Reach Your Goals

The U.S. Supreme Court handed down a landmark decision in affirmative action in June when it banned race-conscious student admissions at Harvard and the University of North Carolina, effectively ending affirmative action college admission programs across the country.

While the ruling specifically impacts college admissions, the broader issue of diversity remains a vital aspect of American society. Diversity initiatives have long been embedded in various sectors, including government employment, federal government contract awards, procurement practices, and business and community dynamics.

In the realm of procurement, Women Business Enterprise (WBE), Small Business Enterprise (SBE), and Minority Business are the key components for diversity. The challenge is not so much the acceptance of diversity but the creation and administration of a plan for diversity. Once there is a plan and goals are set, qualification can be a time-consuming process.

In capital projects, government agencies typically will require primes and subcontractors to become prequalified before they can bid on a project. The Public Works depts collect and review a significant amount of information from a pool of subcontractors. This can result in delays in the procurement process and potentially impact project timelines.

One agency taking significant strides in promoting diversity within procurement is the Metropolitan Water District of Southern California (MWD). The MWD operates an SBE certification program.  The agency decided that the awarding Prime Contractor must include 18% percent with a certified SBE.  Once MWD moved their certification process online with PlanetBids, it allowed their contractors to not only search their approved database of SBE's, but also required them to record monthly payments to their SBE subcontractors. In turn, MWD saw substantial growth in their SBE numbers. MWD has since increased its participation goal from 18% to 25%, according to Carmen Bermudez-Bracy, the water agency’s Contract Compliance Program Administrator.

Automation has emerged as a key enabler for managing diversity initiatives and facilitating reporting. Bermudez-Bracy emphasizes the importance of user-friendly online systems in handling over 1,000 new supplier certifications and renewals annually, especially given MWD's annual $250 million construction spend. Encouraging participation from small businesses and Disabled Veteran Owned Businesses (DVBEs) while effectively tracking and reporting on projects has become a pivotal focus.

To meet these objectives, MWD has harnessed the power of PlanetBids’ PB System™. MWD uses PlanetBids’ PB System™ to augment their supplier pool and assist with the Small and Disadvantaged Business program. The capability to perform quick quotes, including an easier way for bidders to accept contract terms and conditions, assisted field staff to contract with suppliers/contractors quickly. PB System™ provides the advantage of greater outreach to small businesses, a primary goal for MWD, because it allows the sharing and collaboration of established vendor databases across multiple agencies. This reciprocity provides greater outreach and access to small and disadvantaged businesses across the region.

Having access to a database of 20,000 vendors and over 4,000 certified firms “makes the goals of reaching small business entities more attainable,” notes Bermudez-Bracy.

San Diego International Airport also fully embraces diversity initiatives in procurement. In 2022, the airport awarded contracts totaling $359 million, with 16% going to certified small businesses and 21% to certified local businesses. The Local Business Certification process was seamlessly executed through the PlanetBids portal, according to Jana Vargas, Director of Procurement and Small Business Development and Vice President of the Airport Purchasing Group.

Janice Unger from the East Side Union High School District in San Jose, CA, served as the Director of Bond Purchasing & Contracts with a six-member team. Historically, the department’s role has been responsible for all construction and bonding projects within the district. Unger states, “Our department handles all design-build projects, as well as RFQ’s, RFPs and bids. Originally, this work was done manually, and bids had to be submitted in person by contractors, with a public bid opening. In 2015, PlanetBids was brought into the district, moving our team away from the spreadsheets, bid tracking whiteboard, and manual processes. Today, contractors submit all their documents online and no longer need to travel to the district offices to deliver those submissions.”

Diversity management and reporting have been integral components of PlanetBids’ online procurement platform, a concept conceived 23 years ago. Today, in its third generation, PlanetBids’ proprietary PB System™ boasts a fully equipped Business Certification module that empowers organizations to administer Women Business Enterprise (WBE), Small Business Enterprise (SBE), and Minority Business Certification programs, in addition to Contractor and Subcontractor Prequalification and a myriad of other related functions.

PlanetBids’ Business Certification module features include:

• Vendors can apply for and maintain their online certifications and prequalifications
• Agencies can manage, maintain and retrieve up-to-date information on vendor certifications and prequalifications, including financials, client references, licenses, safety questions and more
• Registered vendors have access to view certified/prequalified vendors for potential subcontracting opportunities
• Clients who have the Bid Management module have even greater control when managing bid opportunities and reporting

For more information and to schedule a demo, visit PlanetBids.com.