Become part of SRP's diverse supply chain

Supplier Diversity

Understanding the value of a diverse supplier base has been at the core of SRP’s supplier diversity initiatives since 1995. Our diverse suppliers are integrated into our supply chain marketplace, where products and services are ethically and efficiently sourced. Engaging diverse suppliers encourages innovation and sustainability, and promotes economic empowerment.

SRP’s Supplier Diversity mission is to promote a composition of corporate spend reflective of the communities we serve.

Our diverse supplier partners include:

• Small/Local Businesses
• Disabled-Owned Businesses
• LGBTQ-owned businesses
• Minority-owned businesses
• Woman-owned businesses
• Veteran and service-disabled businesses
• Other underserved businesses

For your company to be classified as a diverse business, your company must be at least 51% owned and operated by the diverse classifications above. Small business is classified by the U.S. Small Business Administration.

Our Economic Impact

SRP’s small and diverse managed spend in FY23 was $243M or 18% of total managed spend. SRP was able to achieve this by utilizing 700 small, local, and diverse suppliers.

The money SRP spends with diverse suppliers contributes to a strong supply chain and healthy business activity that encourages job creation and an economy that positively impacts the community. Read our Supplier Diversity Economic Impact Report to learn more about how SRP’s purchases have a ripple effect on the supply chain and our communities.

Commitment to a diverse supply chain

For nearly thirty years, Supplier Diversity has been an extension of our commitment to embodying an organization that truly reflects the communities we serve, where every person is treated fairly and with respect.

SRP’s Supplier Diversity success is a collaborative effort. We encourage colleagues across our company to drive supplier diversity goal achievement. We partner with local community organizations to champion supplier diversity excellence and as a source for small and diverse businesses. By engaging with community organizations that support and advocate for small and diverse businesses, we’re working to foster economic empowerment and provide a sustainable supply chain marketplace for goods and services.

As we look ahead to meet the challenges of an evolving utility industry, diverse suppliers are key to supporting our mission to provide reliable, affordable and sustainable water and energy to our customers and communities. . Diverse Suppliers strengthen our supply chain with innovative business solutions, and help shape a strong community through economic development, leading to a better future for us all.

Second-tier spend

SRP encourages all of our suppliers to identify and provide opportunities for diverse businesses. The utilization of diverse suppliers as part of their purchasing agreements with SRP is considered second tier spend.

Need to calculate second-tier spend with SRP?

A second-tier spend formula is provided below to help calculate second-tier diverse spend from SRP.

Second-tier spend example: Company A uses 6,025 kWh per month.

Global supply chain disruptions provide opportunity

Supply chain disruptions are nothing new to SRP. In general, utilities, including SRP, are accustomed to dealing with temporary disruptions such as those caused by weather-related events. In recent years, the COVID-19 global pandemic brought supply chain professionals face to face with the fragility of the global supply chain and how quickly disruptions can cascade into a chaotic environment. SRP, like many businesses, has used the past several years to shore up supplier relationships and look for opportunities to mitigate associated supply chain risks, such as extended lead times related to logistics bottlenecks and labor shortages, and price increases from inflation and production-related supply capacity.

While the impacts of the pandemic-related disruptions have largely subsided, new disruptors are on the horizon related to operations, such as component shortages, logistics constraints, divergent standards and regulations, macroeconomic related trade policy and labor shortages, technology risks, such as chip shortages and cyberattacks, geographic concerns related to commodity shortages and price fluctuations, and environmental concerns such as tougher regulations and weather related natural disasters. SRP’s commitment to provide an uninterrupted supply of water and power to our customers relies on our Supply Chain team’s timely procurement of materials and services needed to support our core business operations. SRP’s Supply Chain professionals look to establish preferred customer status with suppliers who are agile, innovative, and who can provide accurate lead time and price estimates to support continuity of the supplies and services required to meet SRP's business objectives.

Becoming a diverse supplier