YOUR SMALL BUSINESS IS NOT too SMALL TO HAVE A SUPPLIER DIVERSITY PLAN OF YOUR OWN State of Delaware, Office of Supplier Diversity and DuPont, Sourcing & Logistics, Small Business & Supplier Diversity Supplier Diversity Considerations Questions to ask yourself: Why have a supplier diversity program? Do I know how diverse supplies will fit into my offering? Who will I consider a “diverse supplier”? Where will I find them? Components of a Supplier Diversity Plan The Role of Tier II Suppliers Making Your Supplier Diversity Plan Known 2 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Supplier Diversity at the State of Delaware Executive Order Fourteen- Increasing Supplier Diversity Initiatives in Delaware Created Governor’s Supplier Diversity Council Each State Agency has a Supplier Diversity Plan Created Supplier Diversity Liaison in each agency http://governor.delaware.gov/orders/exec_order_14.shtml Executive Order Twenty-Nine Ensuring Representation Of Veteran-Owned Businesses In Delaware's Supplier Diversity Initiatives 3 http://governor.delaware.gov/orders/exec_order_29.shtml Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 DuPont DuPont: A World Leader in Market-Driven Innovation and Science >200 years of world-class science and engineering to the global marketplace Working with customers, governments, NGOs and thought leaders to discover solutions to today’s toughest challenges 4 1918 DuPont Magazine Cover Values Supplier Diversity because… Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Supplier Diversity at DuPont 5 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Why is Supplier Diversity Important to DuPont? Contributes to the economic health of our communities Enhances our reputation Facilitates compliance with governmental and customer requirements Supports our core values 6 How Can Diverse Suppliers Play a Role in Your Small Business? How does/will your business define your supplier diversity efforts? What B2B activities do you engage in? What do you buy? Do you know who you buy it from? Do you know if they are certified? 7 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Who is a Diverse Supplier at the State of Delaware? • The business is at least 51 percent owned, controlled and actively managed by: • Women; or • members of the following Minority groups: African Americans, Asian/Pacific Americans, Hispanic Americans, Native Americans, and Subcontinent Asian Americans; or • Veteran or Service Disabled Veteran owned business as verified by VetBiz.gov; and is • Operating as for profit business with “useful business functions”; and • An out-of-state company must first be certified in its home state (or with NMSDC or WBENC) before it can be considered for certification in Delaware. This must be a state-level certification, if available. 8 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Who is a Diverse Supplier at the State of Delaware? • Be owned by U.S. Citizen(s) or Permanent Resident(s); • Be a For-Profit business with “useful business functions”; • Be within one of the six industry sectors and at or under the eligibility size caps; and • Operate free from the control of a business larger than the eligibility size caps. 9 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Who is a Diverse Supplier for DuPont? A diverse business is a for-profit enterprise, regardless of size, physically located in the United States or its trust territories, which is owned, operated and controlled by minority group members. "Minority group members" are United States citizens who are African American, Asian Indian, Asian Pacific, Hispanic, Native American, Service Disabled Veteran,Veteran and Woman. Ownership means the business is at least 51% owned by such individuals and the management and daily operations are controlled by those minority group. 10 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 DuPont Small Business/Supplier Diversity Classifications AbilityOne African American – MBE Alaska Native Corporation – MBE Asian Indian – MBE Asian Pacific – MBE HBCU/MI Hispanic American – MBE HUBZone Minority Owned Ethnicity not available Native American – MBE SB 11 SB African American – MBE SB Alaska Native Corporation – MBE SB Asian Indian – MBE SB Asian Pacific – MBE SB Hispanic American – MBE SB Native American – MBE SDB SDVOSB VOSB WBE WOSB Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Who is a Diverse Supplier for Your Small Business? How does/will your business define your diverse suppliers? 12 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Where Does the State of Delaware Find Diverse Suppliers? Delaware Office of Supplier Diversity (OSD): http://gss.omb.delaware.gov/osd/certdir.asp U.S. Veterans Administration for Veteran / Service Disabled Veteran: http://www.vip.vetbiz.gov US Small Business Administration (SBA) SAM vendor database (formerly CCR) http://dsbs.sba.gov/dsbs/search/dsp_dsbs.cfm Delaware’s MyMarketPlace vendor listing: http://contracts.delaware.gov/vendor_list.asp Delaware’s Division of Facilities Management (DFM) Contractor Registry: http://dfm.delaware.gov/contractor/index.shtml National Minority Supplier Development Council (NMSDC) & affiliates Women's Business Enterprise National Council (WBENC) & affiliates 13 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Where Does DuPont Find Diverse Suppliers? National Minority Supplier Development Council (NMSDC) & Affiliates Women's Business Enterprise National Council (WBENC) & Affiliates National Veteran-Owned Business Association (NaVOBA) U.S. Hispanic Chamber of Commerce (USHCC) & Affiliates US Pan Asian American Chamber of Commerce (USPAACC) & Affiliates Women In Trucking (WIT) US Small Business Administration (SBA) SAM Vendor Database (formerly CCR) Selected third-party certification bodies. 14 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 DuPont Path to Success for Diverse Suppliers Trade Show Call E-mail Initial Contact Business Need Survey 15 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Do Business Where Will Your Business Find Diverse Suppliers? Which certification entities will your business look to? 16 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 What is a Supplier Diversity Plan? An action plan describes the intentions of an entity and the proposed steps that entity will make to include diverse suppliers in procurement and supply chain activities. Primary components include: 17 Community Opportunity recognition and implementation, Access to Opportunities - defined Reporting Education and training (internal and external), Outreach Evaluation Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Supplier Diversity Plan(s) at the State of Delaware http://gss.omb.delaware.gov/osd/supplierdiversity.shtml 18 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Supplier Diversity Plan at DuPont http://www2.dupont.com/Supplier_Center/en_US/ 19 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 20 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 A Supplier Diversity Plan for Your Small Business What will you include in your Supplier Diversity plan? 21 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Tier II – What Is It? Primary (Tier I) – Suppliers who contract directly with an entity Second-Tier (Tier II) – Subcontractors who provide goods and/or services to Tier I (Primary) suppliers Second-Tier Direct Spend (Tier II) – The process by which a contracted majority supplier subcontracts to a qualified diverse business for goods or services that directly support the fulfillment of a contract. Second-Tier Indirect Spend (Tier II) – Spend contracted with diverse suppliers which have been pro-rated based on supplier sales and/or percentage of a supplier's total revenue. Second tier language can be defined by you and may be incorporated into Tier I contracts. 22 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Tier II – What Is It? Originator Prime Contractor/ Supplier Sub Contractor 23 Sub Contractor Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Tier I Tier II Tier II at State of Delaware State of Delaware Subcontracting (2nd tier) Quarterly Report Prime Name: Contract Name/Number Contact Name: Contact Phone: Prime Contrac tor Name* Report Start Date: Report End Date: Today's Date: *Minimum Required Requested detail Work Contr Prime Prime Veteran/Servic 2nd 2nd Prime Repo Amount Performed M/WBE 2nd tier act Conta Conta Repor e Disabled tier 2nd tier tier Contra rt Paid to by Certifyi Supplier Name/ ct ct t Start Veteran Supplie Supplier Suppli ctor End Subcontrac Subcontra ng Phone Numb Name Phone Date* Certifying r Address er TaxID* Date* tor* ctor Agency Number er* * * Agency Name email UNSPSC Available on OSD website: http://gss.omb.delaware.gov/osd/index.shtml 24 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Descript 2nd ion of tier Date Work Suppli Paid Perform er ed Tax Id Tier II at DuPont Secondary Focus Primary Focus 25 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Tier II at Your Small Business What Tier II spend are you already doing? What Tier II spend are your suppliers already doing? 26 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Marketing As you bid and market your small business, include: Your Supplier Diversity Plan Your Tier I spend (and their Tier II spend) Your Tier II spend Your certifications and affiliations, if any 27 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Questions? Answers 28 Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014 Contact Us Loren Hopkins Taylor Michelle Morin Sourcing Manager, Small Business / Supplier Diversity DuPont Sourcing & Logistics CRP735/1315-3 Phone: 302-892-0774 Fax: 302-355-3143 Executive Director Office of Supplier Diversity Government Support Services Phone: 302-857-4554 Fax: 302-677-7086 loren-hopkins.taylor@dupont.com 29 michelle.morin@state.de.us gss.omb.delaware.gov/osd Alliance Mid-Atlantic Small Business Procurement Fair March 19, 2014