Discovering midway through a project that supplier diversity commitments are falling behind original goals is a common (and recoverable) situation. What matters most is how quickly the gap is identified and what happens next, not the fact that a gap exists at all.
Understand Why, Specifically
Before deciding on a corrective approach, get specific about why participation is falling behind. Is it a particular scope of work where diverse suppliers weren't available or prequalified? A supplier who was awarded work but is underperforming or has exited the project? A structural issue with how bid packages were built? The right response depends on the actual cause, not a general sense that "numbers are low."
Reassess Remaining Scopes of Work
Look at what scopes of work remain on the project and whether there's still an opportunity to bring in additional diverse suppliers for those portions. Even if early goals were missed, remaining project phases may offer a genuine opportunity to improve overall participation before completion.
Revisit Outreach and Prequalification for Remaining Opportunities
If initial outreach didn't produce enough qualified, ready suppliers, it may be worth revisiting that process specifically for remaining scopes, with lessons learned from the first round applied directly. This might mean adjusting how scopes are packaged, expanding the pool of suppliers considered, or providing additional prequalification support.
Address Underperforming Supplier Relationships Directly
If the gap stems from a supplier who isn't performing as expected, address it directly and constructively: through additional support if the issue is capacity-related, or through documented performance conversations if it's a more fundamental fit issue. Avoiding the conversation tends to make the eventual gap harder to explain in reporting.
Document the Corrective Effort
Whatever corrective steps are taken, document them clearly. This documentation supports good-faith effort reporting and demonstrates that the gap was identified and actively addressed, rather than only discovered at final reporting.
Key Takeaways
Identify the specific cause of a participation gap before deciding how to respond.
Remaining project scopes may still offer real opportunity to improve overall participation.
Revisiting outreach and prequalification for remaining work, with lessons applied, can meaningfully close gaps.
Documenting corrective efforts supports credible good-faith effort reporting.
Correct the Gap While There Is Still Time
Inclusive Strategies helps project teams identify the cause of a participation gap, act on the remaining opportunities, and document the corrective work. Lesley Crane, a former IDOA Commissioner, and Megan Lawson, former leader of Vendor Management and Supplier Performance within IDOA procurement, bring firsthand process experience to this work. Explore Inclusive Strategies at inclusivestrategies.co.