Ten Tips for Greener Procurement

Sustainability is the watch word in the current business climate and companies are increasingly being held to higher environmental standards. Often, the high visibility of procurement and purchasing practices puts them under particular scrutiny. But improving your companys environmental buying practices may be simpler than you think. The following tips can save you money in the supply chain and boost your environmental profile:

1. Do your research- Find out to what extent your company already uses environmental purchasing practices. Any current systems can potentially be upgraded. Using 15% recycled paper? Why not upgrade to 30%? Buying fair-trade coffee? Why not try organic or bird friendly fair-trade options?

2. Screen your Suppliers- By requesting environmental information you are asking suppliers to become more accountable, and then the information you gather can be put into a balance scorecard to measure their performance, creating an incentive for them to improve.

3. Collaborate- By involving suppliers early and often in product, process, and strategic decisions that impact them, it is possible to reduce the potential negative fall-out from any changes. Add suppliers to planning teams to implement design for environment initiatives and, within your own company, seek to collaborate at multiple levels, involving the technical personnel who plan and manage day-to-day operations.

4. Buy Big- Just because you are a smaller company does not mean you cant afford to go Green. Purchasing collectives allow small business to get the benefits of buying in bulk and economies of scale.

5. Buy Green- Purchase raw materials that contain fewer toxic ingredients, are recyclable, or utilize recycled materials. Increased use of recycled products supports the use of waste as a resource. Research suggests that 12 jobs can be created for every 1,000 tonnes of waste paper recycled http://www.londonremade.com/mgpc.asp#what.

6. Reduce and Reuse- Even better than purchasing recycled materials-- reduce waste to begin with. A simple example is that instead of sourcing sustainable paper, you reduce your need for it by making scrap paper available and utilizing electronic documents.

7. Go Local- Sustainable procurement can mean more than just recycled materials. Purchasing from a locally owned company not only saves carbon when products are delivered, but also keeps money in the local economy and builds stronger communities.

8. Be Clear- Set clear, achievable goals and outlines for your green procurement strategy. Laying out guidelines in advance will make for smoother performance assessments and periodic reviews.

9. Go Slow- Take it one step at a time. Put your procurement plan through an initial testing phase to pinpoint and solve potential problems. Assume that it will take time for programs to take hold and to spread throughout all aspects of the company.

10. Communicate the benefits. Sharing the positive environmental impacts of purchasing policies with suppliers and procurement managers can help environmentally conscious programs maintain momentum and ensure that your organization benefits from your greener procurement policies.

Richard Hatton is Managing Director of Adjust PS, a UK company specializing in procurement consulting to professional buyers and suppliers. Adjust PS works with organizations to promote Green Procurement and co-presents seminars to educate companies how to adopt Green initiatives and save money in the process. Adjust PS services are based upon constant discussion with a range of industries, governmental organisations, and small businesses combined with a continuous audit of the appropriateness and readiness of the latest technology offerings. Visit Adjust PS at http://www.adjustps.com

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