CHILDREN’S HOSPITAL OF LOS ANGELES

1. Policy Statement

Supplier Diversity Policy Statement

Children's Hospital Los Angeles (CHLA) is committed to opportunity, integrity and impact and strives to hire, develop, and retain a workforce that best serves our patient population. The hospital aims to create a community that fosters and supports an inclusive environment free of discrimination from any characteristic protected by federal, state, and local laws. CHLA values relationships with vendors that share CHLA’s value of diversity in all aspects. As such, CHLA requires its vendors to prohibit discrimination based on any protected characteristic in accordance with applicable laws and encourages its vendors to support this important goal. Vendors may be required or asked to report their diversity spend to CHLA or provide other information requested by CHLA in accordance with AB1392. CHLA will not tolerate or condone harassment, discrimination, or retaliation. Vendors shall create and foster a work environment where employees and business partners feel valued and respected for their work. All verbal, visual, or physical abuse that creates or fosters intimidation or a hostile work environment is strictly prohibited, and removal will be enforced.

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

CHLA will continue to advance initiatives that are in alignment with the various goals and initiatives throughout the hospital.

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

CHLA will maintain its commitment to sourcing from local, diverse, and minority suppliers when such opportunities are mutually beneficial.

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

CHLA seeks out prime and subcontract suppliers through attending events both locally and nationally. The networking events provide opportunities for both the hospital and suppliers to meet and make meaningful connections. Through these events, CHLA has onboarded and utilized three diverse suppliers. Vizient (GPO) contracts are another way CHLA seeks out and encourages diverse suppliers. When a supplier is Vizient contracted, cost savings are applicable and therefore creating a stronger need for the diverse supplier.

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

Cross-discipline initiatives drive movement at CHLA. Collaborating with sustainability, cost savings initiatives, distribution services and other areas gives a supplier diversity initiative more intention. When these cross-discipline initiatives are implemented, CHLA internally publishes an article detailing the supplier diversity initiative in partnership with other areas to continue the conversation. Positive feedback has been received, and it provides a sense of togetherness with the team.

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

Outreach and communication are done through various outlets, which include, but are not limited to networking opportunities and education conferences. There is equal opportunity for all vendors to market their services and go through the Vizient approval process.

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

CHLA does not currently maintain direct partnerships with certifying or contracting agencies. The Hospital Association of Southern California (HASC) and Communities Lifting Communities (CLC) have been significant partners in the supplier diversity initiative. Through these partnerships, CHLA has been able to conduct a successful networking event for hospitals and suppliers. A supplier diversity committee was also established, and CHLA was nominated to be the co-chair.

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

When issues arise, they are resolved internally with the procurement and distribution teams. Solutions are created to reflect the mission of the hospital, specific goals and desired outcomes.

5. Diversity Commission Recommendations and Planned Implementations

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

Past implementation of relevant recommendations included: 1. A supplier diversity policy was created 5. Develop and implement an inclusion policy to track diverse suppliers 8. Prime vendors provided Tier II spend 10. New diverse/minority vendors are tracked internally as part of the process to add new vendors to the system. Tracking diversity statuses is intended solely for monitoring the participation of diverse vendors and is not the sole criterion for decision-making.

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

Past implementation of relevant recommendations included: 2. Outreach will continue to remain a priority in efforts to connect with new vendors 5. The internal policy will continue to be in effect 8. Prime vendors will continue to provide Tier II spend 10. New diverse/minority vendors will continue to be tracked. Tracking diversity statuses is intended solely for monitoring and reporting the participation of diverse vendors and is not a criterion for decision-making. 22. In partnership with the Hospital Association of Southern California (HASC), there is continual growth of “The List”, which serves as a database for California-based diverse vendors that participating California hospitals have access to.

6. Procurement Process and Certification

Please describe your hospital's procurement process

1. Supplies/services needed 2. Sourcing team reviews current items/suppliers 3. Enterprise Value Analysis approval 4. Trial period 5. Enterprise Value Analysis re-approval 6. Supplier onboarding 7. Contracting team reviews contract, terms, conditions 8. Supplies/services purchased and maintained

Website Link(s)

https://www.chla.org/

Do you require suppliers to be certified?

No

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)?

$907,179,355

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: Audrey Chang

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

Name: Audrey Chang

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 Inc.
• https://www.vizientinc.com/

10. Other Relevant Information

We accept both direct and indirect spend from our prime suppliers. To the extent possible and best efforts, this may include spend with suppliers who have a majority of the workforce in California.

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