SD at JPMorgan Chase: established but still growing
The twenty-year-old program at this global financial services firm connects a broad range of diverse businesses with opportunities to provide goods and services
JPMorgan Chase & Co (New York, NY) has a legacy that dates back to 1799. It’s built on the foundation of multiple predecessor institutions, including Chase Manhattan, Manufacturers Hanover, Bank One and many smaller banks.
The supplier diversity program started in 1994, when predecessor organization Chemical Bank established a program for minority and women-owned businesses. “Twenty years later, our program continues to connect qualified diverse businesses with opportunities to provide products and services to JPMorgan Chase worldwide,” says Jacqueline Rosa, managing director and global head of supplier diversity.
“Our program has grown and evolved over the years to include businesses owned by military veterans and service-disabled veterans, lesbian, gay, bisexual and transgender individuals, and disabled persons, in addition to women and minority-owned businesses.”
JPMorgan Chase has spent over $1 billion with diverse suppliers in each of the past five years from 2008 through 2013. In 2013, the total spent grew to $1.5 billion, Rosa says.
How to connect
JPMorgan Chase partners with national organizations and their regional affiliates to help identify certified MBEs: the National Minority Supplier Development Council, the Women’s Business Enterprise National Council (WBENC), the National Veteran-Owned Business Association (NaVOBA), the U.S. Pan Asian American Chamber of Commerce, and the National Gay and Lesbian Chamber of Commerce.
The company also recognizes certifications of small businesses, small disadvantaged businesses and HUBZone businesses from the U.S. Small Business Administration, the Port Authority of New York and New Jersey, and other state and federal agencies. Other certifications may be accepted on a case-by-case basis. “We consistently leverage our external partnerships to develop programs that promote job growth and impact the communities we serve,” Rosa says.
Prospective diverse suppliers can visit the corporate supplier diversity portal at www.jpmorganchase.com/supplierdiversity and register their companies. Benefits of registration include consideration for procurement opportunities; consideration for JPMorgan Chase events like virtual matchmakers and networking receptions; and visibility to sourcing managers who have real-time access to profiles, she notes.
Mutually beneficial relationships
“Supplier diversity relationships truly benefit both parties,” Rosa says. “Our supplier diversity program helps diverse businesses grow and prosper, while ensuring that the firm has access to a full range of new and innovative products and services at competitive prices.
“The supplier diversity team serves as an advocate and provides diverse-owned businesses with guidance and assistance. At industry events and meetings, senior sourcing managers and executives engage with current and potential diverse suppliers.”
Rosa says her team seeks out suppliers that will provide the best price, quality and capabilities to meet the company’s needs. She adds, “We want qualified suppliers who understand and support our commitment to excellence and innovation, and who deliver value through creative solutions, best-in-class practices, and sound business strategies.”
Mentoring suppliers to strengthen capabilities
JPMorgan Chase procures a variety of goods and services, including design, construction, furnishing, staffing and maintenance of bank branches and offices, as well as credit card services, marketing services and call center operations.
“JPMorgan Chase works internally to develop its diverse suppliers through mentoring and coaching,” Rosa notes. “The supplier diversity team also participates in mentoring and matchmaking sessions at national and regional conferences.”
Rosa herself holds regular mentoring meetings with several MBEs. “While it’s not a formal program, over time these meetings have resulted in increased business opportunities at JPMorgan Chase for these companies,” she reports.
Within JPMorgan Chase, Rosa also mentors women in sourcing and procurement. Based on their feedback, she recently launched the company’s first women’s leadership sourcing network, Women in Sourcing Empowerment (WISE). The WISE network provides a forum for women to access mentors, key contacts and partners in the company.
Tier 2 opportunities
JPMorgan Chase encourages its non-diverse suppliers to form relationships with diverse suppliers as a best practice, Rosa says. “Our tier 2 program gives us the ability to encourage key suppliers to introduce and grow their roster of certified diverse suppliers in their own supply chains,” she points out. “We offer assistance in locating qualified subcontractors, which has added value to our program.
“This approach provides opportunities for diverse vendors that do not currently qualify as first-tier suppliers to gain experience and help build relationships with the firm. This may lead to first-tier supplier opportunities in the future.”
Awards: giving and receiving
The company has received many accolades for its supplier diversity efforts. It was named a member of the 2018 Million Dollar Club by the United States Hispanic Chamber of Commerce for the fifth year in a row. Club members are companies that spend more than $25 million a year with Hispanic-owned suppliers. NaVOBA named JPMorgan Chase one of the top 25 corporations for veteran-owned businesses in 2012 and 2013. And in 2018, Rosa received a “Woman of Excellence in Business” award from the New York Women’s Chamber of Commerce.
This year JPMorgan Chase sponsored its first NaVOBA Woman Vetrepreneur of the Year award. Louisa Long Jaffe, Army veteran and CEO of Technical and Project Engineering (Alexandria, VA), was honored by NaVOBA and JPMorgan Chase at the 2018 WBENC national conference.
“Every year, the supplier diversity program at JPMorgan Chase aims higher and extends its reach to include more suppliers and communities.”
Back to Top