Supplier diversity at Microsoft

The Microsoft Supplier Diversity program is primarily focused on businesses that are headquartered in the United States. However, similar programs are being developed in other countries with specific country laws and regulations governing supplier diversity.

While certification is not required to do business with Microsoft, a third-party certification is required to be designated as a diverse supplier in the Microsoft procurement system.

No. There is no cost for registering with Microsoft as a diverse supplier. However, typically, there are costs related to becoming certified. For additional information on becoming certified, please contact one of our preferred certifying agencies.

No. Completing a supplier diversity profile is not a guarantee of business nor does it identify companies as a preferred/approved supplier. The Supplier Diversity Program serves as a bridge between diverse suppliers and Microsoft Procurement. After a company completes their diversity profile, procurement can review the supplier’s information and determine if there is a potential match for appropriate opportunities.

Yes. Microsoft Procurement encourages buyers to consider using diverse suppliers whenever possible and tracks diverse spend as one of the company’s top metrics.

No. For all sourcing opportunities, Microsoft awards business to the best supplier based on cost, quality, value, and risk.

A business concern not less than 51 percent of which is owned by one or more disabled individuals or, in the case of any publicly owned business, not less than 51 percent of the stock of which is owned by one or more disabled individuals who are either a US citizen or lawful permanent resident.

A small business located in distressed areas, designated as an Historically Underutilized Business Zone (HUBZone), which appears on the list of Qualified HUBZone Small Business Concerns maintained by the Small Business Administration. A small business must meet all of the following criteria to qualify for the HUBZone Program:

• It must be located in a historically underutilized business zone (HUBZone).
• It must be owned and controlled by one or more US citizens.
• At least 35 percent of its employees must reside in a HUBZone.

The criteria used by the National LGBT Chamber of Commerce (NGLCC) are:

• Majority (at least 51 percent) owned, operated, managed, and controlled by an LGBT person or persons who are either US citizens or lawful permanent residents
• Exercises independence from any non-LGBT business enterprise
• Has its principal place of business (headquarters) in the United States
• Has been formed as a legal entity in the United States

A minority-owned business is a for-profit enterprise, regardless of size, physically located in the United States or its trust territories, which is owned, operated, and controlled by minority group members. "Minority group members" are United States citizens who are Asian, Black, Hispanic, and Native American. Ownership by minority individuals means that the business is at least 51 percent owned by such individuals or, in the case of a publicly-owned business, at least 51 percent of the stock is owned by one or more such individuals. Further, the management and daily operations are controlled by those minority group members.

Each of these is a certified type of business enterprise that can be employed to meet diversity requirements. "Veteran" refers to both veteran-owned and service-disabled veteran-owned businesses. For more information, see the definitions of each type in this glossary.

The management and daily business operations of which are controlled by one or more service-disabled veterans or—in the case of a service-disabled veteran with permanent and severe disability—the spouse or permanent caregiver of such veteran.

Service-disabled veteran means a veteran, as defined in Article 101(2) of Title 38, United States Code, with a disability that is service connected, as defined in Article 101(16) of Title 38, United States Code.

A small business concern that is at least 51 percent owned by one or more individuals who are both socially and economically disadvantaged. This can include a publicly owned business that has at least 51 percent of its stock unconditionally owned by one or more socially and economically disadvantaged individuals and whose management and daily business is controlled by one or more such individuals.

A business that is at least 51 percent unconditionally owned by one or more veterans (as defined in 38 United States Code 101(2)), or in the case of any publicly owned business, at least 51 percent of the stock is unconditionally owned by one or more veterans; and whose management and daily business operations are controlled by one or more veterans.

The criteria used by the Women's Business Enterprise National Council (WBENC) are:

• 51 percent ownership by a woman or women
• Proof of effective management of the business (operating position, by-laws, hire-fire, and other decision-making roles)
• Control of the business as evidenced by signature role on loans, leases, and contracts