In 2022, Johnson & Johnson achieved $3 billion procurement spend with Tier 1 diverse suppliers globally for the first time.
Since 1998, we have consistently strengthened our dedicated Global Supplier Diversity & Inclusion program, engaged a wide range of suppliers and helped them grow with Johnson & Johnson. By further developing supplier diversity, we continue to drive equitable outcomes and better reflect the patients and customers who benefit from our products.
A key measure of our progress to advance supplier diversity is our total Global Impact Spend, representing addressable spend with small and diverse suppliers both on an absolute basis and as a proportion of our total addressable procurement spend. Global Impact Spend is also reflected in Johnson & Johnson’s Health for Humanity 2025 Goals (see section: DEI in Context).
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Global Impact Spend in 2022 by the Numbers
total Global Impact Spend
in Global Impact Spend in 2022 compared to 2021
in spend with Tier 1 LGBT-owned business globally compared to 2021
with small business suppliers in the U.S.
in spend with U.S. Tier 1 women-owned businesses compared to 2021
spend with veteran- and disabled-veteran-owned businesses globally
with Tier 1 diverse suppliers in international markets
in spend with U.S. Tier 1 Black- and Hispanic-owned businesses compared to 2021
in spend with Tier 1 minority-owned businesses globally compared to 2021
We rely heavily on our collaborative relationships with more than 30 advocacy organizations globally that support certified minority-, women-, LGBTQIA+-, disabled-, veteran- and disabled-veteran-owned companies, as well as social enterprises.
In 2022, new engagements to build small and diverse supplier capabilities and facilitate access to new business opportunities included:
- Sponsoring the National Minority Supplier Development Council’s (NMSDC) Certificate of Excellence program to strengthen diverse supplier selection in corporations and help minority business enterprises (MBEs) compete in a global environment. Johnson & Johnson leaders also engaged with the program, delivering sessions on key topics for business owners and serving as coaches to the participants.
- Sponsoring two cohorts with nearly 50 women in the Women’s Business Enterprise Council of Metro NY and Greater DMV (D.C., Maryland, Virginia) Amplify program which engages and supports women of color in scaling their businesses, enhancing their ability to serve corporate clients.
- Becoming a founding sponsor of the Diverse Manufacturing Supply Chain Alliance’s (DMSCA) Foundation, enabling the expansion of DMSCA educational programs to integrate capability building in digitization to their development programming for diverse supply chain suppliers.
David Burton
Founder and CEO, DMSCA
- To support the development of minority-owned supplier advocacy in Europe, Johnson & Johnson became a founding member of the European Supplier Diversity Project (ESDP), including sponsoring research that documents why an increasingly diverse Europe needs equality in procurement for ethnic minority entrepreneurs. This initiative, led by Minority Supplier Development UK, aims to enable minority- and migrant-owned businesses to certify and access opportunities in corporate supply chains.
Did you know?
For the 12th consecutive year, Johnson & Johnson maintained membership in the Billion Dollar Roundtable, a group of companies that advance best practices for with certified minority-, women-, veteran-, LGBTQIA+- and disability-owned businesses.
Leveraging Supplier Partnerships to Drive Impact
In 2022, Johnson & Johnson’s suppliers delivered $649.6 million in Tier 2 diverse spend, reflecting an increase of 28% over the prior year. Our Tier 2 expansion strategy enables us to increase our global economic impact by ensuring our suppliers are engaging and contracting with diverse businesses.
We extended our reach by engaging with suppliers to advance DEI initiatives such as our collaboration with American Express and the Women’s Business Enterprise National Council (WBENC), established to capture spending with women business enterprises (WBEs) by Johnson & Johnson travelers, bringing visibility to those businesses. We also co-developed a Women’s Empowerment program with Sodexo, focused on ensuring women have equal professional access and growth opportunities in the EMEA and APAC regions.