DEARBORN, Mich.—Ford Motor Co.'s supplier diversity development program exceeded its minority owned supplier sourcing goal in 2013, the fourth consecutive year it has accomplished that feat.
The firm said its goal is to source at least 10 percent of its $50 billion U.S. purchasing budget with diverse production and nonproduction suppliers annually.
It purchased $6.5 billion in goods and services from minority-owned suppliers, $1.8 billion from women-owned businesses and $600 million from veteran-owned companies, Ford said.
“Ford has been a long-standing supporter of diversity in many forms, and this includes our supplier base,” said Hau Thai-Tang, group vice president, global purchasing. “These suppliers are an integral part of our overall growth and sustainability. They bring a fresh perspective that continues to lead to cutting edge innovations and accelerate the development of new vehicles.”
Ford said it encourages its Tier 1 suppliers to support diverse businesses. Its Tier 1 suppliers purchased more than $2.57 billion in goods and services from minority-, women- and veteran-owned companies, an increase of 19 percent from 2012.
The firm established its supplier diversity development program in 1978 to help create wealth by fostering diversity across Ford's supply chain, it said. The program has invested more than $70 billion with women, minority and veteran suppliers since its inception.
Ford said global expansion of its supply base is key as it prepares to launch 23 vehicles globally and 16 in North America.
Ford manufacturers or distributes automobiles across six continents and consists of about 183,000 employees and 65 plants worldwide.