Johnson & Johnson: Turning supplier spend into local support

Johnson & Johnson’s Global Supplier Diversity & Inclusion team is growing spending with social enterprises around the globe to expand its impact

The company’s Health for Humanity 2025 Goals included a commitment to achieve $4.5B Global Impact Spend with small and diverse suppliers and with social enterprises, representing a 20% increase from 2020.

What is Johnson & Johnson’s Global Social Enterprise Strategy?

In November 2022, Johnson & Johnson launched its Global Social Enterprise Strategy to drive societal and economic impact through the company's network of suppliers. The multi-year project supports the company’s Health for Humanity 2025 spending goals and builds on a track record of partnering with small and diverse businesses.

“This is not charity or philanthropy,” said Shashi Mandapaty, Chief Procurement Officer at Johnson & Johnson. “This is about working with the very best suppliers to drive the best outcomes for both our business and society at large. Partnering with companies committed to doing good in the community aligns with Our Credo—and accelerates our commitment to supplier diversity and inclusion.”

“It’s not an either/or situation,” Mandapaty says. “It’s an opportunity to extend positive social impact through a supply base that reflects our customer base.”

Credit: Johnson & Johnson

Social enterprises

Johnson & Johnson is primarily focused on social enterprises that support economic inclusion and job creation for underserved populations, such as people with diverse abilities, mental health conditions or long-term disease challenges. Many of these companies leverage the unique capabilities of neurodiverse employees who excel at logical, detailed tasks that require significant concentration, such as software testing. At the same time, recognising the talents of these employees helps break down biases toward people on the autism spectrum.

To help build demand for social enterprises and cultivate and grow the supply base, the company is engaging peer companies and NGO partners through advocacy organisations and campaigns like the Buy Social Corporate Challenge, the flagship program of Social Enterprise UK that seeks to promote the use of social enterprises in corporate supply chains. 

“Building a networked community of like-minded corporations through industry bodies and advocacy groups—which help verify social enterprises and pair them with companies—is critical,” Mandapaty concluded. “We’re honoured to take a leadership role in this space.”

Credit: Johnson & Johnson


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