PepsiCo marked the 40th anniversary of its Supplier Diversity Program with a commitment to expand its base and increase overall spend through new forums, mentorship, partnerships, and resources.
As part of the Supplier Diversity Program, PepsiCo currently spends more than $1 billion annually with certified, diverse suppliers, including women, Black, Hispanic, Asian, LGBTQ+, Native American, individuals with disabilities, and U.S. veterans. The program has grown from an initial spend of $5 million in 1982 to nearly $30 billion spent over the past 40 years across PepsiCo's entire value chain.
The expansion will include increased support around the supplier certification process to help businesses grow and sustain their economic impact for the future.
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"As one of the leading convenient food and beverage companies in the U.S., we have a responsibility to leverage our size and reach to help address the systemic barriers that too often limit or exclude diverse suppliers from developing and expanding their businesses," said Melani Wilson Smith, PepsiCo's global chief procurement officer, in a statement.
"We've been on this journey for decades and we are committed to growing with our diverse suppliers and procuring new ones,” she added. “Working with diverse-owned businesses is one of the more important ways we can help build a more inclusive supply chain which, in turn, strengthens the communities where we operate and yields greater value for our consumers and customers."
PepsiCo, which is the No. 3 publicly owned consumer goods company, has also hired Pink Patch Group, a Black-woman-owned certification consultancy, to help with the diverse supplier certification process and remove barriers to economic advancement.
"We know that minority certification will allow diverse businesses to work with many Fortune 500 companies beyond PepsiCo," said Christina Tyson, director of supplier diversity at PepsiCo. "Hiring a third-party consultancy to assist small diverse-owned businesses with the certification process is one of several steps we're taking to drive racial equality and create systemic change in the communities we serve."