A critical assessment of professional skills and knowledge in sup

Antioch University AURA - Antioch University Repository and Archive Student & Alumni Scholarship, including Dissertations & Theses Dissertations & Theses 2008 A Critical Assessment of Professional Skills and Knowledge in Supplier Diversity: A Delphi Study Mia Cole Antioch University - PhD Program in Leadership and Change Follow this and additional works at: https://aura.edu/etds Part of the African American Studies Commons, Business Commons, Chicana/o Studies Commons, Indigenous Studies Commons, Latina/o Studies Commons, and the Leadership Studies Commons Recommended Citation Cole, M. A Critical Assessment of Professional Skills and Knowledge in Supplier Diversity: A Delphi Study.edu/etds/642 This Dissertation is brought to you for free and open access by the Student & Alumni Scholarship, including Dissertations & Theses at AURA - Antioch University Repository and Archive. It has been accepted for inclusion in Dissertations & Theses by an authorized administrator of AURA - Antioch University Repository and Archive. For more information, please contact hhale@antioch.edu, wmcgrath@antioch.

A CRITICAL ASSESSMENT OF PROFESSIONAL SKILLS AND KNOWLEDGE IN SUPPLIER DIVERSITY: A DELPHI STUDY MIA COLE A DISSERTATION Submitted to the Ph. in Leadership & Change Program of Antioch University in partial fulfillment of the requirements for the degree of Doctor of Philosophy September, 2008 This is to certify that the dissertation entitled: A CRITICAL ASSESSMENT OF PROFESSIONAL SKILLS AND KNOWLEDGE IN SUPPLIER DIVERSITY: A DELPHI STUDY prepared by: Mia Cole is approved in partial fulfillment of the requirements for the degree of Doctor of Philosophy in Leadership and Change. Approved by: Dr. Jon Wergin ____________________________________________________________ Chair date Dr.

Laurien Alexandre ____________________________________________________________ Committee Member date Dr. Elizabeth Holloway ____________________________________________________________ Committee Member date Dr. Melvin Gravely ____________________________________________________________ Committee Member date Copyright 2008 Mia Cole All rights reserved Acknowledgements First of all, I am thankful to God for giving me the strength, endurance and stamina to complete this journey. Through God, all things are possible.

I would like to thank my committee members. Jon Wergin, the chairman of my committee, thank you for your support, encouragement and guidance throughout this journey. Your kind nature and confidence in me have been an inspiration. Laurien Alexandre, my faculty advisor, believed in me and bestowed upon me the guidance, unrelenting support, and friendship I needed to complete this program.

Thank you for all you have given to me. I’m a better person as a result of knowing you. Elizabeth Holloway, thank you for your thoughtfulness, insight and support. Melvin Gravely, your expertise, intellect and knowledge has enabled me to complete this program and I thank you.

I would like to thank Cohort 1 for their friendship and love. The encouragement and support they provided has been a major factor and has been instrumental in completing this program. To my family and friends, thank you for the support and unconditional love that allowed me to reach this dream. i Dedication This dissertation is dedicated to my mom, Ruby Cole Keller, and my dad, Lawrence Cole.

I see your shining stars in the sky everyday and I thank God for the time we had together. Thank you for your wisdom, guidance, support and love. Thank you for molding me into the person I am today. I celebrate and honor both of you.

To my nephew Lee Thomas, my cousin Amber, my godson Kori and to a host of cousins and relatives, this dissertation is dedicated to all of you as a challenge to seek higher educational dreams and as a legacy to pass on to your children. To my mentor, coach and friend, Shayna Schneider, as you look down on this accomplishment; take pride in knowing that the impetus for this degree started as a result of the conversation we had about leadership and change in 2001. ii Abstract Today, many US corporations have made great strides to embrace supplier diversity as a social consideration, and most importantly, as a strategic business enabler. From the earlier years of mandating minority inclusion to the realization that diversifying the supply chain creates value by capitalizing on the diverse background and experiences of minority businesses, supplier diversity has emerged as a major business initiative.

It is one of the initiatives that contribute to the welfare of the country by building minority communities and strengthening our society. By developing business coalitions and partnerships with minority suppliers there is tremendous opportunity to impact the economic development of minorities and make significant contributions to the growth and development of our nation. The goal of this research is to apply the Delphi methodology to a research study that identifies the skills and knowledge that marks a professional in supplier diversity in the private sector. Additionally, this study is intended to help shape the future of supplier diversity as a professional entity in the business environment.

This research is honoring and advancing the cause and status of supplier diversity professionals who possess the drive and commitment to elevate supplier diversity to a profession. The electronic version of this dissertation is at OhioLink ETD Center, www. iii TABLE OF CONTENTS Acknowledgement i Dedication ii Abstract iii Table of Contents iv List of Tables vi Chapter I: Introduction 1 Overview of Supplier Diversity 1 Research Question 5 Rationale for the Study 5 Statement of the Problem 6 Review of Literature 8 Research Method 8 Summary of Chapters 14 Chapter II: Review of Literature 15 Background and Origin of Supplier Diversity 15 Supplier Diversity: From Practice to Profession 22 Inquiry Process 26 Top Management Support and Commitment 29 Buyer/Supplier Relationships 33 Organizational and Corporate Culture 38 Training and Development 44 Summary 47 Chapter III: Research Methodology 51 Selection of and Justification for Using Delphi 51 Selection of Participants 56 Panel Size 58 Profile of the Expert Panel 58 Delphi Process 59 Delphi Rounds 60 Delphi Management 61 Research Procedures 62 iv Chapter IV: Delphi Pilot Study 63 Selection of Participants 63 Panel Size 64 Profile of the Expert Panel 64 Delphi Pilot Process 65 Round 1 65 Round 2 67 Round 3 68 Pilot Analysis and Findings 70 Summary 71 Chapter V: Data Analysis and Research Findings 73 Profile of Expert Panel 75 Round 1 77 Round 2 82 Round 3 84 Chapter VI: Conclusions, Discussion and Recommendations 93 Research Methodology 93 Discussions and Conclusions 94 Limitations and Assumptions 103 Future Research 104 Implications for Leadership and Change 105 Appendix 107 Appendix A - Request for Panel Nominations 108 Appendix B – Letter of Invitation to Panel Members 110 Appendix C - Participant Consent Form 112 Appendix D - Participant Data Profile Sheet 113 Appendix E - Round 1 Cover Letter and Survey Instrument 114 Appendix F - Round 2 Cover Letter and Survey Instrument 117 Appendix G - Round 3 Cover Letter and Survey Instrument 120 Appendix H - IRB Approval 123 List of References 129 v List of Tables Table 4.1 Summary of Participants Profile in the Pilot Study 64 Table 4.2 Summary of Priority Ratings in Pilot Study for Round 2 67 Table 4.3 Summary of Skills and Knowledge in each Priority Rating Scale in the Pilot Study for Round 3 69.1 Summary of Participants Profile of Expert Panel 75 Table 5.2 Summary of Survey Responses 77 Table 5.3 List of Skills and Knowledge Dimensions in Round 1 78 Table 5.4 Summary of Results from Round 1 80 Table 5.5 Skills and Knowledge that Received the Highest 81 Number of Participants Response in Round 1 81 Table 5.6 Summary of Results with Mean Scores in Round 2 83 Table 5.7 Priority Rating Results for Round 2 84 Table 5.8 Priority Rating Results for Round 3 86 Table 5.9 Summary of Percentage Acceptance by Participants 87 Table 5.10 Summary of Skills and Knowledge with Highest Percentage Acceptance by Participants 88 Table 5.11 Summary of Skills and Knowledge with Lowest Percentage Acceptance by Participants 88 Table 5.12 Summary of Round 3 Results 90 Table 5.13 Skills and Knowledge with the Least Dispersion Around Consensus 92 vi 1 Chapter I: Introduction This chapter provides an overview of supplier diversity and a statement of the research question. This chapter establishes a rationale for the study and a statement of the problem by demonstrating how this research can be used to advance the field of supplier diversity.

This chapter also establishes the basis for a review of related literature and the method that will be utilized for research investigation. The research assumptions and limitations are also included in this chapter. Overview of Supplier Diversity The “browning of America” and the continuing shift from a white to a non-white population are evidenced by growing demographic trends in the United States today. The shift in U.

demography has economic, political and social implications brought on by how the contributions of minority businesses are viewed in the private sector. Minorities are the fastest-growing population in this country today, and they are emerging as a population majority. Research by the Minority Business Development Agency indicates that the minority population will represent 37.4 percent of the total U. population by the year 2020, and will yield purchasing power in excess of $3 trillion dollars (MBDA, 2000).

The growth rate of the minority population also reflects the growth of businesses owned by minorities. According to the U. Small Business Administration in 2002, minorities own approximately 18 percent of the 23 million U. firms, and the SBA predicts the growth rate of minority firms to double by 2010.

Since the 1980s, with support of government agencies and corporations committed to diversifying their purchasing activities, minority firms have seen their revenue rise above 10 percent annually and have enjoyed growth rates at three times higher than those 2 of traditional white businesses (U. Department of Commerce, 2006). Minority-owned businesses have produced goods and services, created innovations, absorbed labor, generated jobs, provided wages and salaries, and contributed to the support of government services through taxes. All of these business activities represent an important contribution to the American economy (Harrington & Yago, 1999).

Minority entrepreneurs are a recognized emerging market and a key source of wealth-building, economic development, and community contribution through job creation opportunities, and as such have formidable economic clout (Humphreys, 2004). The growth rate of minority businesses represents unprecedented opportunities for corporations willing and able to partner with minority suppliers for the purchase of goods and services in order to gain competitive advantages in the coming years. corporations that have begun to develop strong partnerships with minority businesses have been rewarded with more than they expected. The corporations which have placed emphasis on minority suppliers have gained substantial business results.

By looking at a broader base and more diverse suppliers and extending their partnerships toward purchasing awards to minority businesses, some companies have opened themselves up to discovering creative new ways of doing business in this new economy, and have gained a competitive edge in growing their businesses and increasing revenue. As corporations take action and explore different purchasing strategies to increase revenue, some of them have come to realize that ensuring the inclusion of minority businesses in their purchasing activities is not about “handouts,” but rather about “handshakes” that clinch good business deals and create a more diverse and globally competitive country (Joint Center for Political and Economic Studies, 2000). Some corporations have also been 3 quick to grasp the realities of needing to be responsive to an ever-growing demographic segment of our society and a commitment and responsibility to corporate citizenship by partnering with minority-owned businesses. Although minority business development first emerged as a national priority by the federal government in the early 1960s to ensure that minorities have access and equality to purchasing opportunities, there continues to be a gap in advancing purchasing opportunities for minorities in major corporations in America today.

While the number of minority businesses has reached unparalleled levels, the distribution of these businesses does not fully reflect the growth of minority communities and the increase in the minority population in the United States today (Boston Consulting Group, 2005).