From Suppliers Manual
Sustainable Procurement is defined by The National Sustainable Procurement Action Plan as,
“a process whereby organisations meet their needs for goods, services, works and utilities in a way that achieves value for money on a whole life basis in terms of generating benefits not only to the organisation, but also to society and the economy, whilst minimising damage to the environment.”
Sustainable procurement should consider the following factors:-
- Manufacture and production methods
- Logistics
- Design
- Non-renewable material use
- Recycling
idea.gov.uk
As energy costs such as electricity and oil are continuing to rise, companies are now more inclined to make their supply chains more efficient therefore reducing their carbon footprint.
This method of procurement is not only about environmental factors but can also include labour issues and the rights of people. This can be refered to as ethical sourcing which is the approach of selling goods which adhere to standards for international labour, environmentalism and social policy.
Elements of ethical sourcing may include:-
- Healthy working conditions
- A fair price for environmentally sound work
- Guaranteed wages
buyeranalytics.com
In summary, sustainable procurement is all about achieving lasting value for money, reducing environmental damage and delivering social and economical benefits.
idea.gov.uk
For a supplier to the public sector, addressing these types of issues in procurement can add value to your company by showing awareness and concern for social, environmental and economical factors.
