Interview with Lushentha Naidoo of ESDP
In this interview, ESDP’s Managing Director delves into the organization’s transformative approach to diversity and inclusion in European supply chains. From high-impact networking events to groundbreaking collaborations, discover how ESDP is empowering ethnic minority businesses and driving change for a more inclusive, resilient business landscape across Europe.
As Managing Director of ESDP, could you kindly share some of the key initiatives you are currently leading to enhance diversity and inclusion within supply chains?
At ESDP, we drive diversity and inclusion by promoting collaboration between ethnic minority businesses (EMBs) and corporate partners. A key example is our Business Diversity Connect event, which recently brought over 600 corporates and EMBs together in London to network, showcase their businesses and exchange ideas. Building on this success, we are partnering with Heineken for the ESDP x HEINEKEN Connect in Amsterdam this November. This gathering will address supplier diversity challenges, showcase EMBs, and help corporates and EMBs foster valuable connections, furthering our shared mission to create more inclusive, thriving supply chains across Europe.
What do you consider to be the most significant challenges in advancing DE&I initiatives, especially in today’s political and economic landscape?
In Europe, supplier diversity programs are still in their early stages, particularly around ethnic minority representation. While US companies face political and economic pressures leading to a pullback, Europe’s challenge lies more in the fact that diversity is currently seen through a narrow lens, primarily focusing on gender. The job for ESDP is to establish supplier diversity programs across Europe, but there is hesitance. There’s a significant education and awareness piece involved in launching these initiatives because ethnic diversity programs are relatively new in Europe and companies may not yet fully understand their value.
What strategies are you implementing to ensure sustained progress in diversity and inclusion amidst these challenges?
In 2025, we plan to launch the Supplier Diversity Academy in partnership with MSDUK. This academy aims to assist corporations in establishing their internal supplier diversity procurement programs while also supporting EMBs in developing the skills needed to become “corporate ready.”
From your perspective, what might be the reasons behind US companies pulling back on their DE&I commitments, and what potential implications could this have for employees and brand reputation?
In the US, DE&I efforts have indeed faced some reductions or backlash due to political and economic pressures, particularly in recent years. Political debates around issues such as “woke capitalism,” affirmative action, and diversity training have led to push back from certain political groups, which argue that these initiatives can be divisive or lead to reverse discrimination. At the same time, economic pressures, such as inflation, cost-cutting, and recession fears, have led some companies to scale back or deprioritize their DE&I programs in favor of immediate financial concerns.
For employees, especially those from underrepresented groups, this can lower morale and increase turnover. From a brand perspective, pulling back on DE&I can harm a company’s reputation, making it harder to attract talent—especially from Gen Z, where commitment to diversity and inclusion is a major draw—and retain loyal customers, ultimately impacting long-term success.
Do you believe this trend in the US could influence companies in the UK and Europe to reconsider their DE&I efforts?
The retrenchment in the US, could have mixed effects on companies in the UK and Europe. On one hand, if large US-based multinational corporations reduce their focus on DE&I, this might signal to their subsidiaries and partners in Europe that such initiatives are less critical, leading to a potential reduction in DE&I efforts in those regions as well.
On the other hand, the cultural and legal landscape in the UK and Europe is different. European countries, particularly in the EU, have strong legal frameworks that mandate equality and non-discrimination, which can prevent such backtracking. Moreover, public support for DE&I remains relatively strong in many parts of Europe, with social justice movements still shaping corporate policies. Therefore, even if US companies reduce their efforts, UK and European firms might feel the need to maintain or even strengthen their DE&I programs to meet regulatory requirements, societal expectations, and competitive pressures in their local markets.
What risks do you see for organizations that choose to deprioritize DE&I, particularly with respect to employee morale and fostering innovation?
Deprioritizing DE&I poses several risks. Reputational damage is a major concern, as companies perceived as ignoring inclusivity can lose trust with consumers and stakeholders. Internally, employee morale can suffer, especially for underrepresented groups who may feel marginalized. This can lead to decreased engagement, higher turnover, and reduced productivity. Additionally, innovation can stagnate, as diverse teams offer broader perspectives that drive creativity and adaptability. Without diverse input, organizations may struggle to compete and stay relevant in a rapidly changing marketplace.
In your experience, how do strong DE&I programs contribute to driving success, particularly in areas like innovation, talent acquisition, and building trust with stakeholders?
You just need to look at the numbers to understand how strong DE&I programs such as diverse supply chains lead to success. Minority-owned businesses, which generate over €570 billion in turnover and employ 2.7 million people across Europe, offer unique insights and access to niche markets, creating fresh growth opportunities. Companies that rely solely on traditional suppliers may miss out on these innovative solutions and flexible partnerships, potentially losing their competitive edge. Integrating minority-owned businesses into supply chains not only boosts financial performance but also contributes significantly to broader economic and societal goals.
What motivates you personally to advocate for diversity and inclusion, and how do you maintain your passion in the face of challenges?
I grew up in apartheid-era South Africa during the 1980s and ’90s. As a woman of color, opportunities were limited, but my dreams were not. From a young age, I focused on education to build a better life than my parents had. Mandela’s release symbolized change. My parents’ sacrifices to get me an excellent education led me to Unilever as a management trainee in 2009, and since then, I’ve worked globally across seven countries over 14 years. Throughout my career, DEI was a constant passion, leading me to leave my corporate role and join ESDP.
I decided to join ESDP because of my deep commitment to DEI. After reflecting during the COVID period, I realized that my unique lived experiences equipped me to contribute more meaningfully to the DE&I space. When I attended an ESDP event, the energy in the room was inspiring, and I immediately felt a connection to the organization’s mission. I knew I wanted to be part of a movement that drives real change, and over a year later, I’m leading this incredible organization.
My favorite quote is from Nelson Mandela, ‘Education is the most powerful weapon that you can use to change the world’. So here I am, doing my bit to change the world!
As a leader in this field, what advice would you give to those looking to make a positive impact in promoting diversity and inclusion within their organizations?
My advice is to start by educating yourself and your organization on the business benefits of DE&I. Clearly communicate these advantages to all stakeholders. Lead by example by fostering environments where diverse voices are genuinely heard and valued. A key part of this is diversifying your supply chain – work with us at ESDP to achieve that. We thoroughly verify and vet every EMB we collaborate with, ensuring you build partnerships with trusted, reliable suppliers. Stay persistent, as the long-term rewards, from innovation to societal impact, are worth the effort.
Executive Profile
Lushentha Naidoo is the Managing Director of ESDP, a pioneering non-profit and the first network in continental Europe to certify ethnic minority suppliers in the Netherlands, France, and Germany. With a database of over 500 suppliers, ESDP advances diversity in European supply chains.
