As global supply chains face unprecedented disruption in 2025, leading APAC corporations are discovering a powerful competitive advantage through supplier diversity strategies.
New industry research reveals that companies with geographically and structurally diverse supply networks demonstrated 37% greater resilience during recent economic volatility and achieved 28% higher innovation ratings from industry analysts.
Now, consider their diversity. How many are based in the same country or even the same region? How many have similar workforce profiles to yours? How many have been in business for roughly the same time? This assessment is a fundamental component of effective negotiation training.
Go even deeper—how similar are their mission, vision and values to your own? For those who have completed this exercise through our negotiation consulting, the average similarity is over 80%.
If we are actively striving for diversity in our teams, why not extend the same approach to our business partners through strategic negotiation training?
This isn't a new concept, and I'm not the first to write about it. However, the research and reasoning behind it remain valid for modern negotiation consulting approaches.
A diverse supply chain offers four key benefits:
1. You Will Be Challenged More Often and More Directly
A compliant supply base may seem ideal, but true progress happens when we are challenged. Positive change is often sparked by someone or something pushing us to think differently.
If your supply chain is filled with organizations and individuals who think, work and grow like you, your ability to innovate and evolve is limited. Wouldn't you rather have engaged, dynamic business partners who regularly bring fresh ideas to the table rather than quarterly meetings where the main takeaway is, "Everything's fine"?
2. A Promotion of Innovation
If you always do what you've always done, you'll always get the same results.
How many joint business planning meetings have focused on routine discussions—marketing budgets, new product development, and so on? When was the last time a supplier brought you a truly innovative idea that made your business more efficient, attractive or successful?
Diversity fosters new thinking. Small and medium enterprises, in particular, are often more agile and adaptable than larger corporations. A study by CPI found that small businesses generate 14 times more patents per employee than large ones. Why wouldn't you tap into that innovation?
3. Competitive Pricing Based on Value, Not Just Cost-Cutting
Pricing is a major factor in sourcing decisions. While price wars can lower costs, true savings come from smarter, leaner, and more efficient solutions.
A diverse supplier base brings competition that isn't just about undercutting on price—it's about finding better ways to operate, reduce overheads and enhance efficiency. Additionally, working with a broader range of suppliers can introduce you to new markets, networks and even new customers.
4. Your Customers Expect It—And It Supports Organizational Sustainability
Regardless of industry, customers today expect companies to source locally, sustainably and fairly. Beyond meeting expectations, a diverse supply chain aligns with two of the three pillars of corporate sustainability:
- Employee acceptance – Employees value working for businesses that embrace diversity across all operations.
- Social acceptance – Engaging with small, local or minority-owned businesses can drive social and economic growth while enhancing your company's reputation.
Diversity in your supply chain also improves adaptability. The more perspectives you incorporate, the better equipped you'll be to navigate a constantly evolving market landscape.
The Case for a Disruptive Supply Chain
I started this discussion with the idea of supply chain disruption. Why? Because no one grows by staying in their comfort zone.
Disruptors have reshaped industries—think discounters, online fashion, start-ups and virtual workspaces. What could a disruptive supply chain do for your business?
Nobody wants a disrupted supply chain, but striving for a disruptive supply chain—one that challenges, innovates and drives competitiveness—just might be the key to long-term success.
Author
Freddy Burgess is a negotiation expert with a background in psychology, specializing in forensic, occupational and human behavior. He built his commercial foundation at J&J before gaining experience across boutique firms, multinationals and SMEs. As Regional Lead EMEA at The Gap Partnership, he leads the Retail proposition across the UK, Middle East, Nordics and Africa, helping commercial, procurement, HR and marketing teams maximize negotiation value and drive behavioral change. Qualified in psychometric testing, executive coaching and METT facial recognition, he champions empathetic leadership.
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