It does not require it. My second point refers to the fact that people often talk about evaluating candidates/choices as if there’s a single, objectively measurable metric by which we can rank them. I argue that’s not how people really make decisions, but even if they did, who’s to say that the top three choices of suppliers are not all owned by minorities or women? You can both fulfill a mission to engage with more diverse suppliers and not lower your standards.
I’ve personally never been a fan of stringent DEI requirements, especially those that came from companies that were clearly in it just for the optics, and I do think it can result in lower quality. It’s the way that some people almost take lower quality as a given if diversity is involved that doesn’t sit well with me.