Universal Registration Document 2022

4.2.7.3 Supplier Diversity

Publicis Groupe works with a large number of local SMEs and VSEs, and recognizes that diversity among suppliers is essential because it is a source of innovation and agility. As such, and in compliance with the legislation in force in each country, the Groupe encourages so-called diverse suppliers (led by an ethnic minority, women, LGBTQ+, disabled people, etc.) to participate in tenders, as well as suppliers from the social and solidarity economy or social entrepreneurs. This proactive approach is conducted in many countries such as the United States or Canada (companies run by minorities), the United Kingdom or India (companies managed by women or with disabled employees) or in South Africa. In France, the Groupe works with companies in the Social and Solidarity Economy, or sheltered-workshop organizations and companies (ESAT and EA).

The Groupe continues to focus on women-led companies through its partnership with WEConnect International which gives access to several thousand companies managed by women in many countries.

In the United States, Publicis Groupe has had its own unique ecosystem for several decades, with various agencies certified as diverse suppliers such as Burrell specializing in African-American consumers. Based in Chicago, it is minority-owned & women-owned. Rauxa was also founded and is managed by a woman. Conill and La Communidad are two agencies with Latin American managers and teams. Finally, in 2021, Publicis Groupe announced a joint-venture between its agency Le Truc in New York and Retrospect, an experimental design and technology studio that focuses on the cultural differences among various African-American communities.

The Groupe is active through the following ways:

• direct management of a portfolio of suppliers which are“Diverse Supplier” certified, with which relationships of trust have existed for many years. For example, the American agencies have been working for decades with a portfolio of more than 1,200 accredited suppliers, of which 25% are women-owned (WBE) and 23% minority-owned (MBE). In South Africa, the Groupe works with a network of 380 minority-owned suppliers;
• the deployment of an external tool providing access to a database of several thousand certified and qualified suppliers in relation to the needs of agencies and teams. This tool makes it possible to draw up a selection of suppliers to be approached according to the opportunities. The platform also makes it possible to immediately identify suppliers who have already worked with one of the Company’s subsidiaries;
• these supplier diversity issues are processed within a Steering Committee, which meets monthly, chaired by the Secretary General, and coordinated by the Groupe’s Chief Procurement Officer. The progress made shows a 42% improvement in the amount spent on the US market with these various suppliers. This Steering Committee also monitors partnerships with dedicated organizations such as the NMSDC (National Minority Supplier Diversity Council) or the WBENC (Women Business Enterprise National Council) in the United States, around their respective support programs for suppliers in the process of certification.