Enabling Economic Empowerment
With strategic partnerships worldwide, Cisco is committed to Supplier Diversity. A variety of supplier development programs are available to qualified businesses. Supplier Diversity increases customer satisfaction and enhances sourcing through global supplier diversification.
In order to continue to try and help promote business opportunities for Small Business, Veteran-Owned Small Business, Service-Disabled Veteran-Owned Small Business, HUBZone Small Business, Small Disadvantaged Business, Women-Owned Small Business, Disabled Veteran-Owned Small Business, Minority-Owned Business, and Women-Owned Business Concerns/Enterprises, a corporate-wide 2nd Tier Reporting initiative has been established by Cisco and is maintained by the Global Supplier Diversity Business Development team.
Purpose of 2nd Tier Reporting - Background
The Cisco2nd Tier initiative was created to ensure that a “Good Faith Effort” is made to maximize contract opportunities for diverse suppliers that provide products and/or services to Cisco’s Prime suppliers.
Cisco’s Prime Suppliers may be asked to provide 2nd Tier Reporting for existing contracts or upon award of a contract. It is Cisco’s intention that these Prime Suppliers will report 2nd Tier Spend on a calendar quarter basis through Cisco’s Vendor Management Portal (coming soon).
This 2nd Tier Initiative serves as an enhancement to, and not as a replacement for, existing efforts aimed at increasing “direct” (1stTier) opportunities for diverse suppliers.
Compliance to 2nd Tier reporting requirements also provides the following:
- Enhanced customer satisfaction by meeting Customer requests
- Demonstrates Cisco’s total impact to the community by:
- Building positive brand and corporate image
- Building brand loyalty
- Gaining access to a rapidly growing market of minority consumers
- Enhancing Cisco’s ability to influence regulatory and legislative agendas via minority organizations.
- Contributes to the overall Supplier Diversity success
Vendor Management Portal Access
All 2nd Tier Reporting is collected via our portal. Each Prime Supplier must request access to the Portal by submitting an email request to the Global Supplier Diversity Business Development team at firstname.lastname@example.org. The following information is required:
- Company Name
- Federal Tax ID (U.S Only)
- User Name (name of person providing the report)
- User Phone
- Email Address
You will receive an email from an Administrator with your login credentials. An automated notification will be sent to the user when the reporting period is opened. The reporting window will remain open for 45 days after calendar quarter close.
A training video can be accessed to learn more about Cisco’s Supplier Diversity 2nd Tier Reporting. View WebEx recording now. Additional training can be provided upon request to the Global Supplier Diversity Business Development team at email@example.com.
After logging in, the system will present you with the 2nd Tier Reporting fields, providing additional instructions and tips.
2nd Tier Reporting Methodology
Cisco 2nd Tier Reporting is based on the Indirect Allocation Method. It is not necessary to provide diversity spend reporting specific your business with Cisco, but as a prorated amount based on the % of Cisco revenue and your total diversity spend. The Cisco Vendor Management Portal will make the calculations for you. Below is an example of the calculation.
Prime Suppliers - A Prime is a 1st Tier supplier that provides the products/services and invoices to Cisco for goods and services rendered directly by that supplier.
2nd Tier Supplier- A second tier supplier is a supplier that provides the products/services and invoices to the Prime Supplier for goods and services rendered for eventual delivery to Cisco.
The Global Supplier Diversity Business Development team is involved in several supplier outreach programs at Cisco. This page provides an overview of our programs. For a high-level overview of all programs, go to our Supplier Advantage Quick Reference Guide
Collaborate: Empower Suppliers
EMP2: Executive Mentor Protégé Program
The Executive Mentor Protégé program was launched in April 2008. Its goal is to:
- Facilitate mentoring to our select diverse supplier CEO protégés
- Improve communications
- Help them navigate through barriers at Cisco.
UCLA MDE Program
The UCLA MDE Program helps entrepreneurs and managers:
- Develop essential management skills
- Strengthen their ability to build effective and profitable organizations
An intensive four-day certificate program, UCLA MDE provides participants with instruction in up-to-the-minute theory and practice in areas such as strategy, marketing, finance, operations, and management.
Supplier Mentoring Program
Each year GSDBD members recruit and mentor up to six diverse suppliers currently doing business with Cisco. The team in San Jose, California currently has three levels of mentoring:
- Supplier mentoring
- Executive mentoring
- Customer mentoring
How to Do Business with Cisco
Now, for your convenience, we have created a WebEx training module: How to Do Business with Cisco. You can access this training module online.
How to Do Business with Cisco workshops are also available at Small Business Administration Offices and at our San Jose and San Francisco offices. You will find these dates posted on our Supplier Diversity Calendar.
Accelerate Supplier Opportunities
We will be expanding our outreach programs to include a biannual Business Expo. This business expo will enable targeted suppliers to present to business function stakeholders to align supplier services and needs of a strategic business function.
Diverse Specialty Distributor
At Cisco, connecting customers, suppliers and communities is critical to our success. Suppliers with different backgrounds, viewpoints, styles of interacting, and experiences help us understand and meet the needs of our customers and partners. Promoting supplier diversity within U.S. Gold channel is a major step toward meeting both customer and partner diversity requirements while adding to the many benefits of Gold certification.
Educational and Training Programs for Suppliers and Customers
Our WebEx video-on-demand training modules offer assistance to suppliers and customers training on our Vendor Management portal.
Welcome to the Worldwide Supplier Diversity website. Our primary focus is to enhance the competitive advantage of Cisco by facilitating inclusive business opportunities that fully utilize and leverage all suppliers, around the world.
Cisco's GSDBD impact in Austalia. Click here to watch the video
Learn how two organizations promote supplier diversity:
- GLOBAL LINK: At the National Minority Supplier Development Council (NMSDC), globalization translates into an opportunity for its corporate members to create and tap into a worldwide network of suppliers from traditionally excluded groups.
- WECONNECT INTERNATIONAL: WEConnect International is a corporate led non-profit that helps to empower women business owners to succeed in global markets
See what supplier diversity is doing in various countries.
Global Minority Organizations
Global Women's Organization
US Supplier Diversity Organizations
Cisco Global Supplier Diversity Business Development hosts and participates in a number of events globally. Browse our Calendar to see the events scheduled throughout the year. The attached Matchmaking.pdf provides you a systematic process on how to participate for indirect business opportunities.
Diverse Supplier Registration and Guidelines
Thank you for your interest in the Supplier Diversity Program. Diverse suppliers can register with Cisco by utilizing the Vendor Management Portal. Diverse suppliers must be certified by a third party authority in order to classify as diverse (see definitions). The data in the portal is made available to the Strategic Spend Management teams, buyers, contract managers, and sourcing council leads.
If you would like to register as a diverse vendor in US, go to the Vendor Management Portal (coming soon)
What happens after registration?
- The attached AfterRegistration.pdf provides information relating to what happens after you have registered your company.
- The supplier is added to a Supplier Diversity Database which is made available to sourcing managers. Sourcing managers regularly review the database when they have an opportunity to procure a product or service. If an opportunity to use a product or service arises, a Cisco representative will contact the supplier.
- Specific information about supplier’s company will be forwarded to the appropriate Cisco sourcing manager.
- If contacted by the Cisco Strategic Spend Management Department / WW Supply Chain Management to become a Cisco supplier, you must be certified by a third party authority. The sourcing manager will help you through this process. This does not guarantee that your business will be issued a purchase order or contract. The purpose of this program is to ensure that a wide variety of firms have the opportunity to compete for supplying goods and services to Cisco. A record of your business will be retained by Cisco. The database will then be accessed if the need again arises, and Cisco will contact you directly.
Diverse Supplier Guidelines
- Must be NMSDC or WBENC certificate holders
- Must have a Regional/Nationwide presence
- $1M minimum in bonding/insurance
- Proven track record in working with Fortune 500 companies
- Professional customer support
- Financial stability
- US Federal Taxpayer ID or Country equivalent/Taxpayer Identification
- Able to execute web-based electronic transactions
- Great attitude and flexibility
The Cisco Global Supplier Diversity Business Development (GSDBD) Program was established more than 14 years ago to increase inclusion and diversification of our global suppliers. Three years ago the GSDBD team recognized there was a potential to increase inclusion and revenue growth through embracing the support of Cisco's Diverse Partners. In 2010, the supplier diversity program developed and included an additional mandate to facilitate customer's requests to enhance IT procurement spend through inclusion of diverse owned Cisco Partners. The GSDBD team identifies Cisco Partners and facilitates relationships between Cisco Diverse Partners and customers who have diversity IT spend opportunities.
The GSDBD Program strives to provide equal access to businesses owned by minorities, women, service disabled, and veterans, as well as to companies in historically underutilized business zones (HUB zones).
- Enhances Cisco's competitive advantage with stakeholders.
- Positions Cisco as a leader in the industry that exceeds customer's requests.
- Helps our customers meet government requirements by procuring IT equipment and services through Diverse Partners.
For the past four years, DiversityBusiness.com has recognized Cisco for our supplier diversity efforts. Cisco ranks as one of the top 50 U.S. companies providing multicultural business opportunities, based on feedback received from more than 650,000 women- and minority-owned businesses.
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