Compliance & Governance

Supplier Diversity

Supplier diversity is a procurement practice of deliberately sourcing from a broad range of suppliers, including those owned by under-represented groups.

A supplier diversity programme sets goals for spending with businesses such as those that are minority-owned, women-owned or from designated local groups, and tracks progress against them. It aims to broaden the supply base, support economic inclusion and reduce dependence on a narrow set of vendors.

In Malaysia, supplier diversity is closely linked to Bumiputera vendor participation, which many government-linked companies must report on. Procurement platforms help by tagging supplier categories and reporting participation automatically.

Frequently asked questions

What is supplier diversity?
Supplier diversity is the practice of sourcing from a wide range of suppliers, including businesses owned by under-represented groups, and tracking spend with them against goals.
How does supplier diversity apply in Malaysia?
It often takes the form of Bumiputera vendor participation, which government-linked companies commonly track and report as part of their procurement governance.

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