Why supplier diversity starts long before construction begins
19 August 2026
Most people assume supplier diversity happens once a project is underway. Over the past few years, construction company Icon has learned that some of the most important decisions are made much earlier.
"The biggest lesson we've learned is that supplier diversity can't be bolted on later," says Icon Stakeholder Manager Sam Gunther. "If you leave it too late, you're trying to fit opportunities into decisions that have already been made."
That lesson became clear on the 139 Greys Avenue development in central Auckland, a Kāinga Ora project that started in 2020, delivering 276 new homes.
Greys Ave Auckland - completed project
As part of the contract, Icon was required to direct between 5 and 7.5 percent of construction spending to Māori and Pasifika businesses.
To achieve that, the team needed to do more than simply invite suppliers to tender.
"We had to get to know businesses we'd never worked with before," says Sam. "We needed to understand what experience they had, whether they had the right people available and what support they might need to work on a project of that scale."
The project ultimately exceeded its target, achieving 7.66 percent Māori and Pasifika supplier spend.
Looking back, Sam says everyone was learning.
"We were learning, Amotai was learning and suppliers were learning. Everybody was working out what good supplier diversity looked like in practice."
One of the biggest lessons was understanding just how early supplier diversity needs to be considered.
Most people would assume that sits with project teams once a contract has been won. In reality, many of the key decisions are made much earlier. Before construction starts, estimators are already building budgets, pricing work and identifying likely suppliers. Those early decisions shape what is possible later on.
"The estimators are actually critical," says Sam. "They're the ones putting together the costs and assumptions before the contract is signed. Once those decisions are locked in, there isn't always a lot of room to change direction."
Today, Icon works with Amotai much earlier in the process than it once did.
As well as supporting project teams, Amotai now works alongside Icon's estimating team to help identify potential suppliers before projects even begin. The aim is to have a shortlist of businesses already in mind when opportunities arise. "When things get rushed, people make rushed decisions," says Sam. "You naturally go back to the suppliers you've worked with before because you know they can deliver." "The more time we have to engage with businesses, the more chance we have to understand their capability, help them prepare and give them a genuine opportunity."
That approach is particularly important for smaller businesses, which may need time to work through certifications, tender requirements or other project expectations. The contrast becomes obvious when that time isn't available.
Sam points to a recent data centre project where construction needed to begin almost immediately. Many of the specialist suppliers had effectively already been chosen, leaving very little opportunity to bring new businesses into the project.
"We worked closely with Amotai and achieved what we could, but there were only small pieces of work left for us to influence," she says. "It reinforced why early planning matters."
Over time, supplier diversity has become part of how Icon approaches every project, whether a client has set a target or not. "It's easy to keep using the same suppliers you've always used. But when you create opportunities for new businesses, you discover people you might never have worked with otherwise," says Sam.
One example is All Stone & Rock, a Pasifika-owned business that Icon connected with through Amotai. The company supplied stone features for the Auckland Airport Transport Hub project and has grown significantly since then. Other businesses, including Absolute Traffic and Wulf Security, have gone on to work with Icon across multiple projects.
For the team at Icon, that's one of the most rewarding parts of the journey. "The goal isn't to use a supplier once and move on. It's about building relationships and creating more options for future projects."