In addition to providing tremendous benefits to society, many companies who have reoriented their goals to green procurement realize astonishing financial, brand image, and other benefits.
Modern procurement requirements make the mandate of modern supply chains quite clear: deliver products and services that are sustainable, high quality, low cost, and with profound social responsibility.
For many, maneuvering through the labyrinth of green procurement can feel daunting. This blog is a roadmap through the basics of green procurement and demystifies the alphabet soup of certifications, empowering you to make informed, planet-friendly purchasing decisions.
From Trend to Necessity:
Pitching in as stewards of the environment used to be more of a calling and less of a strategic imperative. Since then, consumers have increasingly demanded sustainable products, governments are enacting stricter environmental regulations, and investors are pouring money into green innovation. For your business to thrive in this evolving landscape, embracing green procurement isn’t just a feel-good option—it’s a crucial business decision.
The Pillars of Greenness:
Green procurement is a process whereby procurement professionals seek goods and services and work with a reduced environmental impact throughout their life cycle compared to goods and services and work with the same primary function that would otherwise be procured.
The pillars of this “greenness” include:
- Energy Efficiency: Reducing energy consumption at every stage, from product manufacturing to use and disposal.
- Resource Conservation: Minimizing the use of natural resources like water, raw materials, and minerals.
- Reduced Toxicity: Opting for products with safer ingredients and lower emissions, protecting both human health and the environment.
- Sustainable Materials: Choosing materials with high recycled content, rapid biodegradability, or responsible sourcing practices.
You’re not just saving the planet by prioritizing these principles in your green procurement decisions. You’re also saving money on resource costs, attracting environmentally conscious customers, and contributing to a healthier, more sustainable future.
An Overview of the Green Certification Maze
Today, green procurement has become the policy on which many organizations, governments and prominent market stakeholders focus. Just as important as profit margins and organizational growth, sustainable consumption has come to influence the patterns of production and procurement of a global supply chain.
It has paved the way for the emergence of “green certifications” that ensure that stakeholders involved in the life cycle of goods and services are committed to minimizing their environmental footprint while sustaining efforts to reduce environmental impact. They are like yardsticks in an ecosphere: independent third-party assessments that verify a product’s environmental claims, ensuring transparency and building trust.
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ENERGY STAR: Lighting the Way to Savings – an EPA-backed program that champions energy-efficient electronics and appliances, helping you green procure products that save you money on energy bills while reducing your carbon footprint. Imagine cutting your energy costs while safeguarding the environment. That’s the power of ENERGY STAR. Look for that iconic blue label on electronics and appliances, and you’re green-procuring products that use 20-50% less energy than conventional options. Think about the cumulative impact of choosing ENERGY STAR across your entire organization – not just environmental wins, but financial ones too! According to the EPA, the energy savings from ENERGY STAR certified products translates to a whopping $385 billion annually, highlighting the immense potential of green procurement in driving both profit and planet-friendliness.
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EPEAT: Monitoring the entire lifecycle of electronics, EPEAT ensures responsible sourcing, reduced toxicity, and improved recyclability, guiding you toward green procurement that’s kind to both the planet and your bottom line. Upon reaching their end of life, EPEAT ensures they won’t add to the ever-growing e-waste mountain. By prioritizing EPEAT-certified products, you’re green procuring electronics made with recycled materials, designed for easy disassembly and recycling, and free of harmful toxins. It’s a closed-loop cycle, from cradle to cradle, not landfill to landfill. In 2022 alone, over 50 million EPEAT-certified products were shipped globally, illustrating the growing traction of green procurement in the electronics industry.
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GREEN SEAL: Looking beyond just energy efficiency, Green Seal tackles a broader range of environmental and health concerns, from safer cleaning products to sustainably sourced building materials. Green procurement with Green Seal ensures you’re not just saving the planet, you’re safeguarding human health and building a healthier future. While energy efficiency is crucial, green procurement extends far beyond reducing kilowatt consumption. Green Seal champions a broader spectrum of environmental and health concerns. Imagine cleaning products free of harsh chemicals, building materials with low VOC emissions, and paper products sourced from sustainably managed forests – that’s the power of Green Seal. With over 2,000 certified products across 40 categories, Green Seal empowers you to procure with confidence, knowing you’re saving energy, safeguarding human health, and creating a healthier world.
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LEED: For the architects of our future, LEED sets the gold standard for green building design and construction. From energy-efficient skyscrapers to eco-friendly schools, green procurement through LEED principles ensures you build a brighter, greener future, brick by sustainable brick. The impact of our buildings goes far beyond their physical footprint. LEED, the global leader in green building design and construction, ensures that your buildings are functional and environmentally responsible. From optimizing energy and water use to prioritizing recycled materials and reducing waste, green procurement through LEED principles creates healthier, more efficient structures that benefit both occupants and the planet. With over 100,000 LEED-certified projects in over 180 countries, LEED demonstrates the growing influence of green procurement in shaping the future of our built environment.
Empowering Sustainable Choices
Green procurement isn’t just a trend. It’s a transformative shift in how we do business. By embracing this powerful tool, you’re not just saving the planet. You’re saving money, attracting environmentally conscious customers, building a healthier future for your employees and communities, and contributing to a more sustainable world. So, grab your compass, navigate the green certification maze, and start making informed choices that leave a lasting positive impact. Stay tuned for Part 2 of our blog series, where we’ll delve deeper into practical tips and strategies for implementing green procurement within your organization!
Visit NLPA Learning, the new home to all of our certifications and online courses. The Learning site also includes learning resources, including live and on-demand webinars, publications and reports, articles, templates, white papers, and much more!
Recommended Reading
- Procurement and Corporate Social Responsibility
- Exemplary Supply Chain Social Responsibility
- Social Responsibility Purchasing
- Big Supply Chains, Big Social Responsibility