Amazon’s leadership in supplier diversity has positioned the corporation for success while driving inclusive economic growth. Kennedy Oates, Partnership Board Member and Vice President of Global Procurement at Amazon, shared insights and best practices at the Greater Houston Partnership’s One Houston Together Fall Chief Procurement Officers (CPO) Convening.  Oates discussed how Amazon has grown its supplier diversity efforts by ensuring the value proposition of intentional inclusion of underrepresented businesses is communicated at every level. According to Amazon’s 2023 Sustainability Report, the company’s global supplier diversity and inclusion (SDI) program is estimated to have supported over 30,000 U.S. jobs and generated approximately $2.8 billion in wages earned from Amazon's certified U.S. Tier 1 supplier diversity spend.  In 2023, Amazon was inducted into the Billion Dollar Roundtable, a non-profit organization comprised of U.S. corporations that each spend $1 billion or more annually on a Tier 1 basis with diverse suppliers. These diverse-owned businesses comprise majority owners who identify as minorities, women, veterans, disabled and LGBTQ.  Oates stated that achieving this milestone required a deliberate approach, built on a clear vision, a targeted strategy, and an empowered team dedicated to executing these goals. By embedding supplier diversity into Amazon’s core procurement practices, they’ve fostered a sustainable and inclusive growth model that supports both the company’s goals and the success of diverse suppliers. Key Takeaways from CPO Convening Supplier Diversity as a Strategic Value Proposition Oates emphasized the importance of viewing supplier diversity as more than just an initiative—highlighting the long-term value diverse suppliers bring to a company and its surrounding communities. Through its global SDI strategy, Amazon measures impact through jobs supported, wages earned and economic output generated. “Given our reach and scale, Amazon has a greater responsibility.” – Kennedy Oates, VP of Global Procurement, Amazon Vision-Driven Goals with Clear Strategies For Amazon, supplier diversity goals go beyond simple statements. Oates stressed the importance of crafting a well-defined vision, supported by actionable strategies to advance supplier diversity objectives. This approach includes setting clear, market-specific spending targets, identifying procurement categories that have greater opportunity based passed success, and building relationships with suppliers by understanding their needs and their customers’ needs. In addition, internal teams should have collaborative discussions on supplier diversity across the entire business rather than in silos.   Partnering with Companies at Every Level “Every large company was once small.” – Kennedy Oates, VP of Global Procurement, Amazon Amazon is redefining procurement by challenging the perception that only large companies can serve large corporations. Its approach embraces partnerships with businesses of all sizes, embedding supplier diversity as a core element of its supply chain. While direct spending with certified Tier 1 diverse suppliers is central to Amazon’s SDI program, the company further amplifies its impact by encouraging Tier 1 suppliers to include diverse Tier 2 businesses in their procurement processes. For example, Amazon sets specific spend targets in contracts with Tier 1 suppliers to use Disadvantaged Business Enterprises, creating a positive ripple effect that brings opportunities to underrepresented companies deeper in the supply chain. To learn more about the Partnership’s Supplier Diversity workstream, contact LaTanya Flix.

Turning a challenge into an opportunity is something Houston—and many other cities—know well when competing to attract new businesses. In its early days, the Houston Spaceport faced a major hurdle: a shortage of skilled aerospace technicians in the region. However, rather than seeing this as a setback, the spaceport transformed it into an opportunity to strengthen its position as a leader in the aerospace industry.  The Need for Collaboration   Workforce supports the growth of any industry. Despite Houston’s deep-rooted history in the industry and the spaceport’s strategic location near NASA's Johnson Space Center, it lost a major tenant to a competing state. According to Houston Airport System Director Jim Szczesniak, the setback underscored the critical need for a robust workforce development program that could retain and attract aerospace companies.  Determined to never lose another company for the same reason, the spaceport turned to San Jacinto College (SJC), a recognized leader in workforce training. Together, they saw an opportunity to solve Houston’s workforce gap and lay the foundation for something much bigger — a pipeline of skilled aerospace talent that would not just serve one company, but an entire industry.   In 2020, their shared vision became a reality with the launch of the EDGE Center, a cutting-edge educational facility specifically designed to train the next generation of aerospace technicians.   “By fostering a collaborative environment, we create a unique value proposition for companies seeking to establish or expand their operations in the region,” Szczesniak said. “Our ability to connect industry leaders with skilled talent and supportive infrastructure provides a competitive advantage that is unmatched. This collaborative approach accelerates innovation, reduces time-to-market, and ultimately strengthens Houston's position as a premier aerospace hub.”  Developing Curriculum for the Industry  Sarah Janes, associate vice chancellor of continuing & professional development at the San Jacinto College District, said SJC conducted visits to spaceports and aerospace companies worldwide to ensure the EDGE Center’s curriculum aligned with industry needs. This allowed them to gather valuable insights into the challenges and skill gaps in the field.  An advisory committee made up of local industry leaders was also established to ensure that the programs remained relevant and responsive to regional demands. SJC hosts bi-monthly advisory meetings to keep the curriculum flexible and forward-thinking, allowing the EDGE Center to meet the current needs of aerospace companies and anticipate future industry shifts.  “Whenever a new company comes to this region, they are always interested in the workforce that is already here to support them, as well as how more people can be trained for the skills that they will need for their company," Janes said. “Working with economic development partners as well as entities such as the Houston Spaceport, provides those new possibilities with the reasons that make this area their first choice for a place to take root.”  Collaboration with Industry Leaders  With phase one completed in 2019 and the arrival of anchor tenants like Axiom Space and Intuitive Machines set the stage for deeper industry collaboration. The companies partnered with SJC to develop industry-specific curricula, mentor aspiring technicians, lead lab courses, offer internships and hire students for high-profile projects.  Intuitive Machines has played an instrumental role in providing hands-on training and creating a direct pathway for students to enter the aerospace industry. According to Janes, many EDGE Center students worked on the company’s Lunar Lander, with 18 now hired full-time and set to work on future lunar missions.  “Between the lander's engine, carbon composites, software, and electronics required to build a Nova-C lunar lander, it takes an incredible amount of touch labor to get to the launch pad,” Intuitive Machines CEO Steve Altemus said in an SJC article. “We work closely with San Jacinto College to foster certification courses for technicians to complete training, intern, and full-time hire into our lunar program.”  Through strong industry collaboration and the focused efforts of the spaceport and SJC, the EDGE Center has made remarkable strides in fulfilling its mission. One example is Cyrus Shy, one of the first students enrolled in the EDGE Center’s composites program. After getting a job with Intuitive Machines, Shy was later hired by Windhover Labs, which was recently tasked with building scale test versions of Venus Aerospace’s hypersonic aircraft.  Another graduate, Charlotte Newell, transitioned from being a hairdresser to an electrical technician through the EDGE Center’s Basic Electrical and Electronic program. After completing the program, she was hired by Collins Aerospace and later Intuitive Machines. Newell is now pursuing an engineering degree at Embry-Riddle Aeronautical University.  Future Growth and Expansion  The Aerospace Institute, an initiative aimed at expanding connections between higher education institutions and the aerospace industry, is a key component of the spaceport’s second phase of development. Although still in its early stages, the project is progressing alongside plans to expand the EDGE Center. According to Janes, over $1 million in new equipment will enhance existing programs and add courses that reflect industry demands. The expansion will allow the EDGE Center to continue serving as a critical pipeline of talent for the region’s growing aerospace industry.  Learn more about Houston’s growing aerospace industry and the Partnership’s UpSkill Houston initiative.