Minority Suppliers Must Adopt Proactive Strategies To Overcome Tough Economic Times.What a difference a year makes. Twelve to 18 months ago, corporate America was riding high. Large and small businesses were flourishing, optimism was in the air, and minority-owned small businesses (MBEs) were actually growing faster than small businesses in general. A number of larger minority-owned businesses were even consolidating, merging, and forming alliances at a rate unheard of Not heard of; of which there are no tidings. Unknown to fame; obscure. - Glanvill. See also: Unheard Unheard in American history. Combine these conditions with the continuous downsizing (1) Converting mainframe and mini-based systems to client/server LANs. (2) To reduce equipment and associated costs by switching to a less-expensive system. (jargon) downsizing of America's corporate supplier base, and you get a big challenge -- especially for the minority business owner. Businesses Can Get Started in a Downturn But these challenges do not present insurmountable obstacles. A number of minority companies have actually gotten started during economic downturns. William Gerard Mays, founder and 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 Mays Chemical Company Inc., is a case in point. His company ranked No. 18 this year in the B.E. INDUSTRIAL/SERVICE 100's. He says his company was founded during a recession "when interest rates were 21% and people said you couldn't make money at those rates in a business with profit margins as skinny (Skinny Station Protocol) Cisco's proprietary implementation of the H.323 IP telephony model. Skinny phones can also be configured for the SIP protocol. See IP telephony. as distribution. We've been through it before." (B.E., June 2001. p. 140) Mays's company was not the only minority-owned corporation that came through last year with solid results. BLACK ENTERPRISE reported in June that sales of its B.E. INDUSTRIAL/SERVICE 100's companies grew 25.1% from $8.7 billion in 1999 to $10.9 billion in 2000 --cracking through the $10.0 billion mark. Meanwhile, the National Minority Supplier Development Council (NMSDC NMSDC National Minority Supplier Development Council, Inc. ) reports that corporate members spent slightly more in 2000 with minority-owned businesses than they did a year earlier -- over $50 billion in 2000, compared to $48.7 billion in 1999. (Exact figures for 2000 not released yet; NMSDC website is www.nmsdcus.org.) What can small businesses do to deal with the present slowdown? Be proactive, say the experts. Or, as Ralph Moore Ralph Moore (born December 4, 1956) is a jazz saxophonist. Early life Ralph Moore was born in London, England, on the 24th of december, 1956 and grew up in a crowded inner city area. , Chicago-based expert on supplier diversity Supplier Diversity is a business program that encourages the use of previously underutilized minority owned vendors as suppliers. It is not directly correlated with supply chain diversification, although utilizing more vendors may enhance supply chain diversification. , says "Minority businesses have three options: Transformation; consolidation; or extinction extinction, in biology, disappearance of species of living organisms. Extinction occurs as a result of changed conditions to which the species is not suited. ." Here are some of the actions the experts recommend to make small businesses more competitive in today's tough economic landscape: * Build a strong infrastructure. Small businesses, like larger ones, require a strong team of managers, access to debt and equity capital, and product diversification. * Build alliances. An alliance may enable you to serve a wider region or diversify your product offerings. Since many corporations are looking for Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. national suppliers, this can help a smaller or mid-sized business expand its geographic reach. * Explore Tier II opportunities. Corporations are putting pressure on their Tier I suppliers to source through minority-owned suppliers. By participating in Tier II opportunities, you may be able to grow your business substantially and move closer to becoming a Tier I supplier * Become certified See certification. as a minority-owned business. Many types of certification are available ranging from that of the NMSDC (through its regional affiliates) to programs of various state and federal agencies. "Try to find someone who understand all types of certification, so that you select wisely and make sure that certification works for you," advises Lisa Tolliver, a New York-based business consultant who specialize spe·cial·ize v. 1. To limit one's profession to a particular specialty or subject area for study, research, or treatment. 2. To adapt to a particular function or environment. in the development of MBEs. (Website at www.36omeridian.com) * Make sure you are included in major MBE MBE (in Britain) Member of the Order of the British Empire MBE n abbr (BRIT) (= Member of the Order of the British Empire) → título ceremonial MBE n abbr (Brit) (= databases. Certification by NMSDC will automatically put you into that organization's national database, the Minority Business Information System. You should also go through the certification process for PRO-Net, the large database run by Small Business Administration in conjunction with other federal government offices. * Become active in local council job fairs and events. NMSDC regional councils and other organizations hold annual marketing fairs for suppliers with corporate members, as well as smaller one-to-one events and company-sponsored activities. These events can help you establish excellent contacts at major corporations. * Attend MED med adj. Medical. Used informally. n. A medication. Used informally, often in the plural. MED minimal effective dose; minimal erythema dose. MED 1. Week. The Minority Business Development Agency of the U.S. Department of Commerce holds an annual week-long event in Washington, DC each fall called the Minority Enterprise Development Week, (MED Week) to honor minority business and help suppliers expand contacts within the corporate world. For more information see www.mbda.gov. * Take advantage of other government programs and resources. The federal government operates the 8(a) program for minority business. The Department of Defense has a network of special offices which help minority businesses work their way through the certification process and win government contracts. * Look for funding sources. Capital resources are expanding for minority-owned businesses. Coca-Cola, for instance, recently doubled its investment to $1 million in the Consortium Fund, an NMSDC program which supplies capital to minority-certified businesses * Become Internet accessible and e-commerce ready. Your company must have the appropriate computer systems and information technology needed to serve your clients. A good computer system, website, and e-commerce strategy are minimal requirements. Duke Energy's Commitment to Supplier Diversity At Duke Energy, it is our privilege, policy and practice to proactively seek diversified suppliers. Through Supplier Diversity, we build relationships with businesses owned by people of color Noun 1. people of color - a race with skin pigmentation different from the white race (especially Blacks) people of colour, colour, color race - people who are believed to belong to the same genetic stock; "some biologists doubt that there are important , women. Vietnamera vets and persons with disabilities capable of providing commodities and services at competitive prices. Suppliers are extremely important to the success of our business. Each year, we receive thousands of bids. But we ultimately only award contracts based on mutual trust, merit, and most importantly Adv. 1. most importantly - above and beyond all other consideration; "above all, you must be independent" above all, most especially , how suppliers will benefit our customers -- not our company. Successful suppliers are those who bring the most value to Duke Energy to meet our business objectives. Some of the factors that influence our buyers' supplier decisions include, but are not limited to: 1) E-business capabilities Our commitment to keeping our supplier strategy aligned with our business strategy drives our commitment to seeking suppliers who value and leverage technology to create business advantage. We use technology to move our customers with speed efficiency, flexibility, and effectiveness. We seek suppliers who do the same. Earlier this year, Duke Energy joined with 20 of our leading utility and energy industry counterparts in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. to create an internet-based business-to-business exchange. This unique consortium, called Pantellos, connects multinational energy companies with suppliers via an e-marketplace. 2) Global reach or ability to service our global needs Our business reaches across the globe, to diverse regions of the world. We need suppliers whose business can connect with and service Duke Energy's global business needs. 3) Alignment with our philosophy and commitment to ethical business practices and standards Duke Energy's business philosophy rests on a foundation of solid ethical principles. Our commitment to business integrity is constant. We seek suppliers who share our philosophy and commitment to upholding the highest ethical business practices and standards. Toyota What We Do Someone once said commitment is what you do. not what you say. By that measure, Toyota Motor Manufacturing North America has demonstrated a long-standing commitment to supplier diversity. In 1997 we publicly announced new MBE sourcing tar gets of 5% for Tier I and 5% for Tier II purchases by the year 2002, and we are on track to meet or exceed these goals. Our pledge to reach these targets placed Toyota squarely square·ly adv. 1. Mathematics At right angles: sawed the beam squarely. 2. In a square shape. 3. in line with industry standards, confirming our steadfast commitment to minority supplier development. This commitment is anchored to a five-cornered foundation: * We actively pursue MBE suppliers * We champion supplier diversity throughout our organization * We provide technical support to prospective MBE suppliers * We administer a Tier II Sourcing Program among our Tier I suppliers * We participate in industry training sessions and workshops Our Tier II program represents an especially promising opportunity for MBEs. Through this program we strongly encourage our Tier I, or direct, suppliers to match our commitment to purchasing goods and services In economics, economic output is divided into physical goods and intangible services. Consumption of goods and services is assumed to produce utility (unless the "good" is a "bad"). It is often used when referring to a Goods and Services Tax. from MBEs. (Companies that sell to our Tier I suppliers are Tier II suppliers to Toyota.) One unique facet facet /fac·et/ (fas´it) a small plane surface on a hard body, as on a bone. fac·et n. 1. A small smooth area on a bone or other firm structure. 2. of our Tier II effort is an annual minority business trade show and conference we sponsor called "Opportunity Exchange," which provides a forum for NMSDC-certified MBEs to network directly with Toyota's Tier I suppliers. Since its inception 11 years ago, Opportunity Exchange has generated over $35 Million in contracts for minority suppliers. Says T. Hudson, Coordinator of Toyota's Supplier Diversity Program, "Our Tier II initiatives, and our entire program, demonstrate our commitment to develop a supply base that reflects the diversity of our customers and the diversity of our team members who build Toyota vehicles Toyota vehicles, past and present, sold under the Toyota brand. Most were made by the Toyota Motor Corporation. Current and past production vehicles
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. Postal Service postal service, arrangements made by a government for the transmission of letters, packages, and periodicals, and for related services. Early courier systems for government use were organized in the Persian Empire under Cyrus, in the Roman Empire, and in medieval The Postal Service is America's oldest public service institution and the world's largest communication organization. With delivery six days a week to over 130 million residences and businesses as diverse as America itself, diversity is a key aspect of how the Postal Service does business. From strong support of corporate leadership to the staff in over 80 districts nationwide, the Postal Service is committed to inclusiveness for its employees, customers, and suppliers. Having 38,000 retail outlets retail outlet n → punto de venta retail outlet n → point m de vente retail outlet retail n → and more than 200 billion pieces of mail to process annually translates into contract opportunities worth billions of dollars. Supplier Diversity within the Postal Service is a proactive business process that seeks to provide suppliers with equal access to purchasing opportunities, striving to ensure that the organization's supplier base reflects the communities that it serves. In recent years, the Years, The the seven decades of Eleanor Pargiter’s life. [Br. Lit.: Benét, 1109] See : Time Postal Service has been aggressively promoting supplier diversity with its large suppliers. By clarifying and strengthening its subcontracting policies, it has achieved a marked improvement in this important area. Suppliers competing for certain high-dollar contracts are now required to submit subcontracting plans as part of their proposals, which then become part of the negotiation. For more information on the U.S. Postal Service's commitment to doing business with small, minority, woman-owned businesses, visit www.usps.com. Verizon Verizon is proud of our long-standing economic support of minority, women, disabled veterans, Vietnam-era veterans and persons with disabilities business enterprises (MWDVBEs) and to the communities we serve. Supplier diversity is a critical element of Verizon's strategy to grow and compete in the marketplace and to provide customers with the highest quality service. Verizon maintains partnerships with key advocacy groups dedicated to business development, including the National Minority Supplier Development Council, the Women's Business Enterprise National Council, the United States Hispanic Chamber of Commerce, as well as regional purchasing councils and local chambers. As a technology company, Verizon encourages our suppliers to utilize technology to the fullest extent possible. Verizon encourages suppliers to focus on technology deployment and applications such as e-commerce, e-business, electronic data Interchange See EDI. (application, communications) electronic data interchange - (EDI) The exchange of standardised document forms between computer systems for business use. EDI is part of electronic commerce. . electronic bids, and the like in order to be more competitive. Verizon's state-of-the-art interactive website http://www.verizon.com/diversity/suppliers allows suppliers to register on-line to be considered in our requests for proposal process. Suppliers have the ability to view upcoming proposals on-line as well. Verizon is very proud of its many accomplishments in the supplier diversity arena, among them: * Minority Business News U.S.A. and Women's Enterprise magazine named Verizon as a charter member of the Billion-Dollar Roundtable for spending at more than $1 billion in 2000 with MWDVBEs * In January 2001, the Wall Street Project presented Verizon co-CEO Ivan Seidenberg Ivan G. Seidenberg (born December 10, 1946) is the CEO of Verizon Communications. As chairman and chief executive officer of Verizon Communications Inc., formerly Bell Atlantic and previously NYNEX, Seidenberg steered those companies through two of the largest with the Trading Partners Award, for including minority and women-owned businesses in the company's economic plans. * Co-sponsored the Telecommunications Industry Supplier Diversity Challenge, which challenges service providers and original equipment manufacturers to target 10% of all procurement The fancy word for "purchasing." The procurement department within an organization manages all the major purchases. with MWDVBEs. * Contributed $10 million to a private equity fund to help finance growth of minority-owned businesses and $10 million to the equity fund of the U. S. Hispanic Chamber of Commerce to fund the development of Hispanic owned businesses. Hilton Hotels Corporation Hilton Hotels Corporation (NYSE: HLT) is one of the leading global hospitality companies. As of April 2007 there are 2,645 hotels and 485,000 rooms employing 105,000 people in more than 80 countries. Advancing Diversity for a Diverse World Historically, Hilton Hotels Corporation has sought to achieve a diverse workforce to respond to the diversity of the world's travelers. Hilton also focuses on increasing diversity in all aspects of its business operations Business operations are those activities involved in the running of a business for the purpose of producing value for the stakeholders. Compare business processes. The outcome of business operations is the harvesting of value from assets . Hilton's policy of inclusion encourages minority-owned businesses to create relationships with the company, both at the corporate and property level. This year Hilton was ranked 12th by Fortune magazine in their listing of America's 50 Best Companies for Minorities. Over the past year, the world-class hospitality company has continued to push its diversity efforts in a variety of areas. Seven Homewood Suites, by Hilton Hotels
Hilton President and CEO Stephen Bollenbach Stephen F. Bollenbach has been the Co-Chairman and Chief Executive Officer of Hilton Hotels Corporation since February 1996. Bollenbach graduated from the University of California, Los Angeles. External link
v. cen·tral·ized, cen·tral·iz·ing, cen·tral·iz·es v.tr. 1. To draw into or toward a center; consolidate. 2. e-commerce purchasing system. This encourages minority-owned companies to become part of Hilton's supply chain. Basic program information can be obtained by calling toll-free 1-877-932-3322. Hilton Hotels Corporation embraces diversity activities as a way of attracting and keeping the "best of the best". It is an integral part of the company's objective to "be the first choice of the world's travelers". Hilton is committed to advancing its diversity for this diverse world. |
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