In signing the Healthcare Anchor Network’s (HAN) Impact Purchasing Commitment (IPC), health systems commit to aligning their purchasing power with clinical and community efforts to improve societal health and well-being and to catalyze prosperity for all, particularly those impacted by a legacy of divestment and discrimination. It is estimated that roughly one in five (or 420,000) small businesses have closed during the COVID-19 pandemic. These closures have disproportionately impacted small businesses owned by immigrants, women, and Black, Latinx, and Asian individuals, all of which have experienced higher rates of closures and sharper declines in cash balances.
Signatories commit to establishing specific goals to increase spend with vendors that are minority and women owned, sustainable, local, and build community wealth. In addition to setting these goals, signatories will collect and submit data on their progress toward these goals to the Healthcare Anchor Network in order to ensure accountability and transparency.
We’ve launched this commitment with 12 initial signatories who have committed collectively to increase their spend with minority and women owned businesses (MWBEs) by $1 billion by 2025. We will continue to welcome new signatories to set their five year goals related to supplier diversity, sustainability, and community wealth building in alignment with the committment’s provisions. Below is a summary of these goals.
For supplier diversity, most signatories individually commit to at least doubling their current Tier I non-construction spend with MWBEs within five years. Additionally, signatories are establishing MWBE goals for construction spend, and working with their top 20 Tier I vendors to gather and track Tier II data.
For sustainability, signatories commit to selecting a minimum of four Core Sustainability Goals, and to achieving each goal within five years. These goals were designed in partnership with Practice Greenhealth and leverage their expertise in environmentally sustainable healthcare. For more information on the specifics of the sustainability provisions, visit their website.
For community wealth building, signatories commit to establishing and tracking progress towards five year spend goals with vendors that are (1) locally headquartered, owned, and operated (at the neighborhood or regional level), and (2) majority employee-owned, cooperatively owned and/or nonprofit-owned enterprises. Moreover, signatories commit to work with service contract vendors to pay a living local wage within five years.
Finally, signatories commit to implementing strategies, policies, and practices to incentivize internal departments, vendors, and GPOs to engage in impact purchasing. This includes aligning internal operations to support impact purchasing; engaging GPOs to support the implementation of this commitment; building capacity in diverse, local, and employee-owned businesses to support community wealth building; and enabling a more resilient and equitable supply chain ecosystem.
Impact Purchasing Commitment (IPC) Signatories
Impact Purchasing Commitment (IPC) Announcement News Coverage
Cleveland Clinic, Kaiser, Intermountain among those committing to supplier diversity
Cleveland Clinic, Intermountain Healthcare, Kaiser Permanente, and Providence are among 12 systems in the country to sign a commitment to expand supplier diversity. The Impact Purchasing Commitment — designed by the…
Continue Reading Cleveland Clinic, Kaiser, Intermountain among those committing to supplier diversity
Health systems commit to diversifying supply chains
A dozen health systems are pledging to diversify their vendor partnerships, including collectively funneling at least $1 billion over the next five years to minority and women-owned businesses. Each organization signing the…
Continue Reading Health systems commit to diversifying supply chains
12 health systems pledge $1B investment in small businesses
Twelve health systems signed a joint $1 billion commitment to boost spending collectively on local, minority, women-owned and other small businesses and enterprises, most of which have been affected by the…
Continue Reading 12 health systems pledge $1B investment in small businesses
Health Systems Announce Commitment to Increase MWBE Spending by $1B to Improve Supplier Diversity & Build Community Wealth
Twelve HAN member health systems across the country signed the “Impact Purchasing Commitment” (IPC) to build healthy, equitable, and climate-resilient local economies through what and how they spend their dollars. The…
Continue Reading Health Systems Announce Commitment to Increase MWBE Spending by $1B to Improve Supplier Diversity & Build Community Wealth
How the health sector can lead on climate, health, and equity
A new initiative that launched in June, the Impact Purchasing Commitment (IPC), could be a vehicle to kickstart collating this demand. Developed through a partnership between Health Care Without Harm and the Healthcare…
Continue Reading How the health sector can lead on climate, health, and equity
Local Coverage of the IPC Announcement
Many of the 12 initial signatories of the Impact Purchasing Commitment received local news coverage of these systems’ commitment to aligning their purchasing power with clinical and community efforts to improve…