American launches diversity e-commerce

By Staff -- Industrial Distribution, 10/1/2000

Dallas-At least one U.S. airline is taking a proactive approach to helping some of its minority and women-owned industrial suppliers come on board electronically.

American Airlines and Diversity eCommerce announced Aug. 15 the formation of a strategic alliance to help minority and women-owned businesses transition from a paper and pen world to a click and point venture. The goal is to establish a concerted program of encouragement and support of suppliers who may be left out of the supply chain loop.

A series of workshops conducted by Diversity eCommerce will be held in American's major hubs, beginning in Miami during the fourth quarter of 2000 and continuing in Dallas, Chicago, New York and Los Angeles. The information shared will benefit minority and women-owned businesses in all market sectors, according to a statement prepared by the two partners.

American relies on thousands of suppliers. In 1999, the airline spent over $218 million with minority and women-owned business enterprises. About 2,600 of its industrial suppliers comprise that sector.

The list of minority suppliers will be posted on Diversity eCommerce's Web site.

"American recognizes that the education of minority and women-owned business enterprises is a critical component for the successful migration to eCommerce. We expect all of our suppliers to do business with us electronically in the near future, but it is our responsibility to assist the minority and women-owned segment of our supply chain in understanding what this business transition entails. Diversity eCommerce's exchange experience and training workshop represents a perfect fit to our requirements," said Fred Kahl, American's manager of corporate purchasing.

Mary Flowers, strategic relations director at Diversity eCommerce, and Karen Holman, American's manager of processing systems, will coordinate this joint project designed to benefit minority suppliers. A definitive list of these suppliers is not yet available.

The promise of the program is clear to American Airlines' management.

"Every cabin in every one of our flights is filled with the diversity that is America, and our procurement policies mirror that reality. As American moves to eCommerce, we want to elevate the visibility and understanding of B2B e-commerce among minority and women-owned business enterprises, to encourage these suppliers to develop their e-commerce abilities so that they remain competitive in the new millennium. This joint project is one way of accomplishing that mission," Holman said.