How We Source

How We Source

Identifying Potential Suppliers

Our sourcing professionals are always looking for great suppliers to compete for our business. To identify potential new suppliers, we attend industry conferences and trade shows, talk with peers at other companies, and read industry journals and benchmark studies. If you are a proven performer in your industry and we have a need, we want to talk with you.

Competitive Bid Process

Request for Proposals (RFPs) are facilitated by Vistra supply chain professionals through an online sourcing tool. The information in the RFP is privileged and confidential, and should not be shared or otherwise advertised or announced by invited suppliers. Additionally, during the RFP process, there is a mandatory “quiet period.” This helps maintain an open and fair process for all suppliers invited to the RFP.

RFPs typically contain:

  • background information on our companies
  • objectives specific to the individual RFP
  • scope and requirements being sourced
  • a schedule and deadlines for the RFP
  • background and technical questions for the potential supplier to complete
  • a formatted pricing sheet
  • standard terms and conditions
  • contract information for the supply chain professional conducting the event
  • opportunities for suppliers to state options that might enhance the final product

We encourage and believe each supplier has an obligation to ask questions and/or clarify any information they do not fully understand during the RFP process. To this end, an RFP may have a pre-bid meeting (via a conference call or on-site visit) and will allow potential suppliers to ask questions throughout the RFP process.

After we evaluate the proposals and make a final selection, we will finalize contract negotiations and officially award the opportunity. Suppliers that are not chosen are contacted and informed of the final decision and what they could do better for the next opportunity.

Vistra Energy’s supply chain policy is to perform the sourcing and procurement functions in a manner that supports the company mission of being a safe, efficient, reliable, and customer-centric provider of energy, while meeting the highest standards of integrity and ethical conduct. Suppliers will be evaluated on factors such as financial stability, ability and reliability to deliver products/services, capacity and scalability, pricing, technology and implementation, conformity to company terms and conditions, management support, and diversity certification, if applicable. A supplier’s past performance, if any, will also be an evaluation factor.

When sourcing for products and/or services, Vistra Energy, TXU Energy, and Luminant are looking for suppliers that also:

  • do their homework to fully understand how their products and services can directly benefit Vistra, TXU Energy, or Luminant and the solutions we offer our customers
  • share our commitment to safety, performance excellence, and customer service, especially in terms of cost, quality, and delivery
  • are financially healthy and continuously focus on improving affordability and efficiency through lean operations
  • will share their knowledge for how we can all better manage our businesses, and deliver value and solutions where our suppliers and customers win
  • conduct their operations in a safe, professional, and respectful manner, and share our commitment to ethical business practices
  • support the communities in which they work and are good stewards of the environment

Agricultural Reclamation

Air Quality Control Systems

  • ERP Consumables
  • Pollution Control
  • Testing

Ash & Fuel Handling

Boilers

  • Coatings
  • Components
  • Soot blowers

Chemicals

  • Bulk Chemicals
  • Gases
  • Water Treatment

Construction

  • Civil Construction & Earthwork
  • Fuel and Ash Handling Services
  • Construction Materials and Services

Contact Centers

  • Sales & Service Call Center Services

Corporate

  • Consulting
  • Memberships, Subscriptions & Publications
  • Security
  • Staff Augmentation

Electrical Equipment & Services

  • Motors
  • Switchgear

Facilities

  • Breakroom
  • Building Maintenance & Repair Services
  • Demolition
  • Janitorial Services

Fuel and Lube

  • Fuel
  • Inspection
  • Lube

Generators

  • Diesel Generators
  • Exciter
  • Rotor

Information Technology

  • Hardware
  • Software
  • Telecommunications

Instrumentation & Control

  • Continuous Emission Monitoring Systems
  • Distributed Control Systems
  • Software

Maintenance & Repair Services

  • Fabrication & Machine Shop Services
  • Industrial Cleaning

Material & Fuel Handling

  • Coal Yard/Barn
  • Conveyor Systems
  • Dust Suppression

Mechanical Equipment & Services

  • Compressors
  • Pumps
  • Valves

Mining Equipment & Services

  • Dragline
  • Mining Tires
  • Yellow Iron Fleet

Maintenance, Repair and Overhaul (MRO)

  • Industrial Parts & Supplies
  • Electrical Supplies
  • Safety

Nuclear Services

  • Dry Cask Storage
  • Nuclear Components
  • Nuclear Maintenance & Repair Services

Professional Services

  • Drilling
  • Engineering
  • Environmental Services

Revenue Operations

  • Collections
  • Credit
  • Customer Billing

Sales & Marketing

  • Marketing Services
  • Sales
  • Value Added Partners

Support Equipment & Services

  • Equipment Rental
  • Railcar Maintenance
  • Railroad Maintenance

Turbine Gas

  • Turbine
  • Steam Turbine

Vistra Energy, TXU Energy, and Luminant suppliers will be held to these standards. Additional requirements may apply, depending on the type of product or service you are providing.

Safety

Safety is paramount in our day-to-day operations. Suppliers must conduct their own operations in a safe, professional, and respectful manner, and must share our commitment to safety. Many of our suppliers that perform services at or deliver products to our sites must maintain an active registration with ISNetWorld and maintain a grade of A. Additionally, suppliers will adhere to our standards on worksite safety. Each work location may require additional training at the site prior to being released to work. Some work locations will perform personnel background reviews prior to being granted access within the power block. Vistra, TXU Energy, and Luminant will be performing independent observations of supplier performance once the work scope commences.

Insurance

Contractors (and their subcontractors) must carry and maintain minimum insurance coverages which include but are not limited to:

  • Workers Compensation Coverage and related insurance as required by law in the state in which work is to be performed;
  • Employers’ Liability Insurance – $500,000
  • Commercial General Liability Insurance – $1,000,000
  • Automobile Liability Insurance – $1,000,000
  • Excess Liability Insurance – $2,000,000

Additionally,

  • Coverages must be issued by carriers having an A.M. Best’srating of “A-” or better, and an A.M. Best’s financial size category of “VIII” or better, or Standard & Poor Insurance Solvency Review of “A-” or better.
  • Contractors must provide certificates of insurance that show Vistra Energy Corp. and its direct and indirect subsidiaries as the certificate holder, and as an additional insured (including completed operations) with respect to all of the required coverages except workers’ compensation.
  • Workers’ compensation shall include Vistra Energy Corp. and its direct and indirect subsidiaries as an alternate employer.
  • All of the required coverages must provide a waiver of subrogation in favor of the certificate holder.

Ariba Network

Vistra, TXU Energy, and Luminant use an electronic PO and invoicing system, Ariba.  Suppliers will subscribe to Ariba and comply with the requirements of Ariba with regard to format, content and method of submission of all invoices.

Code of Conduct

Suppliers will adhere to good business ethics practices. Suppliers may not offer or provide any compensation or benefit of any type, including any gift or gratuity (other than tokens of nominal value or reasonable business meals and business entertainment) to any Vistra, TXU Energy, or Luminant employee.

Code of Conduct

Freight

Shipments must follow freight routing instructions, and shipping documents must reference a PO.

Vendor Set-up

Once a new supplier is awarded work by Vistra, TXU Energy, or Luminant, and in addition to executing a contract, the following documentation is needed to set-up the supplier accurately in our systems. The following information is needed to establish a purchase order that can be invoiced against:

  • Supplier Status Profile Form
  • W-9 (non-US suppliers must provide a current W-8 tax certificate)
  • Certificate of Insurance