Thursday, September 22, 2011

Certification and Supplier Diversity - A Great Business

Consumers have a plethora of choices when selecting a service or product provider, so a differentiated marketing strategy is a key to business success. One vital way to differentiate yourself from the pack by certifying your woman-, minority- or LGBT- (lesbian, gay, bisexual and trans-gender) owned company as a business that meets the exact criteria of several key certifying organizations. You can reap many rewards through this certification by contracting or partnering on projects with other certified businesses, and by becoming a potential  bidder on corporate and public agency contracts.

Many of the Fortune 500 and Fortune 1000 companies, through their supplier diversity initiatives, have annual diversity spend goals. These goals serve to promote the inclusion of  diverse suppliers (that’s you!) into their supply chain. This fosters a mutually positive relationship between the corporations and M/WBEs (Minority/Women Business Enterprise). The Fortunes benefit greatly from utilizing diverse suppliers and the suppliers grow their businesses through lucrative new contracts. These M/WBEs are often more cost-effective and offer an expanded customer base and market share for the corporations who contract with them. Diversity-owned businesses tend to have greater access to emerging markets in urban and global arenas and make outstanding contributions to the economic viability of the communities in which they are located.

State agencies also have diversity initiatives they must satisfy by contracting out to M/WBEs. These certified suppliers bid on jobs in construction and related trades, janitorial services and supplies, landscape management services, subscriptions, internet technology and data management, and so many more.

Being a certified diverse supplier proffers a competitive advantage because these large organizations can only count their diversity spend with certified suppliers. Therefore, actively seeking out the appropriate certification for your business is a key to winning these contracts.

We wanted to share this wonderful article that was recently released by MBE Connect Profiles. We are proud to be a strong supporter of supplier diversity and encourage everyone to get involved.

Courtesy of MBEConnectProfiles

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