U. gives boost to community businesses

During the last three years, the University's purchasing department has strategically used its $150 million budget to strengthen local businesses and bring more jobs to West Philadelphia. Bolstered by President Judith Rodin's support, the department's West Philadelphia Business Initiative has increased the University's purchases from local businesses from $13.8 million in 1994, Rodin's first year, to $18.3 million in 1995. Carol Scheman, vice president for government, community and public affairs, said her office reviewed the University's plans last year to determine with which companies and for what supplies the University spends its money. "I want to know where we buy all our toilet paper," Scheman said. "I want a better price, and I want to buy it from businesses in West Philadelphia." When the University began its West Philadelphia Business Initiative several years ago, Purchasing Director Bob Michel said, the program did not go as smoothly as planned. "We had one or two initial experiences that were not exactly the way we hoped they would work out," he said. "We learned as the program evolved." Michel uses two strategies to bring more of the University's money to the West Philadelphia business community. The first part of his plan partners local businesses with larger companies to supply the University. According to Michel, the University's size poses several problems for small businesses because many lack the inventory and support staff to service the entire campus. For instance, the University's office supply contract -- one of the school's largest contracts -- requires that materials be delivered directly to the person who ordered them. Michel said few smaller suppliers can provide that service. So when the University searched for its latest office goods supplier, the request for bids sought a partnership between a large company and a local supplier. The contract went to a partnership between Philadelphia Stationers, recently bought by Staples, and the local Alpha Office Supply. Alpha is located in a "disadvantaged business area" in North Philadelphia, Michel said. Other area businesses have benefitted as well. Rose Computer Systems, Inc. has formed two separate partnerships to conduct business with the University. Rose has worked with other, larger companies such as Computer Warehouse to fill the University's computing needs. And a Rose subsidiary teamed up with Xerox to provide the University with fax machines and low-volume photo copiers. Another partnership allowed Emsco Scientific Enterprises and Fischer Scientific Co. to win the University's multi-million dollar laboratory supplies contract. The University has also been urging its bigger contractors to relocate some of their offices to West Philadelphia, Michel said. "We're telling large, existing companies that if they want to do business with us in the future, we want them to move into West Philadelphia," he said. When the X-TEK corporation paired with Rico Copiers to supply the University with photo copiers, they built at their regional training base in West Philadelphia. And one of the University's largest general contractors, Lorenzo and Brothers, recently opened a training and storage facility in the area. "We hope that by bringing buyers into West Philadelphia, we can create job opportunities," Michel said. And local business development has not been limited to Michel's department. Scheman said she met with the Woodland Cemetery Association, which maintains a local arboretum, on Friday about bringing a wholesale plant nursery to the area. Scheman said that a local nursery would lower the University's landscaping costs while creating jobs and a new service in West Philadelphia. Michel said he was "delighted" when Rodin arrived and made community business development a priority. "She made it clear to us that she will give us any support and encouragement necessary to make this program a success," Michel said.