SCMSDC Connections January 2014

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CONNECTIONS

MONTHLY NEWSLETTER

www.scmsdc.org

IN THIS ISSUE President’s message Maximum business opportunities at MBOD 2014 Coming up in 2014 MBE spotlight: US Metro Group, Inc. MBE smart tips News briefs

UPCOMING EVENTS Toastmaster Club Meeting Feb. 6 – 9 to 11 a.m. SCMSDC Headquarters

Participants will hone speaking and leadership skills in a friendly and non-threatening atmosphere. The SCMSDC chapter caters to business owners and their employees. Contact: Natalie Masiello, nmasiello@scmsdc.org or 213-689-6963.

MBE 2 MBE Open House Feb 19 - 5 to 7 p.m. Los Angeles

Hosted by Promoshop, Inc. The SCMSDC MBEIC invites you to enjoy an evening of premier business networking. Don't miss this opportunity to make new contacts, raise your profile and "work" your certification with other MBEs, members of the MBEIC and select corporate members. Register HERE.

MBE Orientation Feb 27 - 2 to 4 p.m. SCMSDC Headquarters

Take advantage of this opportunity to learn how to best leverage your MBE certification and how the council can

January 2014 President’s message For the past 40 years, SCMSDC has proudly served as the region’s premier minority business advocacy organization, providing a direct, critical link between certified ethnic minority business enterprises (MBEs) and corporate members. Today, our mission to strengthen economic ties between large, Virginia Gomez, President, SCMSDC public-, private- and foreign-owned corporations and MBEs remains stronger than ever. While supplier diversity programs have increasingly become part of the landscape for many corporations, challenges remain to ensure sustainability and success of these programs. These include increasing procurement opportunities for MBEs in an improving but tough economic climate, identifying suppliers that have the capacity, or skills, to handle large, global contracts, and developing suppliers that can effectively compete in the marketplace. To grow corporate purchases with diverse suppliers as well as to ensure long-term success for MBEs and corporate supplier diversity programs, our activities in 2014 will continue to focus on four key initiatives: • MBE certification. This is our core competency – The majority of Fortune 500 companies embraces supplier diversity and is requiring suppliers to become certified. They look to us to validate those MBEs that are managed, operated and controlled and owned by at least 51% minority or group of minorities. Certification is one of the first steps to opening doors with corporate members. As NMSDC (SCMSDC)-certified MBEs, you are included in a vast database accessed by local and national corporate members seeking to do business with MBEs • Development of MBEs. Developing MBEs through professional and educational workshops and seminars and programs and services is a key strategy for our council. As corporations have become global, they seek MBEs that have potential to grow with them. As with our current offerings, we will continue to obtain input from corporations and MBEs to ensure our development offerings are relevant and meaningful. • Advocate for MBEs. With the numerous issues that affect the minority business community, our council will continue to work with community, civic and business organizations and others to create partnerships and alliances to provide a voice for minority businesses, and to ensure MBEs are alerted about trends, new legislation and other matters that impact them. • Connecting MBEs to Corporate America. Connecting MBEs with major corporations as well as with their MBE colleagues is crucial in getting


UPCOMING EVENTS CONT’D help. Great for newly-certified, those who are pending certification and others who have been certified but would like to get connected. Free event but seating is limited. Parking is not validated.

Minority Business Opportunity Day March 5-6 Sheraton Universal Hotel MBOD exposes minority businesses to progressive workshops and seminars and provides valuable opportunities for networking with major corporations. For questions, contact events@scmsdc.org. Supplier of the Year Awards Save the date - July 11 Hyatt Regency Long Beach This event celebrates outstanding certified MBE partnerships with member corporations. MBEs are nominated by member corporations and compete in the local competition for the "Supplier of the Year" award in four major categories, determined by gross annual revenues. Local winners receive prestigious business scholarships, special recognition, and compete in the regional and national competition for the NMSDC "Supplier of the Year" award. For more information on sponsorship opportunities, visit www.scmsdc.org. Leadership Excellence Awards Save the date - October 1 Beverly Wilshire Hotel This event will celebrate, recognize and honor an individual whose leadership makes a positive impact on the minority business community as well as corporations that have achieved supplier diversity excellence.

For more information about these and other events, visit www.scmsdc.org

business leads and opportunities. We recognize ‘connecting’ our constituents as one of the key reasons MBEs get certified and why corporations become corporate members. We connect our constituents through our various activities, among which include matchmaking, trade fairs, industryand corporate-specific business networking, our newsletters, social media, referral requests, introductory letters, MBE to MBE Open Houses and monthly orientation sessions. ‘Connecting’ our constituents enables opportunities to form relationships and the potential to partner, team, joint venture and/or form strategic alliances. As we embark on these activities in 2014, SCMSDC, as an affiliate of the National Minority Supplier Development Council (NMSDC), is also working with NMSDC as it completes its restructuring, designed to create an affiliate model that improves efficiency and cost effectiveness. Among others, outcomes of the restructure thus far have included the standardization of basic services to be conducted by each council; the decrease of regional councils from 36 to 24, a new national funding model, and the elimination of reciprocal certification, making your NMSDC (SCMSDC) certification a national certification. Future changes under development include enhanced council and NMSDC services, to be known as ‘Subscription Services’ and a new and regional council branding. Over the next several months, we will be sharing more information about our plans for the year. In the meantime, we look forward to seeing you at council events and supporting your efforts for a successful and prosperous 2014.

Maximum business opportunities at MBOD 2014

If your New Year’s resolutions include more education, networking and exposure with hundreds of potential clients, look no further -- SCMSDC's Minority Business Opportunity Day (MBOD) has everything you need at one venue. MBOD 2014 will take place on March 5 and 6 at the Sheraton Universal Hotel in Universal City with Toyota serving as title sponsor for the sixth consecutive year. The event exposes diverse businesses to progressive workshops and seminars that enhance business growth. It also provides valuable opportunities for diverse firms to meet decision makers from major corporations in person.


The first day will feature seminars and workshops that span a variety of topics, including how to become a person of influence through communication, the honest truth on how to succeed in business as told from the supplier’s perspective, how to gain traction for your business through use of social media, and a supplier diversity roundtable for corporations, just to name a few. The second day will feature the popular exhibit fair, which last year attracted more than 400 corporate representatives, purchasing and procurement staff who met with business owners and provided special insight on how to successfully enter their supply stream. The day will also include the Hard Hat Pavilion, where general contractors and large corporations will meet with diverse businesses that provide construction-related services. Detailed information will be forthcoming on the matchmaking appointments, which will take place during the afternoon on day two. When registering for MBOD online, suppliers can indicate their interest in the matchmaking appointments (these are based on the procurement needs of participating corporations and are not guaranteed). Registrants are encouraged to be as specific as possible so the council can identify the best corporate match. Currently, the early-bird price to attend both days for MBEs is $95 per person, or $75 for one day. Early bird prices are effective through February 3. Go to http://www.scmsdc.org/Events/Minority-Business-OpportunityDay-(MBOD-/Registration for more details.

Coming up in 2014 Ready, set, get your calendars, go! SCMSDC has a number of activities and events you won’t want to miss in 2014. Here's a preview: MBE Orientation. Held from 2 to 4 p.m. on the last Thursday of every month at SCMSDC's headquarters, this orientation is open to minority business enterprises (MBEs) who are in the process of becoming certified, interested in becoming certified or are already certified. It includes an introduction to council programs and services, information on how to leverage minority certification and determining if your business is corporate-ready while connecting with other MBEs, Minority Business Enterprise Input Committee (MBEIC) members and council staff. The event is free and includes light refreshments. Dates are Jan. 30, Feb. 27, Mar. 27, Apr. 24, May 29, June 26, July 31, Aug. 28, Sept. 25, Oct. 30, Nov. 20 and Dec. 18. Go to www.scmsdc.org and click on the events calendar to register. MBE 2 MBE Open House. TThere will be five scheduled open houses this year hosted by MBEs and corporate members at their facilities. The goal of these events is to create a forum for MBEs to network with other MBEs as well as a few select corporate members in a relaxed, after-hours atmosphere. The next MBE 2 MBE Open House will be on Wednesday, Feb. 19 from 5 to 7 p.m. in Los Angeles at PromoShop, a certified MBE since 2001. PromoShop is an experienced promotional marketing services company that provides

JOIN SCMSDC Visit www.scmsdc.org to find out about Minority Business Enterprise (MBE) certification, the MBE Health Insurance Program, major networking events, business development programs and more!


creative brand merchandise and custom premiums to both small and large clients locally, nationally and regionally. Click here to register: http://www.eventbrite.com/e/mbe-2-mbe-open-house-tickets-9930251650 The cost is $30 and includes finger foods and beverages. Future open houses are scheduled for Apr. 2, June 11, Aug. 14 and Sept. 10. Minority Business Opportunity Day, March 5-6. This signature event will again be held over to two days to give MBEs maximum opportunities to participate in networking and matchmaking activities, engaging and informative workshops, and an exhibit fair that brings together who's who in Corporate America with a wide range of MBEs. This year’s venue is the Sheraton Universal Hotel in Universal City. Toyota will again serve as title sponsor, making this the company’s sixth consecutive year. To register, go to http://www.scmsdc.org/Events/Minority-Business-OpportunityDay-(MBOD-/Registration. Supplier of the Year Awards Luncheon, July 10. TThe event honors MBEs for their outstanding work with corporate members. Honorees compete for awards in four categories based on revenues and are judged by a committee, comprised of SCMSDC corporate members, on their demonstrated growth and development; employment and job creation; consistent high quality operations, products/services and business performance; procurement/purchasing spend with MBEs; mentoring and other forms of assistance to MBEs; and more. The event will be held at the Hyatt Regency Long Beach. Nominees will also attend a VIP reception in Los Angeles the night before.

Communications Skills Live! These workshops are aimed at improving MBEs’ presentation skills. Led by a public speaking expert, presentations are video recorded and feedback is provided to MBEs for analysis and growth. Dates and details to come. Leadership Excellence Awards, Oct. 1. The event recognizes an outstanding individual whose leadership in supplier diversity has made a positive impact in economic development. It also honors local and national corporate members for exemplary achievements in minority business development and for creating business opportunities in the minority community. The event will be held at the Beverly Wilshire Hotel in Beverly Hills. MBEIC Forums. Last year, the council launched MBEIC Forum, a workshop series to engage MBEs on issues and trends affecting them. This year, the council plans to hold at least two workshops. More details to come. Toastmasters Club meetings. SCMSDC's chapter of Toastmasters helps MBEs practice their public speaking skills. Held at the council’s office, here are dates for the first quarter of 2014: Jan. 23; Feb. 6, 20; and Mar. 20. Look for details on these and other events in Connections and on www.scmsdc.org.

MBE spotlight: US Metro Group, Inc.

From humble beginnings to successful entrepreneur In 1979, Charles Kim was employed as a machinist when his sweater became entangled in the machinery. Unable to reach the emergency shutoff button, he felt his arm pulling closer to the equipment and feared amputation. A janitor happened to be walking by and immediately shut off the machine. “That janitor saved my life. If he had come two Charles Kim


seconds later, I would have been dead,” says Kim. The incident forever changed him, and he gained a greater appreciation and respect for different types of people regardless of their profession. “Before the accident, I would have never considered becoming a janitor. However, after, I realized I could be anything,” he says. Kim soon began a profession as a janitor and formed US Metro Group, a facilities and janitorial service company in Los Angeles. Cleaning offices at night and selling his company’s services during the day, he expanded US Metro Group’s offerings to include security, maintenance/ engineering, light construction, painting, food services, landscaping, pest control and parking/valet services. Today, the company has about 3,500 employees nationwide serving such clients as AEG, UPS, Smart & Final, Sears, Health Net, ESPN, Cal State Northridge, Wells Fargo and CBS. Overcoming challenges Kim, who immigrated to the U.S. from South Korea in his 20s, attributes his company’s success to hard work, persistence, quality service and a “never give up” attitude. In the early days of US Metro Group, he remembers working alone in an office building in North Hollywood, cleaning seven floors from top to bottom. Eventually, he landed additional contracts and hired a small crew of janitors. He saw that customers wanted comprehensive facility services rather than go to multiple vendors, and he began marketing the company as a singlesource provider to reduce customer cost and provide greater efficiencies. More success followed, but the company’s growth was not without challenges. US Metro Group competed against large national companies, and despite being invited to participate in Request for Proposals, Kim believed that some corporations were not serious about working with diverse suppliers. “Some had no intention of hiring us, even though we were competitive,” he says, “but the key is to never give up.” Helping other diverse firms Understanding the challenges faced by minority business enterprises (MBEs), US Metro Group has made it a priority to help other diverse suppliers. “I want other minority business owners to learn some of the lessons I learned so they can grow and become more successful. I want to find ways for us to work together,” says Kim, who gets personally involved in mentoring diverse firms. The company helps MBEs with training and certification, and looks for opportunities to partner with diverse subcontractors. Certified by SCMSDC for more than 20 years, Kim attends council events to meet other diverse business owners, as well as get the word out about his company’s services. Tips for other MBEs “Be persistent. Always stay the course. When you have success, share that success with other MBEs. When we open more doors for others, more doors open for us,” he says. Kim also lives by this motto: “Everyday should be better than the last. Every activity should be done and reflected upon in order to improve not only your life and surroundings, but those around you. Make every day count.”


MBE smart tips

Resolve to make 2014 a successful year Though the first month of the year is almost behind us, there’s still time for business owners to make a resolution list for 2014. Whether you have a small or large business, it’s important to make resolutions to guide your activities throughout the year and stay on track. Here are a few New Year’s resolutions to have on your list: • Make a plan. This doesn’t have to be formal or in-depth, but it should have a few business objectives, such as increased sales, key target customers and areas of improvement, with action steps. Also, remember to regularly review the plan to increase accountability. • Focus on your customers. While you may be tempted to spend more time adding to your customer base, it’s important to focus on existing customers. Remember, they have other choices besides your company. Make sure they continue to feel important and valued. • Increase marketing efforts. If no one knows about how your firm, how will it grow? This is where marketing comes in. Use emails, your company website, collateral material, social media, and more to generate buzz about your products and services. • Revamp your website. When was the last time you posted anything on your website? Use social media to drive traffic to your website, but make sure it’s robust and up to date. Nothing is worse than going on a site that is outdated and boring. • Protect your data. This includes backing up computers and other equipment but it also means making sure data is protected against cyber attacks. Perform regular security audits to identify potential risks and threats, or hire experts to help you. • Plan ahead for taxes. Don’t wait until April to start working on your 2013 taxes. Start now by getting your files in order and locating receipts and other paperwork. This will save you time and aggravation later. • Delegate or hire others. There’s always too much to do and not enough time. Why not hand things over to a trusted employee or hire outside contractors in areas where you lack expertise? Successful business owners learn when to let go of duties to focus on what really matters, like bringing in new customers and revenues. • Reward yourself. Take some time from the office to decompress and regenerate. Plan days off after a big deadline to reward yourself for your hard work. It’ll keep you healthy, motivated and inspired to do great things. Remember to commit to -- and stick with -- your resolutions. Doing so can mean the difference between a prosperous year and a lackluster one.


News briefs

Frank Guzman in memorium 2014 began with sad news about one of the council’s longtime staff members. Frank Guzman, SCMSDC’s longtime certification field auditor, passed away this month after a brief but severe illness. For nearly two decades, Guzman conducted site visits for minority business enterprises (MBEs) undergoing certification. “If you’re an MBE that Frank Guzman was certified within the past 20 years, you may (1944-2014) remember meeting Frank,” says SCMSDC President Virginia Gomez. “He was a valued member of our staff, playing an intricate part of connecting with and knowing each of our MBEs. His easy going, friendly attitude and effectiveness and dedication to the council will be greatly missed,” she added.

Be Heard Do you have a story idea or would you like to author an article for Connections? We'd love to hear from you! Contact Vicki Cho Estrada at vicki@choestrada.com.


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