Stewards of Life Out Here: Diversity, Equity and Inclusion
2021 Sustainability Report
Stewards of Life Out Here: 2021 Sustainability Report
Honoring the unique contributions our Team Members, customers, communities and suppliers make to our company and our culture.
Diversity, Equity and Inclusion (DE&I) is a business imperative. We are committed to provide a diverse, equitable and inclusive culture supported by our Mission and Values where we respectfully foster different backgrounds, experiences, perspectives, ideas and innovative thinking.
Our Diversity, Equity and Inclusion Strategy
The foundation of our DE&I strategy is to have a welcoming environment and to ensure the power of diversity, equity and inclusion is experienced every day by our Team Members, customers, communities and suppliers. We were purposeful in the addition of “equity” in our strategy, as it helps ensure that everyone at Tractor Supply has access to the same opportunities. Equity recognizes that we all don’t start from the same place and is a commitment to correct and address any imbalances in the workplace.
Throughout 2021, we made substantial progress towards our DE&I strategy through the support of the DE&I Council led by our CEO. We also established comprehensive five-year DE&I goals to support and advance underrepresented groups across our workforce, as well as vendors, suppliers and communities:
- 2X - Double the number of stores where Team Members mirror the communities we serve
- 30% - Increase commitment to funding programs and education for Black and African Americans by 30%
- 50% - Increase People of Color at the manager level and above by 50%
- 35% - Increase spending with diverse suppliers by 35%
These goals are based on a 2021 baseline with a 2026 target year and are discussed in more detail in the next section.
We believe we are stronger together when we put our Values into action and hold each other accountable to continuously improve and strengthen a diverse, equitable and inclusive culture built on respect.
Team Member DE&I Strategy
Our DE&I Strategy for Team Members states that we will attract, engage, develop and retain Team Members with backgrounds that reflect the diversity of our communities and customers. We will accomplish this through Diversity Recruiting efforts, through Team Member Inclusion & Connection and through DE&I Training & Development. An outcome of these efforts will be that we reach our publicly stated goals of doubling the number of stores where we mirror the community, and to increase our People of Color at the Manager level and above by 50%.
Diversity Recruitment
We know that reflecting the communities we serve starts with our recruitment efforts. Our diversity recruiting strategy comprises three main elements:
- Community Engagement and Support: Through corporate giving and establishing meaningful relationships with minorityowned and serving organizations, we actively build and support talent pipelines of underrepresented minorities. We do this through a combination of community outreach and other programs aimed at supporting and developing talent in the communities in which we serve.
- Process Improvement: Identifying and mitigating bias in our screening, selection and hiring processes allows us to ensure we select high-performing talent from a diverse slate of candidates and ensure that those candidates have an equitable experience through the process with a diverse group of interviewers. Each new hire starts as part of a diverse slate of applicants. As a company, we continue to develop methods to ensure that unconscious bias is completely removed from the application and interview process.
- Training and Support: We equip our leaders with the tools they need to lead and support a highly diverse workforce, by providing ongoing interview training and inclusive leadership training. We believe that this additional training will help our leaders better select and support talent on their teams.
- Accountability: To measure our success and track progress, we created a Diversity Dashboard for our senior leaders to understand the workforce representation data, and how Team Members are mirroring the community. Using US Census data, we have created data visualizations to easily see where we have gaps in workforce representation.
In 2021, we also improved our diversity recruiting strategy by hiring a Diversity Recruiting Manager who focuses on helping our leaders hire diverse talent and a Campus Recruiting Manager focused on recruiting from Historically Black Colleges and Universities (HBCUs) and other colleges and universities that support diverse students. We also aim to ensure our internship program is diverse and has students from all communities.
Team Member Inclusion and Connection
We have a number of Team Member Engagement Groups (TMEGs) available to our Team Members. Governed by our DE&I Council, our TMEGs create communities for those who identity within one of the targeted demographics and their allies. The head of each TMEG is also on the DE&I Committee, giving team members a direct line to company DE&I strategy setting and initiatives. Our TMEGs are an important way we provide professional development, connection and camaraderie.
DE&I Training and Development
We have implemented DE&I training at all levels of the organization. Our intention for this training is to broaden Team Members’ awareness of DE&I, encourage Team Members to take action to support a diverse and inclusive culture and encourage Team Members to be allies.
DEI training is offered in many Talent Development programs such as Leadership Fundamentals, Distribution Center Management Development, Emerging Leaders and as we teach about our competencies. We also provided Conscious Inclusion training during our 2021 Annual Sales Meeting for all store managers.
Mentorship
Another exciting initiative of our DE&I strategy is our Mentoring Circles. In 2021, we began piloting our Mentoring Circles program for underrepresented Team Members. During the six-month program, Team Members from various levels are led by VPs. Mentees learn, grow and develop from each engagement with mentors and other mentees.
DE&I Partnerships
We partner with external organizations to help create and foster a more diverse, equitable and inclusive culture at Tractor Supply and beyond. Our partners include:
- Business Roundtable
- CEO Action for Diversity and Inclusion
- Conference Board Diversity Council
- Hispanic Association on Corporate Responsibility
- Human Rights Campaign
- Nashville LGBT Chamber of Commerce
- Retail Industry Leaders Association Diversity & Inclusion Leaders Council
Equitable Compensation
Every year we work with a third party to conduct a pay equity analysis across age, gender and ethnicity at Tractor Supply. This survey assesses individual jobs to ensure that we are paying equitably across the organization. Identified potential issues are reviewed and adjustments made as necessary to ensure pay equity.
Customer Inclusion Strategy
Our DE&I Strategy for Customers states that we will know and celebrate our diverse customers and create a welcoming and inclusive experience. We continue to celebrate our diverse customers and create a welcoming and inclusive experience. In 2021, we focused on the following initiatives:
- Market Research: In 2021, we completed market research on African Americans, Hispanics and LGBTQ+ customers. The research has allowed us to better understand our customers while creating the opportunity to partner with our TMEGs to make our in-store culture more welcoming and reach more customers.
- Customer Promise: The DE&I Council created a Customer Promise to show our commitment to serving diverse customers and providing an inclusive shopping experience. We promise to treat everyone with respect, creating a welcoming environment where all are equal. In 2021, we began placing the Customer Promise statement in our stores. It states...
“We all share a love for Life Out Here and caring for our family, animals, community and land. Tractor Supply is committed to serving you and your community by creating an inclusive shopping experience where our doors are open to all. Our promise is to treat everyone with respect, creating a welcoming environment where all are equal.”
- Marketing Toolkit: We developed a Diversity Marketing Toolkit for our stores and distribution centers to use to foster engagement between Team Members and communities. The kits teach young people to grow vegetables at home in a Tractor Supply bucket or even grow gardens in their community. Through these toolkits, Tractor Supply is playing a role in educating youth while amplifying our DE&I initiatives.
Community DE&I Strategy
Our DE&I Strategy for Communities states that we will foster meaningful relationships with diverse community partners and invest in the communities we call home.
In 2021, Tractor Supply donated more than $570,000 to DE&I causes, benefitting veterans, persons with disabilities, LGBTQ+ youth, Hispanic Team Members, women and Black and African Americans. Programs spanned a variety of initiatives, including working with Operation Stand Down Tennessee to support career transitions for veterans, Minorities in Agriculture, Natural Resources and Related Sciences (MANRRS) on youth education, NAACP Legal Defense Fund to support legal advocacy, Brentwood Inclusive Playground on accessibility and 100 Black Men of Middle Tennessee on civic engagement.
Supplier Diversity Strategy
Our DE&I Strategy for Supplier Diversity states that we will partner with certified diverse suppliers who can meet our customers’ needs by providing legendary service and great products at everyday low prices.
This year we began developing our supplier diversity program by appointing an initiative owner and establishing a supplier diversity committee. To date, the committee has measured our current supplier diversity partnership and spend. The next step is to develop a strategy to increase our supplier diversity partnerships and spend year-over-year to meet our goal of 35% increase in diverse supplier spending.
