A study chartered by the Illinois Utilities Business Diversity Council (IUBDC) revealed that leading Illinois utilities spent $1.05 billion on goods and services provided by minority-owned, women-owned, veteran-owned, and small business enterprises in 2017. This investment added more than $2 billion to the state’s gross domestic product and generated $341.5 million in federal, state and local taxes.
This spending by the IUBDC represented an increase of nearly 8 percent in sourcing from diverse suppliers over the previous year. It supported more than 7,000 jobs at diverse supplier companies paying $411 million in wages, according to the report.
“The results of the study demonstrate that diverse suppliers are key drivers of economic growth, job creation and the financial well-being of our communities and our state,” said Richard J. Mark, chairman of the IUBDC Board of Directors, and chairman and president of Ameren Illinois.
“Every member company in the IUBDC has demonstrated a commitment to not only source from diverse companies, but also to participate actively in developing the capabilities of these firms to participate at a higher level of our supply chains.”
David Mason + Associates, Inc. is a certified minority-owned business enterprise (MBE) and now a preferred engineering and construction support services provider to many of Illinois’ largest utilities.
“Our relationships with IUBDC has allowed us to expand our practice into other regional and national opportunities with other utility providers,” said Taylor Mason, principal at David Mason + Associates. “In fact, the growth in our engineering and construction services has helped contribute to our firm’s economic impact and employment opportunities throughout Illinois.”
The IUBDC also provides educational opportunities and forums to share best practices. In a joint effort with the National Minority Supplier Development Council, the IUBDC entered into a partnership with the Kellogg Executive Program at Northwestern University to provide certified, established, expansion-oriented MBEs with the tools and skills needed to achieve and sustain accelerated growth.
“Thanks to a scholarship program from IUBDC, we were able to participate in a world-class training and development opportunity to engage in succession planning, capacity-building acumen to enhance our long-term, value-added partnerships with multiple utility purchasing representatives,” said Edilberto Ortiz, president of E.C. Ortiz & Company, a certified MBE.
The IUBDC was formed in 2015, with support from the Illinois Commerce Commission, to increase business opportunities for diverse suppliers through closer collaboration, technical development and sharing of best practices among Illinois’ leading utilities. IUBDC charter members include Ameren Illinois, ComEd, Illinois American Water, Nicor Gas, North Shore Gas and Peoples Gas.
The study was conducted by supplier.io, a Chicago-based research company that works with businesses to improve supplier development results.
For more information, visit iubdc.com.
