By Manpreet Kaur Sandhu, Director of Education & Industry Affairs; Health Industry Distributors Association
December 2024 – The Journal of Healthcare Contracting
In recent years, supplier diversity has taken center stage across industries, including healthcare. The movement began as a means to address systemic inequalities and increase access to opportunities for minority-owned, woman-owned, veteran-owned, and other underrepresented businesses. However, it has evolved far beyond a social responsibility initiative. Partnering with diverse suppliers is a powerful strategy that not only strengthens communities but also enhances the resilience and flexibility of the supply chain.
One of the most common misconceptions about supplier diversity is that working with diverse suppliers involves a trade-off in quality, service, or efficiency. In truth, partnering with diverse suppliers should be viewed as an added benefit within sourcing, since smaller vendors can offer specialized, market-specific services.
Locally-owned suppliers have a deep commitment to their communities and unique understanding of the challenges within their markets. By partnering with community-focused suppliers, healthcare organizations can enhance their capacity to address population-specific needs, bridging gaps in care and fostering community trust.
In the fast-paced world of healthcare, flexibility and responsiveness are paramount. Smaller, diverse suppliers often excel in these areas, offering more flexible and customized options. For health systems that require tailored solutions, especially during times of crisis or demand surges, partnering with agile, diverse suppliers can be a significant advantage.
Supplier diversity extends beyond minority-, woman-, and veteran-owned businesses, encompassing a wide range of small and diverse entities that add critical value to healthcare supply chains. If your organization is looking for opportunities to grow partnerships with diverse suppliers, HIDA has resources that can help. Our list of diverse suppliers operating within the healthcare supply chain can be found on the HIDA website. And if you’d like to learn more about our Supplier Diversity Council and other programs, please reach out.
Today, supplier diversity is a strategic asset – not just a checkbox – that strengthens both the organization and the communities it serves, fostering an inclusive economy and valuable partnerships adaptable to healthcare’s complexities.