CEDARS-SINAI MEDICAL CENTER

1. Policy Statement

Supplier Diversity Policy Statement

Cedars-Sinai has been committed to improving community health across Los Angeles for more than a century. The deployment of our Supplier Diversity program will help to continue to further support our community by investing directly into our locally owned businesses while also helping to build a more accessible and sustainable economy. Cedars-Sinai Medical Center is part of the Cedars-Sinai Health System (CSHS), and therefore operates in alignment with CSHS's Supplier Diversity Policy Statement. Cedars-Sinai Health System has an internal resource who is allocated 100% to the creation, implementation, and management of CSHS Supplier Diversity Program and related efforts. Below is the CSHS, Supplier Diversity Policy Statement that will help drive the CSHS Supplier Diversity Programs framework: Cedars-Sinai Health System's commitment to supplier diversity extends beyond our walls and into the communities where we live and work, and we are committed to working with small and diverse owned businesses. We make every effort to be afford opportunities to all businesses regardless of race, ethnicity, gender, sexual orientation, physical or mental disability, military and/or veteran status or any other basis protected by federal and state law. We believe that extending these opportunities enables us to successfully achieve our mission of connection and community outreach -For All, By All. Further-more, Cedars-Sinai Health System recognizes the competitive advantage that supplier diversity brings to our supply base and the strength it provides to the communities and economy in which we operate. Our program ultimately aims to enable the growth and success of diverse owned businesses and is committed to respect and integrity for all. Our Supplier Diversity Program strives to: - Foster an open procurement process by providing all Cedars-Sinai Health System personnel, who are involved in the acquisition and use of goods and services, adequate tools and training to enhance their understanding of and ability to meet Cedars-Sinai Health System supplier diversity goals and objectives in a manner consistent with applicable state and federal law. - Work to ensure that all businesses, regardless of protected status, are provided the maximum opportunity to compete for business opportunities as a supplier or contractor for goods and services provided throughout the hospital system. - Encourage second tier spend reporting by our prime suppliers and seek a pledge to reinforce second tier supplier diversity reporting. - Establish reasonable and attainable goals consistent with Cedars-Sinai Health System policies and practices and federal and state law. - Empower diverse owned businesses with the provision of information and guidance, via various communication and outreach engagements, regarding the process of how to participate in our Supplier Diversity Program. Our program will assist diverse owned businesses through the following focus areas: - –Development of Diverse Owned Businesses: Offer technical assistance and capacity building workshops that support businesses that have not previously contracted with Cedars-Sinai. - Outreach to Diverse Owned Businesses: Actively seek diverse suppliers through involvement with external community business organizations and participating in industry trade shows and events. - Inclusion of Diverse Owned Businesses: Facilitate internal programs, and introductions to key stakeholders, to promote awareness of diverse owned businesses in sourcing and procurement opportunities. Cedars-Sinai also complies with Assembly Bill 962 per the requirements set forth by the Department of Health Care Access and Information. All Supplier Diversity related efforts will be documented per the reporting requirements included in Assembly Bill 1392 and 962.

2. Goals and Timetables

Please describe your hospital's short-term goals and timetables, but not quotas, for increasing procurement from women, minority, LGBT, and disabled veteran business enterprises

Short-Term Goals for Supplier Diversity Over the next 1 to 2 years, CSHS aims to strengthen supplier diversity capabilities through the following goals: 1. Identify and Connect with Diverse Suppliers: Engage with qualified diverse suppliers to understand their capabilities and capacity. 2. Collaborate with Prime Suppliers: Work with prime suppliers to maximize opportunities for small and diverse businesses. 3. Promote Supplier Inclusion: Participate in sourcing activities to promote inclusion of diverse suppliers. 4. Facilitate Communication: Arrange meetings with suppliers and leaders to maintain open communication channels. 5. Develop Processes and Tools: Create or implement processes and tools to facilitate and enhance supplier engagement efforts.

Please describe your hospital's long-term goals and timetables, but not quotas, for increasing procurement from women, minority, LGBT, and disabled veteran business enterprises

Long-Term Goals for Supplier Diversity CSHS aims to increase procurement from women, minority, LGBT, and disabled veteran business enterprises by focusing on three key areas: 1. Supplier Inclusion: Develop spend analytics and strategic procurement practices at both prime and subcontractor levels. 2. Supplier Development: Provide capacity-building and technical workshops that support businesses that have not previously contracted with CSHS and share information on future procurement opportunities. 3. Supplier Outreach: Build strategic partnerships with external organizations and advocacy groups to expand supplier reach and source qualified diverse-owned businesses, aligning with our program mission.

3. Outreach and Communication

Please describe the methods in which the hospital encourages and seeks out both prime and subcontract suppliers from women, minority, LGBT, and disabled veteran business enterprises to become potential suppliers

Methods for Encouraging Diverse Suppliers Throughout the year, CSHS launched initiatives to engage with diverse suppliers and vendor partners, such as the "Meet and Greet" program. We introduced 15 new diverse-owned businesses to internal stakeholders, leveraging industry directories and lists to screen hundreds of potential suppliers and identify high-potential candidates. Our engagement process involved meetings with diverse suppliers to understand their capabilities and qualifications for future contracting opportunities. These efforts broadened our vendor base and aligned with our goals for community impact and market competitiveness. We plan to continue this initiative in the coming years. Additional Methods: Networking Events with External Partners: Participate in events that connect diverse suppliers with supply chain teams. Supplier Development Support: Provide mentorship and technical assistance to help businesses that have not previously supplied to CSHS navigate the supply chain process.

Please describe the methods in which the hospital encourages its employees involved in procurement to seek out women, minority, LGBT, and disabled veteran business enterprises to become potential suppliers

Encouraging Diverse Supplier Engagement in Procurement Cedars-Sinai Health System's Supplier Diversity Program promotes an inclusive procurement process by providing staff with relevant tools and training. Employees are encouraged to identify and include diverse vendors for consideration for available opportunities, consistent with state and federal law. To further strengthen our efforts, we developed the following: 1. Supplier Diversity Strategic Plan: Completed an assessment to identify opportunities for the strategic plan, engaged leadership for input, and presented the plan to senior leaders. 2. Monitor and Report Progress: Implement systems to track engagement with diverse businesses that have not previously supplied to CSHS and share metrics to stakeholders for transparency purposes. 3. Partner with Advocacy Groups: Collaborate with organizations supporting diverse businesses to identify potential suppliers and resources. 4. Offer Training: Provide training sessions designed for different departments or roles to ensure relevance and effectiveness in meeting supplier diversity objectives. Also, an internal resource dedicated to the program offers support, participates in sourcing activities, collaborates with supply chain leaders, and assists with outreach to potential suppliers. This resource also educates staff on supplier diversity, enhances awareness, and encourages vendors to obtain certifications.

Please describe the methods in which the hospital conducts outreach and communication to women, minority, LGBT, and disabled veteran business enterprises

CSHS Supplier Outreach Efforts Supplier outreach is a key focus of the CSHS Supplier Diversity Program. We leverage strategic partnerships with organizations like the Southern California Minority Supplier Development Council, Women's Business Enterprise Council-West, Los Angeles LGBT Chamber of Commerce, and Veterans In Business Network to engage with diverse business communities through exhibitor fairs, town halls, symposiums, webinars, and workshops. Our efforts aim to build mutual capacity in the region. Key Contributions include: 1. Hospital Association of Southern California / Communities Lifting Communities: Contributed to the Supplier Diversity Committee and participated in the Annual Supplier Diversity Conference, connecting with over 200 attendees. 2. Healthcare Inclusive Procurement Network: Partnered with HASC/CLC to launch a centralized directory of 1,500 suppliers, accessible to over 176 hospitals and 31 health systems. 3. Southern California Minority Supplier Development Council: Participated in Business Beyond Barriers Conference, impacting 500 attendees, and contributed to the Supplier of the Year award committee. 4. Supplier Diversity Panel & Presentations: Engaged over 300 attendees in discussions with industry colleagues at LogiMed conference. Engaged 100 participants in the 2024 cohort at the Valley Economic Alliance's Connect to Contracts Accelerator. These activities enhance awareness of CSHS's supplier diversity efforts and foster new connections with diverse suppliers.

4. Support and Supplier Resolutions

Please describe the methods in which your hospital supports, partners with, or interacts with organizations and other entities in the procurement ecosystem that promote, certify, or contract with women, minority, LGBT, and disabled veteran business enterprises

CSHS Engagement with Organizations in the Procurement Ecosystem Cedars-Sinai Health System actively supports and partners with organizations that advocate for supplier development. We are members of key organizations, including the Southern California Minority Supplier Development Council, WBEC-West, Veterans in Business Network, and LA LGBT Chamber of Commerce, as well as various Chambers of Commerce across Southern California. Our commitment to supplier diversity has been recognized with a nomination for "Corporation of the Year" in 2024, and our Associate Director of Supply Chain Diversity received the "Rising Star" award from the Southern California Minority Supplier Development Council.

Please describe the methods in which your hospital resolves any issues that may limit or impede an enterprise from becoming a supplier

Methods for Resolving Supplier Issues Cedars-Sinai Health System has implemented several methods to address and resolve issues that may limit enterprises from becoming suppliers: 1. Supplier Diversity Webpage: Provides information to guide suppliers. 2. Dedicated Email Inbox: Offers a direct communication channel for prospective and current suppliers to inquire and resolve issues. 3. Dedicated Support Resource: A designated resource is available to assist suppliers in addressing and resolving any challenges they encounter.

5. Diversity Commission Recommendations and Planned Implementations

Please describe the past implementation of relevant recommendations made by the Hospital Supplier Diversity Commission

Implementation of Hospital Supplier Diversity Commission Recommendations In alignment with the Hospital Supplier Diversity Commission's recommendations, our organization has undertaken several initiatives to advance supplier diversity, including: We have created a policy statement that promotes the utilization of diverse suppliers in a manner consistent with applicable federal and state law. To improve transparency and accountability, the organization created an internal dashboard to track spending with diverse vendor partners. The organization has also developed and implemented procurement processes and tools to maximize opportunity for diverse suppliers to compete, without regard to race, ethnicity, gender, sexual orientation, physical or mental disability, military and/or veteran status or any other basis protected by federal and state law. We are partnering with prime suppliers to report on spend with diverse suppliers. We have created a supplier diversity webpage for suppliers to learn more about our program and encourage new connections. We are encouraging our diverse suppliers to get their certification through an authorized certification body.

Please describe the planned implementation of relevant recommendations made by the Hospital Supplier Diversity Commission

Planned Implementation of Hospital Supplier Diversity Commission Recommendations Our organization has implemented several recommendations from the Hospital Supplier Diversity Commission. As we continue to enhance our supplier diversity program, our next steps involve assessing the remaining recommendations for feasibility and developing implementation plans where applicable.

6. Procurement Process and Certification

Please describe your hospital's procurement process

Cedars-Sinai Health System follows a 7-step structured process to help us align and ensure value and risk mitigation for our patients and organization. This 7-step process includes the following: 1. Category Assessment: Analyze internal spend data to identify major spending areas, cost drivers, and inefficiencies. 2. Requirements Gathering: Research the internal stakeholder specific requirements, technology dependencies, risk and supply market to identify potential suppliers, understand market dynamics, and analyze pricing trends. 3. Sourcing Strategy Development: Develop a sourcing strategy based on the identified needs and market research, including determining the best sourcing approach (e.g., single-source, multi-source). 4. Strategy Execution: Identify potential suppliers, release RFx - evaluate them based on pre-defined criteria, and select the most suitable partners. Include Cybersecurity, Supply Assurance, Business continuity planning, terms and conditions fulfilment/obligations. Develop vendor score card. 5. Negotiation and Contract award: Negotiate terms, pricing, and contracts with selected suppliers. 6. Implementation and Integration: Implement the chosen sourcing strategy, integrate suppliers into the supply chain, and ensure smooth onboarding. 7. Continuous Monitoring and Improvement: Continuously monitor supplier performance, track key metrics, and identify areas for improvement to optimize the sourcing process.

Website Link(s)

https://www.cedars-sinai.org/supply-chain/supplier-diversity.html

Do you require suppliers to be certified?

Yes

Do you accept self-certification

No

7. Diverse Supplier Spending

Diverse Procurement Spending by Minority

For the reporting period, enter the dollar amounts procured by your hospital from those business enterprises that employ the majority of their workforce in California.

Diverse Procurement Spending by Other

For the reporting period, enter the dollar amounts procured by your hospital from those business enterprises that employ the majority of their workforce in California.

What is your hospital's total procurement (including diverse and non-diverse suppliers)?

$2,749,414,837

Procurement means the purchase or lease of supplies, services, equipment, and capital expenditures related to buildings and fixed equipment during the previous calendar year. Procurement does not include items such as employee salaries and wages, fixed asset depreciation, amortization, or taxes.

8. Supplier Point of Contact

Enter the contact information for the individual that business enterprises who are interested in contracting with your facility can reach out to.

Name: Andrew Kwok

Enter the contact information for the individual of the diverse business outreach liaison of your hospital.

Name: Andrew Kwok

Hospital Contacts for Diverse Business Enterprises are available upon request. Please send request via email to supplier.diversity@hcai.ca.gov

9. Third Party Procurement

Third Party Procurement

• Vizient
• https://www.vizientinc.com/

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