KAISER FOUNDATION HOSPITAL – SAN JOSE

1. Policy Statement

Supplier Diversity Policy Statement

The Supply Chain Services Impact Spending Department, (formerly known as National Supplier Diversity and hereafter referred to as Impact Spending) maintains procurement guidelines for the use of diverse suppliers to be used by all Kaiser Foundation Health Plan, Inc. and Kaiser Foundation Hospitals’ (KFHP/H) employees responsible for purchasing. It is policy to prefer to use a qualified diverse supplier whenever one is both available and able to meet KFHP/H 's business terms and conditions at a competitive price. KFHP/H is not obligated to use a diverse supplier over others when they are not able to meet the business requirements including pricing.

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

At Kaiser Permanente, we are committed to advancing equity and inclusion through our supply chain by increasing procurement from women-, minority-, LGBT-, and disabled veteran-owned business enterprises. In the short term, we are expanding diverse supplier participation in sourcing events, strengthening Tier II engagement, and enhancing internal education and accountability across sourcing teams. We partner with national advocacy organizations to support supplier development and are improving data tracking to ensure transparency and measure progress. These efforts are embedded in our sourcing policies and supported by executive leadership as part of our broader mission to promote community health and economic equity.

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

Kaiser Permanente’s long-term goal is to fully integrate inclusive procurement into our standard business operations, ensuring that engaging women-, minority-, LGBT-, and disabled veteran-owned business enterprises becomes a sustained and normalized part of how we do business. Our vision is to build a resilient, diverse supply chain that reflects the communities we serve and contributes to their long-term economic vitality. By embedding supplier diversity into sourcing strategy, policy, and performance accountability, we aim to move beyond compliance toward lasting systemic change—where inclusive sourcing is not a separate initiative but a core expectation across all procurement decisions enterprise-wide.

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

We strongly recommend all prospective suppliers and service providers register on our portal. (https://supplier.kp.org/impactspending/) Registration gives Kaiser Permanente decision makers access to your company's information when conducting supplier searches. Be sure to update your registration annually.

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

Employees with contracting/sourcing responsibilities: 1. Integrate diverse suppliers in all phases of the contracting/purchasing process and collaborate with Impact Spending to define strategies to promote/enhance diverse supplier participation where opportunities exist. 2. Collaborate with Impact Spending to find suppliers for upcoming contracts or purchases. 3. Respond to diverse supplier referrals from Impact Spending in a timely manner. 4. Continue to utilize and develop diverse suppliers who perform well. 5. Review performance reports to identify key strategies to increase spend with diverse suppliers. 6. Attend periodic Impact Spending training on supplier diversity strategies and practices.

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

Outreach efforts to obtain sources of diverse suppliers include but are not limited to the following: 1. Maintain membership and regular collaboration with local chapters of National Minority Supplier Development Council (NMSDC), Women's Business Enterprise National Council (WBENC), National Veteran Business Development Council (NVBDC), Disablity:IN (formerly known as the US Business Leadership Network), and National Gay & Lesbian Chamber of Commerce (NGLCC), local BIPOC serving chambers of commerce, and other business associations serving smal,diverse and local busiensses. 2. Participate in and support trade fairs, networking events, and conferences sponsored by business associations serving small, diverse and local businesses. 3. Source for diverse suppliers from National Minority Supplier Development Council (NMSDC), Women's Business Enterprise National Council (WBENC), National Veteran Business Development Council (NVBDC), Disablity:IN (formerly known as the US Business Leadership Network), and National Gay & Lesbian Chamber of Commerce (NGLCC), local BIPOC serving chambers of commerce, and other business associations serving small,diverse and local busiensses and maintain an internal database of diverse suppliers available to do business with Kaiser Permanente.

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

Kaiser Permanente proudly supports the National Minority Supplier Development Council, the Women Business Enterprise National Council, the National Gay and Lesbian Chamber of Commerce as corporate members

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

Kaiser Permanente is committed to removing barriers that may limit diverse and small enterprises from becoming suppliers by engaging directly with them to understand challenges, offering development support where feasible, and partnering with advocacy organizations to address systemic issues. While maintaining high standards for quality and compliance, we strive to create equitable pathways for underrepresented businesses to grow and compete as part of our broader strategy to embed sustainable economic inclusion within our supply chain.

5. Diversity Commission Recommendations and Planned Implementations

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

Kaiser Permanente has implemented diversity commission recommendations by working directly with individual facilities to assess procurement practices, identify gaps, and develop tailored action plans. This collaborative approach has strengthened local outreach to diverse suppliers and improved integration of inclusive sourcing practices across the organization.

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

Kaiser Permanente is expanding its supplier diversity strategy to include SBEs, VBEs, WBEs, HUBZone businesses, and other disadvantaged groups, moving beyond a sole focus on MBEs. In line with our diversity commission’s recommendations, we are updating sourcing practices, broadening outreach, and enhancing data tracking to support a more inclusive and equitable procurement model.

6. Procurement Process and Certification

Please describe your hospital's procurement process

Kaiser Permanente’s procurement process operates through a centralized national sourcing model, supported by regional and local engagement across our service areas. While many of our contracts are negotiated at the enterprise level to ensure consistency, quality, and cost-effectiveness, we also grant contracts locally to support regional needs and community-based priorities. This dual approach allows us to maintain high standards while fostering relationships with local and diverse suppliers. We are committed to doing more business where we operate as part of our mission to improve the health of our members and the communities we serve—recognizing that local economic investment is a key driver of community health and resilience.

Website Link(s)

https://supplier.kp.org/impactspending/what-we-do/supplier-development/

Do you require suppliers to be certified?

No

Do you accept self-certification

Yes

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)?

$96,575,230

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: Tommy Smith

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

Name: Impact Spending

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/

10. Other Relevant Information

No

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