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Supplier Diversity
Tawana Bain, CEO of New Age Communications, Louisville, Ky., participates in a Johnson Controls training session for diverse firms at Tuck Business School, Dartmouth College.

Supplier diversity strengthens Johnson Controls, suppliers and communities

Supplier diversity helps provide an opportunity for thousands of individuals to purchase more products and services from Johnson Controls and our customers. The diverse companies Johnson Controls works with employ more than 78,000 people and generate more than $1.5 billion in wages and salaries.

Johnson Controls’ use of diverse suppliers is not just about social responsibility, philanthropy or even sustainability, it is about new ways for achieving economic success that make the company stronger. Over the past 12 years, $6 billion of the company’s revenues have come from customers that have requested the involvement of diverse suppliers.

“Supplier diversity has expanded our markets, extended our capabilities and strengthened our network of suppliers,” said Reginald Layton, executive director of supplier diversity & business development at Johnson Controls. “Supplier diversity helps us win and retain customers. It delivers stakeholder satisfaction with employees, advocacy groups, communities, customers and the government.” 

Johnson Controls’ supplier diversity initiatives have placed it in an elite group known as the Billion Dollar Roundtable, a group of 18 corporations that purchase more than a billion dollars each year from certified diverse-owned businesses. The Billion Dollar Roundtable’s mission is to drive supplier diversity excellence through best practice sharing and leadership. Johnson Controls spent more than $1.15 billion with diverse suppliers in fiscal year 2010. 

Johnson Controls works with more than 400 diverse businesses. These firms provide products and services across 50 procurement categories. The suppliers come from every U.S. state and some supply to Johnson Controls’ operations in Canada, the Czech Republic, Mexico and Brazil. Efforts are underway to launch supplier diversity initiatives in the United Kingdom, South Africa and China. 

“One of the core tenets of Johnson Controls is to demand continuous improvement in everything we do,” Layton said. “We believe that the things that made us successful today will not be sufficient to keep us successful tomorrow. To sustain our growth, we find ways to keep getting better, and our supplier diversity initiative is no exception. We are committed to supplier diversity and appreciate the significant business opportunity it creates for everyone.”

LEARN MORE
To learn more about diverse business development, including how to register as a diverse supplier and sign up for an informational Straight Talk session, visit our Supplier Diversity Web site. more
GLOBAL LEADERSHIP
Johnson Controls' supplier and workplace diversity programs were featured as a global model in a recent magazine article in Facility Management Journal. more
LEADERSHIP Q&A
Reggie Layton Read an interview with Reginald Layton, executive director of supplier diversity & business development at Johnson Controls. more
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