Valuable Resources

Frequently Asked Questions About Shell’s Supplier Diversity Program

What is different about Shell’s new diversity strategy?

In the past we have taken information from everyone who comes to us and invited them to register in our system, hoping to find opportunities for them in Shell. Now we seek out companies with services and products that Shell will be purchasing in the near/medium term. We are then able to put more in-depth information about their capabilities/features into our new system so we can focus on developing their opportunities, advocating for these specific vendors and monitoring/facilitating their progress throughout the Shell system.

Why did Shell move away from open registration?

Supplier Diversity can’t create opportunities in Shell where there are none. It is much more productive to focus our engagement on those buyers with products or services that match specific opportunities over the near/medium term. We can better use our limited resources to be advocates for companies who fit these specific needs within Shell as we focus on their current and potential capabilities.

This also allows us to develop stronger capacity building strategies to help high-potential suppliers become business ready.

What are the benefits of this change?

For our vendors, the benefits are:

• Knowing that the diversity team will be better connected with, and have access to, purchasing opportunities across Shell’s buying universe.
• Vendors entered in the Pipeline Process will be more effectively supported by the Supplier Diversity Team to navigate the Shell procurement process for real opportunities.
• Vendors who are not put into the system right now will save their valuable business development time for pursuing opportunities with higher business potential. And, the information we develop can help them get better prepared to qualify for future opportunities.
• Everyone in our potential supply chain will have access to better information about how to prepare for future opportunities and when those opportunities are most likely to arise.

For Shell, the benefits are:

• A better understanding of where the real supply opportunities are and how we can make the connections.
• A more efficient process that helps us improve how we make those (fruitful) connections.
• More credibility with buyers who know we are working to bring them resources who are highly qualified for their specific needs.
• A real-time understanding of opportunities as they arise.
• Improved ability to track, evaluate and improve the effectiveness of the programs we initiate as well as those of our external supplier diversity and diversity outreach partners.

What does Shell do about the companies that don’t match any near/medium term opportunities?

We have information to share with these companies so they may be able to adapt a product or service to better meet Shell’s specific needs or, to recognize that they really don’t have a fit within Shell.

Where appropriate, we will seek 2nd Tier opportunities or help connect them to pursue business with fellow diverse businesses and with other corporate peers.

What about companies providing services or products that Shell needs, but where a long term contract is in place?

We input their information into the system close to the end of those existing contracts. It will be the interested company’s responsibility to monitor the status of those contracts and start their qualifying process as the time approaches when opportunities for these commodities or services may be arising.

Suppliers should stay connected and active with their supplier diversity councils, which provide an ongoing forum to reconnect with Shell Supplier Diversity and procurement focal points. Diversity councils are also a key resource we contact for input on potential suppliers as the time frame for procurement opportunities approaches.

Follow us on Twitter for the latest information on procurement opportunities, 2nd tier initiatives, events, and other Shell Supplier Diversity news.

How does Shell impact those suppliers that never make it into their supplier pipeline?

Shell continues to engage the supplier community directly and openly during expos, dinner/lunch events and business matchmaking events to engage with suppliers interested in finding their fit.

Shell will continue to offer capacity building training through our chambers and councils during their events to support the development of the broader M/WBE community.

Our strategy streamlines the process and helps us identify more opportunities for suppliers where potential exists to do business in Shell’s supply chain, by helping Supplier Diversity to usher them through the procurement process more effectively.

Follow us on Twitter for the latest information on procurement opportunities, 2nd tier initiatives, events, and other Shell Supplier Diversity news.

What does Find Your Fit mean?

Shell recommends that each supplier use all the resources available to dig into a company’s processes and activities and truly find where their product or service fits best. Also, for any large corporation, it is recommended that a supplier understand the business units, operational footprint, and environment in which that corporation performs its business ... and ask the question; “Where is the best logistical fit for my business solution in this company’s supply chain?”.

Another important clarifying question is “What solutions does my company offer that can solve a real challenge for this company?”

You should be able to describe, in detail, how your company found your fit with other companies where you had business success.

What resources should I focus on when trying to Find My Fit?

Read the latest press releases, speeches or remarks given by Senior Leaders within your targeted corporations. You can typically find these in the media sections of their websites.

Understand what are the top business challenges facing the corporations on your target list. What about their industry? Does your product or service address or connect to these challenges? Leverage industry associations, publications and other such resources for industry knowledge.

Be sure you have a well-developed value proposition on your product or service. The typical value proposition sheet tells us what you do, what you’ve done and where you’ve had success. Very rarely does it state the clear VALUE that your product service provided for your previous/ current clients. Having a closer connection to those values may help you find your fit in Shell or elsewhere.

What is the best way to use my time at expos and events to find my fit?

• You may actually come across some immediate needs, just by being in the right place at the right time with the right product or service. It happens, but not often.
• We recommend that you develop a list prioritizing your top 5 corporations and/or peer prospects prior to attending an event.
• Start out the event being laser focused on meeting multiple representatives within those companies.
• We even suggest asking other corporate representatives and peers to tell you what they know about your targeted companies. It saves time, and can provide candid, useful information.
• Prioritize your contacts based on your connections ... then start learning more and more about the companies, their business processes, top challenges and needs.
• Follow up with any contacts you are able to make offering more specific details about what you have to offer.