasury services, IT & HR outsourcing, etc. 1 Results reported including to C-Suite level (minimum quarterly) 1 Information readily accessible to internal stakeholders 1 Tracking of inclusive supplier savings/cost reduction 1 Tying inclusive spend & goal achievement to market access, revenue generation & customer satisfaction TOTAL MEASUREMENT, TRACKING & REPORTING SCORE Accountability Worth 4 Points 2 Supplier inclusion performance is linked to senior management & key staff compensation 2 All levels of management are accountable for inclusive supplier development TOTAL ACCOUNTABILITY SCORE FINAL SCORE Version 1 WEConnect International, 2015, Page 7
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