At Johnson & Johnson, we believe that our suppliers are critical to fulfilling our mission to help people live longer, happier and healthier lives. We view our supplier network as an extension of our enterprise and instrumental in living the responsibilities embedded in Our Credo.
We are constantly shaping our supplier base, seeking the optimal balance between the right size supplier base and the right mix of suppliers, with an ultimate objective to attract innovation, ensure our purchased goods and services are of the highest quality, reduce our costs to maintain reasonable prices and provide access to our products and services in geographies around the world. In doing so, our suppliers must have an opportunity to make a fair profit. We also want our supplier base to reflect the communities in which we live and work. This is where we recognize the important role small and diverse suppliers play in the success of our business.
Last week, I had the great honor of accepting the National Minority Supplier Development Council’s (NMSDC) Award for Corporation of the Year in the Innovation sub-category” on behalf of Johnson & Johnson for our long-standing commitment to supplier diversity.
Our supplier diversity program, established in the United States in 1998, helps small and diverse suppliers grow their business. Having a small and diverse supplier base strengthens our ability to conduct business across all cultures and geographies, reflects the patients and consumers that we serve and gives us access to the thoughts, ideas and perspectives of some of the most diverse and forward-thinking companies in the industry.
Small and diverse suppliers also help create jobs and build wealth in the communities in which we operate, providing a rich source of fresh ideas and passionate energy that fuels creativity and new revenue streams, while enabling us to continue to develop and deliver superior innovative products and services that support our mission of caring for the world, one person at a time.
In 2010, we were proud to be the first health care company to join the Billion Dollar Roundtable (BDR). This marked a significant milestone for our U.S. Supplier Diversity program. Since then, we have grown further and increased our spend with women and minority businesses in the U.S. by close to 50 percent. Additionally, our U.S. spend with small businesses is at an all-time high, and amongst best in class.
Our beliefs are universal. We recognize the opportunity to expand our program more globally, and have recently launched a Supplier Diversity program in selected countries around the world In doing so, we have learned the importance of better understanding the local markets we do business in and who the key small and diverse suppliers are, so we can shape our supplier base accordingly. We’re committed to this.
I continue to be inspired by our small and diverse suppliers. Their passion and commitment to Johnson & Johnson is extraordinary, and as result, our partnerships are strong and lasting. I’m very proud of the work we’re doing in this space and the impact we’re making to help them grow their business.
Click here to learn more about our commitment to supplier diversity.
Hans Melotte is the Chief Procurement Officer for Johnson & Johnson, appointed to the position in December 2010 and based at the company headquarters in New Brunswick, New Jersey (U.S.). Hans joined Johnson & Johnson in 1996 and has since held roles across the Johnson & Johnson Consumer and Pharmaceutical businesses in multiple regions in procurement, supply chain, shared services and innovation.
Prior to Johnson & Johnson, Hans worked at Procter & Gamble and Coopers & Lybrand. He holds a Master’s Degree in Business from the University of Louvain (Belgium).
In 2013, Hans was named by ExecRank as one of the “Top 10 Most Influential and Thought Leader CPO’s” in the U.S. In 2010, he was honored as the “Procurement Leader of the Year” by Procurement Leaders Network, a network of procurement and supply chain professionals around the world.
He serves on the Board of Directors of the Institute of Supply Management, the Procurement Leaders Advisory Board and on the U.S. Women’s Business Enterprise National Council Board of Advisors.
Hans lives in Princeton, New Jersey, with his wife Katrien and their two children Pieter and Sara.