Marianne Alabastro - Detroit Regional Chamber · Marianne Alabastro Events & Small Business...

Marianne Alabastro Events & Small Business Programs Manager

Detroit Regional Chamber

Michael Bryson Manager, Corporate Procurement

Blue Cross Blue Shield of Michigan

Blue Cross Blue Shield of Michigan

Blue Care Network of Michigan

Detroit Regional Chamber

Meet the Purchaser Event

Walsh College – Troy, MI

11/21/2013

presented by:

Mike Bryson – Manager for Information Technology Procurement

Our Mission

To give all Michigan residents access to reasonably priced, quality health care, and to improve the health

of Michigan’s people, communities, economy and

health care system.

Who We Are

• A nonprofit health care organization founded in 1939

• The largest health insurer in Michigan: 4.4 million

members in Michigan and 1.2 million more members in

other states

• The largest network of doctors and hospitals in Michigan:

156 hospitals, nearly 30,000 doctors

• An independent licensee of the Blue Cross and Blue

Shield Association

• Our subsidiaries:

– Blue Care Network of Michigan

– Blue Cross Blue Shield of Michigan Foundation

– Accident Fund Holdings Inc.

– LifeSecure Insurance Company

We are committed to socially responsible

business practices including ….

• The environment

• Diversity

• Human rights

• Safety

• Community investment

• Business ethics

Next Steps for Interested Suppliers

Step 2

Step 3

Step 1

Register as a Potential Supplier

Tell Us About You!

Adil Karachiwala Vice President, Sourcing Manager

Comerica Bank

Meet the

Purchasers

November 21, 2013

Comerica – about us

Comerica Incorporated (NYSE: CMA) is a financial services company headquartered in

Dallas, Texas, and strategically aligned by three business segments: The Business Bank,

The Retail Bank, and Wealth Management. Comerica focuses on relationships, and

helping people and businesses be successful. In addition to Texas, Comerica Bank

locations can be found in Arizona, California, Florida and Michigan, with select

businesses operating in several other states, as well as in Canada and Mexico. Comerica

reported total assets of $62.9 billion at June 30, 2013.

Fast Facts on Comerica:

• Among the 25 largest U.S. banking companies

• Located in seven of the 10 largest U.S. cities

• #1 pre-paid commercial card issuer

• 484 offices at June 30, 2013

• #10 among bank and thrift companies with the most commercial and industrial loans

(12/31/11)

• Among the top 10 Ex-Im Bank working capital lenders

• #3 among DiversityInc® "Top 10 Regional Companies for Diversity" in 2012

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Pre-Qualification

Opportunity Assessment

Sourcing

Contracts

On-boarding Purchasing

Spend

Analytics

Supplier Risk

& Performance

Registration

Supplier Relations

Strategic Sourcing

Contract Services

Purchasing & Analytics

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Procurement

Corporate Procurement

• Performance management tools

• Risk management framework

• Supplier inquiries

• Supplier registration

• Supplier

communications

• Industry alerts

• Centralized

reporting

• Spend analysis

and compliance

• Spot buys

• Alternative

buying channels

• Purchase Order tracking

and administration

• 5100: Option #7 Help Desk

• T&E policy administration

• Legal liaison

• Support

development of

business requirements and

contract SLAs

• Risk management

• Contract negotiations

• Service Company contract

administration

• Industry/environmental

research and benchmarking

• Sourcing strategy

• Conduct bid and due

diligence

• Negotiation with

suppliers

• Business case

support and analysis

• Supplier Diversity

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Supplier Diversity Program Components

• Policy & CEO Commitment

• Minority Supplier Development Committee

• W/MBE National Coordinator & Market Champions

• Goal Setting and Reporting System

• Buyer Training

• Second-Tier Initiative

• Accountability-Mgmt and colleagues w/Procurement Authority

• Minority Supplier Referral Tracking System

• Outreach: Collateral Materials, Trade Shows, Organizations, etc.

16

SD National Coordinator’s Role

• Liaison to supported organizations, i.e.; National Minority

Supplier Diversity Council , National Association of

Women Business Owners, Women's Business

Enterprise National Council, Various Ethnic Chambers of

Commerce, etc.

• Internal and external advocate/facilitator

• Trainer, coach and mentor to W/MBE’s, Comerica

colleagues, and strategic Partners

Where to start?

17

1. Go to –

www.Comerica.com

2. Search for “Supplier”

3. Click on the

“Comerica Supplier

Information” link to

get started.

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What it takes?

• Have Patience

• Be Focused

• Demonstrate Value

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The Process – Strategic Sourcing 7-Step Methodology

Implementation Opportunity Development & Negotiation Data Collection & Analysis

Identify Cost Drivers & Components that Impact Total Cost of Ownership (TCO)

Identify Impact from Switching Suppliers

Align Strategy to Market Conditions and Internal Profile

Identify Supplier Relationship Approach

Identify Sourcing Approach (Contract re-negotiation, RFQ, auction, RFP, etc.)

Revise Savings Estimates

Document Strategy

Structure Agreement Template

Document Fact Based Negotiation Approach

Plan and Conduct Negotiations

Select Suppliers and Document Benefits

Agree on Business Terms and Draft Agreement

Gather high level spend

Assess & Prioritize opportunities

Develop high level category segmentation approach

Estimate Opportunity & Finalize Project Plan

Identify Team & Mobilize Project

Build Supplier Selection Decision Framework

Develop Potential Supplier Long List

Develop Supplier Screening Criteria

Assess Supplier’s Capabilities

Develop & Conduct RFI (if necessary)

Develop Short-List of Suppliers for RFP/Auction

Determine Bid Scope & Timing

Structure RFP /Auction

Determine Process for Communicating Event

Communicate Event to Suppliers

Evaluate RFP Responses

Develop Short-List of Suppliers for Negotiations

Determine organization & process impacts of new agreement

Develop Communication Plan

Identify Supplier Performance Metrics

Develop Implementation Plan

Finalize & approve new supplier agreement

Communicate Plan Internally & Externally

Execute Implementation Plan

Measure Supplier Performance& Track Savings

Profile Volume, Prices, & Suppliers

Profile Processes & Constraints

Collect Specifications

Identify Item Rationalization/ Standardization

Define Market Structure & Segmentation

Analyze Industry Trends

Identify Potential Suppliers

Understand Current Cost Structure of Industry

Develop Category Strategy Hypotheses

Implement

Agreements

Shape &

Negotiate

Agreements

Conduct Bid

Process

Identify

Selection

Factors and

Screen

Suppliers

Develop Sourcing

Strategy

Profile Spend &

Pricing

Assess

Opportunities

Comerica Approval of Baseline & Strategy

Comerica Approval Savings

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General Misconceptions

• Procurement’s role - act as a supplier’s advocate, not

here to sell on their behalf

• Minority/Diversity accreditations - help a supplier, not the

key decision point for selecting a supplier

• Supplier Selection - decisions are not made solely on

price; it is a component of the selection process

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Opportunities

• The following spend categories represents 70-

80% of Comerica’s third party spend -

IT (Hardware, Software and Services)

Facilities / Construction

Retail / Operations Services

22

Questions?

Thank you.

Jane Stolkey Director, Global Procurement

Compuware Corporation

Maria Ebner-Smith Purchasing Manager

Oakland University

Purchasing

at

Oakland University Presented By

Maria Ebner-Smith

Purchasing Manager

Purchasing’s Role

Department Relations

Customer Service

Adhere to Policy

Supplier Relations

Primary Supplier Contact

For Introductions

For Bid Opportunities

Manage Vendor Relationships

Purchasing Contacts Brenda Boor

First Line of Communication

248-370-3172

Eileen Arseneau

For Computers only

Judy Burton

Buyer

Julie Hamilton

Buyer

Maria Ebner-Smith

Purchasing Manager

Judy Burton Housing

Facilities Management

Oakland Center

Center for Student Activities

Environmental Health and Safety

Development, Alumni and Community Engagement

Administrative Departments

Julie Hamilton Campus Recreation

Golf Course

Smart Zones

Human Resources

School of Medicine

Academic Departments

College of Arts and Sciences

School of Engineering

School of Education and Human Services

School of Nursing

School of Business Administration

Maria Ebner-Smith Capital Planning and Design

All Technology Departments

Software

SAAS

Preferred Provider Agreements

Temporary Staffing

Computers

Office Supplies

Copiers

Scientific Supplies

The Bid Process Under $2500

No Bid Requirements

$2501 to $10,000

Comparative Pricing Only

Over $10,000

Formal Bid Required through Purchasing Department

Over $50,000

Sealed Bids Required

Supplier Connections

Oakland.edu/purchasing

Posted Bid Advertisements

Information for Vendors

Vendor Application

Contact the Buyer

Questions and Answers During the Roundtable

Charles Couwlier Procurement Manager

SMART

Suburban Mobility Authority For Regional Transportation

Detroit Regional Chamber

Meet the Purchasers

SMART Facts

• Southeast Michigan’s ONLY regional public

transit system

• We provide 11 million rides annually with over

1 million rides for people with disabilities and

older adults in the tri-county region.

Procurement

• SMART is considered a government agency

• Procurements over $3,000 have to go out for

solicitation:

Informal Quotation (IQT)

Invitation for Bid (IFB)

Request for Proposal (RFP)

Request for Quote (RFQ)

How to Become a Vendor

• Michigan Intergovernmental Trade Network

(MITN) - www.mitn.info

• Online bidding system throughout Michigan

• Access to solicitations from 121 agencies

County of Wayne

Oakland County

City of Dearborn

City of Warren

City of Rochester Hills

Wayne County Airport Authority

MITN Stats

• System Information:

Formal bid solicitations: 19,573

Quote solicitations: 7,464

Award notices posted: 11,560

Annual Contracts

• Solicits $20 Million Annually in Contracts

56% 22%

3%

4% 1% 3% 11%

FY 2013 Contracts Budget

Fuel/Oil/Lubricants

Parts

Tires

Bus Repair Contracts

Route Facilities Maintence

Contracts - Building Maintence

Adminstrative Contracts

Small Business Provisions

• NAICS code will help determine if you qualify

• Visit www.sba.gov for details on being certified

• SMART contracts under $250,000 utilize a

race - neutral small business provisions

DBE Program

• What are the qualifications of a DBE?

A certified small business

Owned or controlled by minorities, women, or a

socially and economically disadvantaged person

Ownership and control is at least 51%

Gross receipts is less than $17.42 million

Mike Sander Project Engineer

Stacy and Witbeck, Inc.

45

Transit Contractor

Specialized in Urban Projects

Employee owned company

Ranked #127 by ENR in the Top 400 Contractors

Ranked #3 by ENR in the Top 10 List for Mass Transit & Rail Contractors in the US

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•Corporate Office

•Alameda, CA

•Northwest Area Office

•Portland, OR

• Area Offices

•Phoenix, AZ

•Salt Lake, UT

Offices

Current Projects

Active

New Markets

47

Light Rail

48

Commuter Rail

49

Stations

50

Buildings

51

Streetcars

52

Current Streetcar Projects

M-1 RAIL Streetcar – Detroit

Sugar House Streetcar – Salt Lake City

First Hill Streetcar – Seattle

Union/Oak Cliff Streetcar - Dallas

Kansas City Streetcar – Kansas City, MO

3.3-mile streetcar route

11 stops

2 Bridges

4 Traction Power Substations

Full-width Road Reconstruction

M-1 RAIL DESCRIPTION AND ROUTE

MDOT Reconstruction

Project

54

Downtown Detroit

55

Campus Martius

56

Comerica Park

57

Fox Theater

58

Midtown

59

Development along Woodward

60

Amtrak Station

61

New Center

3.3-mile streetcar route

11 stops

2 Bridges

4 Traction Power Substations

Full-width Road Reconstruction

M-1 RAIL DESCRIPTION AND ROUTE

Segment 1

63

Streetcar Construction in Downtown

64

Streetcar Construction in Downtown

3.3-mile streetcar route

11 stops

2 Bridges

4 Traction Power Substations

Full-width Road Reconstruction

M-1 RAIL DESCRIPTION AND ROUTE

Segment 2

66

Streetcar Construction in Segment 2

67

Subcontractors Needed

Asphalt Milling

Asphalt Roadway

Brick Paver

Bridge

Concrete Flatwork

Concrete Roadway

Granite Curb Setting

Landscaping

Pavement Marking

Permanent Signage

Pole Foundation Drilling

Rebar Installation

Sewer Line Relocations

Traffic Control

Traffic Signals

Trucking

Underground Electrical

68

Services and Suppliers Needed Construction Material Testing

Equipment Services

Hazardous Material Assessment

On-site Equipment Fueling

Sawcutting

Security

Surveying

Sweeper/Vacuum Truck

Vacuum Excavation/Potholing

Video Inspection/Surveying

Aggregate

Concrete

Conduit/Electrical

Precast Concrete Structures

Rebar

Traffic Control Devices

Pipe

69

Solicitation Procedures

Website - https://stacywitbeck.box.com/m1rail

70

71

72

73

Solicitation Procedures

Website - https://stacywitbeck.box.com/m1rail Link from M-1 RAIL’s website - http://m-1rail.com/

Notification thru subcontractor database

Business/contractor associations

Local media and planrooms

Project office planroom

74

Solicitation Schedule

Most Packages – early December 2013

Quantity Updates – early January 2014

Bid Date – mid January 2014

Notifications/Contracts – February 2014

Start Work – March 2014

Substantial Completion – End of 2015

75

Team Introductions – SWI Team

Lori Ballard – Team DBE Coordinator

Mike Sander – Project Engineer

Ron M. Evans Procurement Director

Wayne County Airport Authority

Ron M. Evans, Procurement Director, DBELO

Wayne County Airport Authority

Detroit Regional Chamber Meet The Purchasers November 21, 2013

Business Opportunities

http://www.wcaa.us/business

Michigan Inter-Governmental Trade Network (MITN) www.mitn.info

Business Diversity Programs

http://www.wcaa.us/business

Business Opportunities

SBE Program

DBE & ACDBE

Contact Us

Wayne County Airport Authority Procurement Division Detroit Metropolitan Wayne County Airport

L.C. Smith Building • Lobby Level Detroit, Michigan 48242 Phone: (734) 247-7900

Fax: (734) 955-5648 Email: Purchasing.Questions@wcaa.us

Ron M. Evans

Procurement Director Ron.Evans@wcaa.us

Sherita Calloway, CPPB

Deputy Procurement Director Sherita.Calloway@wcaa.us

Peter Hathaway

Business Diversity Coordinator Peter.Hathaway@wcaa.us

Thank you!

Speed Networking Rounds

Find a seat at one of the round tables

Short introductions

Purchasing representative will speak

Rotate to a new table