The 165-year-old Procter and Gamble Company (P&G) is a recognized leader in the development, distribution and marketing of products in nearly 50 categories—from laundry products and toothpaste, to diapers and bone disease therapies. P&G products consist of nearly 300 individual brands used by customers in over 160 countries.

In 2001, P&G announced its commitment to spend $1.5 billion with minority- and women-owned suppliers annually. This represents approximately 11% of the company’s annual purchasing budget in the United States. "With minority populations of today quickly becoming the majority of the population tomorrow, we see a competitive advantage in increasing our business with entities that reflect our country’s diverse consumers," says Daryl Hodnett, Group Manager, Corporate Supplier Diversity Development, Product Supply – North America. "Supplier diversity is an important plank in P&G’s efforts to build our brands’ business with the country’s diverse consumer base, helping P&G and America’s minority communities grow and prosper."

P&G’s supplier diversity network is comprised of over 1,250 minority- and women-owned businesses. The company first established a minority supplier development program in 1972. In the past ten years, minority purchasing at P&G grew almost ten-fold from $115 million in 1989-1990 to almost $1.0 billion in fiscal 2001-2002. During the decade of the 1990’s, P&G’s spending with minority and women-owned businesses exceeded $4 billion dollars for the period.

Like many companies, P&G is linked with numerous organizations. But, it is P&G’s active development of minority-owned businesses that stands out. For example, P&G made loans in the 1980s to several minority businesses and start-up companies, based on ideas loan recipients had and the needs of P&G. Today, Adhesive Systems Inc. in Detroit manufactures packaging glue for P&G and other packaged goods companies. Atlanta Thermoplastics manufactures a significant amount of the detergent scoops P&G needs in North America. P&G assisted Specialized Packaging Group (SPG; Hamden, CT) in acquiring two manufacturing companies. These acquisitions allow SPG to manufacture cartons for Tide, Swiffer and Crest. Finally, P&G just announced in April 2003 a $30 million, 3-year contract to a minority business to manufacture body shampoo for P&G. This business is a built-from-the-ground-up facility in Cincinnati’s Empowerment Zone. It will generate up to 200 jobs when fully operational.

P&G has received much recognition for its commitments. It will soon be eligible for the Billion Dollar Roundtable, an elite group corporations convened by Minority Business News U.S.A. and Women's Enterprise Magazine. P&G is also a member of the National Minority Supplier Development Council (NMSDC) and the United States Hispanic Chamber of Commerce (USHCC)

To learn more about P&G’s supplier diversity commitment, watch a Web cast version of the film Economic Inclusion: The Business Case for America. For a copy of the full version, contact Daryl Hodnett at: Hodnett.dm@pg.com.

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