Insight from industry: Moet Hennessy’s development of an innovative supplier diversity program in the wine and beverage industry

Abstract

Purpose

Supplier diversity has roots in US supply chains going back 50  years. Unfortunately, supplier diversity programs have been hindered by less than wholehearted buyer adoption and stakeholder engagement. The original scoping of supplier diversity also holds limitations when comparing to the multidimensionality of the diversity and inclusion concept. The purpose of this article is to share lessons learned from the development of an innovative supplier diversity program by Moet Hennessy aimed at more sustainably scoping, scaling and stimulating supplier diversity programs.

Design/methodology/approach

The development and the design of Moet Hennessy’s supplier diversity program is presented. The design was informed, and partially supported by, a collaboration with the author. Critical reflections on pitfalls and outstanding questions are developed based upon the program design.

Findings

Moet Hennessy developed a supplier diversity program that is more comprehensively defined, targets a more global scale and includes innovative stakeholder engagement techniques such as the development of supplier diversity champions in the business. The program also is embedded in existing environmental social and governance initiatives.

Originality/value

Moet Hennessy’s supplier diversity program was not mandated by one of its customers but sourced from an academic collaboration and stimulated by competitive opportunity. The program was designed bottoms up, not top down. The program is sponsored outside of procurement and has champions throughout the business. The program expands beyond the traditional scoping of supplier diversity programs. Pathways and pitfalls for managers are identified based upon insights from Moet Hennessy’s experience. These inform suggestions for further research.

Citation

van Hoek, R., Lebigot, D., Bagot, A. and Sexton, S. (2023), "Insight from industry: Moet Hennessy’s development of an innovative supplier diversity program in the wine and beverage industry", Supply Chain Management, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/SCM-01-2023-0041