AT&T Refreshes Its Supplier Diversity Program

Aims to stimulate economic growth for diverse companies and communities

Dallas - AT&T and its suppliers have spent more than $173 billion with minority, woman, service-disabled veteran, and LGBTQ+ businesses in the past 50 years. Today, we are taking another step to drive greater impact with our Supplier Diversity program, with stronger alignment with philanthropic & social innovation across the company, tied to AT&T Believes?, a larger company-wide initiative, which aims to create positive change in local communities.

AT&T is expanding how it defines success within its Supplier Diversity Program. Our 2020 commitment aims to stimulate diversity job growth, improve opportunities for diversity technical development and further foster the growth of the diverse supplier community. By the end of 2020, we will announce not only spend with diverse suppliers but also the number of jobs held by diverse individuals within our supplier base.

“Earlier this year we made a commitment to drive $3 billion in spend with black suppliers in the U.S. by the end of 2020. We’ve established an Executive Advisory Council made up of prominent black business leaders to assist us in reaching this goal,” said Susan A. Johnson, executive vice president – Global Connections & Supply Chain, AT&T. “With our renewed supplier diversity 2020 commitment, we will continue to develop creative solutions and work closely with all suppliers to foster economic growth and innovation within the communities we serve.”

The program’s focus on the economic growth of diverse companies and communities has 3-pillars:
• Diverse supplier spend and utilization
• Diversity job creation and force impact
• Diverse business fostering, advocacy and ‘tier 2’ supplier growth

A key component of extending the program’s reach is through a revitalized preferred supplier designation designed to prioritize companies with diversity as a core value. Our overall supplier diversity program remains focused across all diverse communities.

“We value suppliers who are committed to improving their communities,” said Rachel Kutz, vice president- Strategic Initiatives, Global Supply Chain, AT&T. “Suppliers demonstrating concrete commitments to increase spend with diverse suppliers in their supply chains and improve workforce diversity in their own businesses can earn ‘Preferred’ supplier status and gain an edge in our sourcing decisions.”

2020 commitment builds on 2018 milestones
AT&T’s 2018 diversity spend was $700M million higher than 2017, highlighting gains from a refreshed vision for its long-standing supplier diversity program.

Refocused on meaningful and measurable contributions, the program grew to almost 700 diverse suppliers in 2018 and accounted for over $15 billion or 26.8% of total spend (excluding Content and Programming spend) with diverse suppliers for the year. The results exceeded the 21.5% target. Overall spend with women business enterprises (WBE) and minority business enterprises (MBE) increased with Tier 2 diverse supplier performance as a leading driver.

“With the help of AT&T’s Supplier Diversity program, we are excited about the new economic development we have been able to support and sustain in 10 states as a Hispanic-owned business,” said Garry Castro, CEO, LG OSS LLC. “The new 2020 initiative has not only resulted in an increase of job growth, but has also inspired us to include a Corporate Social Responsibility (CSR) strategy designed to impact the community.”

“As an African American-owned company, we pride ourselves in being aligned to companies that support our mission and encourage diversity within their supply chain,” Stephen Hightower II, COO of Hightowers Petroleum Co. “AT&T has provided our business the opportunity to grow and further support our own mission to provide greater opportunities for our employees, their families and the communities we serve. The progress is real and it’s making a difference.”