CSX is committed to promoting and fostering an inclusive procurement process that provides opportunities for all suppliers, regardless of size or any social or economic distinction, such as age, race, creed, color, sex, ancestry or national origin. While CSX does not award suppliers based on preferences that would result in unfair competitive advantages over other Suppliers, CSX is committed to actively seeking and engaging diverse suppliers to compete for opportunities to support CSX.
Diverse Supplier Procurement Policy
The objective of CSX’s Procurement Department is to procure the materials, supplies and services needed to support railroad operations across its network. At CSX, we accomplish this through a competitive bidding process where awards are made, consistent with other corporate commitments, on the basis of 4 essential factors:
- Quality and workmanship of materials.
- Service that meets the needs of CSX.
- Fair prices, efficient operations, sound engineering and research.
- Ability to provide materials and services in the required timeframe.
In order to ensure that diverse business enterprises have an opportunity to supply the required services and commodities, CSX initiated a Diverse Supplier Procurement Program, under which we will ensure a continued focus on improving supplier relationships with small, minority-owned and women-owned businesses.
Demonstration of CSX’s commitment to promote the maintenance and growth of diverse suppliers under the Diverse Supplier Procurement Program will take the form of attending events focused on attracting diverse suppliers: (i) in order to familiarize such suppliers with the products and services that are essential to operations at CSX; and (ii) increase CSX’s awareness and access to diverse suppliers to meet these needs.
Diverse suppliers with whom the company develops a business relationship are strongly encouraged to develop a broad customer base to ensure an orderly growth and business environment.
CSX shares aggregated diverse supplier spend information with customers and other organizations upon request. The spend information shared with customers contains amounts spent with suppliers who have obtained certification as a diverse supplier from a recognized independent certification agency. Such agency must have a vetting process to ensure that the supplier meets the generally accepted requirements of a diverse supplier:
- The company shall be owned by a minority, veteran, or other diverse category in one of the represented groups.
- The principals must be U.S. citizens.
- These businesses must be at least 51% owned, operated and controlled by persons who fit into one of these categories. The minority, veteran or diverse owners shall have complete and absolute control of the company, and be active in day-to-day management and daily business operations.
CSX recognizes the proprietary nature of supplier revenue and will preserve the privacy of our suppliers by only reporting aggregated spend information.