An Extensive Supplier Diversity Strategy
Since the inception of our supplier diversity program in 2013, Trane Technologies has purchased over $3.4 billion in goods and services from diverse-owned businesses. This includes businesses that are owned by women, members of the LGBTQ community, veterans, and people with disabilities. Our investment grows each year through a thorough procurement process designed to pre-qualify diverse-owned businesses in order to maintain a robust pipeline.
In 2021, we added 71 new diverse-owned suppliers and purchased $435 million in goods and services from diverse-owned businesses. Year-over-year, we increased dollars spent with diverse-owned businesses by more than 14% and with women-owned businesses by more than 15%. Our program also scored a 4.25 out of 5 for the second year in a row, based on the National Minority Supplier Development Council’s eight best practices.
Increasing our diverse supplier spend is an essential part of our strategy, but to truly make significant advancements, we’re committed to building the capacity of our suppliers through significant development and mentorship. In partnership with the TriState Minority Supplier Development Council (TSMSDC), we offer an 18-month Center of Excellence program for diverse suppliers. The suppliers are provided with virtual training to help strengthen and enhance their business capabilities. We also provide them with a Trane Technologies mentor for continued growth and development, as well as a registration portal to drive improved matches between supplier capabilities and upcoming opportunities.
This process can yield exceptional results, as evidenced by Atlas Management Corporation, a staffing agency and Minority Business Enterprise. After being identified as a potential partner for Trane Technologies, they went through two years of development, participating in TSMSDC’s Center of Excellence program, and receiving mentorship from our experienced team. In September of 2020, we invited Atlas to submit an RFP for staffing services. After a successful submission, Atlas was offered a contract in Memphis, TN. Since then, they’ve expanded to additional locations and we continue to foster their growth through further mentorship and development.
We’re always looking for ways to deepen our impact on supplier diversity. We are actively engaged with the Minorities in Manufacturing program at the Minority Business Development Center in Atlanta. Our team members sit on the Board of Directors of over a dozen organizations that provide scholarships and programming for diverse-owned businesses. We were also an integral partner in the 2021 What’s Your Pitch? Innovations Competition hosted by the U.S. Pan Asian American Chamber of Commerce (USPAACC), Southeast Chapter, during which diverse entrepreneurs pitched their business ideas to a panel of investors, gaining visibility and funds to help them grow.