Transcript No Slide Title

Doing Business with Gov’t.
Contractors
FirstEnergy Corp.
July 22, 2004
FIRSTENERGY Corp.
• A registered public utility holding company
• 5th Largest Investor-Owned Electric Utility
• 4.4 million retail customers
• 14,700 miles of transmission lines
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FirstEnergy’s Diversity Sourcing Program
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FirstEnergy’s Diversity Sourcing Program
FirstEnergy Supply Chain
(partial Organizational Chart - Supplier Diversity)
Brad Tobin
Vice President & Chief Procurement Officer
Roger Savako
Director
Corporate Services
Lonnie Worley
Director
Nuclear Generation
Ron Kantorak
Director
Fossil Generation
Kim Jones
Director
Energy Delivery
Bob Jadgchew
General Manager
Operations
Ron Limpus
General Manager
Center of Excellence
Dennis Neal
Manager
Supplier Network
Chad Heyman
Supplier Network Coordinator
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Toby Stanislaw
Supplier Network Coordinator
FirstEnergy’s Diversity Sourcing Program
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Supplier Diversity at FIRSTENERGY

Key drivers include:
– Provides opportunities in a competitive environment
– Service, quality and competitive prices continue to drive the
program
– compliance with federal, state, and advocacy group
requirements

Eligibility:
– Small Business
– Small Disadvantaged Business
– Woman-Owned Business
– HUBZone Business Concern
– Veteran Owned Small Business
– Service Disabled Veteran-Owned Small Business
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FirstEnergy’s Diversity Sourcing Program
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FirstEnergy’s Supplier Diversity Program
Components are:

Annual Sourcing Opportunity Commitments

A Commitment to Data Accuracy

Outreach Activities

Communications (Internal & External)

Training
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FirstEnergy’s Diversity Sourcing Program
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FirstEnergy’s Diversity Sourcing Program
Outreach, Communications & Training

Demonstrating FirstEnergy’s Outreach Leadership:
– National Minority Supplier Diversity Council (NMSDC)
– MSDC of PA-NJ-DE
– Northern Ohio Minority Business Council (NOMBC)
– Edison Electric Institute Minority Committee (EEI)
– NJ Board of Public Utilities SDDC Council
– Women’s Business Enterprise National Council

Communicating through:
– E-mail
– FE Web-site & Supply Chain Intra-Net
– Employee Update Newsletter
– How to do Business brochure
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FirstEnergy’s Diversity Sourcing Program
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What FirstEnergy Buys:

Corporate Services
– IT, Telecommunications, Facilities, Logistics, Office
Supplies, Office Equipment, Consulting Services, Staffing

Energy Delivery
– Distribution hardware, transformers, engineering, fleet
services, fuels, meters, high voltage line construction,
street lighting, vegetation mgmt., wire & cable

Fossil Generation
– Boiler parts, coal handling, motors, pumps, chemicals,
gases

Nuclear Generation

Supply Chain Support Services
– Procurement Card, Transportation, Travel, Diversity,
Investment Recovery
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FirstEnergy’s Diversity Sourcing Program
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How FIRSTENERGY buys:

Variety of methods
– RFP
– RFx
– Straight Bid
– Reverse Auction
– Negotiated Agreements

Moved from traditional purchasing structure to a
Strategic Sourcing environment

Supplier Diversity - extension of corporate
commitment at every level of the company
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FirstEnergy’s Diversity Sourcing Program
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How to register as a supplier:

Vendor
– Complete the FE Supplier Network Supplier Registration
form
– Identify your products or services - at least two sets of
documents/brochures
– Certifications

FirstEnergy
– Access database
– copy may go to Buyer, Requisitioner, or file

Opportunity
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FirstEnergy’s Diversity Sourcing Program
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Our wish list:

Know our business - more importantly know yours

Be patient - but diligent
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Develop relationships and ask for help
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Expect to have to earn our business
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Be e-enabled
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Be professional - you typically have one opportunity

Know your bottom line

Be prepared to WIN

Ask for the sale!
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FirstEnergy’s Diversity Sourcing Program
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