Building a Diverse Supply Chain Takes Work—But It’s Worth It
In this excerpt from his forthcoming book, Anti-Racist Leadership: How to Transform Culture in a Race-Conscious World, former Jamba Juice CEO James D. White—along with Krista White, who has joined him in his work—shares approaches on how diversity and inclusion can strengthen your supply chain.
Given today’s supply chain challenges, leaders have to be proactive in building diversity and inclusivity into their supply chains, as well as in helping suppliers and partners grow to scale. In recent years, more companies have discovered that building a fairer and more equitable supply chain benefits the broader global community, as well as brings a deeper perspective of ideas, and addresses the growing demand among consumers who patronize brands which support relevant social issues. Many of these companies have established models that others can emulate. Here are a few ways a company can create a fully diverse and inclusive supply chain.
Establish Networks through Partnerships with Professional Associations
Professional associations representing BIPOC, women, disabled and LGBTQIA+ entrepreneurs are eager to partner with business leaders to offer more training programs, conferences and networking opportunities. Many industry trade associations have launched their own Diversity, Equity and Inclusion (DEI) initiatives and are actively seeking the support and sponsorship of corporate partners. If you can’t find an existing organization with a program that fits your agenda for creating a more diverse ecosystem, design your own program and enlist the appropriate associations as partners.
Host Your Own Development Programs for Minority-Owned Suppliers
Larger companies in particular are actively developing the suppliers they need. UPS is doing this through partnerships with such organizations as the Women’s Business Enterprise National Council, the National Minority Supplier Development Council and the United States Hispanic Chamber of Commerce, running mentoring and training programs, workshops, professional matchmaking, supplier-diversity conferences and management education to support the growth and success of diverse suppliers. Coca-Cola runs a supplier-development institute in partnership with Georgia State University, providing education for disadvantaged groups on how to start a business. Target hosts a Supplier Diversity Summit, where indirect vendors can learn more about Target’s processes and business initiatives, while at the same time gaining direct access to Target leaders. Target also hosts both Target Accelerators, a quick, intensive training program for entrepreneurs, and vendor fairs aimed specifically at Black-and Latinx-owned businesses.
Become Part of an Industry Organization that Seeks to Achieve More Diverse Ecosystems
Fair Trade USA, an organization of food, retail and consumer-products companies committed to operating within an equitable ecosystem, is a good example of how companies can combine forces to build a fairer supply chain. The organization provides a Fair Trade certification to companies that ensure sustainable livelihoods, environmental protections and safe and fair working conditions for their suppliers. Athleta, Dole, General Mills, Green Mountain Coffee Roasters, J. Crew, Patagonia and Target are among the more than 1,300 companies that have Fair Trade Certified product lines.
When companies combine forces this way, they’re no longer forced to compete by driving down the prices they pay suppliers—in many cases making it impossible for producers in far-off countries to earn a living wage. Fair trade empowers producers and enables businesses to support sustainable livelihoods and practices more transparently.
Fair Trade USA continuously seeks opportunities to expand its reach through business partnerships and through the expertise, technologies and resources provided by philanthropic partners. Consumer awareness of the Fair Trade Certified seal was about 63% as of 2021, nearly double what it was in 2008. Younger customers are even more interested in buying brands that support social responsibility. A Nielsen survey from 2015 found that 73% of millennials around the world said they were more likely to buy brands supporting social issues they care about. Needless to say, when Fair Trade Certified companies work with their suppliers to ensure fair working conditions in their factories and on their farms, they are improving life for people of color in many parts of the world.
The Justice, Equity, Diversity, Inclusion ( J.E.D.I.) Collaborative for the natural-products industry is also working with producers and vendors to develop systematic DEI principles within the fair-trade model. The collaborative is talking about how to create a natural-products industry that yields a strong, positive impact wherever it sources ingredients and production; that brings in the voices of marginalized communities; and that reaps the innovations to be found when you have a diversity of identities and perspectives. J.E.D.I. is looking at DEI in a bigger, more global way, instilling the principles of an intentional anti-racist culture throughout the supply chain and the greater ecosystem.
All industries should be looking at building inclusive industry-wide practices for their supply chains; otherwise, they’ll miss out on critical perspectives.
A few final takeaways:
Seek out businesses owned by people from marginalized communities as suppliers and contractors and invest in their growth
Quantify and publicize the economic impact coming from your supplier relationships
Design your own programs to reach diverse suppliers and the communities you serve, in partnership with organizations that can help scale your work
James D. White is the former chair, CEO and president of Jamba Juice; a board director, and author of Anti-Racist Leadership: How to Transform Culture in a Race-Conscious World. He has more than 30 years’ experience revitalizing some of the world’s leading brands. In talks, he shares personal insights on how to build strong bridges between the boardroom and the shop floor and why investing in your workforce is key. Krista White is a writer and consultant in the field of DEI/Diversity, Equity and Inclusion.
Diverse Supplier Spotlight: Arielle Akanbi of AKA Skincare
Opening a business as a woman wasn’t easy. But Arielle Akanbi made it possible with AKA Skincare. Let’s dive into her diverse supplier story and how becoming EDC certified impacts her business.
From A Consumer To A Diverse Supplier
As you may know, the skincare industry has been steadily climbing with no sign of slowing down anytime soon. When considering a personal care product to buy, women often have no clue what ingredients they’re supposed to use.
Arielle Akanbi, the owner of AKA Skincare, was in the same boat where she struggled to find the right product with the right ingredients for her sensitive skin. Majored in biology, Arielle quickly realized her knowledge back in college came in handy. After doing research and constantly working on her skin, AKA Skincare was born.
“My idea for this business was all about clean. The term “clean” means clean enough. We don’t want to use greenwashing in our brand,” Arielle said.
Go Above And Beyond The Skincare Brand
Arielle’s business goal is to build AKA Skincare as a trusted & transparent brand with premium ingredients by clarifying and educating people on the benefit of each ingredient included in their product. That’s a reason why AKA Skincare currently released only one product, instead of launching many products without carefully taking into consideration customer needs and product quality.
She’s also building a community where everyone openly shares knowledge related to skincare and learns from each other – what works and not works for each skin type.
The Impact of Being Diverse Certified
As a first-generation immigrant, Arielle didn’t have a lot of financial support or a huge investment to start her business. To her, becoming diverse certified is a way to open up doors for her business to scale up.
“Being able to get diversity business certification is super helpful for small businesses to be eligible to apply for certain loans as well as government programs where companies can look for specific diversity-owned businesses,” Arielle said.
“I’m Impressed By The EDC Process”
As one of the first businesses to become Enhanced Digital Certification® (EDC) certified, Arielle was surprised by how fast and easy the EDC certification process is.
“I’m impressed by the process that is a lot easier and faster than other diverse supplier certification agencies. I also like the fact that buyers can see my certification within their portal, which I think it’s a huge benefit,” Arielle said.
Since using SupplierGATEWAY’s supplier premium plan, she can also check who sees her business profile, how many times that her business shows up on the buyer’s search, etc.
Advice To Other Future and Current Diverse Businesses
“The way you represent your business is critical and also not afraid of mentioning your minority-owned business status. Some people still don’t want to mention that, but I think it’s considered a strength. Many businesses are constantly looking for purchasing from small and minority businesses, especially in the country’s current political climate.” Arielle mentioned. “Besides, making sure you regularly check in on your online platforms such as SupplierGATEWAY’s platform and try to optimize it as much as possible.”
To learn more about EDC, please visit our website.
Women Owned Business Certifications: Certify Your Woman Owned Business in 2022
Women entrepreneurs should be actively engaged in driving their business growth. One of the best ways to drive growth and open up new opportunities for your business is to get your woman-owned business certified.
Woman-owned businesses and entrepreneurship are growing at an incredible rate. According to American Express’ 2019 State of Women-Owned Businesses Report, the number of women-owned businesses increased 21% between 2014 and 2019. That’s 12% higher than the 9% growth rate for overall businesses in general.
Getting your woman-owned business certified opens up growth opportunities and exposure for your business as well as mentorship, training, and educational opportunities.
What are women owned business certifications?
Let’s take a deeper look into women owned business certifications in celebration of National Women’s History Month. This article explains what types of certifications are out there, what you need to apply, and how getting your woman-owned business certified will support your business.
Why Should I Certify My Woman-Owned Business?
Financial Benefits
It’s honestly a great question to ask! Certifying your woman-owned business comes with a lot of actual and potential future benefits, financial benefit being a top reason to certify. Many business certifications give your business access to opportunities that you wouldn’t have access to otherwise.
Some types of business certifications also give you the ability to bid on exclusive contracts. These opportunities allow you to build your client pool and access projects that you wouldn’t have had access to otherwise. Women Owned Small Business (WSOB) Certification gets your business access to profitable government contracts.
Networking, Training, and Mentorship Opportunities
While financial incentive is often a top driver for certifying your woman-owned business, there are other benefits as well. Getting your business certified provides access to networking, mentorship programs, training and educational programs. Most certifying bodies are interested in the health and well-being of your business in the long-term, and offer programs and opportunities that help your business grow and succeed over time.
Authority and Credibility
Women-owned business certifications give your business both authority and credibility, especially when dealing with other private sector buyers or partners. Many organizations only partner with businesses that have been certified. You can use your woman owned business certification as a marketing piece to get the attention of organizations who are looking to work with more women-owned businesses.
Which Woman-Owned Business Certification is Right for My Business?
Now that you understand why you should get your woman-owned business certified, let’s get into the different types of certifications that exist and which ones are right for your particular business.
There are several different types of business certifications available to women owned businesses and several certifying bodies and organizations:
Women Owned Small Business (WOSB) and Economically Disadvantaged Women Owned Small Business Certification (EDWOSB)
This is a national certification that allows your woman owned business to compete for federal contracts and get a part of that elusive 5% spend that the Federal Government has reserved for woman owned businesses.
Be at least 51% owned and controlled by women who are U.S. citizens
Have women manage day-to-day operations who also make long-term decisions
To qualify as an EDWOSB within the program, a business must:
Meet all the requirements of the WOSB Federal Contracting program
Be owned and controlled by one or more women, each with a personal net worth less than $750,000
Be owned and controlled by one or more women, each with $350,000 or less in adjusted gross income averaged over the previous three years
Be owned and controlled by one or more women, each with $6 million or less in personal assets
There are two different ways to certify your business as a WOSB or EDWOSB: certification through the SBA website or third-party certification.
Certifying Your Woman-Owned Business as a WOSB or EDWOSB through the SBA
To certify directly with SBA, all relevant documentation will need to be uploaded to the SBA website, and you’ll need to answer questions related to your business.
The following documentation is required by the SBA for WOSB certification:
Active System for Award Management (SAM) registration for the company (registration available at SAM.gov)
Proof of U.S. citizenship (for example, a birth certificate, naturalization paper, or unexpired passport) for qualifying individual(s).
Resume (optional)
Joint Venture agreements (when applicable)
Corporations will need to provide:
Articles of Incorporation
Copies of stock certificates (front and back)
Stock Ledger
Corporate Bylaws and any amendments
Limited Liability Company (LLC) will need to provide:
Operating Agreement and any amendments
Articles of Organization and any amendments
Partnerships will need to provide:
Partnership Agreement and any amendments
Sole Proprietors will need to provide:
DBA (Doing Business As) or Trade Name Certificate
EDWOSBs applicants, in addition to the above, must also provide personal financial information for every woman claiming economic disadvantage (and, when applicable, each woman’s spouse), including:
A completed and signed IRS Form 4506-T, Request for Tax Transcript
Three most recent personal income tax returns (IRS Form 1040) including all schedules
Three most recent W-2’s
Detailed information on the value of all assets (including cash on hand and in banks, retirement accounts, accounts and notes receivable, stocks, bonds, real estate, personal property, life insurance, and any other assets), liabilities (for example, mortgages, personal loans, tax debts, and any other liabilities), and income (including salary, real estate income, investment income, and any other income)
Third Party Woman-Owned Business Certifications
There are currently four organizations approved by the SBA to provide third-party certification to women owned businesses:
Once you receive your certification through an SBA-approved third-party certifier, you’ll need to provide proof of certification through the SBA portal.
Woman Business Enterprise (WBE) Certification
If your business is looking for private sector opportunities, Woman Business Enterprise (WBE) certification is worth looking into.
While the criteria for applying for WBE certification is similar to WOSB certification (your business must be 51% owned, operated, and controlled by a woman or a group of women); WOSB certification only applies to the Federal Government.
There are two main entities that issue WBE certifications:
Both certifying organizations require businesses applying for WBE certification to submit an application along with relevant documentation (including business paperwork, financial documentation, and proof of citizenship). Both the NWBOC and WBENC have fees associated with the application process.
According to the NWBOC’s FAQ page, the application fee is $400. If your business is applying for a combination of two different certifications, the application fee is discounted to a combined cost of $700.
WBE certifications are valid for one year, and you’ll need to go through a renewal process each year to keep your certification current.
SupplierGATEWAY introduced its Enhanced Digital Certification® (EDC) in 2021. This certification is recognized by an increasing number of private sector and public sector organizations, and is certainly worth looking into. The certification can be purchased for one or three years, and the cost is $25 for one year or $75 for three years.
The application process is entirely online, requires no site visits, and there are no minimum requirements for the size of your business (meaning you can have 1 or 10,000 employees and be covered by this certification).
EDC is also an all-in-one certification, meaning if you are a minority woman-owned business, you only need one certification to attest to your minority and woman-owned status. This certification is not a WBE certification; Enhanced Digital Certification® is in a different class all on its own.
WOSB vs. WBE: Which Certification is Right for My Woman-Owned Business?
The certification process for both programs is time-consuming, so make sure your business will reap the benefits of certification before going through the application process.
Before you decide which certification is the best fit for your business, it’s important to clarify what benefits are most important to you and your business. Do you want to be able to bid on federal contracts? Are you looking for more opportunities in the private sector? Are training, education, and networking opportunities important to you?
Each woman owned business certification has a specific set of benefits. Take the time to evaluate exactly how your business is hoping to benefit from certification should point you in the right direction.
Are you looking to engage the Federal Government, private sector organizations, or both?
If you’re only interested in federal contracts, a WOSB certification would fit your needs. If you’re looking to increase your opportunities in the private sector, then a WBE certification would be more beneficial. If you’re looking to interact with the Federal Government and private sector organizations, you may want to consider getting both certifications. Also keep in mind that state and local governments often have their own set of certification requirements. If you’re looking to engage on the state or local level, be sure to find out what these certification requirements are.
Tips for Getting Your Business Certified
If you’re considering certification for your woman-owned business, there are a few tips to keep in mind when researching and preparing for certification.
Explore all your options
There are several options available for getting your woman owned business certified. Understanding each certification’s requirements and how being certified will benefit your business is important.The application process for each certification is often quite time-consuming and may come along with fees. Exploring and understanding each certification will help you avoid investing time and money on a certification that ultimately may not benefit your business the way you hoped it would.
For example, if your end goal is to engage more clients in the private sector, getting a WBE certificate or an Enhanced Digital Certification® from SupplierGATEWAY would probably be the most beneficial.
Get any required licensure in order
Your business may be required to hold a specific license depending on the industry. Make sure any licensing requirements are up to date and correct before proceeding with any certification applications.
Gather all the necessary paperwork and documentation before you start the application process
As noted above, the list of documentation required for certification is quite long. Trying to gather all of this documentation while going through the application process can be time-consuming and confusing. Oftentimes the application process has a time limitation, and not having your documents in order could cause you to miss an application deadline. If you miss this deadline, you’ll have to start the process over again.
Getting your woman owned business certified is a great way to accelerate the growth of your business. Now that you understand the ins and outs of getting your business certified, it’s time to get the application process started. Take your time, be thorough, and be patient. The benefits that come from certifying your woman owned business are worth the effort.
Understanding Supplier Diversity Certifications
Understanding Supplier Diversity Certifications
There are a lot of supplier diversity certifications your business can apply for, but which ones are the best certifications for your business? In this article, we’ll break down supplier diversity certifications, including the application process, what documents you’ll need, turnaround time to receive your certification, and how often you’ll need to renew your certification.
So, What Is a Diverse Supplier, Anyway?
In brief, a diverse supplier is a business of any size that is owned and operated by an individual or group of people that is part of a traditionally underrepresented or underserved group. In the US, there are seventeen categories used to identify diverse businesses. Note that ownership is specific to the legal ownership of the organization, while operations relates to the day to day running of the organization. Internationally, there are five classifications, but there may be more depending on the country in question.
Could My Business Be Classified as a Diverse Supplier?
If you meet the criteria for any of the classifications listed below, chances are your business could be classified as a diverse supplier:
U.S. Classifications:
Disabled Owned – A business that is a least 51% owned by one or more disabled persons who control and operate the business. Control in this context means exercising the power to make policy decisions and operate means being actively involved in the day-to-day management of the business.
Disabled Veteran Business Enterprise (DVBE) – This term is used by the State of California, public utilities, and many private corporations to designate a company that is owned (at least 51%) and controlled by a Veteran with a Service-Connected Disability rating of at least 10% from the Department of Veterans Affairs. Additionally, the Veteran must reside in the state of California.
Disadvantaged Business Enterprise (DBE) – A business that is usually certified by a federal, state or local government agency as having met all of the government standards that award eligibility, but may include women, minority, disabled and other disadvantaged as a result of economic disadvantages with respect to education, employment, residence or business location or social disadvantage and lack of business training.
Disadvantaged Veteran Enterprise (DVE) – A business that is a small business concern owned and controlled by veterans, where not less than 51% is owned, controlled, and managed by veterans.
Historically Black Colleges / Universities & Minority Institutions (HBCU/MI) – Historically Black and minority colleges and universities that are recognized by the government as legitimate set-aside business opportunities.
HUBZone Certified – A business that is operating in a certified historically underutilized business zone. There are 7,000 qualified census tracts (HUD) and 900 qualified non-metropolitan counties.
LGTB Owned (LGBT) – A business that is at least 51% owned and operated by an LGTB person(s).
Minority-Owned – A business that is at least 51% owned by, and whose management and daily business operations are controlled by, one or more members of a socially and economically disadvantaged minority group, namely U.S. citizens who are African Americans (Black), Hispanic Americans, Native Americans, Asian-Pacific Americans, Alaskan Native Americans and Indian Sub-Continent Americans.
Minority Business Enterprise (MBE) – A Minority Business Enterprise usually certified by a federal, state or local governmental agency as having met all of the government standards that award eligibility.
Service-Disabled Veteran (SDV) – A business that is owned by one or more veterans with a disability that is service-connected. The term “service connected” means, with respect to disability, that such disability was incurred or aggravated, in the line of duty in the active military, naval or air service. (38 U.S.C. ‘101(16).
Small Business – A business considered eligible for assistance from SBA as a small business is one that is organized for profit, with a place of business located in the United States. It must operate primarily within the United States or make a significant contribution to the U.S. economy through payment of taxes or use of American products, materials or labor. Together with its affiliates, it must meet the numerical size standards as defined in the Small Business Size Regulations, 13 CFR 121
Small Disadvantaged Business (SDB) – Small Disadvantaged Business: New certification eligibility criteria established by the SBA effective 7/1/99. All firms must be certified by one of the SDB Certification Agencies designated by the SBA. To qualify must be a small business, not exceed standards for Primary SIC, meet Contracting Officers’ assigned SIC code, be a U.S. Citizen and be 51% owned and controlled by one or more Socially & Economically Disadvantaged Individuals. The SBA classification is based on a Preponderance of the Evidence Clause” this SDB Certification is good for 3 years.
Veteran Business Enterprise (VBE) – Under SBA Guidelines Small Business Act (PL 85-536) as amended states: Small Business Concerns owned and controlled by veterans not less than 51% owned by one or more veterans and in the case of a publicly owned business not less than 51% of the stock is owned by one or more veterans.
Veteran Owned – A business that is a least 51% owned by one or more veterans, who control and operate the business. Control in this context means exercising the power to make policy decisions and operate means to be actively involved in the day-to-day management of the business. The term “veteran” (38 U.S.C.’101(2)) means a person who served in the active military, naval, or air service, and who was discharged or released there from under conditions other than dishonorable.
Vietnam Veteran – A business that is a least 51% owned by one or more Vietnam Veterans who served between 1/1/59 and 5/7/75 and have control and operate the business. Control in this context means exercising the power to make policy decisions and operate means to be actively involved in the day-to-day management of the business.
Women-Owned – A business that is at least 51% owned by, and whose management and daily business operations are controlled by one or more women who are U.S. citizens.
Woman Business Enterprise (WBE) – A Women Business Enterprise usually certified by a federal, state or local Government agency as having met all of the government standards that award eligibility.
8(A) Designation – The 8A designation is given to small companies owned by socially and economically disadvantaged persons, so that they may bid and obtain federal government contracts and other assistance to develop their business. The business owner must be eligible under the same rules and guidelines set down by the federal government.
International Classifications:
Disabled Owned – A business that is a least 51% owned by one or more disabled persons who control and operate the business. Control in this context means exercising the power to make policy decisions and operate means to be actively involved in the day-to-day management of the business.
LGTB-Owned – A business that is at least 51% owned and operated by one or more LGTB person(s)
Minority-Owned – A business that is at least 51% owned by, and whose management and daily business operations are controlled by, one or more members of a socially and economically disadvantaged minority group. Minority (ethnicity) is defined by country as the socio-economic under-represented. Intel does not require disclosure of ethnicity per privacy policy. Disclosure of ethnicity is voluntary, not a requirement.
Veteran Owned – A business that is a least 51% owned by one or more veterans, who control and operate the business. Country exceptions: Israel, Taiwan
Women-Owned – A business that is at least 51% owned and operated by one or more women.
Which Supplier Diversity Certification is Right for My Business?
Now that you’ve figured out what classification your business falls into, it’s time to think about getting certified for those classifications. Keep in mind that just because you think your business qualifies as diverse doesn’t mean that your business actually qualifies asdiverse. Most organizations with supplier diversity programs and initiatives won’t enter into a contract with a diverse business unless that business has a third-party certification to prove diversity status.
There are several types of supplier diversity certifications you can obtain for your business. You can self-certify, but most businesses require a third-party certification in order to enter into a contract with your diverse business. Federal certifications, state-level certifications, local certifications and certifications issued by non-governmental organizations (NGO) are all considered third-party certifications, and those are the certifications we’ll be going over.
Below is a list of currently available non-governmental third-party supplier diversity certifications, and who these certifications apply to:
It’s important to note that a single business can hold multiple certifications. Say, if you’re a lesbian Native American woman who owns a business, you’d be eligible for four separate certifications—one from National Minority Supplier Development Council (NMSDC), one from Women’s Business Enterprise National Council (WBENC), one from Native American Chamber of Commerce (NACC), and one from SupplierGATEWAY.
The Supplier Diversity Certification Process
Most diversely-owned businesses obtain their certifications via a third-party certification agency. This is an organization that promotes the business development of a particular group of minority and/or underrepresented people. The process or getting certified varies based on organization, but most require the following in order to certify your business:
Documentation. All of the certifying organizations listed above require documentations to attest to the truth of your diversity statements.
Screenings and interviews. You, your staff, and other members of your organization may be interviewed and screened.
On-site visit. Some organizations require site visits to visually and physically confirm the diversity of your business.
Waiting. Most applications take several weeks to be approved.
SupplierGATEWAY’s Enhanced Digital Certification® does not require a site visit and is done entirely online via supported documentation and identity verification. The approval process is also expedited—applications are generally approved within 3-5 days, if not sooner. The Enhanced Digital Certification® is also all-in-one and certifies many different classifications with one certificate.
Why is Supplier Diversity Certification Important?
Supplier diversity certification is important for several different reasons. Firstly, most buyers with supplier diversity programs won’t do business with your diverse business unless you have third-party certification to back up your diversity claims. Businesses with supplier diversity programs oftentimes struggle to find diverse suppliers to give contracts to. Being certified means that your business can be identified as diverse, which will help you gain contracts from those companies looking for diverse suppliers. Certification also opens the door for government contracts as well. In the US, the federal government requires that federal projects use a certain percentage of diverse suppliers.
Certification also opens the door to the networks associated with your certifications. For example, once your business is certified, your business will be entered into a database full of other diverse suppliers. Large corporations and other organizations with supplier diversity initiatives rely on these databases to find diverse suppliers to do business with. Aside from exposure to buyers looking for diverse suppliers, your certifications often come with access to specific events, educational opportunities, and business development tools that your business wouldn’t have access to otherwise.
Outside of financial benefit to your business, certification also offers social benefits for supply chain management and corporate responsibility initiatives. Through certification, diverse businesses can work together to advocate for diversity and effect change within current supply chain management culture. The more businesses that become diversity certified, the more robust corporate supply chain diversity programs can become, causing a positive feedback loop for ever-increasing supply chain diversity.
MSDUK Partners with SupplierGATEWAY to bring Enhanced Digital Certification® to Diverse UK Freelancers
This partnership allows freelancers from ethnic minority backgrounds in the UK to become certified and access more opportunities.
SANTA ANA, Calif., February 14, 2022 (Newswire.com) – MSDUK in partnership with SupplierGATEWAY is proud to bring MSDUK Enhanced Digital Certification® for freelancers from ethnic minority backgrounds starting in April of 2022. This innovative diversity certification is a fast and accessible way for ethnic minority freelancers in the UK to get diversity certified. MSDUK EDC also allows corporations to identify ethnic minority talent as well as track and account for diversity spend efficiently and accurately.
The freelance market is projected to grow into a 1.3 trillion dollar portion of the global economy by 2025. Though global freelancers number over 1 billion globally, they are not considered as candidates for traditional supplier diversity certifications. This means ethnic minority freelancers in the UK have been missing out on opportunities like corporate diversity initiatives. The UK has no regulation regarding corporate diversity spending. Culturally, UK corporations are making supplier diversity initiatives a priority, and MSDUK EDC would allow them to track ethnic minority freelancer diversity spending as part of their supplier diversity initiatives.
MSDUK EDC certifies ethnic minority freelancers in the UK, and certified freelancers benefit from the global EDC network. The certification is easily verified 24/7 by scanning the QR Code issued once certified. Companies can also verify certification by logging into the SupplierGATEWAY platform or electronically through an API connection.
Corporations can sponsor MSDUK EDC for ethnic minority freelancers in their network easily and affordably. Freelancers are also able to apply for MSDUK EDC independently for only $25 USD. The process is quick, easy, and entirely online.
SupplierGATEWAY’s EDC also certifies all diverse classifications that apply to freelancers and sole proprietors in the UK, including minority, women, LGBT, veteran and disabled freelancers.
The launch of SupplierGATEWAY’s EDC has attracted interest from global organizations interested in creating a diverse and inclusive base of suppliers and freelancers.
SupplierGATEWAY is a leading digital supplier management software platform that automates and simplifies supplier and vendor management for some of the most recognized companies in the world. Products encompass supplier sourcing, registration, risk management, compliance, and management, as well as corporate responsibility and diversity & inclusion.
MSDUK is the UK’s premier non-for-profit membership organization championing diversity and inclusion in public and private sector supply chains. Since its inception in 2006, the organization has worked with and supported over 3000 ethnic minority businesses and 120 Fortune 500 firms, generating more than £800m worth of business for ethnic minority businesses.
Business-to-business branding, or B2B branding is all about establishing a relationship with the customer. The majority of products and services are sold through direct contact with a salesperson, and the brand must give a comprehensive solution for their customers. So a B2B business is not only selling a product or service, but also engaging in ongoing support and engaging in relationship-building.
Brand image is a term that some B2B marketers are reluctant to use. In many B2B sales or manufacturing businesses, the concept of “brand” is questioned. The addition of the term “image” (popular in B2C) is likely to perpetuate the misconception among skeptics that branding is too soft a discipline to create any actual revenue.
However, business-to-business marketers who operate in relationship-driven selling contexts would be advised to reassess “image” as a necessary component of defining how “our brand helps buyers visualize what it’s like to work with us.”
Marketers working in B2B relationships should not disregard “image” as mere fluff, but rather rethink “brand image” as a crucial factor in defining how “our brand helps customers visualize what it’s like to work with us.”
As a B2B marketing professional, you should carefully consider all aspects of the planning and implementation of your branding strategy because it represents a significant competitive edge in the market place.
Additionally, your branding approach must create a distinctive consumer experience. Better customer service sets your company apart from the rest. Furthermore, there is a strong link between customer experience and brand perception. Customers’ image of your brand will automatically increase as a result of a better customer experience.
What makes B2B customers different from B2C?
Due to the complexity of the acquisition process in B2B markets; brand equity is more crucial. The number of people engaged in the purchasing decision process, and the internal obstacles that must be overcome, such as compatibility and conversion costs from the present brand, all contribute to the complexity.
B2B acquisitions include some risk for both the buyer and the company. Buying from well-known brands rather than unproven ones is a risk-management strategy used by many businesses.
In B2B scenarios, industrial buyers’ asses both the product and the company brands in the same context. They use the company’s brand reputation as a benchmark for support, quality, and value. In the world of business-to-business, buyer-supplier relationships are more complex.
Product qualities such as look, color, and features are more important to B2C buyers. Performance, value, quality, and reputation will be priorities for B2B buyers.
6 things to think about when optimizing your B2B business’s brand
1. Make sure you know what your customers are looking for and how they go about it.
Develop a value proposition that promotes brand value while also enhancing your brand image-for example, service, support, and company reputation.
2. Develop, nurture, and strengthen your brand. All who say its name or look at its logo are expected to respect it.
Make your brand stand out by what it stands for. It’s the lifeblood of your company.
3. Take into account the value proposition of your product(s) and make sure your brand is consistent with it.
Position your product brands to match the corporate brand’s personality.
4. Company brands should reflect the company’s mission and values.
Product brands should be consistent with the product family, emphasizing the product’s strengths(s).
5. Manage the number of items and derivative brands to strengthen a brand.
A product called “Hero,” for example, might include derivatives such as Hero-Pro, Hero-Max, Hero-Ultra, or a mix of prefixes and suffixes.
6. Examine your B2B brand’s promotion.
The logo, colors, typefaces, and slogan should all work together to complement your brand.
There are two reasons why marketing initiatives are created: brand recognition and lead generation. The aim must be clear and the marketing methods must coincide with the goal throughout the early stages of development.
It is science to manage a brand. As a firm expands through acquisitions, it absorbs products and brands, and legacy brands are often phased out over time. This process necessitates a conscious adjustment.
What are shortcomings of B2B branding and imaging?
Below are some of the drawbacks of branding:
1. Exorbitant development expenses
The most significant downside of branding is its high cost, as brands do not emerge quickly and corporations must spend significant money on advertising and publicity. As a way to foresee and justify the brand development process, brand marketers frequently compute the ROBI (Return on Brand investment).
2. Quality flexibility is limited.
The fact that they offer quality for a premium price result in limited flexibility in the quality of the companies’ products and services. The only reason why customers will pay this extra money is for the quality guarantee. So, there are no exceptions here, gentlemen!
3. Changing the B2B brand’s perception is difficult.
Another downside of branding is that if a brand obtains a negative name or reputation for any reason, it is extremely difficult, if not impossible, to restore the brand’s former position or standing. It’s analogous to basketball MVP, where one bad pass can lead to the team losing the game and you losing your MVP status.
Economic Impact and Importance of Locally Based Sourcing
Businesses can make a significant contribution to a country’s growth by finding products to source locally. Businesses purchase goods and services locally to support local suppliers’ income and jobs. They also contribute to the general capacity of the country by exchanging knowledge and skills. As long as local supply falls short of your requirements, there’s no reason for firms to avoid buying from their neighbors. Many firms, particularly those in developing nations, may only be able to get a percentage of their items & services from within their own country. It’s usually due to one of four factors: a lack of local availability, poor quality, slow product delivery, or high prices.
Working to increase supply or modifying business expectations are two ways to get around these pricing issues. To change demand, companies should reconsider their selection criteria, focusing more on the country of origin than on pricing. It will be simple to find reasonable alternatives to imported goods. Countries can change their institutional structures in this way to encourage local sourcing and shift country supply. They can also create networks to better match supply and demand on a local level, as well as improve business access to financing.
Here are the top benefits of locally based sourcing:
Increased Adaptability
You never know when a chance or a challenge will come your way. Before choosing a partner, buyers want to know about the product’s growth history, and the ability to scale is crucial. A wonderful customer, for example, might make you an extremely profitable proposal, or an existing client might want you to ramp up to meet demand. Are you ready for it?
The answer is likely yes if you shop locally. This is because local providers are frequently more responsive than suppliers who are located further away. They can deliver items more quickly, and it’s considerably easier for a supplier to coordinate a shipment across the block than it is to coordinate a Cargo shipment across the globe.
More Control
The further you are from your supply chain, the less control you have over it. Suppliers may pretend to treat all clients and buy orders similarly, but they are more likely to remember you if they anticipate a site visit or a drop-in meeting from you.
Face-to-face meetings will allow you to discuss any issues that arise and ensure that all products fulfill your expectations. There’s also a decreased chance of things getting out of hand. When working with large groups of individuals, many of whom are not on the floor and handling your things, it’s easy to get lost in translation.
When travel is inconvenient or impossible, manufacturers are increasingly turning to videos or their factories to interact with their consumers.
Community Benefits
If sourcing locally raises your bottom line, it stands to reason that it will do the same for other local suppliers and manufacturers, which may be a significant victory for your community’s economy and citizens.
Employees who are pleased and well compensated are more inclined to invest in local manufacturers, and well-known and rich companies are better able to give back to their communities through communities and sponsored activities.
Reduced Costs in the Supply Chain
In order to save money, you should also consider reducing the size of your supply chain. For instance, North American businesses spend more than $1 billion on logistics each year.
Businesses ship and receive components and products all over the continent, and the costs can quickly mount. There’s still the issue of having to hold these items in warehouses until they’re delivered to the next supplier.
Many of these costs can be decreased by establishing a supply chain that is more local. As a result, your bottom line will be lighter as a result of less money spent on logistics.
Deploy Products Faster
It is easier and faster to communicate with businesses in the same time zone when manufacturers source locally, it is easier to deal with difficulties and develop new products to fulfill consumer demand and spikes.
Increasing consumer demands for corporations to be more transparent in the supply chain and corporate social responsibility have reached new heights. For manufacturers, this is a critical time to review their third-party vendor risks and supply chain.
Financial Security
With local suppliers that utilize a currency that is stable, companies can avoid currency exchange rate risks. Over the course of a supplier contract, exchange rates may fluctuate contract, exchange has a considerable impact on the pricing of imported goods. The currency risk is large for enterprises operating in nations where the currency is very volatile. On financial hazards can also be avoided with local sourcing. Trade wars and instability in foreign countries are just two examples of hazard associated with global sourcing.
Increased Revenue
Local sourcing can not only help you save money, but it can also help you make more. Because your efforts to maintain a tight and fast-paced supply chain may impress local businesses, which might help you acquire new customers.
Make your commitment to local sourcing a part of your marketing and sales strategy. Consider incorporating it into your one-of-a-kind selling offer. You certainly will enjoy the move.
How Companies Choose Suppliers- Tips for Suppliers
Buyers find that identifying the right supplier may be difficult, and a sizable proportion of procurement teams consider this the most challenging component of their job. Choosing the correct supplier ensures that the products and services are supplied on time, at a suitable price, and according to their standards. Long story short—your client’s happiness and your company’s image might be damaged if you don’t meet their expectations as a supplier. But first – how do you even get there from here? How do companies choose suppliers and what impacts their decision?
How To Attract New Buyers
This article will walk you through how companies find suppliers and the seven most important actions your business can take to find buyers looking for your goods or services.
1. Price
Price is one of the critical factors buyers consider from a supplier. However, buyers don’t merely pick a supplier based on their price alone, especially if the purchase is non-commodity items. When it comes to general costs, low-quality products and services may not be the best choice in all cases. Sharpen your pencil – but also be cognizant that you need to earn a sufficient profit at the specified price for your company to remain in business – smart buyers know that too, and it impacts how companies choose suppliers.
2. Understand Your Brand
In the digital world, it’s becoming easier to conduct due diligence online and discover information via searches and by reviewing the websites or blogs of the potential suppliers.
Your most valuable asset is your website – know that buyers will head straight there. Depending on what the service or product is, buyers may do more due diligence in the form of risk checks, business reports, even compliance sanctions checks. You should definitely do some exploration about how you look to others – because buyers will be doing the same when they need to help decide about whether to engage you.
Keeping up with your brand and how it’s perceived should be a priority for your company, and you can find out more about brand management in this post.
3. Put Your Best Foot Forward
In the digital age, we all have to find a substitute for walking through the store and picking up the products on display. Buyers are people too – and a little tangible evidence like images, video clips, or detailed information of the facility, products, or services offered can go a long way to help you get into the “in” column, especially when you understand that there is competition to worry about.
4. Be an Easy Choice
Your company needs to represent a safe, best value choice for your prospective customer. Whatever you can present that signals your solid reputation (like reviews), your track record (like references), your stability (like certifications), will indicate that you can be an easy choice for the buyer who is looking at you vs. another company. If you have a unique product or service but are new to the market, reduce the perceived risk and think about warranties or even free trials.
This can be a risk – so you need to be sure your product or service is worth it – but without a long history, most buyers will be looking for a way to avoid making a risky choice with no backup.
5. Nothing Beats a Good Reputation
One of the ways your prospective customer will make a final judgment is to seek recommendations and reassurance from your previous customers. If you are on one of the leading marketplaces, such as Amazon, buyers will check the reviews directly from your sales page. If you are listed in business sites like SupplierGATEWAY – your clients may leave reviews and ratings in your profile. Try to remember to check in with your customers and make sure they are as happy as you think they are. Your next sale may depend on it.
6. Be Ready to Go Big!
If you’re good at what you do – and we are sure you are – you should start to think about how you plan to manage your growth and success. This blog is not long enough for us to cover all of that – there are whole books, courses and industries dedicated to managing growth. But the most important thing is to remember that if it’s part of what you wish for, then growth has to be managed. If you discover that your customers are demanding massive shipments of the goods over time, they may soon exceed your incapacity.
There are some customer situations that are very unforgiving about late or missed deliveries. Just to be on the safe side – assume every customer situation is like that. Talk to your key customers and work closely with them – they are vested in your interest too – just not as an emergency.
7. Get to Know the People Who Buy Your Goods and Services
Until now, while it has been commonplace for customers to visit you and tour your factory, the circumstances of today’s global commerce footprint coupled with the impact of the pandemic have made that difficult.
The good news is, technology has made it possible to reduce some of the logistical challenges and costs while preserving the significant due diligence your customers need. Use this to your advantage – virtual meetings, media, and digital tools are a force multiplier for you and you make more meaningful connections and lasting impressions at a lower cost and in less time.
How to Find the Right Supplier
Identifying the right supplier may be difficult, and a sizable proportion of procurement teams consider this the most challenging component of their job. Knowing how to find and choose a supplier ensures that the products and services are supplied on time, at a suitable price, and according to your standards if you work with a reliable and trustworthy provider. Your client’s happiness and your company’s image might be damaged if you make a mistake in selecting a supplier.
The capability of your business to supply high-quality products and services at competitive prices may be hampered if your supplier cannot be relied upon or does not produce high-quality items.
A well-designed procurement process will guarantee that the business firm connects with the appropriate supplier. According to a recent study, the procurement outsourcing industry is predicted to reach USD $5.03 billion by 2025. This is a clear indication that the procuring process of identifying suitable suppliers has led to economic growth. Get a piece of that growth by understanding how to choose suppliers.
No. Really…How Do You Choose a Supplier?
This article will walk you through the eight most important actions to take to identify the best potential suppliers for your goods, components, or raw materials.
1. Price
Price is one of the critical factors to consider from a supplier. However, you shouldn’t merely pick a supplier based on their price alone, especially if the purchase is non-commodity items. When it comes to general costs, low-quality products and services may not be the best choice in all cases. Be satisfied that your supplier needs to earn a sufficient profit at the specified price for the company to remain in business.
2. Conduct Market Research
In the digital world, it’s becoming easier to conduct due diligence online and discover information via searches and by reviewing the websites or blogs of the potential suppliers of your products or services.
While not all suppliers have company websites, most have developed a digital presence via networks, virtual stores, and establishing a presence in supplier platforms. You may have to do some exploration in the markets to get the important information you need to help decide about organizations you are thinking about engaging, but this discovery process is vital when choosing a supplier.
3. Ask for Samples/Trials
These are free. However, you may be liable for delivery costs. This will assist you in deciding on the appropriate service provider or manufacturer for your good quality. Your intuition plays a significant role in finding quality items and in choosing a supplier.
However, hands-on analysis of a supplier’s service or product is necessary to ensure that the service or product will fulfill your needs. You may test your goods in the market after finding a dependable supplier to determine whether your clients/buyers are interested. It’s also good to ask for tangible evidence like images, video clips, or detailed information of the facility, products, or services offered.
4. Ascertain Supplier Authorization
When you hire a firm or company for your products or services, be sure the provider has a solid reputation, has been in business for a while, and has no documented problems. They may also include a manufacturing certification stamp from the location, which is an additional plus. For suppliers with unique products but newly in the market, it’s advisable to test their samples/products by observing their products for a while and getting reviews from their first clients; this will increase the chances of getting quality products. Also, for the manufacturers of products, one can agree with the supplier to provide a warranty of their products that are new in the market.
5. Examine the reviews
The best way to make a final judgment on the list of suppliers you’ve engaged with is to get recommendations from previous customers. If you use one of the leading marketplaces, such as Amazon, you can check the reviews directly from their sales page. Still, if you find the supplier elsewhere, such as the internet, you’ll have to communicate with other people who’ve used them or do some due diligence on your own.
6. Understand supplier’s scaling
The supplier’s ability to accommodate small and large orders is an essential factor to keep in mind. If you’re seeking smaller numbers of samples, you’ll likely discover providers that specialize in that amount. If you demand massive shipments of the goods over time, you may soon exceed your initial supplier choices. To ensure that you’re working with a supplier that can easily expand to meet your changing requirements, you need to know the product’s growth trend and have some sense of the supplier’s ability to fulfill your expected demand.
7. Recognize The Distribution Networks In Your Business
Products may go from the producer to the merchant in a variety of ways. All suppliers aren’t aimed at the same customer base. To identify the best supplier for your business, you need to know your company’s distribution networks and supply chain in detail. Suppliers come in various forms, including service providers, subcontractors, manufacturers/producers, distributors, and importers.
8. Get To Know The People That Provide Your Goods And Services
Until now, while it has been commonplace to visit your suppliers and tour their factory (even if you can’t afford it initially), the circumstances of today’s global commerce footprint coupled with the impact of the pandemic have made that difficult.
The good news is, technology has made it possible to reduce some of the logistical challenges and costs while preserving the significant due diligence needed. The motivation, however, is still the same – gaining better knowledge may provide you with a wealth of new insights. It also cements your connection with the supplier, and you are no longer a nameless client in another nation.
Best Practices to Demonstrate Transparency In Small Business
Updated 3/2/2022
Transparency in Small Businesses
As consumers have a high demand for safer and detailed products, most buyers prioritize supplier transparency as one of their top requirements. A study reveals that 86% of Americans believe transparency from business is more important than ever before. This is especially true of small business transparency.
Let’s face the truth: an over-saturated market has made things more difficult for businesses to compete and figure out distinct advantages. No matter what industry you’re in, there are always competitors offering the same products or services.
Building Trust in Your Small Business Through Transparency
In this day and age, having great products and services is not enough. Consumers now expect to know more and are predisposed to thinking “locally”. They prefer brands that are willing to share more details and information about products such as who that brand is, how the product is created and manufactured, who is behind the scenes, and whether it is produced by local suppliers.
In other words, consumers value information sharing, which has created a new urgency for buyers to source local suppliers who can deliver the same value.
How does transparency benefit your business, and what can you do to demonstrate that? This article will give you answers.
Benefits of Brand Transparency for Small Businesses
Brand loyalty: trust is paramount in our personal lives. So are buyers. Once you successfully build trust, it’s much harder for buyers to leave you and go with competitors that don’t offer the same value.
Increase sales: A survey from Sproutsocial shows that 73% of consumers are willing to buy products that guarantee total transparency. Transparency differentiates your business as authentic, honest and socially responsible.
Best Practices for Small Business Transparency
Make Information Accessible
Give as much information about your products or services as you can, and put it in a place where your customers or prospects can easily have access. If selling products, you should ensure you label products clearly (health conditions, certifications, ingredients, etc.). The more details you provide, the better trust you’ll gain.
SupplierGATEWAY has one of the largest B2B marketplaces where thousands of buyers and suppliers connect and do business. We enable suppliers to showcase their capabilities and provide buyers with all information they want to know from suppliers.
Social Proof
The power of social proof has been successfully proven in many cases of building trust and improving customer loyalty. It can instigate the emotional triggers of prospects. Using social proof in reviews and testimonials significantly helps buyers reinforce their confidence and make better decisions.
In the SupplierGATEWAY marketplace, we give buyers the option to leave reviews and comments for those suppliers who they have worked with, as well as have access to all reviews of registered suppliers on the platform.
Strategic Planning for Your Small Business’s Digital Presence
Living in a digital world, we know the importance of digital presence. Everyone can have a website or social media, but the winners will be the ones who strategically present themselves in the best possible way. Having a concrete plan aiming towards transparency in your digital channels may be a good starting point.
Be Active On Social
Now more than ever, it’s easier for businesses to engage and communicate with buyers. Choose channels wisely to announce new products, features, updates and promotions. Being active online will get you one step closer to customers, what they think, how they feel and what you can improve.
Proactively listening to your customer’s feedback and quickly responding to every request or comment will be the best way to keep your customer in the loop and improve the engagement rate.
Openly Share Your Small Business’s Minority Status
Social drives diversity and inclusion business practices internally and externally. In procurement, major companies are actively sourcing new diverse suppliers to strengthen their supplier diversity programs.
We can’t emphasize enough the advantages of being minority-owned and diverse-owned. If you belong to one of these diverse groups, don’t be afraid to become certified and give your business a chance to connect with potential buyers.
The Enhanced Digital Certification™ (EDC) is a fast and inexpensive way for your small business to get certified as a diverse-owned organization while at the same time exposing you to new opportunities afforded by being in the SupplierGATEWAY network.
About SupplierGATEWAY:
At SupplierGATEWAY, we offer a robust platform for suppliers where you can gain access to new business opportunities and connect with customers of all sizes – from Fortune 500 companies and globally recognized companies to your local health system, manufacturer or business. Our easy-to-use app will help you stay connected to the opportunities that could make all the difference to your bottom line. Get started today for FREE!
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