Among corporations in the United States, CVS Health operates one of the most active and progressive supplier diversity programs. Through partnerships with diverse suppliers, we believe that we are best able to deliver a wide range of innovative services and products to our diverse customer base. These partnerships also make a significant economic impact in communities across the country.
In 2017, we partnered with more than 4,900 businesses through our diverse supplier program. These included small businesses, minority-owned businesses, women-owned businesses and veteran-owned businesses. Our spending with diverse suppliers last year totaled $2.3 billion. Subsequent spending by these businesses and spending by their employees drove the total economic impact of our supplier diversity program to $5.8 billion, and helped to sustain more than 38,000 jobs across the country.
In 2017, we were proud to be named to the Billion Dollar Roundtable, an organization that recognizes and supports corporations that achieve $1 billion in annual spending on diverse- and women-owned suppliers. We also earned a place on DiversityInc’s 2017 Top 50 Companies for Diversity list for the first time, in large part due to our focus on diverse supplier spending. Finally, we were recognized by the country’s leading corporate membership organization, the National Minority Supplier Development Council, as Corporation of the Year Top Performer.
Inspired by the success and growth we’ve seen in this area over the last few years, we’ve set new, ambitious spending targets for 2020 and ongoing efforts to identify, nurture and maintain relationships with diverse partners throughout our supply chain. We’re striving to meet these higher expectations with the following targets:
- Increase our annual spending with Tier I (prime) diverse- and women-owned suppliers to $1.5 billion by 2020.
- Increase our annual spending with Tier II (sub-contractor) diverse- and women-owned suppliers to $1 billion by 2020.
To learn more about all the CVS Health Supplier Diversity Program achieved in 2017, please view our 2017 Supplier Diversity Economic Impact Report.