Shop at home — industrial style
Published 12:00 am Sunday, April 2, 2000
The Miss-Lou’s largest businesses and industries buy millions of dollars worth of goods and services locally each year — and that means big business for area vendors.
A case in point is Big M Supply, a paper product and cleaning supply company. Accounts like Isle of Capri, International Paper, Vidalia Apparel, Natchez Community Hospital, Mississippi River Corp., Ethyl Petroleum, Titan Tire and Correctional Corp. of America, operator of a prison near Woodville, make up 60 percent of its business.
&uot;It’s so very important to our business to have these companies buying local,&uot; said Fred Middleton, vice president of Big M Supply. Such accounts are, he added, &uot;the backbone of our business.&uot;
In a few cases, some depend solely on one company. H.B. Zachry, for example, is actually located on the grounds of International Paper’s Natchez mill and does all of its business — about $4 million to $5 million annually — with IP, said Johnny DiGulio, office manager for H.B. Zachry.
&uot;We do maintenance and some capital projects for them,&uot; DiGulio said. &uot;IP is very, very important for us.&uot;
Although it has no written policy stating how much money it will spend in the community, International Paper’s Natchez mill seeks to keep as much of its money in the community as possible, said Joe Magee, purchasing manager.
Last year, the facility spent more than $21.85 million with 219 local vendors, including more than $2.15 million with minority-owned businesses. Since IP is a worldwide corporation, it is under national contracts to buy many of its maintenance, repair and operation supplies.
But the mill is free to buy other products from whomever it can get the best price – and local companies often give the most value for a dollar, said mill Communications Director Lillie DeShields.
Goods and services the mill buys locally range from office supplies to paint to temporary workers from employment agencies, she said. Excluding the purchase of wood and the salaries and wages it pays workers, 20 percent of the facility’s expenditures are local, Magee said.
A big part of that is the spending IP does with minority-owned businesses, said Henry Walker, purchasing supervisor.
IP officials have decided the way the company buys goods and services needs to change as America’s demographics change, he said. And as more corporations, including IP’s largest customers, look to do more businesses with minorities, doing business with proactive companies like IP will mean even more, Walker said.
&uot;They use our efforts to supplement their own efforts,&uot;&160;he added.
Another example of buying locally can be found at the antebellum house Melrose, which is owned by the National Park Service and is being restored to its 19th century appearance with the help of many local businesses.
&uot;We’re very fortunate to have a variety of people available locally who can do this type of work, … from contractors to antiques vendors,&uot; said Kathleen McClain Jenkins, museum specialist for the National Park Service. &uot;That’s rare, especially for a small town.&uot;
Local individuals and companies hired for the renovation include:
— Painter Chris Landers, who is working to recreate the original interior paint treatments room by room.
— Carpet dealer Clay Gibson of Carpet Sales & Service, who will install a new floorcloth and put in new carpets throughout the house.
— Artist Jane Gibson, hired to draw an intricate floral pattern for the new carpet.
— Conservator Richard Branyan, based at Lower Lodge Antiques, who repaired a pair of window cornices and worked on walnut-veneered bookcases for the library.
— Artisan Steve Huber, who created window cornices for the dining room and also repaired C. Lee beds for Melrose.
— As You Like It Silver Shop, Simonton Antiques, Lower Lodge Antiques and Country Bumpkin, from which the Park Service bought antiques to help furnish the house.
Hospitals also buy quite a bit of their supplies from local vendors. Natchez Community Hospital buys goods and services from 23 local businesses on a regular basis, according to Linda Hall, director of materials management. The hospital also uses other vendors, from florists to restaurants to gift shops, from time to time.
&uot;Obviously, we support local vendors as much as possible,&uot;&160;said Kay Ketchings, public relations director for Community. &uot;(But) in health care, so much of what we use is specialized (and) is not available, even in the state.&uot;
Examples include pacemakers, total joints, implants and other surgical devices as well as routine patient care items, Ketchings said.
Natchez Regional Medical Center makes 80 percent of its purchases — mostly medical items — through a nationwide purchasing group. That, said David Cronic, assistant administrator of finance, gives them more purchasing power.
But the remaining 20 percent is bought from local businesses. It is important for the hospital to buy locally because &uot;the strength of the local and regional economy has a direct impact upon the operations of the hospital,&uot; Cronic said. &uot;It is not only important to buy from local vendors, it is a matter of necessity for certain items and areas.&uot;
Goods bought locally include food, paper, office and general supplies. Locally bought services include security, dialysis, pest control, lawn maintenance, waste management, transport, banking and insurance.
Cost, quality and convenience are Natchez Regional’s major considerations when determining whether to buy locally and, since the facility is county-owned, it must also comply with state and local purchasing laws, Cronic said.
Buying locally is a matter of convenience for many large corporations, Middleton said.
&uot;We act as a warehouse for our customers, and if IP, for instance, needs two cases of toilet paper, we’re just two blocks, and we can deliver it to them in no time,&uot;&160;he said. &uot;Also, they know when they’re calling down here, they’re talking directly to the people in charge.&uot;
And having such big accounts enables Big M to buy in large quantities and pass the resulting savings on to its customers — which means needed savings for its smaller clients.
And when corporations buy locally, they’re buying from someone with roots in the community,
Another advantage of buying locally is that when corporations do so, they’re buying from someone who has roots in the community, &uot;someone who is trying to make this community a better place,&uot; DiGulio said.