Rob Simpson and Shannon Suber are helping fuel economic growth and create jobs through TI’s model MWBD program.

When large corporations partner with smaller minority- and women-owned business entities (MWBEs), the relationship often fuels business growth for both, opens up new possibilities for innovation and streamlines operations.

For those reasons, TI established a model minority/women business development (MWBD) program, opening the door for MWBEs to engage with the company and grow their business. TI in turn benefits by receiving innovative products and services as well as creative and cost-effective solutions to business needs.

"TI recognizes that a more diverse supply base creates a competitive advantage and more robust supply chain," said Shannon Suber, director of TI's MWBD program. "The MWBD program is a true commitment on the part of TI because we know it's the right thing to do good for the company, community and customers."

TI became involved in MWBD in the 1980s as a defense contractor when the federal government established a requirement for defense contractors to purchase a percentage of their procurement from MWBEs. TI adopted and exceeded this goal, and in 1985 TI became the first company recognized by the federal government for achieving the goal. By 1989, TI was no longer tied to the federal requirement; however, its MWBD program had expanded as a corporate-wide initiative because the company recognized its ability to attract and retain a skilled workforce heavily depends on a thriving community with a stable economy.

"Small businesses, like those owned by MWBEs, are the economic engines of our communities," Suber said. "When business opportunities are made available to MWBEs, their companies can grow and create jobs. Job creation strengthens the local economy, and a sound economy and vibrant community are essential to TI's ability to recruit talent from all over the world."

TI has been recognized for its MWBE development for more than two decades and has grown its minority purchases from negligible in 1989 to more than $125 million in 2009, spending 4.5 percent of TI's total U.S. procurement dollars with certified MWBEs.

A good indicator of TI's MWBD program success is its commitments for the company's $3 billion semiconductor fabrication facility in Richardson, Texas (RFAB). Of the total construction costs, 25 percent was spent with minority-owned businesses, and more than 10 percent was spent with women-owned businesses. In addition, 80 percent of these contracts were awarded to companies based in North Texas, totaling close to $96 million in spending.

TI's interests with these suppliers are more than the acquisition of goods and services. The company also aims to establish strong relationships with them and empower them to compete.

About 1900 minority and women business owners attended the North Texas Super Bowl XLV Host Committee's recent Emerging Business Program workshop.

Recently, TI became the exclusive sponsor of the North Texas Super Bowl XLV Host Committee's Emerging Business Program. Besides providing local businesses with information and tools to pursue Super Bowl XLV-related contracts, the program will provide training in areas important to many MWBE suppliers. At its last workshop, over 1900 North Texas emerging businesses attended — the largest audience in Super Bowl history for a function of this kind.

"TI's years of experience in helping develop MWBEs and its unique perspective as a company that's put a lot of focus in this area will raise the bar in terms of business opportunities for North Texas around Super Bowl XLV," said Rob Simpson, TI's vice president of Worldwide Procurement and Logistics. "TI will translate its best practices in working with MWBEs into success for local companies and the North Texas economy."

In 2008, TI began requiring certification from MWBEs seeking business opportunities with the company. By doing so, TI can ensure the credibility of its metrics and proper engagement with qualified suppliers. While TI accepts certification from other organizations, the company primarily partners with two regional certification agencies – the Dallas/Fort Worth Minority Supplier Development Council and the Women's Business Council – Southwest. These agencies are regional affiliates of national organizations.

"We refer non-certified MWBEs to these agencies for certification, and we rely on these organizations as excellent resources for sourcing and identifying potential suppliers that can meet TI's procurement needs for goods and services," Suber said.

Suber said TI is always seeking capable suppliers that can fulfill a variety of needs. The majority of MWBE providers are concentrated in the services industry. Services provided by MWBEs to TI include consulting, logistics, contract labor, printing services, IT support, forms and office supplies, and mail room service.

"Small businesses can be successful suppliers to TI by understanding our requirements and bringing cost competitive solutions," Suber said. "Many have found success by starting with small projects, learning the company, proving their capabilities and then gradually expanding their business with TI."

Prospective MWBEs can register their business profile on the company's MWBD supplier database or send an email to mwbd@list.ti.com.

"The community and the supply base within TI are critical to business success," Simpson said. "Having close connections to both allows companies like TI to grow and compete better. MWBD is a priority to us for these reasons. Without it, we cannot be successful."

Read more about TI's support of MWBEs.