UNIVERSITY PARK, Pa. — In recent years, three of Pennsylvania's state-related universities — Penn State, Temple University and the University of Pittsburgh — have faced a common challenge: skyrocketing operating costs.
Together, the universities' procurement departments recently joined to conduct a joint request for proposal (RFP) for office supplies. This is the first time all three universities filed an RFP together.
The winning submission came from a partnership between ODP Business Solutions, a nearly 30-year-old company known for delivering a comprehensive range of eco-friendly products, and Supra Office Solutions, a minority-owned business based in Philadelphia. The joint RFP totals more than $5.3 million in annual estimated spending for office supplies and has generated significant savings between the three schools.
By combining forces, the universities will save up to an additional 7%, which equates to more than $400,000 annually, in addition to other savings for each school and other contract-related benefits, showcasing how a successful collaboration can have a powerful impact on cost-savings initiatives.
"One thing that all of Pennsylvania's state-related universities have in common is a commitment to working to keep tuition costs as low as possible. We owe that to our students, and we owe that to our legislators who support us each year through the state appropriation," said Ken Kaiser, senior vice president and chief operating officer at Temple University. "What we have seen in recent years is near unprecedented levels of inflation, so we must be creative and proactive when it comes to identifying any opportunity that might help us cut costs and better support our students. That was part of the impetus behind this collaboration."
The initiative began with a series of meetings to establish unified requirements for customer service, deliveries, products, sustainability and catalog compatibility for online ordering. After months of planning and creating a core list of hundreds of products, the RFP was published, attracting attention from suppliers nationwide.
Penn State Chief Procurement Officer Duane Elmore highlighted the benefits of the collaboration.
"Temple, Pitt and Penn State demonstrate how innovative partnerships can effectively address rising costs while contributing to local economic growth," Elmore said. "The joint RFP sets a new model for our three universities to work together toward common goals."
To help identify the best supplier, a joint committee of representatives from each university created a detailed scoring matrix. Following a series of presentations and negotiations, the committee was impressed by ODP and Supra's commitment to meeting each university's specific needs.
For the University of Pittsburgh, the selection of ODP and Supra was familiar, as the university has contracted with the two companies for more than 10 years.
"The partnership between ODP and Supra has a proven track record in meeting the specific office supply needs of institutions in higher education at very competitive pricing, including a number of sustainability programs that support university-specific goals," said Maureen Beal, associate vice chancellor for financial operations at the University of Pittsburgh. "The University of Pittsburgh first contracted with ODP and Supra for office supplies in 2013. We have been fortunate to see their capabilities grow since then, such as implementation of state-of-the-art technologies to address the unique needs of urban or large campuses."
"Since 2013, with Pitt as our anchor account, we were able to hire locally within the Pittsburgh market, acquire another business in the life sciences industry, survive COVID-19, and build a brand new 70,000-square-foot warehouse and office tower, to mention a few milestones," said Derrick Suswell, president and chief operating officer of Supra.
ODP and Supra scored high after a thorough evaluation. Their proposal also included a tailored approach for each university. Some highlights include dedicated account managers for each school; a focus on sustainability with catalogs that provide sustainable products and programs, such as one that reduces the number of cardboard boxes delivered to campus; and benefits for students, including internships and support for student-led initiatives.
"We are immensely proud of our Supplier Diversity Tier One Program. It's one of the most comprehensive of its kind," said David Centrella, executive vice president of The ODP Corp. and president of ODP Business Solutions.
Senior Vice President of Sales at ODP Business Solutions Bryan Wight offered his insight into ODP and Supra's partnership.
"Through our program, now in its 25th year, we are able to service educational institutions like Penn State, the University of Pittsburgh and Temple by partnering with suppliers such as Supra Office Solutions," Wight said. "Our partnership with Supra, a certified minority-owned business, has helped drive economic growth and development in the Pennsylvania market for more than a decade while also supporting diversity and adding value to our customer's buying experience."
"ODP has been a rock-solid partner, and when ODP informed us about the new bid, which would now include Temple University (local to our headquarters) in Philadelphia and Penn State, we were very excited to win this award, and the chance to expand our relationship with two more Pennsylvania universities means the world to us here at Supra," Suswell said.
The joint contract award illustrates the commitment these universities have to spending with diverse businesses such as Supra.
"We believe the University of Pittsburgh, Penn State and Temple University are being intentional about supporting small and diverse businesses in the state of Pennsylvania, and we are extremely grateful for that," Suswell added. "We will never cease in striving to provide our customers with 'service excellence,' and we look forward to our continued, mutually beneficial relationship."