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DTE Energy calls on UniBar for smart-grid automated meter work
UniBar provides advanced metering and other
smart-grid services for DTE Energy. The relationship
has "expanded our business," says a UniBar VP
 DTE Energy (Detroit, MI) is an integrated energy company supplying natural gas and electricity in Michigan and energy-related services nationwide.
The company's supplier diversity program began in the mid-1990s, but John H. Eley Jr, manager for procurement operations and supplier diversity, was brought in about two years ago to reorganize the company's supplier diversity activities.
Eley has sparked increased participation in diverse supplier organizations like NMSDC, the Michigan Minority Supplier Development Council (MMSDC) and the Center of Empowerment and Economic Development (CEED), as well as industry groups like the Edison Electric Institute (EEI). In addition he has added a focus on tier 1 supplier  participation in the DTE Energy tier 2 spend program.
"He's brought energy back into the supplier diversity group," says William Pettit, director of supply chain management. Pettit himself came to the group in 2010: He started with DTE Energy four years ago as director of fleet, facility optimization and real estate.
Both Pettit and Eley have long careers in supply chain management and purchasing. Before DTE Energy, Pettit worked in logistics, supply chain management, maintenance and transportation at Exelon Corp (Chicago, IL). Eley previously worked in supplier diversity and purchasing at GM (Detroit, MI) and in supply chain admin and supplier diversity at the Detroit Medical Center.
Supplier diversity advocate
DTE Energy is a longtime corporate member of MMSDC, NMSDC, CEED, the Native American Business Alliance, Asia Pacific American Chamber of Commerce and the Michigan Hispanic Chamber of Commerce. The company has been active in the Michigan Women's Business Council for several years, and recently became a corporate member of WBENC and the National Association of Women Business Owners (NAWBO).
Pettit is vice chair of the board of directors of the MMSDC as well as a board member of the Salvation Army for Southeast Michigan. Eley sits on the CEED board of directors. Eley has been a presenter at CEED and NMSDC conference seminars, and both Pettit and Eley were speakers at a recent Rainbow Push event.
"DTE Energy works with local and national organizations to support the development of diverse suppliers," Pettit notes. The company recently hosted the MMSDC annual education immersion day, devoted to the education of MBE leaders, Eley reports.
Sixteen-plus percent of total spend
A significant portion of DTE Energy's total spend goes to diverse suppliers. In 2010, 9.9 percent of the year's spend went to MBEs and 5.3 percent to WBEs, while another 1.5 percent came through tier 2 for a total of 16.8 percent: $175 million.
While the 2010 diverse spend through tier 2 is currently at 1.5 percent, Pettit says DTE Energy is urging all its tier 1 suppliers to get their own tier 1 spend up to 15-20 percent.
DTE Energy finds many of its diverse suppliers through NMSDC, MMSDC, WBENC and other trade shows and conferences. As Pettit puts it, "The combination of a strong supplier diversity program and good diverse supplier participation brings a competitive quality to the process and puts a fresh, new and creative spin on what we're trying to do. It also acts as a voice for the community, since many of our suppliers are also our customers."
UniBar: a tremendous impact
Katherine Watson is VP of sales and marketing at UniBar Services, Inc (Ann Arbor, MI). She says the relationship with DTE Energy has had a tremendous impact on UniBar. "They've introduced us to others in the utility industry and helped us expand our business significantly," Watson says.
UniBar's Accu-Read division provides utility services like advanced metering for smart-grid systems and meter installation, reading, change-out, disconnects and testing. Other parts of the company do underground locating, damage prevention, asset protection and damage claims investigation for the utility industry.
"We have IT people on staff, along with technical directors, to ensure that we operate with the latest technology for meter installation and support services," Watson says. "We install smart meters and utilize handheld devices that allow us to capture critical information such as scheduling, dispatching, route optimization, GPS vehicle location, real-time status reports and digital pictures. Our goal is to maximize the installers' productivity and reduce overall costs."
The IT pros at Accu-Read ensure compatibility of equipment and security of information when data is transmitted during the installation and automated meter reading process. DTE Energy is currently transitioning to advanced meters throughout its service area.
Founding and expanding
UniBar was founded in 1985. Jerry Davis Jr, a retired Army lieutenant colonel, operated Unified Services in Washington, DC. Looking to expand to Michigan, he bought Barfield Janitorial Services and renamed the company UniBar. Barfield already had a contract with DTE Energy; UniBar assumed the contract and began cleaning power plants and office buildings for DTE Energy that same year.
Looking for ways to diversify his business, Davis realized that DTE Energy wanted to reduce costs in meter reading and saw this as an opportunity. Members of his staff went out with DTE Energy meter readers to determine how the service could be improved, and in 1990 DTE Energy outsourced part of its meter reading to Accu-Read, UniBar's utility support services division.
UniBar had sixty employees at the time and did business only in Michigan. Today there are 1,500 employees and the company has a presence in fifteen states. UniBar holds ISO 9001, ISO 14001, ISO 18001, MMSDC and WBENC certifications.
When Davis died in 1999 his wife, G. Jean Davis, became president and CEO of the company. She was already deeply involved in the business and on the board of directors.
A world-class supplier
"All those certifications helped us to transition to the national stage," says Watson. "The ISO certifications are especially important because they ensure that the company has quality, safety and environmental management systems in place. The MMSDC and WBENC relationships give UniBar networking opportunities and guarantee that it meets its customers' diversity requirements."
"UniBar is a world-class supplier," adds DTE Energy's Pettit. "As we move into the smart grid, UniBar will play a major role, both during installation and afterward during maintenance of the system."
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