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In the United States, the minority indicator is used in various types of business and government reporting to identify whether an entity or individual belongs to a historically disadvantaged group, typically for the purpose of promoting diversity, equal opportunity, and ensuring compliance with affirmative action policies. It is maintained in SAP for example in the MINDK field in the vendor master.

For businesses, the minority indicator is often required in the context of:

• Government Contracts: Businesses must disclose if they are minority-owned, which can qualify them for certain federal, state, or local government contracts reserved for minority-owned businesses.
• Diversity Reporting: Companies may use minority indicators to track the diversity of their workforce, ensuring compliance with regulations such as the Equal Employment Opportunity (EEO) laws.
• Supplier Diversity Programs: Large corporations often track minority-owned businesses in their supply chains as part of their supplier diversity initiatives.

The indicators can pertain to various minority groups, such as racial and ethnic minorities (e.g., African American, Hispanic, Asian American, Native American), women, veterans, and people with disabilities.