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Helping a tech giant navigate supplier diversity

On all five construction projects, we surpassed our client’s 20% diverse spend benchmark.


Helping a tech giant navigate supplier diversity Case Study

With a long-standing commitment to source from historically disadvantaged groups, especially in the wake of increasing racial injustice and inequity, this software tech giant was keen to foster greater levels of diversity in its supplier base to reflect the global diversity of its customers and communities it serves.

Colliers was engaged to help the company increase its diverse spend on interior workspace construction projects. The client’s diversity metrics are calculated based on how much each construction dollar spent goes to a qualifying diverse firm. Our Occupier Services team developed three unique diverse spend strategies:
 

  1. Partnering: We review the available body of consultants, contractors, subcontractors, vendors, suppliers, and installers. With the bulk of diverse spend stemming from the general contractor and subcontractors, we partner nondiverse general contractors with one who meets the diversity criteria.
     
  2. Mentor/protégé model: We ask non-diverse subcontractors to mentor diverse subcontractors as proteges, giving them opportunities to work with larger clients, improve their processes and quality of work, and remain competitive.
     
  3. Diverse procurement consultant: In cities that lack diverse general contractors or a dedicated chamber of commerce for minority groups, Colliers will hire a diverse procurement consultant with knowledge of the local community to identify diverse subcontractors.

On all five projects, we considerably surpassed the 20% diverse spend benchmark on our client’s scorecard. Recognizing that a rising tide floats all boats, our client also stands to expand the pool of companies it can work with in the future.

We also support the client as brokers with lease negotiations. With diversity being a key component of bids, we co-broker with firms and allocate a portion of the work – and fees – to them.