Sustainability and ethical considerations

Sustainability in Procurement

Sustainability refers to meeting present needs without compromising the ability of future generations to meet their needs.
Procuring from local suppliers can significantly reduce carbon emissions due to shorter transportation distance.
Choosing seasonal products is another way to promote sustainability as this can reduce the carbon footprint associated to the use of greenhouses.
When procuring goods, consideration should be given to the waste created. Prefer suppliers that use minimum and recyclable packaging to reduce environmental harm.
In some cases, second-hand or recycled materials can be just as good as new, without the environmental impact of manufacturing and distributing new products.
It is important to remember that sustainability is not just about the environment: it also means ensuring economic and social sustainability. For instance, paying a fair price to suppliers to ensure their economic viability, or ensuring decent working conditions for workers along the supply chain.

Ethical procurement is about more than just getting the lowest price. It’s about making sure your suppliers also adhere to ethical standards.
For instance, be aware of fair trade principles: ensuring that producers in developing countries get a fair price for their goods.
Suppliers should respect basic human rights: for instance, they should not use child labour or forced labour, and they should pay decent wages and ensure safe working conditions.
Avoid suppliers that engage in corruption or fraud.
Make sure suppliers respect animal welfare if applicable: for instance, if you procure meat, eggs or dairy products, ensure they come from farms where animals are treated humanely.
Finally, while carrying out procurement processes, it is important to adhere to confidentiality and privacy obligations. Particularly when dealing with sensitive information, it must be securely managed in compliance with GDPR and other regulations.

Include sustainability and ethics criteria in supplier selection: for instance, look at suppliers’ environmental impact, their labour practices, etc.
Regularly evaluate suppliers based on their sustainability and ethics performance. If a supplier doesn’t meet your standards, give them feedback and work with them to improve, or consider changing suppliers if necessary.
Consider including specific sustainability and ethics clauses in contracts with suppliers. For instance, a clause requiring the supplier to minimise waste, or to adhere to fair trade principles.
Make sure sustainability and ethics are considered in all steps of the procurement process. For instance, consider the transportation methods (can goods be transported by rail or sea instead of by air?) or the disposal methods (can the goods be easily recycled or composted at the end of their life?).
Regularly review and update your procurement policy and practice to keep up with evolving sustainability and ethics standards. This includes staying informed about legal requirements, industry best practices, and public expectations.