Total amount of goods and services purchased from diverse-owned businesses since inception of supplier diversity program in 2013
Total amount of goods and services purchased in 2020 from diverse-owned businesses in the U.S.
Year-over-year increase in spend on women-owned businesses since 2020
At Trane Technologies, we recognize the value of diversity in our supply chain. We believe in maintaining a corporate culture of mutual respect, cross collaboration and inclusion that drives growth and innovation while making a positive impact in the lives of our customers.
We are committed to working with minority-owned, women-owned, veteran-owned, LGBTQ-owned businesses, and businesses owned by people with disabilities. In 2020 we added 103 new diverse suppliers, representing $4.3M in spend. We are not only committed to growing our business with diverse suppliers, but also to developing and mentoring them to build stronger partnerships and enhanced capabilities.
We focus on three pillars:
- Increased utilization of diverse suppliers
- Supplier development and mentoring
- Strategic outreach
Our Procurement Process
Our innovative procurement process identifies and prequalifies diverse-owned businesses to ensure a robust pipeline for procurement opportunities. The strategic sourcing process includes a Supplier Decision Matrix, which enables us to avoid using price as the primary driver for supplier selection. Instead, we consider a range of factors, including supplier diversity, quality, and risk. Our plans to launch the COE NEXT mentor program are on hold until face-to-face meetings are possible.
In 2020, we partnered with the Tri-state Minority Supplier Development Council and several teams within Trane Technologies Procurement Operations to develop and deliver virtual training to minority-owned businesses. The sessions focused on supplier quality, supply chain risks, and sustainability. Also, together with the Tri-state Council we hosted The Hackett Group in presenting their latest supplier diversity benchmark study to more than 83 corporations nationwide.
Supplier Diversity Data
Our supplier diversity score in 2020 was 4.25, a 2% increase from 2019.*
We purchased $380.4 million in goods and services from diverse-owned businesses in 2020.
Since the inception of the program in 2013, we have purchased more than $3 billion in goods and services from diverse-owned businesses in the U.S.
In 2020, our spend on diverse-owned businesses was 6.0%, a year-over-year increase of 11.1% and our spend on women-owned businesses was 3.8%, a year-over-year increase of 18.8%.
* We measure our program against the National Minority Supplier Development Council’s eight best practices. Scores are 0 to 5.