FirstEnergy

Supplier Diversity: Quality and Commitment

Challenge

FirstEnergy recognized the value diverse suppliers represent and sought to ensure we continue locating, qualifying and doing business with the best suppliers available.

Actions

Supplier diversity – a major component of FirstEnergy’s Supply Chain group’s objectives and long-range strategy – provides valuable business opportunities.

Outcomes

In 2016, FirstEnergy Supply Chain exceeded its diversity goals, reflecting its success in striving to increase the total spend with small business, minority, women, veteran, service-disabled veteran-owned and HUBZone businesses (small companies in Historically Underutilized Business Zones). Our diverse and small business supplier spend was $1.1 billion in 2016.

For the past five years, FirstEnergy operating company Potomac Edison has exceeded its aspiration goal of 25 percent of spend with diverse, women-owned and service-disabled veteran businesses. Potomac Edison was recognized by the Maryland Public Service Commission as one of four utilities that have met or exceeded the goal. 

Our Supply Chain group has partnered with our operating companies and Human Resources to host outreach events for Jersey Central Power & Light and The Illuminating Company (based in Cleveland) to identify potential diverse suppliers and educate them on doing business with FirstEnergy.

Members of our Supply Chain group serve on committees on the Maryland Public Utility Forum, Utility Industry Group and Ohio GATE (Gaining Access through Economics with Ohio Utilities), where industry-best practices are shared and reviewed with other utility members. 

Our Supply Chain partners with advocacy organizations Edison Electric Institute, Women’s Business Enterprise Council, Minority Supplier Development Councils, Elite Service Disabled Veteran-Owned Network, Small Business Administration and similar groups to identify diverse businesses as potential suppliers.

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