In conclusion, there is growing evidence for a link between increased supplier diversity and increases in shareholder value. What separates the most successful companies is their ability to effectively communicate the drivers for the business case throughout their organizations. With a strong internal commitment to supplier diversity, successful companies are building a new type of competitive advantage that will enable them to more effectively leverage the value of a diverse supply base.

About the Author: Raj Sharma is founder, president and CEO of Censeo Consulting Group. He has more than 14 years of experience working with and advising senior management of Fortune 500 companies and federal government agencies on how to address complex business issues related to supply chain and procurement. Prior to founding Censeo in 2003, he held several sourcing and supply chain management positions at Booz Allen Hamilton and FreeMarkets (now part of Ariba).