Countdown to the 1996 Olympics: although time is running out, aggressive companies can still get their share of the gold.CYNTHIA JONES IS ONLY IN HER early thirties, but she's already won the contract of a lifetime. Olympic organizers selected her company, Jones Worley Design Inc., to help design graphics for the Summer Games This article is about the Epyx video game series. For the international multi-sport event, see Summer Olympic Games. Summer Games is a sports video game developed by Epyx and released by U.S. Gold based on sports featured in the Summer Olympic Games. . Her company is part of a team designing all the graphics related to the 1996 Olympics, including the medals, the Olympic torch, staff uniforms, banners and signage for the Olympic Stadium The Olympic Stadium is the name usually given to the big centrepiece stadium of the Summer Olympic Games. Traditionally, the opening and closing ceremonies and the track & field competitions are held in the Olympic Stadium. and various smaller competition venues. And so, when the world descends on Atlanta for the 1996 Centennial Games, every visual Olympic image they see will be a partial product of her African-American-owned design company. "Defining |The Look of the Games' is one of the highest expectations we could set for the firm," says Jones, 32, an Atlanta native who co-founded Jones Worley Design in 1990. BLACK BUSINESS IN THE GAMES Jones Worley Design is one of many African-American firms--including several construction and manufacturing companies--awarded lucrative Olympic-related contracts. With the start of the Games two years away and several projects yet to be started, aggressive, qualified African-American businesses could still garner gold from the world's most prestigious athletic event. The Atlanta Committee for the Olympic Games Olympic games, premier athletic meeting of ancient Greece, and, in modern times, series of international sports contests. The Olympics of Ancient Greece Although records cannot verify games earlier than 776 B.C. (ACOG ACOG American College of Obstetricians and Gynecologists. ACOG American College of Obstetricians & Gynecologists ) seems committed to ensuring that African-Americans receive a share of Olympic business. Through its Equal Economic Opportunity Program, ACOG more than doubled the rate of minority-owned businesses it contracts with. Over the last year, purchases with African-American females and businesses owned by minority males jumped from $7.2 million to $14.2 million. However, no African-Americans have received prime contracts. Still, the Games haven,t been the cash cow Cash Cow 1. One of the four categories (quadrants) in the BCG growth-share matrix that represents the division within a company that has a large market share within a mature industry. 2. vendors initially thought they would be. There are several reasons for this: Business opportunities are limited; ACOG doesn't advertise upcoming contracts; preparing a bid can cost a company more than $25,000; and negotiating a deal can take months. The committee seeks companies with a strong track record in their respective industries, sterling references and solid financial footing. ACOG also insists that all interested businesses be listed in its database. Because of the sheer volume, competition is stiff. As of late March, the computer listing contained 8,360 vendors, of which 1,806 were minority or female. Some young start-up companies have found the myriad of requirements and selection criteria to be daunting daunt tr.v. daunt·ed, daunt·ing, daunts To abate the courage of; discourage. See Synonyms at dismay. [Middle English daunten, from Old French danter, from Latin , keeping them on the outside looking in at the bidding process. Rather than contracting directly with ACOG, many of these young companies have a better chance of subcontracting with a vendor who has an ACOG contract. "Getting through the system seems to be very difficult if you don't know Don't know (DK, DKed) "Don't know the trade." A Street expression used whenever one party lacks knowledge of a trade or receives conflicting instructions from the other party. your way through or have someone on the inside to vouch for vouch for verb 1. guarantee, back, certify, answer for, swear to, stick up for (informal) stand witness, give assurance of, asseverate, go bail for verb 2. you," says Atlanta Business League Chairman Nathaniel R. Goldston III, CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of The Gourmet Companies., a 19-year-old BE 100s catering company based in Atlanta. Mike Ajhar, ACOG's director of procurement and contract administration, agrees that it's sometimes easier for smaller companies to align themselves with larger ones. "If I were a printer and I wanted t o know about printing contracts, I would talk to the senior buyer," he says. "Once you do that you begin to establish a rapport and credibility. If you just sit back and wait for the call, it's probably going to be a long time to find that job." ATLANTA TRIES HARDER Since the 1990 announcement that Atlanta had beaten out Athens, Greece, for the right to host the Games, African-Americans have lobbied for a fair share of the billions of dollars expected to be generated by the first Summer Games in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. in a dozen years. Atlanta officials have tried to avoid a repeat of what happened at the 1984 Olympics in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. , where only a small portion of the money generated benefited minority contractors and African-Americans openly charged that they were prevented from sharing in the wealth. From 1992 through March of 1994, the committee awarded $23.9 million in contracts to architects and engineers, with $10.7 million going to minority-owned companies. "Over 60% of the minority contractors were black," says Michael H. Rose, ACOG's construction division's senior project manager for minority- and female-owned businesses. "These kinds of numbers are absolutely unheard of Not heard of; of which there are no tidings. Unknown to fame; obscure. - Glanvill. See also: Unheard Unheard in the private sector." Minority contractors have been involved since the start of the massive Olympic construction project. The first construction contract ACOG awarded was for the Olympic Stadium; it was valued at $10.8 million for the early phases of the project. Atlanta's Herman J. Russell, the country's largest African-American general contractor A general contractor is an organization or individual that contracts with another organization or individual (the owner) for the construction of a building, road or any other execution of work or facility. , was part of the team that won the $209 million Olympic Stadium contract. His BE 100s company formed a joint venture with another African-American owned company, C.D. Moody Construction, and with majority-owned Beers Construction. The team submitted a company profile for ACOG's database (a requirement for all interested businesses) almost a year before bidding on the project. It took another four months to negotiate the stadium contract, for the largest arena ACOG plans to build to stage the Games. "It's a tedious process," says C. David Moody of this type of negotiating. "It takes endurance." But that has not daunted daunt tr.v. daunt·ed, daunt·ing, daunts To abate the courage of; discourage. See Synonyms at dismay. [Middle English daunten, from Old French danter, from Latin the team's enthusiasm to do Olympic work. "I'm pretty sure we'll go after some more," says Russell, 63, whose company did more than $152 million in sales in 1993. William J. Stanley III and his wife, Ivenue Love-Stanley, used their affiliation as Georgia Tech alumni to help win business for their architecture, interior planning and construction management firm, Stanley Love-Stanley. They also contacted top ACOG officials to let them know they were interested in doing business. "We tried to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. our strengths," Stanley says. They formed a joint venture with another firm run by a Georgia Tech alum, Smallwood Reynolds, Stewart, Stewart & Associates, to bid on the design contract for the aquatics center, which will be built at the university. Stanley Love-Stanley, along with other minority/female subconsultants, has 44% of the contract; Smallwood Reynolds, 56%. "We could have gone after the deal with other firms, but we realized the association and affiliation that both firms had with [our] school," Stanley says. GOING FOR THE GOLD: AN OLYMPIC LICENSE Obtaining a license to manufacture and market Olympic merchandise has proven a tough task for African-American companies. It's costly, risky and requires a bona fide [Latin, In good faith.] Honest; genuine; actual; authentic; acting without the intention of defrauding. A bona fide purchaser is one who purchases property for a valuable consideration that is inducement for entering into a contract and without suspicion of being sales and financial commitment through 1996. But a license can be worth millions of dollars in retail sales to licensees, and enhance a company's position in the marketplace. Ask Roy Terry, CEO of Terry Manufacturing Co. Inc. in Roanoke, Ala. Terry was the first African-American-owned company to obtain a license agreement with Atlanta Centennial Olympic Properties, the licensing arm of ACOG. Terry will manufacture shirts, pants, shorts and other apparel with the coveted cov·et v. cov·et·ed, cov·et·ing, cov·ets v.tr. 1. To feel blameworthy desire for (that which is another's). See Synonyms at envy. 2. To wish for longingly. See Synonyms at desire. Olympic logo. It took two years to formulate the deal. "This kind of licensing can be very important to black economic development," says Terry, 49. "We're not just interested in this for the short-term progress we might make through 199G. We expect it to be a steppingstone step·ping·stone n. 1. A stone that provides a place to step, as in crossing a stream. 2. An advantageous position for advancement toward a goal. into the licensed apparel business." Terry's company had to agree to a minimum guarantee, and will pay ACOP ACOP Approved Code Of Practice ACOP Association of Chief Officers of Probation (UK) ACOP A Change of Pace (band) ACOP Association Canadienne d'Oncologie Psychosociale a percentage of its sales. Although it supplies uniforms for McDonald's restaurants There are more than 30,000 McDonald's restaurants in 119 countries. Restaurants The first McDonald's was not a restaurant at all, but it was a sit-in stand. The company's early franchises were built to a standard pattern that did not offer seating; this was in part to prevent nationwide and makes uniforms for the U.S. Armed Services The Constitution authorizes Congress to raise, support, and regulate armed services for the national defense. The President of the United States is commander in chief of all the branches of the services and has ultimate control over most military matters. , the BE 100s manufacturer does not match the profile of the typical Games licensee. Olympic licenses are usually given to manufacturers who have had licenses with professional sports leagues To comply with Wikipedia's lead section guidelines, one should be written. , such as the National Basketball Association National Basketball Association (NBA) U.S. professional basketball league. It was formed in 1949 by the merger of two rival organizations, the National Basketball League (founded 1937) and the Basketball Association of America (1946). and National Football League. That's because obtaining a license of this magnitude requires a proven track record and a demonstrated ability to manufacture and distribute goods. Atlanta Centennial Olympic Properties requires companies interested in obtaining licenses to submit a business plan that outlines the manufacturer's marketing approach. Companies must also indicate if their distribution will be regional or national, and accurate sales projections are crucial. Licensees are charged a 15% to 20% royalty fee based on a manufacturer's wholesale projections. They are also expected to pay a fee of 1% of projected wholesale sales for advertising costs. While the process may be drawn out for manufacturers, retailers are not even considered in the equation. "We don't look at retail sales at all because most retail stores don't have the distribution and they don,t have the markup," says Girard Geeter deputy director of ACOG's Equal Economic Opportunity Program. However, manufacturers must include in their business proposals what retail stores they plan to sell their merchandise to. Once a sales projection is made, a manufacturer is locked into fulfilling that goal. "You're not only committed to that," says Geeter, "you have to provide a letter of credit from a bank to back up your projections." Regardless of whether licensees meet their projections, ACOG will receive its royalty from the letter of credit that's based on your projections. The committee has taken this no-nonsense approach to licensing because part of the Olympics budget for salaries and venues is based on the royalties it expects to receive from licensees. Geeter says that, in some cases, manufacturers need to commit at least $100,000 in a letter of credit in order to effectively compete for a license. The committee is eager to sign on licensees who can produce promotional goods, such as apparel, cups, souvenir items, jackets and caps. Eli McKenzie, 46, president and CEO of EAR Enterprise, used a different approach. His logo company, which operates one of the most successful businesses in Underground Atlanta Underground Atlanta is a shopping and entertainment district in the Five Points neighborhood of downtown Atlanta, Georgia, United States, near the intersection of the MARTA rail lines. , the city's popular entertainment and specialty mall, was licensed to sell apparel when Atlanta was bidding for the Games. However, when Sara Lee
Sara Lee Corporation (NYSE: SLE) is a global consumer-goods company based in Downers Grove, Illinois, USA. signed up as an ACOG sponsor after Atlanta was named host city, the corporation obtained exclusive rights to the apparel business. EAR Enterprises was shut out, but not for long. ACOG was so impressed with the company's work that committee officials asked Sara Lee to consider giving EAR a sublicense. The corporation agreed and gave EAR marketing rights through its Hanes brand in 1993. McKenzie said Sara Lee was open to working with EAR "based on the history and rapport with ACOG, the need to have locals represented and to have the black community involved." As a sublicensee, EAR Enterprises can create its own graphics and sell to retailers it has worked with in the past, such as Macy's, J.C. Penney's, Uptons and Rich's. McKenzie must pay royalties to Hanes, but he won't say what it's costing him or what his firm will earn in sales. "My agreement with Hanes precludes me from talking dollars," explains McKenzie, whose 11-year-old company did more than $1 million in sales last year. "But I will tell you, it is not lucrative. If I am good at what I do, perhaps we can pay the bills through this period. But we won,t become wealthy." His advice to companies that want to do business with ACOG or its sponsors: "Identify yourself and make sure the committee knows your product and market." While McKenzie was able to get a piece of the action, some African-American businesses have complained of being shut out of the process, and others say the amount of business being funneled to minorities is peanuts considering the enormity of the Olympics. Carl Trimble, owner of Trimble Architects and Computer Design Services and president of the National Organization of Minority Architects (NOMA noma /no·ma/ (no´mah) gangrenous processes of the mouth or genitalia. In the mouth (cancrum oris, gangrenous stomatitis), ), believes he was barred from obtaining Olympic contracts. Shortly after Atlanta won the the right to host the 1996 Games, Trimble--in his capacity as NOMA president--wrote a top ACOG official a letter stating minority architects were entitled to 50% of all design contracts. "I felt very strongly that without the Third World block (of the International Olympic Committee “IOC” redirects here. For other uses, see IOC (disambiguation). The International Olympic Committee (French: Comité International Olympique) is an organization based in Lausanne, Switzerland, created by Pierre de Coubertin and Demetrios Vikelas on June 23 ) voting for Atlanta, there wouldn't be any Olympics in Atlanta." His assertiveness backfired. When he subsequently submitted proposals to design the tennis center and field hockey field hockey: see hockey, field. field hockey or hockey Game played with curve-ended sticks between two teams of 11 players. It is played on a field 100 yd (91.4 m) by 60 yd (55 m) in size. venues, his company was eliminated early in the process. Trimble believes his firm was blackballed because of his demands, but ACOG officials deny this. Jones Worley Design has worked on more ACOG contracts than any other African-American-owned company. The firm has participated in the planning and design of the signage for the Olympic stadium, tennis and the aquatic centers, equestrian and rowing and canoeing venues, field hockey stadium, softball field and temporary and portable facilities. But getting the work wasn't easy, despite ACOG's record of contracting with African-American-owned businesses. Cynthia Jones is living proof that persistence pays off when seeking Olympic contracts. While Atlanta boosters were bidding for the Games, Jones Worley designed a 16-page special advertising supplement for Forbes magazine, highlighting the city's quest for Verb 1. quest for - go in search of or hunt for; "pursue a hobby" quest after, go after, pursue look for, search, seek - try to locate or discover, or try to establish the existence of; "The police are searching for clues"; "They are searching for the the premier sports event. After Atlanta was named host city, ACOG started negotiating contracts for design services, but Jones Worley was not first choice. Jones bid on three separate projects last year; each time, she was rejected. Still, Jones didn't let the rejections stop her from going for the gold--she just changed her strategy. Instead of continuing to bid as a prime minority and female-owned business, she networked with the architectural community, people with whom she had already done business or who were familiar with her work. Subsequently, she was invited to be a part of at least 35 teams that were pursuing ACOG business. The strategy paid off. IT'S WHO KNOWS YOU Persistence, hard work, a good reputation in their respective industries and connections to Atlanta political leaders or ACOG officials can help minority contractors seeking Olympic business. Take Goldston, for example. As owner of The Gourmet Companies, which runs the food services food services Hospital services A 24/7 department in a hospital that provides for the nutritional needs of inpatients–eg, those needing special diets, preparing meals and transporting them to the floor and, through the cafeteria, the hospital staff and at Atlanta City Hall Since Atlanta was founded, there have been four official city halls of Atlanta. Antebellum After half a decade of makeshift meeting places for city business (including hotels and grocery stores), in 1853 mayor of Atlanta John Mims purchased the four-acre (16,000 m²) , Georgia Tech University, Fulton County
Morehouse College Private, historically black, men's liberal arts college in Atlanta, Ga. It was founded as the Augusta Institute, a seminary, in 1867 and renamed in 1913 in honour of Henry L. Spelman College Spelman College: see Atlanta Univ. Center. Spelman College Private, historically black, women's liberal arts college in Atlanta, Ga. Its history is traced to 1881, when two Boston women began teaching 11 black women, mostly ex-slaves, in an Atlanta and Clark Atlanta University Clark Atlanta University (CAU) is a prestigious, private institution of higher education in Atlanta, Georgia. It is an historically black university formed in 1988 by the consolidation of Clark College (est. 1869) and Atlanta University (est. 1865). , Goldston is well known in the city's business and political circles. His reputation helped him win numerous catering jobs at ACOG, worth a total of almost $80,000. The jobs were for events sponsored by ACOG. "They have been very good about calling us. We've gotten a decent share," says Goldston, 56. Even in cases when the ACOG does not directly contact African-American businesses, there are other ways of carving out a piece of the Olympic pie. "We have to find creative ways of meeting these people," Cynthia Jones says of ACOG officials. "I try to be aggressive without being offensive." HOW TO COMPETE FOR OLYMPIC BUSINESS CONSTRUCTION The Atlanta Committee for the Olympic Games (ACOG) will accept bids this summer and award construction contracts for the following venues: * Shooting range at Wolk Creek in Fulton County ($12 million to $14 miilion contract) * Archery range and cycling track in Stone Mountain Park ($5 million to $6 million) * Rowing and canoeing venues at Lake Lanier Lake Lanier (officially Lake Sidney Lanier) is a manmade lake in the northern portion of the U.S. state of Georgia. It was created by the completion of Buford Dam on the Chattahoochee River in 1956, and is also fed by the waters of the Chestatee River. ($10 million to $12 million) * Baskball court at Morehouse College in the Atlanta University Center Atlanta University Center, at Atlanta, Ga.; coeducational. The largest consortium of historically African-American educational institutions in the country, it was organized in 1929 when three schools—Atlanta Univ. ($7 million to $8 million, to be bid early fall). ACOG requires all interested contractors and businesses to be in its data bank. Contractors must submit a letter of qualifications stating the company's track record in the industry, as well as references, bonding capacity, fiancial strenght and organized labor Organized Labor An association of workers united as a single, representative entity for the purpose of improving the workers' economic status and working conditions through collective bargaining with employers. Also known as "unions". history. ACOG also wants to know about the company's litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. record, particularly the number of lawsuits it initiated or was named in. It is suggested that a minority/female contractor's bonding capacity be at least $1 million to be considered as a prime or joint-venture contractor (the latter should indicate minority participation in the qualification statement). The committee also bases its selection criteria on the percentage of minority- and female-owned companies intersted contractors say they will subcontract with. Subcontractors who are not linked to prime or joint ventures on specific projects can obtain a list of intersted contractors by contracting Michael H. Ross, ACOG's senior project manager for minority/female businesses; ACOG Construction Division, at 404-224-1776. Letters of qualifiations for the data bank and inquiries about upcoming construction projects should also be directed to Ross' office. SERVICES ACOG expects to spend millions of dollars in the next two years on 4,000 to 6,000 contracts for services needed to stage the 1996 Games. Businesspeople interested in obtaining Olympic contracts for professional services (job) professional services - A department of a supplier providing consultancy and programming manpower for the supplier's products. must send detailed information about their companies to Ellie Witherspoon, in ACOG's purchasing department, at 404-224-1996. Companies or individuals should include in their information packet the nature of the business and years of operation, what goods or services they can provide, how they can be contacted, references and any other information that would be useful to the committee. Upcoming contracts will not be advertised, so it's important to provide a thorough overview of your company and follow up with a telephone call if you want to get your foot in the door. At some point, professional services contracts to be awarded included: security services, food, beverage, landscaping, transportation services (more then 2,000 buses will be needed during the 1996 and general maintenance. LICENSING Manufacturers interested in obtaining a license to market goods bearing the 1996 Olympics logo should either contact the Equal Economic Opportunity Program at ACOG, or Atlanta Centennial Olympic Properties (ACOP). The mailing address for both ACOG and ACOP is 250 Williams St., Atlanta, GA (Suite 6000 for ACOG; Suite 6100 for ACOP), 3031-1996; 404-223-1996. |
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